Free Online Course in International Business
The 5 "C's" (Domestic and International)
-
Character
-
Capacity
-
Capital
-
Condition
-
Collateral
The 3 "C's" (International)
-
Country Risk
-
Currency
-
Culture risks
Country Risk
-
Countries are interdependent
-
Country conditions affect customers
Assessment must be:
-
Systematic
- Objective
- Relevant
Value of Past Due Invoices per US Dollar
Three Months
|
Six Months
|
One Year
|
Two Years
|
$.90
|
$.50
|
$.25
|
$.00
|
Sales
|
Cost
|
Net Profit
|
Month
|
Amount
|
Profit
After
Interest
Payment
|
$100
|
$95
|
$5
|
First
|
$1.00
|
$4.00
|
$100
|
$95
|
$5
|
Fourth
|
$4.00
|
$1.00
|
$100
|
$95
|
$5
|
Sixth
|
$6.00
|
($1.00)
|
$100
|
$95
|
$5
|
Eighth
|
$8.00
|
($3.00)
|
$100
|
$95
|
$5
|
Twelfth
|
$12.00
|
($7.00)
|
|