**Business Cash Flow Calculation Exercise**Each business day, on average, a company writes checks totaling $34,500 to pay its suppliers. The usual clearing time for the checks is five days. Meanwhile, the company is receiving payments from its customers each day, in the form of checks, totaling $45,500. The cash from the payments is available to the firm after three days.**Tasks:**a. Calculate the company’s disbursement float, collection float, and net float. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)b. Calculate the company's disbursement float, collection float, and net float, if the collected funds were available in two days instead of three. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)**Tables for Calculation:**1. **Scenario A:** - Disbursement Float: [ ] - Collection Float: [ ] - Net Float: [ ]2. **Scenario B (if collected funds were available in two days):** - Disbursement Float: [ ] - Collection Float: [ ] - Net Float: [ ] These tables help organize and calculate the respective floats under different scenarios related to cash flow timings.

The net float refers to the difference of collection float and disbursement float

Each business day, on average, a company writes checks totaling $34,500 to pay its suppliers. The usual clearing time for the checks is five days. Meanwhile, the company is receiving payments from its customers each day, in the form of checks, totaling $45,500. The cash from the payments is available to the firm after three days.

Each business day, on average, a company writes checks totaling $34,500 to pay its suppliers. The usual clearing time for the checks is five days. Meanwhile, the company is receiving payments from its customers each day, in the form of checks, totaling $45,500. The cash from the payments is available to the firm after three days.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Laboratory Management deposited into its account at Pulaski Bank a check issued by Fairway Farms in the amount of $150,000. The date of deposit was February 5. Pulaski, the depositary bank, initiated the collection process immediately by forwarding the check to Worthen Bank on the sixth. Worthen sent the check on for collection to M Bank Dallas, and M Bank Dallas, still on February 6, delivered the check to M Bank Fort Worth. That same day, M Bank Fort Worth delivered the check to the Fort Worth Clearinghouse. Because TAB/West Side, the drawee/payor bank, was not a clearinghouse member, it had to rely on TAB/Fort Worth for further transmittal of the check. TASI, a processing center used by both TAB/Forth Worth and TAB/West Side, received the check on the sixth and processed it as a reject item because of insufficient funds. On the seventh, TAB/West Side determined to return the check unpaid. TASI gave M Bank Dallas telephone notice of the return on February 7 but physically misrouted…
Alexa Company had the following bank reconciliation on June 30: Balance per bank statement, June 30 - 3,000,000; Deposit in transit - 400,000; Outstanding checks - 900,000. The bank statement for the month of July showed the following: Deposits, including 200,000 note collected for Alexa - 9,000,000; Disbursements, including 140,000 NSF customer check and 10,000 service charge - 7,000,000. All reconciling items on June 30 cleared through the bank in July. The outstanding checks totaled 600,000 and the deposit in transit amounted to 1,000,000 on July 31. What is the adjusted cash in bank on July 31?
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Winnie Company showed a cash account balance of Php 5,000,000 at the month-end. The bank statement did not include a deposit of Php 300,000 made on the last day of the month. The bank statement showed a collection by the bank of Php 100,000 for the depositor and a customer check for Php 45,000 returned because it was NSF. A customer check for Php 57,000 was recorded by the depositor as Php 75,000 and a check written for Php 58,000 was recorded as Php 85,000. What amount should be reported as cash in bank?
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1. The treasurer of Yoda Inc. needs to estimate cash collections from accounts receivable for September, October, and November 2022. Forty percent of the company's customer's pay in cash the rest are credit customers. The collection pattern for the credit customers is 20% in the month of the sale and 80% in the following month. They have zero uncollectible accounts. Estimated total sales are as follows: August $70,000 September $80,000 October $85,000 November $100,000 a. What is Yoda's cash collections for September, October, and November? - September cash collections: - October cash collections: - November cash collections: b. The accounts receivable balance at the end of November will be:
25. You are doing the bank reconcilement. The company wrote 30 checks this month and all have cleared the bank except for three checks totaling $43,908. How would this be handled on the bank reconcilement?
Each business day, on average, a company writes checks totaling $37,000 to pay its suppliers. The usual clearing time for the checks is three days. Meanwhile, the company is receiving payments from its customers each day, in the form of checks, totaling $48,000. The cash from the payments is available to the firm after two days. a. Calculate the company’s disbursement float, collection float, and net float. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) b. Calculate the company's disbursement float, collection float, and net float, if the collected funds were available in one day instead of two. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)
Your neighbor goes to the post office once a month and picks up two checks, one for $13,000 and one for $3,000. The larger check takes 2 days to clear after it is deposited; the smaller one takes 4 days. Assume 30 days per month. 1. What is the total float for the month? 2. What is the average daily float? 3a. What is the average daily receipts? 3b. What is the weighted average delay?
Please answer all subparts.please make an attempt.Thanks in advance
Madison Corner writes 29 checks a day for an average amount of $493 each. These checks generally clear the bank 2.75 days after they are written. In addition, the firm generally receives 66 checks with an average amount of $556 each. Deposited amounts are available after an average of 2.25 days. What is the amount of the firm's collection float? Multiple Choice $82,566 $43,249 $39,317 $36,696 $14,297

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