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The current cash management system of Low Ash Cat Foods requires five days to collect its daily receipts of $225,000. Now Bank offers to reduce

The current cash management system of Low Ash Cat Foods requires five days to collect its daily receipts of $225,000. Now Bank offers to reduce the collection time by four days for an annual fee of $49,000. If the opportunity cost of funds is 6 percent, should Low Ash accept the bank's offer?

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