Assume that a firm makes payments of $400 a day, which take an average of four...

Assume that a firm makes payments of $400 a day, which take an average of four days to clear, and that it receives $750 a day in cheques, which take an average of three days to clear. Calculate the firm's net float.

A) $650

B) -$650

C) $1,600

D) $2,250

E) -$2,250

Expert Solution

Ans is B)-$650

Please upvote if the ans is helpful. In case of doubt,Do comment.Thanks.

jeff jeffy answered 1 year ago

Assume you take out a loan that you will make payments, once per year, for four...

Assume you take out a loan that you will make payments, once per year, for four years. Complete the table assuming the loan is for $10,000 and the interest rate on the loan is 4.25%. Year Beginning Balance Total Payment Interest Paid Principal Paid Ending Balance 1 2 3 4

Four people share an annuity which makes payments at the end of each year. Person A...

Four people share an annuity which makes payments at the end of each year. Person A gets the first ten payments of P. Person B gets the next 10 payments of 2P. Person C gets the next ten payments of 3P and person D gets the final ten payments of 4P. The present value of C's share is one-third the present value of A's share. a)What is the ratio of the present value of D's share to B's share? b)...

Siyi Ltd is a specialist engineering firm that makes four products, for which the following information...

Siyi Ltd is a specialist engineering firm that makes four products, for which the following information is available: A B C D Selling price per unit £100 £64 £54 £62 Variable cost per unit £50 £40 £42 £30 Weekly demand (units) 40 70 50 80 Machine hours per unit 5 2 3 4 Due to a recent market boom, demand is now outstripping the capacity of its plant, which is constrained to 500 hours machine time per week. In the...

Assume that a customer shops at a local grocery store spending an average of $400 a...

Assume that a customer shops at a local grocery store spending an average of $400 a week, resulting in a retailer profit of $40 each week from this customer. Assuming the shopper visits the store all 52 weeks of the year, calculate the customer lifetime value if this shopper remains loyal over a 10-year life span. Also assume a 3 percent annual interest rate and no initial cost to acquire the customer. The customer yields $ nothing per year in...

Which category on the statement of cash flows summarizes cash receipts and payments from the day-to-day...

Which category on the statement of cash flows summarizes cash receipts and payments from the day-to-day activities of the company? a- Cash flows from operating activities. b- Cash flows from investing activities, c *Cash flows from business activities, d- Cash flows from financing activities,

a firm is expected to make four dividend payments of 1.30. Then dividends are expected to...

a firm is expected to make four dividend payments of 1.30. Then dividends are expected to stop for 2 periods. at that point the stock has a forecasted EPS of $24.40 and PE ratio of 11.2. if the required return of the stock is 15%, what is its intrinsic value? Answer is 106.52. Show step by step work please

Assume the following daily closings for the Dow Jones Industrial Average: Day DJIA Day DJIA 1...

Assume the following daily closings for the Dow Jones Industrial Average: Day DJIA Day DJIA 1 13,050 7 13,160 2 13,130 8 13,110 3 13,195 9 13,240 4 13,120 10 13,325 5 13,110 11 13,220 6 13,120 12 13,280 Calculate a four-day moving average for Days 4 through 12. Round your answers to two decimal places. Day Moving average 4 5 6 7 8 9 10 11 12 Assume that the...

On average, a firm collects checks totaling $250,000 per day. It takes the firm approximately 4...

On average, a firm collects checks totaling $250,000 per day. It takes the firm approximately 4 days from the day the checks were mailed until they result in usable cash for the firm. Assume that (1) a lockbox system could be employed which would reduce the cash conversion procedure to 2 1/2 days and (2) the firm could invest any additional cash generated at 6% after taxes. The lockbox system would be a good buy if it costs $25,000 annually....

Write an essay (400-700 words) about the article "The US hit a record 7-day average of...

Write an essay (400-700 words) about the article "The US hit a record 7-day average of new Covid-19 cases as hospitals are further strained" By Dakin Andone and Christina Maxouris, CNN

Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check.

Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check. Ryan's June bank statement shows $29,861 on deposit in the bank. Ryan's comparison of the bank statement to its cash account revealed the following: Deposit in transit 3,750 Outstanding checks 1,458 Additionally, a $56 check correctly written and recorded by the company was recorded by the bank as a $65 deduction. The adjusted cash balance per the bank records should be:...

Question