📄 Trade Credit Terms: Should You Take the Discount?
Analyze "2/10 net 30" and similar terms — what's the implied cost of skipping the discount?
📝 Common Trade Credit Terms
2/10 net 30
1/10 net 30
2/10 net 60
3/15 net 45
2/10 net 45
⚙️ Custom Terms
Discount (%)
2
Discount Period (days)
10
Net Period (days)
30
Invoice Amount ($K)
100
Your Borrowing Rate (%)
8
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Implied Annual Rate of Skipping Discount
-
Discount Savings
-
Cost to Borrow & Pay Early
-
Net Benefit of Taking Discount
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📊 Implied Cost Across Different Terms
💰 Break-Even Analysis