Intervention account and Marginal revenue: Difference between pages

Latest revision as of 14:24, 22 November 2014

The increase in a firm's total revenue resulting from selling one more unit of production.

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-Intervention accounts or similar arrangements exist in the USA and some parts of Asia. The concept of an intervention account is that the supplier of goods opens an account with the same bank and branch as its customer.
+The increase in a firm's total revenue resulting from selling one more unit of production.
-Goods are delivered to a local warehouse (often to the ‘order’ of the bank) and the document of title to the goods is sent to the bank.
-On receipt, the bank has the authority to debit the buyer’s account, credit the supplier’s account and to release the title to the goods to the buyer.
-The movement of funds is immediate, same-day with no float.
 == See also ==
-* [[Cash concentration]]
+* [[Diminishing returns]]
-* [[Cash pool]]
+* [[Marginal cost]]
-* [[Float]]
+* [[Profit maximising output]]
-* [[Master account]]
-* [[Zero balance account]]
-[[Category:Cash_management]]
+[[Category:Accounting,_tax_and_regulation]]
-[[Category:Financial_products_and_markets]]
-[[Category:Liquidity_management]]