A firm has the following items on its balance sheet: inventory
$\$ 3,000,000$
accounts receivable $2,300,000$
The inventory tumover for the industry is 4x and the average collection period is 33 days. If this firm's sales are $9,000,000 and the interest rate is 10 percent, how much could it save in carrying costs if its inventory tumover and average collection period were comparable to the industry average? (To answer, assume that last year's inventory equaled this year's inventory.)

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The Answer of A firm has the following items on its balance sheet: inventory
$\$ 3,000,000$
accounts receivable $2,300,000$
The inventory tumover for the industry is 4x and the average collection period is 33 days. If this firm's sales are $9,000,000 and the interest rate is 10 percent, how much could it save in carrying costs if its inventory tumover and average collection period were comparable to the industry average? (To answer, assume that last year's inventory equaled this year's inventory.)

A Firm Has the Following Items on Its Balance Sheet $3,000,000\$ 3,000,000$3,000,000

A Firm Has the Following Items on Its Balance Sheet $\$ 3,000,000$