The major topic for this module is the analysis of terms of sale. The reading assignment is chapters 4, 6, and 7 in Making Sound Credit Policy Decisions by Frederick C. Scherr. (This text is included in your registration.) Topics covered include: the effects of credit enhancements of the costs of credit-granting; taking credit cards as a collection strategy; basics of negotiating the conditions of credit-granting; expert and statistical scoring systems for credit-granting; legal aspects of terms of sale decisions; the costs and benefits of changing terms of sale; electronic payments; and cash discounts as a collection strategy. The case problem for this module is The Case of the Tenuous Terms, a case in determining terms of sale, which is at the end of Chapter 7.
Dr. Frederick C. Scherr is a Professor Emeritus of Finance at the College of Business and Economics at West Virginia University, where he taught for 30 years and won both the College’s Outstanding Teacher and Outstanding Researcher awards. He is the author of more than 30 research articles, four textbooks, and many articles in professional publications such as The Credit and Financial Management Review, The Credit Manager, and Business Credit. He has done extensive work in adult education for the National Association of Credit Management, including teaching at the Graduate School of Credit and Financial Management, and for private corporations.