If a Company Can Implement Cash Management Systems and Save

question 17

Multiple Choice

If a company can implement cash management systems and save three days by reducing remittance time and one day by increasing disbursement time based on $2,000,000 in average daily remittances and $2,500,000 in average daily disbursements and its return on freed-up funds is 10%, what is the maximum that it should spend on the system?

• A) $2,000,000
• B) $650,000
• C) $850,000
• D) $1,000,000

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Definitions:

Neglect

Failing to care for something or someone properly, often leading to harm or a lack of attention that is necessary for well-being.

Growth Chart

Used to record infant and child growth and development up to 20 years of age.

Percentile

Any value in a series dividing the distribution of its members into 100 groups of equal frequency.

Pediatrics

The branch of medicine that involves the medical care of infants, children, and adolescents.