On an Average Day,a Company Writes Checks Totaling $1,500

question 38

Multiple Choice

On an average day,a company writes checks totaling $1,500. These checks take 7 days to clear. The company receives checks totaling $1,800. These checks take 4 days to clear. The cost of debt is 9%. What is the firm's net float?

• A) $-3,300
• B) $-300
• C) $300
• D) $3,300
• E) None of these.