Present value of the annual savings, Finance Basics

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Present value of the annual savings

Problem:

Blake Company has 3400 hourly workers. They work 40 hours a week, at the rate of $7.00 an hour and they are paid every Friday. The company has decided to pay them twice a month. The cost of printing and processing each check is $1.25. The cost of capital to the company is 14%.

Required:

Question: Find the present value of the annual savings created by this decision and the value added to the company by this procedure.

Note: Can someone please give me a step by step solution?

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Finance Basics: Present value of the annual savings

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Finance Basics: Present value of the annual savings

Reference No:- TGS0893280

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Finance Basics: Present value of the annual savings

Reference No:- TGS0893280

Recent Questions Asked Finance Basics

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