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Business, 06.03.2020 23:24 jemseidle8889

Your firm has an average receipt size of $145. A bank has approached you concerning a lockbox service that will decrease your total collection time by one day. You typically receive 6,100 checks per day. The daily interest rate is .017 percent. The bank charges a lockbox fee of $115 per day. What is the NPV of accepting the lockbox agreement? (Do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.) NPV $ What would the net annual savings be if the service were adopted? (Use 365 days a year. Do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.)Net annual savings___ $

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