Question: Industrial Picture Processing ( IPP ) is planning to change its terms of sales to electronic bill payment, thereby reducing its collection float by 1

Industrial Picture Processing (IPP) is planning to change its terms of sales to electronic bill payment, thereby reducing its collection float by 15 days. Average daily collections are $6,000. IPP can invest funds at a monthly rate of 1%.
What is the most that IPP should be willing to pay to its bank every month for electronic bill payment?

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