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echo: aust_ads
to: Bill Grimsley
from: Peter Pilbeam
date: 1995-06-16 11:19:16
subject: Discount Calls

-=> Quoting Bill Grimsley to Peter Pilbeam <=-

Hi Bill

 PP> Telstra must feel that a system like this will give them the edge 
 PP> against Optus.

 BG> They seem to think so.  I have long-term doubts myself though.

It's a big market, and the stakes are high, especially with the
internet and alot of people calling STD to get access!!
 
 BG> the point, which is that paying monthly instead of quarterly MUST 
 BG> cost more in the end. 
 
 PP> That would depend on how they would charge for the rental on your
 PP> phone etc. If it is just caculated over the year to be the same 
 PP> then you shouldn't have to pay any more.

 BG> You're missing the point, Pete.  Sure, rental is paid in advance, so
 BG> the shorter the period, the cheaper it is in real terms (assuming a
 BG> directly proportional rate), but accrued call charges will cost less
 BG> if you can pay three months in arrears, rather than just one month. 
 BG> It's fairly academic, given the minute savings invloved, but it is
 BG> still cheaper nonetheless. 

Academic is right Bill, although those small saving can amount to 
a substancial amount over the term of phone usage. It's a bit like
paying an extra $10 a week off a loan, not much each week but quiet 
a bit over the term of the loan.

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