Question
Your firm has an average receipt size of $135. A bank has approached you concerning a lockbox service that will decrease your total collection time
Your firm has an average receipt size of $135. A bank has approached you concerning a lockbox service that will decrease your total collection time by one day. You typically receive 7,300 checks per day. The daily interest rate is .016 percent. The bank charges a lockbox fee of $125 per day.
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