Payment terms and collection efforts


Assignment:

When it comes to steady cash flow and days working capital, short term assets are the most important. I'd suggest strict payment terms and diligent collections efforts, to be the most effective in covering the organizations costs. I do believe that discounts for timely payments is feasible. You'd receive the money faster, bank it to gain interest or even save on outgoing costs from the company's coffers. Not to mention the savings on the collections efforts/ resources. I'd also suggest reductions of controllable costs where possible (consulting fees, vendor payments, supply costs, etc).

What do you think?

Your answer must be typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format.

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