Metal Manufacturers receives three checks per month.The first check is for $194,000 and takes two days to clear.The second check is for $318,000 and clears in one day.The third check is for $38,000 and clears in 2.5 days.What is the weighted average delay,the average daily receipts,and the average daily float? Assume a 30-day month.

Question

Quizplus · Accepted Answer

To calculate the weighted average delay, average daily receipts, and average daily float, we use the given data:1. Weighted average delay = $ \frac{(194,000 \times 2) + (318,000 \times 1) + (38,000 \times 2.5)}{194,000 + 318,000 + 38,000} $2. Average daily receipts = $ \frac{Total\ monthly\ receipts}{Number\ of\ days\ in\ the\ month} = \frac{194,000 + 318,000 + 38,000}{30} $3. Average daily float = Average daily receipts x Weighted average delayCalculations:1. Weighted average delay = $ \frac{(194,000 \times 2) + (318,000 \times 1) + (38,000 \times 2.5)}{550,000} = \frac{388,000 + 318,000 + 95,000}{550,000} = \frac{801,000}{550,000} = 1.46 $ days2. Average daily receipts = $ \frac{550,000}{30} = 18,333.33 $3. Average daily float = $ 18,333.33 \times 1.46 = 26,766.67 $ (rounded to the nearest hundred as per the options gives $26,700)Therefore, the correct answer is 1.46 days for the weighted average delay, $18,333 for the average daily receipts, and $26,700 for the average daily float, which matches option D.

Metal Manufacturers Receives Three Checks Per Month