Credit sale and salaries

Save Share

This query is : Resolved

Quick Summary

This discussion delves into the reasons behind not charging interest on credit sales, suggesting it's often an implicit term. It also examines the practice of paying salaries in the month following the work performed, questioning if this disadvantages employees. The conversation touches upon standard payment terms for sales and the timing of salary disbursements.

AJITHA KAIMAL

AJITHA KAIMAL (Querist)

30 January 2023 why don't we charge interest for credit sales.
also salaries of a month are giving on the next month is it a loss to the employee as he loses his ability to earn income from such salary

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

30 January 2023 1. Because that is hidden term in the transaction.
2. Salaries are paid at the end of month, when the monthly period of service gets fulfilled.
Sometimes employer/s even give advance, if employee/s request for.

Message likes : 1 times

AJITHA KAIMAL

AJITHA KAIMAL (Querist)

30 January 2023 What does it mean by hidden term sir

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

30 January 2023 Sales (& as such rates) with 30/60/90 days payment term etc..

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now