1) Calculate the cost of float for a firm using the Dollar-Day method. Use the following information and assume a 30-day month and a 12% opportunity cost (1). Explain the result. Monthly Remittances X Collection Float Dollar-Day Float $1,000,000 X 2 $4,000,000 X 3 3 $2,750,000 5 $125,000 x 8 $7,875,000 Average Dollar-Day Float - Dollar-Day Float + # Days in Month I Average Collection Float - Dollar-Day Float - Remittances Annual Cost of Float - Average Dollar-Day Float x Rate