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Value of the Float Assignment

Author:
February 24th, 2020

Ellcrys Corp. writes 55 checks a day for an average amount of $473 each. These checks generally clear the bank 3.25 days after they are written. In addition, the firm generally receives 52 checks with an average amount of $526 each. Deposited amounts are available after an average of 2.75 days. Is this a disbursement or collection float? What is the value of the float?

Multiple Choice

A disbursement float of $7,184

o A collection float of $11,126 o A disbursement float of $11,126

o A collection float of $9,331 o

o A disbursement float of $9,331. Get Finance homework help today

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