Question: Every two weeks, No More Pencils, Inc., disburses checks that average $107,000 and take seven days to clear. How much interest can the company earn


Every two weeks, No More Pencils, Inc., disburses checks that average $107,000 and take seven days to clear. How much interest can the company earn annually if it delays transfer of funds from an interest-bearing account that pays .009 percent per day for these seven days? Ignore the effects of compounding interest. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Cow Chips, Inc., a large fertilizer distributor based in California, is planning to use a lockbox system to speed up collections from its customers located on the East Coast. A Philadelphia-area bank will provide this service for an annual fee of $6,500 plus 10 cents per transaction. The estimated reduction in collection and processing time is one day. Treasury bills are currently yielding 4 percent per year and there are 365 days per year. If the average customer payment in this region is $2,900, how many customers each day, on average, are needed to make the system profitable for Cow Chips? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Number of customers per day
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