Multiple Choice
You are considering implementing a lockbox system for your firm.The system is expected to reduce the average collection time by 1.3 days.On an average day,your firm receives 136 checks with an average value of $219 each.The daily interest rate on Treasury bills is 0.021 percent.The bank charge per check is $0.26.What is the anticipated daily cost of the lockbox system?
A) $3.48
B) $6.25
C) $12.60
D) $35.36
E) $36.17
Correct Answer:
Verified
Correct Answer:
Verified
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