Purchasing discount

Syrup Mixing and Handling. Most parent companies sell concentrated flavor bases to franchise bottlers and allow the bottlers to mix this with their own sweetener and water. This defrays shipping costs and reduces the labor demand on parent company manufacturing. In return, franchise bothers are able to purchase sweeteners from local suppHers at a substantial discount and reduce their overall costs. 

The advantage of using common stock to finance assets is that it does not incur nxed interest charges. Furthermore, there is no maturity date, as there is with all loans and most preference issues. Common stock can often be issued more easily than debt can be financed. However, the flotation costs of common stock can be quite high, especially when stock values are depressed, so that large discounts for the stock are needed to induce purchase. 

A shortage of cash may prevent a company from taking advantage of large discounts available for bulk purchase of raw materials. The importance of the availability of adequate cash or near cash can be seen by considering an account payable within 28 days, with a 2 percent discount allowed if paid within 7 days. If cash is not available to pay the account within 7 days, this is then equivalent to paying 2 percent interest on the money for the remaining 21-day period, or an annual compound-interest rate of more than 41 percent. 

The authors discounted the existence of two chemotypes of L. dulcis on the grounds that no evidence appears to exist as to this level of plasticity in this species. Rather, they suggested that the problem likely arose in the source of the Mexican specimen, which consisted of plants collected in the vicinity of Tlayacapan (Morelos) and mixed with hierba dulce purchased in a market in Mexico City. Adulteration of the commercial product, not an uncommon practice, likely accounts for the striking chemical differences between the two specimens. 

It is worth noticing what other products are likely to share the same aisle or shelf. In a study on how to increase purchases in the Minneapolis and St Paul markets in the USA, by including organic products, a mixed effect on sales was found in upmarket stores, but there was a significant positive effect on sales of dairy products, pasta, bread, cereal and carrots in a discount store (Thompson, 1998). 

Chelsea House books are available at special discounts when purchased in bulk quantities for businesses, associations, institutions, or sales promotions. Please call our Special Sales Department in New York at (212) 967-8800 or (800) 322-8755. 

Books published by Basic Books are available at special discounts for bulk purchases in the United States by corporations, institutions, and other organizations. For more information, please contact the Special Markets Department at the Perseus Books Group, 2300 Chestnut Street, Suite 200, Philadelphia, PA 19103, or call (800) 810-4145, ext. 5000, or e-mail spedal.markets perseusbooks.com. 

Sometimes a set of items such as all the process control instruments or all piping is lumped together, and a number of suppliers are asked to bid on this package. At other times the company may have a contract with, say, a pump manufacturer that guarantees the company will receive a specified discount on the cost of all pumps, if it purchases more than a certain number per year. Then the pumps would be purchased from this vendor. There are even instances where the company may forbid the purchase of items from a given vendor. For instance, one company found that the pumps it purchased from a particular manufacturer cost approximately 5 times as much to maintain as the other pumps it had performing similar tasks. The company refused to buy any more pumps from that manufacturer. 

Table II demonstrates how NPV would be calculated for a hypothetical LIMS, purchased as a package with negligible site preparation and with installation costs included in the purchase. It is to be acquired for a service laboratory primarily supporting R D activities but with some minimal process monitoring responsibilities. The IRR for this project could be found by trial and error determination of the yearly discount rate which results in a zero NPV. A succinct discussion of these financial management analysis tools can be found in two works by Weston and Brigham. The first (9) presents theoretical and detailed analytical expositions the second OO) is a more practical, applications oriented presentation.

A discount retail store gives a 5% discount to senior citizens. If a customer who is a senior citizen wants to purchase an item that costs 45, what is the final cost after the discount is applied ... 

Ashland Chemical Company, a division of Ashland Inc., was CSI s primary customer for purified hydroxylamine solutions. Ashland used the hydroxylamine solutions in residue cleaners for the semiconductor industry. Ashland planned to purchase 2 million pounds of 50% hydroxylamine from CSI. In exchange for discounted pricing of future deliveries of hydroxylamine solutions, Ashland provided CSI with financial support ( 350,000) to purchase production equipment. By February 1999, CSI had approximately twenty full-time employees, ten of whom were assigned to the new production facility. 

To discover more about ICON Health Publications, simply check with your preferred online booksellers, including Barnes Noble.com and Amazon.com which currently carry all of our titles. Or, feel free to contact us directly for bulk purchases or institutional discounts ... 

The term sales means net sales, i, total sales after deducting discounts, returns, allowances and excise taxes. Sales includes sales of the Drug Product whether manufactured by the company itself or purchased from sources outside the company and resold by the company in the same manufectured form as purchased. 

Schemes which enable health professionals to obtain personal benefits, for example gift vouchers for high street stores, in relation to the purchase of medicines are unacceptable even if they are presented as alternatives to financial discounts.

Net Present Worth Method The NPW method allows the conversion of all money flows to be discounted to the present time. Appropriate interest factors are applied depending on how and when the cash flow enters a venture. They may be instantaneous, as in the purchase of capital equipment, or uniform, as in operating expenses. The alternative with the more positive NPW is the one to be preferred. In some instances, the alternatives may have different lives so the cost analysis must be for the least common multiple number of years. For example, if alternative A has a 2-year life and alternative B has a 3-year hfe, then 6 years is the least common multiple. The rate of return, capitalized cost, cash flow, and uniform annual cost methods avoid this complication. 

TABLE 1 Bugs+Plus Costs, Including Discounts for Bulk Purchases... 

Table 1 gives costs for the Bugs+Plus system, including discounts for bulk purchases. Information Source D16559X, vendor information... 

---