Supply Chain Financial Questions Assignments | Online Homework Help

The assignment concerns the case “Supply Chain Finance at Proctor & Gamble’ that is included in the coursepack(

Don't use plagiarized sources. Get Your Assignment on
Supply Chain Financial Questions Assignments | Online Homework Help
Just from $13/Page
Order Now

(1) Estimate DPO for P&G in 2012 using the standard and adjusted approaches discussed in Exhibit 3 of the case (page 11). Note that the P&G Income Statement features COPS (Cost of Products Sold) in place of the conventional term COGS (Cost of Good Sold). Consider also the information about total purchases near the top of page 6: what is the DPO estimate for 2012 if P&G total purchases are used instead of COPS?

(2) If P&G extend payment terms by 30 days, what should be the increase in accounts payable? Calculate the possible increase three times, using in turn the three DPO calculations you made for question (1).


(3) Since accounts payable is a liability on the balance sheet, a change in accounts payable must also entail a change in assets (in order to keep the balance sheet in balance). The change in assets should appear as an increase in cash on the balance sheet. With respect to this, see the following article: According to the article, P&G had added around $1 billion in cash flow by 2015, as a result of their SCF program. (The cash increase on the balance sheets of P&G between 2012 and 2015 is much more than $1 billion; only part of the total cash increase is due to the SCF program.) Does the figure of $1 billion fit with the increase in accounts payable you calculated above? If not, explain how to get to the $1 billion figure mentioned in the article.


Click Here to Place Order

(4) Fibria Celulose (FC) agreed to extend payment terms with P&G from 60 to 105 days, i.e., an extension of 45 days (page 7). What could explain why this extension is longer than the extension of 30 days that P&G announced it would propose in general?

(5) Without SCF, the extension of 45 days in payment terms entails a longer cash conversion cycle for FC when doing business with P&G. After the payment term extension and prior to any application of SCF, what would be the cash conversion cycle for FC when doing business with P&G? (Don’t calculate the overall cash conversion cycle for FC using their financial statements: that would include all customers, not just P&G.)

(6) Without SCF, the extension of 45 days in payment terms entails an increase in accounts receivable on the balance sheet of FC (and a corresponding decrease in cash, on the same side of the balance sheet). Considering the information in the case, estimate the increase in accounts receivable for FC that results when payment terms with P&G are extended by 45 days.

(7) Prior to starting the SCF program, P&G has offered suppliers “invoice discounting,” i.e., the option to receive early payment, at the price of a percentage reduction in the invoice amount (see page 5). Consider the case of a 1% reduction for payment 30 days early. This means that a  POM 628 001, Spring 2019. Assignment #1. Page 2 of 2 supplier that has an outstanding invoice for $1,000 that is due to be paid in 30 days can get paid today and receive $990. What is the implied annual interest rate in this discount? What is the implied annual interest rate in the discount of 2% for 60 days early payment?

Hint Consider the percentage return that would result from leaving $990 unpaid so that $1,000 would be received instead in 30 days. Scale this percentage return to show the corresponding annual return in the hypothetical case that the money were left to earn interest at the same rate for 365 days

Calculate your paper price
Pages (550 words)
Approximate price: -

Why Choose Us

Quality Papers

At, we always aim at 100% customer satisfaction. As such, we never compromise o the quality of our homework services. Our homework helpers ensure that they craft each paper carefully to match the requirements of the instruction form.

Professional Academic Writers

With, every student is guaranteed high-quality, professionally written papers. We ensure that we hire individuals with high academic qualifications who can maintain our quality policy. These writers undergo further training to sharpen their writing skills, making them more competent in writing academic papers.

Affordable Prices

Our company maintains a fair pricing system for all academic writing services to ensure affordability. Our pricing system generates quotations based on the properties of individual papers.

On-Time delivery

My Homework Writers guarantees all students of swift delivery of papers. We understand that time is an essential factor in the academic world. Therefore, we ensure that we deliver the paper on or before the agreed date to give students ample time for reviewing.

100% Originality maintains a zero-plagiarism policy in all papers. As such, My Homework Writers professional academic writers ensure that they use the students’ instructions to deliver plagiarism-free papers. We are very keen on avoiding any chance of similarities with previous papers.

Customer Support 24/7

Our customer support works around the clock to provide students with assistance or guidance at any time of the day. Students can always communicate with us through our live chat system or our email and receive instant responses. Feel free to contact us via the Chat window or support email:

Try it now!

Calculate the price of your order

You will get a personal manager and a discount.
We'll send you the first draft for approval by at
Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Samples

Our writers complete papers strictly according to your instructions and needs, no matter what university, college, or high school you study in.

All samples
Analysis (any type)
Argumentative essays
Dissertation/Dissertation chapter
Analysis (any type)
Advantages and disadvantages of lowering the voting age to thirteen
Undergrad. (yrs 1-2)
Political science
View this sample
Argumentative essays
Is euthanasia ethical or not?
Undergrad. (yrs 3-4)
View this sample
Dissertation/Dissertation chapter
Videoconferencing as a teaching tool
Undergrad. (yrs 3-4)
View this sample

Our Homework Writing Services

My Homework Writers holds a reputation for being a platform that provides high-quality homework writing services. All you need to do is provide us with all the necessary requirements of the paper and wait for quality results.


Essay Writing Services

At My Homework Writers, we have highly qualified academic gurus who will offer great assistance towards completing your essays. Our homework writing service providers are well-versed with all the aspects of developing high-quality and relevant essays.


Admission and Business Papers

With, we will help you secure a position at your desired institution. Our essay writing services include the crafting of admissions papers. We will still help you climb your career ladder by helping you write the official papers that will help you secure a job. We will guide you on how to write an outstanding portfolio or resume.


Editing and Proofreading has a professional editorial team that will help you organize your paper, paraphrase it, and eliminate any possible mistakes. Also, we will help you check on plagiarism to ensure that your final paper posses quality and originality.


Technical papers

My Homework Writers harbors professional academic writers from diverse academic disciplines. As such, we can develop homework writing services in all academic areas. The simplicity or complexity of the paper does not affect the quality of homework writing services.

Sitemap: User-agent: * Allow: / User-agent: AhrefsBot Crawl-Delay: 1 User-agent: SemrushBot Crawl-Delay: 1