TYBAF SEM V Credit Management Illustration 1( Financial management )
Автор: Adhiraj Education
Загружено: 2025-08-01
Просмотров: 212
Introduction to credit management
• TYBAF SEM V Credit Management
Illustration 1:
A company has prepared the following projections for a year:
Sales 21,000 units
Selling Price per unit ₹40
Variable Costs per unit Rs. 25
Total Costs per unit ₹35
Credit Period allowed One month
The company proposes to increase the credit period allowed to its customers from one month to two months.
It is anticipated that the change in the policy as above will increase the sales by 8%. The company desires a return of 25% on its investment.
You are required to examine and advise whether the proposed Credit Policy should be implemented or not.
illustration from manan prakashan publication,
financial management, TYBAF SEM V
#credit #collection #discount #policy # credit management
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