QUESTION 18 A firm has annual operating outlays of R XXXXXXXXXXand a cash conversion cycle of 60 days. If the firm currently pays 12% for negotiated financing and reduces its cash conversion cycle to...

QUESTION 18

A firm has annual operating outlays of R3 200 000 and a cash conversion cycle of 60 days. If the firm currently pays 12% for negotiated financing and reduces its cash conversion cycle to 45 days, the annual savings is ... (assume a 365-day year).

1. 
   

   R 8767.

   
   


2. 
   

   R 15 781.

   
   


3. 
   

   R131 505.

   
   


4. 
   

   R216 000.