Question

In: Finance

your firm receives three checks that have a two and a half-day collection delay. each check...

your firm receives three checks that have a two and a half-day collection delay. each check is worth 15809, 16121, and 14690, respectively. if there are 30 days in the month, what is the average daily float for your firm?

A) 2351 B) 3971 C) 3289 D) 1526 E) 3885

Solutions

Expert Solution

Average daily float = (Average amount of checks received per day * Average number of days delay) / Number of days in a month

Average daily float = [(15809 * 2.5) + (16121 * 2.5) + (14690 * 2.5)] / 30

Average daily float = 3885

jeff jeffy answered 2 years ago
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