Anne Teak, the financial manager of a furniture manufacturer, is

Home / Questions / Anne Teak, the financial manager of a furniture manufacturer, is considering operating a l

Anne Teak, the financial manager of a furniture manufacturer, is considering operating a l

Anne Teak, the financial manager of a furniture manufacturer, is considering operating a lock-box system. She forecasts that 700 payments a day will be made to lock boxes with an average payment size of $2,500. The bankAc€?cs charge for operating the lock boxes is $.40 a check. The interest rate is .013% per day.

a-1.

If the lock box makes the cash available 2 days earlier, calculate the net daily advantage of the system. (Do not round intermediate calculations.)

Daily interest saved

a-2.

Is it worthwhile to adopt the system?

	Yes
	No

b.	What minimum reduction in the time to collect and process each check is needed to justify use of the lock-box system? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Minimum reduction in time

days

Abhinav 02-Dec-2019

Answer (UnSolved)

question Get solution

Each flight maintains an inventory table for consumable products Each flight maintains an inventory table for consumable products. The inventory will be refilled at end of each trip. The management wants to analyze the high costs of pr...
Qantas Airways is the flag carrier airline of Australia Qantas Airways is the flag carrier airline of Australia. Qantas' headquarter is located at the Qantas Centre in the Mascot suburb of Sydney, New South Wales. The Qantas G...
Qantas management is to ensure the successful completion Qantas management is to ensure the successful completion of around 300,000 flights every year to 57 airports around Australia and to 86 destinations in 36 countries that ...
Customers can pay their purchased tickets by cash Customers can pay their purchased tickets by cash, cheque, bank card, visa card, master cards and frequent flyer point. The payment by American express card will be charg...
All Qantas Line Maintenance Stations can communicate with inbound aircraft provides All Qantas Line Maintenance Stations can communicate with inbound aircraft provides 24 hours per day for advice on incoming defects, facilitating the preparation of appro...
In the initial lectures on the economic way of thinking In the initial lectures on the economic way of thinking we considered the description of cost-benefit analysis in macroeconomics offered by Henry Hazlitt. Some years bac...
The class of Qantas frequent flyer membership The class of Qantas frequent flyer membership is based on flying more for higher-level class. The types of memberships are based on distance flown, with bonuses that vary...
Students will select and critique a media article Students will select and critique a media article on a crime topic using the Toulmin framework. See the “Assessment 4 Article Options” document for the articles that you...
Each service and the in charge engineer Each service and the in charge engineer, the parts used, the problem fixed and service log for an aircraft will be recorded in the database. The management must make sure...
To promote the better services to VIP members and award customers To promote the better services to VIP members and award customers’ loyalty, Qantas provide the airline lounge with airport locations around Australia and the world. Those...

Service

Anne Teak, the financial manager of a furniture manufacturer, is considering operating a l

Anne Teak, the financial manager of a furniture manufacturer, is considering operating a l

Answer (UnSolved)

Ask Homework Question

Writing Help

Have a language expert improve your writing

Instant response from experts on your writing help queries

Find your question's answer instantly in our Q&A bank