The Williams Company Can Convert to ACH Disbursing for $20,000

question 5

Multiple Choice

The Williams Company can convert to ACH disbursing for $20,000.Williams averages a perpetual 500 checks per month and has an annual cost of capital of 10%.If ACH disbursing will save Williams 20 cents per payment,what is the NPV of the decision to convert to ACH?

• A)-$10,000
• B)-$8,000
• C)-$3,000
• D)$2,000
• E)$4,000

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Definitions:

Race To The Bottom

A socio-economic phenomenon where countries or companies compete by undercutting each other in standards, such as labor rights and environmental regulations, to attract business.

Sweatshop

A pejorative term for a workplace that has very poor, socially unacceptable working conditions, often where workers are exploited.

Contingent Work

Employment that is uncertain, unpredictable, or not guaranteed, often with irregular hours and lack of job security.

Weaken Unions

The process or efforts aimed at reducing the power, influence, or effectiveness of labor unions.