The Harrington Corporation is considering a change in its cash-only policy. The new terms would be net one period. The required return is 2.5 percent per period.

	Current Policy			New Policy
Price per unit	$	104		$	108
Cost per unit	$	47		$	47
Unit sales per month		3,240			3,295

Calculate the NPV of the decision to change credit policies. (Do not round intermediate calculations.)

Problem 27-4 Float and Weighted Average Delay

Your neighbor goes to the post office once a month and picks up two checks, one for $11,000 and one for $3,400. The larger check takes four days to clear after it is deposited; the smaller one takes five days. Assume 30 days in a month.

a.	What is the total float for the month? (Do not round intermediate calculations.)

Total float

$

b.	What is the average daily float? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Average daily float

$

c-1.	What are the average daily receipts? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Average daily receipts

$

c-2.	What is the weighted average delay? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Weighted average delay