What factors are important in long-term relationships

Assignment Help Financial Management

Reference no: EM132033913

ASSUMPTIONS

Average Ledger Balance $250,000

Deposit Float $ 30,000

Reserve Requirement 5%

Earnings Credit Rate 1%

Service Charges for the Month $1,000

Days in Month 30

Use the data above to calculate the Average Collected Balance.

Use the data above to calculate the Earnings Credit.

Did the company keep sufficient collected balances on deposit to cover the cost of services over the period?

2. A company uses services with charges that total $10,000 per month. The earnings credit rate is 5%. The reserve requirement is 10%. Assuming a 30-day month average collected balances required to compensate the financial institution for the services. What is the collected balance required?

What impact has consolidation and specialization in the financial services industry had on the FSP selection process?

What are RFPs and who uses them?

Why is it important for an organization to monitor bank and FSP service practices and creditworthiness?

What factors are important in long-term relationships?

What is a bank credit card?

Reference no: EM132033913

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