Each business day,on average,a company writes checks totaling $26,000 to pay its suppliers.The usual clearing time for the checks is 5 days.Meanwhile,the company is receiving payments from its customers each day,in the form of checks,totaling $40,000.The cash from the payments is available to the firm after 2 days.What is the amount of the firm's average net float?
A) $30,00
B) $50,000
C) $80,000
D) $110,000
E) $130,000
Correct Answer:
Verified
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