Question: Charlies' writes 135 checks a day for an average amount of $480 each. These checks generally clear the bank in 3 days. In addition, the

Charlies' writes 135 checks a day for an average amount of $480 each. These checks generally clear the bank in 3 days. In addition, the firm generally receives an average of $159,000 a day in checks that are deposited immediately. Deposited funds are available in 1.5 days. What is the firm's net float?

Step by Step Solution

★★★★★

3.40 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Computation of the Firms Net Fl... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

68-B-F-I-F-M (484).docx

120 KBs Word File

Students Have Also Explored These Related Finance Questions!

NOTES PAYABLE ENTRIES Milo Radio Shop had the following notes payable transactions: Apr. Borrowed $5,000 from Builder's Bank, signing a 90-day, 8% note. 5 Gave a $2,000, 60-day, 7% note to Breaker...

The firm was initially capitalized with 500 000 as an S Corporation The firm purchased equipment for 450 000 with cash of 125 000 and a note payable of 325 000 It also acquired furniture for 120 000...

In addition to triphenylphosphine, assume that you have available as starting materials any necessary aldehydes, ketones, and organic halides. Show how you might synthesize each of the following...

Charlie writes 135 checks a day for an average amount of $480 each. These checks generally clear the bank in 3 days. In addition, the firm generally receives $159,000 a day in checks that are...

Charlies's writes 135 checks a day for an average amount of $480 each. These checks generally clear the bank in 3 days. In addition, the firm generally receives an average of $159,000 a day in checks...

All questions must be done utilizing microsoft excel and the attachment template with answers must be sent back to me. 1. QUESTION 1 Identify a use of cash from below. Choose only one. decrease in...

please help me with this questions they are for a finance class i do not understand. thanks. 1. Indicate the effect of the following on the operating cycle: Accounts payable goes up Increase No...

please I need help ASAP on these? can anyone assist Not allowed. This test can only be taken once. Force Completion This test can be saved and resumed at any point until time has expired. The timer...

QUESTION 1 Identify a use of cash from below. Choose only one. decrease in accounts payable decrease in fixed assets decrease in inventory decrease in accounts receivable increase in long-term debt...

Under what conditions is a spin-off tax free to shareholders?

How many ions are formed during the dissociation of 500 molecules of carbonic acid, if it dissociates in the first degree by 20%, and in the second degree by 1%? Explain your answer.

Which of the following currently holds the number one spot on the OWASP Top 1 0 ? Cross site forgery Sensitive Information Disclosure SQL Injection Broken Access Control

4. According to supply-side economists, what will be the long-run impact on prices of a reduction in income tax rates?

How do the purchases and consumption methods of accounting for inventory differ?

Are debt service funds used to account for debt service on all long-term obligations of a governmental unit? If not, which long-term debt obligations are excluded?

Describe a transaction that would affect the general fund and the debt service fund at the same time.

Consider a pension fund that pays $100M in 15 years. The current market interest rate is 6% at all maturities. The pension fund wants to invest in 1-year and 30-year zero-coupon bonds (assets) with...

Level of significance, null and alternate hypotheses, P-value, comparison and will you reject or fail to reject, conclusion in the context of the application Teacher ratings: Grades -Professor Stone...

What is the capacity for the container below 30cm 15cm 20 cm give answer in nearest tenth of a liter