A manager estimates that her firm benefits from an average float time of six days. Which of the following is true if the firm averages $15,000 per day in payments?

A) the firm's ledger balance averages $90,000 more than the bank's ledger balance
B) the firm is losing interest on $90,000 per year
C) the available balance at the bank is $90,000 greater than shown on the firm's books
D) the firm has $45,000 in net float

Ans: C) the available balance at the bank is $90,000 greater than shown on the firm's books