Average receipt size Assignment | College Homework Help

Your firm has an average receipt size of $145. A bank has approached you concerning a lockbox service that will decrease your total collection time by one day. You typically receive 7,100 checks per day. The daily interest rate is .017 percent. The bank charges a lockbox fee of $135 per day. What is the NPV of accepting the lockbox agreement? What would the net annual savings be if the service were adopted?Get Accounting homework help today

Don't use plagiarized sources. Get Your Custom Essay on
Average receipt size Assignment | College Homework Help
Just from $13/Page
Order Essay