Question
Suppose that you are thinking of opening a lock box. Given that: Average number of daily payments to lockbox 200 Average size of payment $1,500
Suppose that you are thinking of opening a lock box. Given that:
Average number of daily payments to lockbox 200
Average size of payment $1,500
Rate of interest per day 0.025 percent
Saving in mailing time 2 days
Saving in processing time 1.5 days
Bank charge per check $0.25
What is your gain/loss from such a lock-box system?
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk
11th Edition
0324422865, 978-0324422863
