On Average,your Firm Receives 65 Checks a Day from Customers

question 68

Multiple Choice

On average,your firm receives 65 checks a day from customers.These checks,on average,are worth $39.90 each and clear the bank in 1.5 days.In addition,your firm disburses 38 checks a day with an average amount of $89.50.These checks clear your bank in 2 days.What is the average amount of the collection float?

• A)$2,473.80
• B)$3,401.00
• C)$3,890.25
• D)$5,101.50
• E)$6,802.00

---

Definitions:

Import

The act of bringing goods or services into one country from another country for sale or use.

Export

Products or services traded or sold from one nation to another.

Consumer Surplus

The gap between the price consumers are prepared to pay for a product or service and the amount they end up spending.

Autarky

A situation where a country is self-sufficient and does not engage in international trade.