Hoyes Lumber generally receives three checks a month in the amounts of $1,200, $1,650, and $2,200. The $2,200 check has a two-day collection delay while the others have a one-day delay. Given this information, what is the amount of the average daily float? Assume each month has 30 days.

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Hoyes Lumber generally receives three checks a month in the amounts of $1,200, $1,650, and $2,200. The $2,200 check has a two-day collection delay while the others have a one-day delay. Given this information, what is the amount of the average daily float? Assume each month has 30 days.

Darshita Changed status to publish August 13, 2020
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Answer:

the amount of the average daily float= $241.67
Explanation

the amount of the average daily float

1(1200)/30= 40
1(1650)/30= 55
2(2200)/30= 146.67

No40+55+146.67=241.67

the amount of the average daily float=241.67

 

Darshita Changed status to publish August 13, 2020
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