1.You have $139,000 on deposit with no outstanding checks or uncleared deposits. One day you write check for $45,000.

a.Does this create disbursement float or a collection float?

b.What is your available balance?(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

c.What is your book balance?(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

2.Each business day, on average, a company writes checks totaling $33,500 to pay its suppliers. The usual clearing time for the checks is six days. Meanwhile, the company is receiving payments from its customers each day, in the form of checks, totaling $44,500. The cash from the payments is available to the firm after four days.

a.Calculate the company's disbursement float, collection float, and net float.(A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.

b.Calculate the company's disbursement float,collection float, and net float, if the collected funds were available in two days instead of four.(A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)

3.Miyagi Data, Inc., sells earnings forecasts for Japanese securities. Its credit terms are 1/10, net 50. Based on experience, 75 percent of all customers will take the discount.

a.What is the average collection period?(Do not round intermediate calculations and round your answer to 2 decimal places, 32.16.)

b.If the company sells 1,380 forecasts every month at a price of $2,480 each, what is its average daily balance sheet amount in accounts receivable?(Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

4.A firm offers terms of 2/20, net 45.

a.What effective annual interest rate does the firm earn when a customer does not take the discount?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

b.What effective annual interest rate does the firm earn if the discount is changed to 3 percent?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

c.What effective annual interest rate does the firm earn if the credit period is increased to 65 days?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

d.What effective annual interest rate does the firm earn if the discount period is increased to 25 days?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

5.Clap Off Manufacturing uses 2,300 switch assemblies per week and then reorders another 2,300. Assume the relevant carrying cost per switch assembly is $6.00 and the fixed order cost is $570.

a.Calculate the carrying costs.(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

b.Calculate the restocking costs.(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

c.Calculate the economic order quantity.(Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

d.Calculate the EOQ number of orders per year.(Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)