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Find the present value of the annual savings created

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Question 1: Blake Company has 3400 hourly workers. They work 40 hours a week, at the rate of $7.00 an hour, and they are paid every Friday. The company has decided to pay them twice a month. The cost of printing and processing each check is $1.25. The cost of capital to the company is 14%. Find the present value of the annual savings created by this decision. Find the value added to the company by this procedure.

Reference no: EM132499815

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