NPV of Partial Payments

Net Present Value (NPV)
Knowledge Center

Forum
Bruce, USA

NPV of Partial Payments

Suppose a business sells an average of $ 1000 per month to a group of 200 customers on Net 30 terms. What would be the financial benefit to the seller if those customers each paid 1/30th of the invoice each day for 30 days.
The situation is one where the fluid product is consumable (in a drum) and lasts for about 30 days.

 

More on Net Present Value (NPV):
Summary
Forum
NPV of $1 Million for a Project Means What
WHEN to Invest? Investing at the Right Moment...
Calculating NPV with Missing Data
Example of Net Present Calculation
👀NPV of Partial Payments
How do you Calculate NPV when Initial Investments are Unknown?
Missed Interest in NPV
NPV assumes Certainty of Cash Flows
Calculating Cost per Unit if Zero NPV without any Operating Costs Information
Calculating NPV for a Project
NPV Cost Avoidance and Savings
NPV for Leased Equipment versus Purchased Equipment
NPV with a Missing Cash Flow Figure
🔥NPV with Only Costs & IRR
Best Practices
Re-evaluating an investment decision
Operating Cash Flows
Does the Net Present Value (NPV) calculation uses cash inflows or profits?
Choosing between Investments Using a Comparison of NPVs
More Complex NPV Comparison: Interrelated Projects
Special Interest Group

Do you have a keen interest in Net Present Value (NPV)? Become our SIG Leader

Net Present Value (NPV)
Knowledge Center



About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2022 12manage - The Executive Fast Track. V15.8 - Last updated: 1-7-2022. All names of their owners.