What is the maximum per check processing cost

Assignment Help Finance Basics

Reference no: EM13181357

Firm A is considering the use of a lock-box system. The firm's average check receipt is $150. The company invests excess cash in money market and earns 8% p.a. The lock-box system will speed up collection by 2.5 days. What is the maximum per check processing cost payable by the firm?

Reference no: EM13181357

Questions Cloud

Find the present value of both annuities : Find the future value of both annuities at the end of year 10, assuming that Marian can earn and find the present value of both annuities, assuming that Marian can earn

Determine the area enclosed between the x-axis : Determine the area enclosed between the x-axis and each of the functions below within the specified intervals.

What was the speed on each part of the trip : During the first part of a trip a canoeist travels 68 miles at a certain speed. The canoeist travels 19 miles on the second part of the trip at a speed 5 mph slower. The total time for the trip is 5 hrs. What was the speed on each part of the trip..

What is the market equilibrium price : The widget industry in Springfield is competitive, with numerous buyers and sellers. Consumers don't differentiate among the various brands of widgets (no product differentiation). The industry demand curve is given by: Qd = 998 - 5Pw + 4 Y - 6Pg

What is the maximum per check processing cost : he company invests excess cash in money market and earns 8% p.a. The lock-box system will speed up collection by 2.5 days. What is the maximum per check processing cost payable by the firm?

How many votes did the loser receive : In an election between two candidates, 570 votes were cast. If the winner received 230 more votes than the loser, how many votes did the loser receive?

Determine the cost for the first minute : A telephone company charges customers a certain amount for the first minute of a long distance call and another amount for each additional minute. A customer makes two calls to the same city-a 38-minute call for $1.99 and a 14-minute call for $0.7..

How well is eat2eats strategy working : How well is Eat2Eats strategy working? What evidence is there to indicate that the strategy is producing its intended results?

Explain concepts of income and substitution effects : Research in developing countries indicate that the incidence of child labor actually rose in some countries as incomes (and wages) of poor families increased. This is difficult to understand since many people assume that as incomes rose, the inci..

User Account

All Pages