A manager estimates that her firm benefits from an average float time of 6 days.Which of the following is true if the firm averages $15,000 per day in payments?
A) The firm is losing interest on $90,000 per year.
B) The firm's ledger balance averages $90,000 more than the bank's ledger balance.
C) The firm has $45,000 in net float.
D) The available balance at the bank is $90,000 greater than shown on the firm's books.
Correct Answer:
Verified
Q74: The five Cs of credit refer to
Q74: What is the effective annual rate of
Q76: Which of the following statements is correct
Q77: You are buying goods worth $75,000 from
Q78: A firm issued three checks for $25,000,$15,000,and
Q80: Assuming that a credit decision has been
Q81: If the marginal reduction in order costs
Q83: Your firm's ledger shows a balance of
Q84: A system by which firms assign their
Q99: How much value would be added to
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents