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A) What is the float and how can a company use it for working capital? Provide an example that illustrates how it happens.
B) If the company records indicate the following:
Opening amount $10,000
Deposits 30,000
Cheques -22,000
Closing balance $18,000
The bank statement indicates that the opening amount is $10,000, the deposits are 22,000 and the cheques that have cleared are 2,000, what is the amount of the float?
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