Whitmer Inc

question 76

Multiple Choice

Whitmer Inc.sells to customers all over the U.S. ,and all receipts come in to its headquarters in New York City.The firm's average accounts receivable balance is $2.5 million,and they are financed by a bank loan at an 6.75% annual interest rate.The firm is considering setting up a regional lockbox system to speed up collections,and it believes this would reduce receivables by 20%.If the annual cost of the system is $15,000,what pre-tax net annual savings would be realized?

• A) $22,313
• B) $16,313
• C) $18,750
• D) $21,375
• E) $20,438

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Definitions:

Health Patterning Modalities

Approaches and techniques used in healthcare to promote and maintain health through the organization and modification of behaviors and lifestyle.

Therapeutic Touch

A healing technique involving the manipulation of a person’s energy field to promote health and healing without direct physical contact.

Spirituality

The aspect of human experience related to transcendence, connectedness, meaning, and existential reality, often central to patients' coping and well-being.

Causal Worldview

A perspective or belief system that interprets events and situations in terms of cause and effect relationships.