Your Company Has an Available Balance of $7,911

question 85

Multiple Choice

Your company has an available balance of $7,911.A deposit of $2,480 that was made this morning is not yet included in the bank's balance.There are also 4 checks outstanding with a value of $360 each.What is the net float?

• A)net collection float of $1,040
• B)net collection float of $2,480
• C)net float of $6,731
• D)net disbursement float of $1,300
• E)net disbursement float of $2,480

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Definitions:

Inventory

A company's merchandise, raw materials, and finished and unfinished products which have not yet been sold.

Perpetual Inventory Method

An inventory management system where updates are made continuously to record sales and purchases instantly, maintaining constant and accurate inventory records.

Consolidation Worksheet

A tool used in accounting to combine the financial statements of parent and subsidiary companies into a single document for analysis.

Inventory Transfer

The movement of goods from one location to another, typically between departments or segments within a company.