Methods Used to Speed Up Collections Include All of the Following

question 84

Multiple Choice

Methods used to speed up collections include all of the following except:

• A) a lockbox system
• B) remote disbursement locations
• C) pre-authorized checks
• D) inventory flooring arrangements

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Definitions:

Company Check

A check written from a company's account, representing an official payment by the company to another party.

Deposits in Transit

Funds that have been deposited by a company but have not yet been recorded by the bank.

Recorded

The process of documenting financial transactions in the accounting records of an organization.

Bank

A financial institution licensed to receive deposits, offer loans, and provide various other financial services, such as currency exchange and wealth management.