Ally Treehouses, Inc., a New Jersey based company, has determined that a majority of its customers are

located in the Alabama area. Their controller, Matthew is considering using a lockbox system offered by

a bank located in Tuscaloosa, AI$.$ The bank has estimated that use of the system will reduce collection

time by $1\mathrm{.}5$ days. Based on the following information, should the lockbox system be adopted?

How would your answer change if there were a fixed charge of $$5,000$ per year in addition to the

variable charge? Assume a $365$ day year.