
Roger's Distributors receives an average of 82 checks a day with an average check amount of $16,329. If a lockbox system is implemented the average collection time should decrease by an average of 1.7 days. The daily interest rate on Treasury bills is .009 percent. What is the amount of the expected daily savings of the lockbox system?
A) $192.04
B) $196.92
C) $114.95
D) $222.42
E) $204.86
Correct Answer:
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