What amount of new investment income could be generated

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Crappola Hospital outside of Outback, UT has been thinking about changing itsAc€?c payroll period from a bi weekly to a monthly. The administrator, Baskitcase says they currently have 600 employees with an annual payroll of $18 million. If Crappola does not make this change there will be trouble in the near future says local snitch reporter Tella Hall.

If Crappola earns 9.5% on invested funds, what amount of new investment income could be generated on an annual basis?

If the cost of writing a payroll check is $1.50,what additional amount could be saved on an annual basis from switching to a monthly payroll period?

Reference no: EM131222229

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