Hoyes Lumber generally receives 3 checks a month. The check amounts and the collection delay for each check are shown below. Given this information, what is the amount of the average daily float? Assume each month has 30 days.

Question

Quizplus · Accepted Answer

Average daily float = [($6,100 F1F1F1S1F1F1F10 3) + ($5,500 F1F1F1S1F1F1F10 1) + ($8,900 F1F1F1S1F1F1F10 2)]/30 = $1,386.67

Hoyes Lumber Generally Receives 3 Checks a Month