Cost of Not Availing Cash Discount | Early Settlement Discounts | Cash Discounts | Credit Terms |

[@NaveedKhan-yu3lc]

Great concept ❤ but would you please clarify 36.7% cost we losing on which amount on year total or on monthly base if its on monthly then way not consider time value factor in formula instead of compounding only.

[@devampatel5367]

Thank you so much sir, this was just a basic concept but was so confused till I saw this video. really thank you

[@CommerceSpecialist]

Ur welcome dear

[@shaileshcastelino6950]

Sir as usual great video..u break things down in such a way that even a naive in accounting will understand easily..keep up the good work..love and regards from kuwait

[@CommerceSpecialist]

Thanks dear, aporeciate ur comments.

[@RojshiShrestha3062]

Thank you 🙏 ji

[@villainswong]

Sir, how to derive the formula? What's the logic?

[@hahonghoa3584]

Thanks very much!

[@CommerceSpecialist]

🙏👍

[@farhaan369]

thank u sir for this explanaion

[@CommerceSpecialist]

Ur welcome dear

[@iftikhariqbal3222]

How do you determine what discount to offer as cash discount?

[@CommerceSpecialist]

Keeping our margin in mind n looking at the historical corelation btw offering discounts n its effects

[@iftikhariqbal3222]

@@CommerceSpecialist shouldn't it be linked to finance cost you are going to incur if u have a receivable instead of cash

[@iftikhariqbal3222]

For instance if markup cost is 20percnt then what's the discount rate to offer the customer

[@CommerceSpecialist]

Depends

[@Me-fg9dv]

Annual cost is 36.7℅ on which amount? On total credit amount?

[@iria58492]

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