You Are Considering Implementing a Lockbox System for Your Firm

You are considering implementing a lockbox system for your firm.The system is expected to reduce the average collection time by 1.2 days.On an average day,your firm receives 320 checks with an average value of $99 each.The daily interest rate on Treasury bills is 0.014 percent.What is the anticipated amount of the daily savings if this system is implemented?

A) $2.61
B) $3.29
C) $4.45
D) $5.32
E) $5.78