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Receivables come from sales in credit Credit sales Increasing revenue Increasing profit Credit sales increasing receivables Increasing operating costs Objective of receivables management is: to determine whether increasing in revenue and profit is large enough to offset increasing in costs, or to determine whether saving in cost is large enough to offset decreasing in profit. | Outline of the chapter Objective of receivable management Credit policies Credit standard policies Credit term policies Credit period Cash discount Credit policies with default risk Objective of receivables management Receivables come from sales in credit Credit sales Increasing revenue Increasing profit Credit sales increasing receivables Increasing operating costs Objective of receivables management is to determine whether increasing in revenue and profit is large enough to offset increasing in costs or to determine whether saving in cost is large enough to offset decreasing in .
