The Saban Corporation is trying to decide whether to switch to a bank that will accommodate electronic funds transfers from Saban's customers. Saban's financial manager believes the new system would decrease its collection float by as much as 5 days. The new bank would require a compensating balance of $30,000, whereas its present bank has no compensating balance requirement. Saban's average daily collections are $10,000, and it can earn 8% on its short-term investments. Should Saban make the switch? (Assume the compensating balance at the new bank will be deposited in a non-interest-earning account.) Answer: As a result of using the electronic funds transfer system, the amount of collection float freed up by the loan is $ (Round to the nearest dollar.) The amount that becomes available to Saban Corporation after setting aside the compensating balance is $ . (Round to the nearest dollar.) Saban (answer either "should" or "should not") switch banks