What annual increase in income would your firm realize

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Reference no: EM13977861

Provide detailed descriptions and show all calculations used to arrive at solutions for the following questions:

1. Your firm has $45.0 million invested in accounts receivable, which is 90 days of net revenues. If this value could be reduced to 50 days, what annual increase in income would your firm realize if the increase in cash could be invested at 7.5 percent?

Reference no: EM13977861

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