SteelCo Production,Inc

question 23

Multiple Choice

SteelCo Production,Inc.is considering the use of a lock-box collection system.SteelCo's average check receipt is $1,350.The company invests excess cash in money-market certificates and receives an average of 3.5% annual interest.The lock-box system will speed up SteelCo's collections by 2.5 days.What is the maximum per check processing cost that SteelCo should be willing to pay for the lock-box system?

• A) $0.1871
• B) $0.2987
• C) $0.3236
• D) $0.4519

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Definitions:

Diagnostic Proteins

Proteins used as biomarkers for identifying or monitoring the progression of diseases.

Transposable Elements

Segments of DNA that can move within the genome, playing a significant role in genetic variability and evolution.

Human Genome

The complete set of nucleic acid sequences for humans, encoded as DNA within the 23 chromosome pairs in the nucleus, and in a small DNA molecule found within individual mitochondria.

Regulator Genes

Genes that control the expression of one or more other genes, governing the amount of protein or RNA product that is made.