On accepting the position of chief executive officer and chairman of Reeves Machinery, Frank Cheney changed the
Question:
On accepting the position of chief executive officer and chairman of Reeves Machinery, Frank Cheney changed the firm’s weekly payday from Monday afternoon to the following Friday afternoon. The firm’s weekly payroll was $10 million, and the cost of short-term funds was 13%. If the effect of this change was to delay check clearing by 1 week, what annual savings, if any, were realized?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 30% (13 reviews)
Annual ...View the full answer
Answered By
Kainat Shabbir
i am an experienced qualified expert with a long record of success helping clients overcome specific difficulties in information technology, business and arts greatly increasing their confidence in these topics. i am providing professional services in following concerns research papers, term papers, dissertation writing, book reports, biography writing, proofreading, editing, article critique, book review, coursework, c++, java, bootstarp, database.
5.00+
184+ Reviews
255+ Question Solved
Related Book For
Principles Of Managerial Finance
ISBN: 978-0136119463
13th Edition
Authors: Lawrence J. Gitman, Chad J. Zutter
Question Posted:
Students also viewed these Finance questions
-
Marcel is the former chief executive officer and chairman of the board of Donovan Technology. He is a member of the board of directors and has the title of chairman emeritus. Marcel and his wife...
-
During 2016, John was the chief executive officer and a shareholder of Maze, Inc. He owned 60% of the outstanding stock of Maze. In 2013, John and Maze, as co-borrowers, obtained a $100,000 loan from...
-
During 2014, John was the chief executive officer and a shareholder of Maze, Inc. He owned 60% of the outstanding stock of Maze. In 2011, John and Maze, as co-borrowers, obtained a $100,000 loan from...
-
You are given the following information: The current gold price is $1,650, the net convenience yield for gold is 1.7% per year, the risk-free rate is 5% per year, the volatility is 30% per year, the...
-
The intangible assets and goodwill reported by Ghani Corporation at December 31, 2014, follow: Copyrights....................................... $36,000 Less: Accumulated amortization..................
-
Suppose you sell (write) a European put option on XYZ with strike $50 and expiration T . Draw the payoff of your position as a function of ST, the price of XYZ, in a payoff diagram. In the same...
-
In the case of diesel engine, the fuel and air are mixed in (a) injector (b) inlet manifold (c) carburettor (d) engine cylinder
-
1. Describe the previous software development process at Babycenter.com. 2. Describe the new software development process at Babycenter.com. How has the software development process changed? 3. What...
-
A 3-phase, 220 kV, 50 Hz transmission line consists of 15 cm radius conductor spaced 2 meters apart in equilateral triangular formation. If the temperature is 40C and atmospheric pressure is 76 cm,...
-
Joyce and Marvin run a day care for preschoolers. They are trying to decide what to feed the children for lunches. They would like to keep their costs down, but also need to meet the nutritional...
-
Prairie Manufacturing has four possible suppliers, all of which offer different credit terms. Except for the differences in credit terms, their products and services are virtually identical. The...
-
When Tallman Haberdashery, Inc., merged with Meyers Mens Suits, Inc., Tallmans employees were switched from a weekly to a biweekly pay period. Tallmans weekly payroll amounted to $750,000. The cost...
-
A steam turbine, operating reversibly and adiabatically, takes in superheated steam at 2.000 kPa and discharges at 50 kPa. (a) What is the minimum superheat required so that the exhaust contains no...
-
An Ontario employer pays 5 0 % of their employees' monthly group term life insurance premium. Coverage is $ 0 . 9 0 per $ 1 , 0 0 0 . 0 0 based on two ( 2 ) times annual salary of $ 3 4 , 0 0 0 . 0 0...
-
Corporate Accounting Practices and Financial Reporting Introduction: Corporate accounting plays a pivotal role in capturing, analyzing, and communicating a company's financial information to its...
-
Some time ago you borrowed $1000 at an EAR of 8%. It is now time to pay back the loan with interest. The total payment amounts to $2500. How long ago did you make the original loan?
-
Fixed costs that make periodic "jumps" with incremental changes in volume are known as >>>> O Step Costs Committed Costs UnCommitted Costs Period Costs
-
2. True or False: Services are like products in that they have a cost and provide value. True False
-
Suppose a five-year, $1000 bond with annual coupons has a price of $990 and a yield to maturity of 6%. What is the bonds coupon rate?
-
What mass of H2 will be produced when 122 g of Zn are reacted? Zn(s) + 2HCl(aq) ( ZnCl2(aq) + H2(g)
-
Which of the following industries would be considered the most defensive? a. Consumer discretionary b. Industrials c. Technology d. Consumer staples.
-
What is the implied price of a warrant? How is it estimated? To be effective, how should it be related to the estimated market value of a warrant?
-
What is the general relationship between the theoretical and market values of a warrant? In what circumstances are these values quite close? What is a warrant premium?
-
What is the general relationship between the theoretical and market values of a warrant? In what circumstances are these values quite close? What is a warrant premium?
-
What measures can organizations implement to promote transparency and accountability in the budgeting process, thereby fostering trust and buy-in among stakeholders and facilitating...
-
Based on the following cost expenditures for the construction of an office / warehouse development ( to include direct and indirect charges ) , calculate the peak financial requirement: Month Monthly...
-
Carlos has worked very hard through his career as a teacher and is contemplating an early retirement. He already has a pension in place commencing at retirement age but wants to cut back on his...
Study smarter with the SolutionInn App