Another use for online discount calculators
Plenty of A/P departments use some type of an online discount calculator to see it’s worth taking suppliers’ prompt-pay discounts. Well, here’s how your Finance department can get even more from that tool.
Get your Accounts Receivable to take some of the more popular prompt-pay discounts your firm is offering and run them through whatever calculator your A/P department uses. This is a quick and painless way to see if getting the cash more quickly is worth the price cut you’re firm is offering customers.
It’s best to focus on customers who always take your early-pay discount first, then eventually run all of your discounts through the calculator.
Whether you’re interested in using an online discount calculator in A/P, A/R or both, here is a great (and free) tool to check out — courtesy of the U.S. Treasury’s Financial Management Service.
- Share on
Free Training & Resources
White Papers
Provided by Anaplan
Further Reading
With a new year comes new state laws with compliance challenges that could disrupt business as usual. In addition to the minimum wage hi...
The U.S. Chamber of Commerce is suing to block the Trump administration’s new $100,000 fee on H-1B visas, arguing it would drive up labor...
CFO Executive Briefing: Q3 2025 Productivity Pulse: Unit labor costs have hit a deflationary pocket (-1.9%) while output efficiency has sur...
The FDIC takeover of Santa Clara, CA-based Silicon Valley Bank (SVB), which news reports described as the worst bank failure since 2008 and...
Elon Musk told an interviewer last week we’re in a recession. A second big bank just bit the dust. Mass layoffs continue in certain s...
Among all the important tasks CFOs and collectors juggle every day is trying to reconcile accounts due. There may be more pressure this yea...
