Disbursement Float Increases as The

question 125

Multiple Choice

Disbursement float increases as the:

• A) Average amount of each cheque written decreases.
• B) Time period required for the mail to be delivered to each payee increases.
• C) Average processing time required by the payees decreases.
• D) Excess cash in the chequing account increases.
• E) Clearing process becomes more efficient.

---

Definitions:

Investors

Individuals or entities that allocate capital with the expectation of achieving a future financial return.

Securities

Assets which embody either ownership in a stock of a company available to the public, a lending relationship with a government or corporate entity through bonds, or claims to ownership via options.

Warrant Holder

An individual or entity that owns a warrant, giving them the right, but not the obligation, to buy a company's stock at a specified price before the warrant expires.

Cash Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.