The Trade Credit as a One of the Alternative Financing Forms Cover Image

The Trade Credit as a One of the Alternative Financing Forms
The Trade Credit as a One of the Alternative Financing Forms

Author(s): Diana Cibulskienė
Subject(s): Economy
Published by: VšĮ Šiaulių universiteto leidykla
Keywords: Trade (providers’) credit; effective interest rate; outer financing; credit of current account; percent of discount; due date; grace of due date.

Summary/Abstract: In the article the essential methods of effective interest rate of trade (providers’) credit, their application possibilities and problems are analysed. After the forms of display of credit are described, the efficiency of these credits to the finance of company’s activity is estimated under the methods of real interest rate, the application of which depends on the type of financial alternative. The dependence between the costs of providers’ credits and the period of discount and percent of discount is calculated and estimated.

  • Issue Year: 2004
  • Issue No: 4
  • Page Range: 14-22
  • Page Count: 9
  • Language: English