National Co.’s average daily payment is P10,000 meanwhile daily collection average P5,000.How much is the average daily disbursement float?How much is the average daily collection float?How much is the net float? The following data pertains to National Co.'s:National Co.'s payment to suppliers(in number of days)Mail TimeProcessing TimeClearing Time533National Co.'s collection from customers(in number of days)Mail Time7Processing TimeClearing Time23

Float is the actual the time which are taken by the payment or the receipt of the money to be…

Answered: How much is the average daily…

How much is the average daily disbursement float? How much is the average daily collection float? How much is the net float?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

National Co.’s average daily payment is P10,000 meanwhile daily collection average P5,000.

How much is the average daily disbursement float?

How much is the average daily collection float?

How much is the net float?

The following data pertains to National Co.'s:
National Co.'s payment to suppliers
(in number of days)
Mail Time
Processing Time
Clearing Time
533
National Co.'s collection from customers
(in number of days)
Mail Time
7
Processing Time
Clearing Time
23

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