Question 2

Assume your firm receive four checks every day each one of them worth 10,000 dirham. Normally it takes 5 days to clear the checks and the current interest rate is .013 percent per day. a. What is the companys float? [5 Points] b. What is the most Purple Feet should be willing to pay today to eliminate its float entirely? [5 Points] c. What is the highest daily fee the company should be willing to pay to eliminate its float entirely? [5 Points]