When Chris balanced her business checkbook, she had an adjusted bank balance of $11,418

48.

When Chris balanced her business checkbook, she had an adjusted bank balance of $11,418. She had 2 outstanding deposits worth $879 each and 11 checks outstanding with a total value of $3,648. What is the amount of the collection float on this account?    A.  -$1,890 B.  $1,758 C.  $3,648 D.  $5,406 E.  $6,012 Collection float = $879 × 2 = $1,758

49.

Your company has an available balance of $7,911. A deposit of $2,480 that was made this morning is not yet included in the bank's balance. There are also 4 checks outstanding with a value of $360 each. What is the net float?    A.  net collection float of $1,040 B.  net collection float of $2,480 C.  net float of $6,731 D.  net disbursement float of $1,300 E.  net disbursement float of $2,480 Net collection float = $2,480 - (4 × $360) = $1,040

50.

A firm has $16,718 in outstanding checks that have not cleared the bank. The firm also has $13,450 in deposits that have been recorded by the firm but not by the bank. The current available balance is $11,407. What is the status of the net float?    A.  net collection float of $8,138 B.  net collection float of $2,043 C.  net collection float of $13,450 D.  net disbursement float of $3,268 E.  net disbursement float of $5,311 Net disbursement float = $16,718 - $13,450 = $3,268

51.

Your firm generally receives 4 checks a month. The check amounts and the collection delay for each check is shown below. Given this information what is the amount of the average daily float? Assume a 30 day month.        A.  $1,120 B.  $2,333 C.  $2,640 D.  $2,900 E.  $3,416 Average daily float = [($1,500 × 2) + ($3,900 × 1) + ($6,100 × 3) + ($4,200 × 2)]/30 = $1,120