Accounting Case-Alternatives With Strengths And Weaknesses

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It will not negatively impact the statement of cash flows either. The employees would also not have to work overtime next year since they would be able to start working on Thursday of this year to complete the order. Weaknesses of Action #3: It will reduce net income as a result of the discount...
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It could also have a negative impact on the customer if they have to pay “up-front” and feel that the discount is insignificant. Proposed Alternative Action #4: Take cash to the bank and borrow against it to pay supplier for raw materials today and begin completing the order...
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