All of the Following Are Different Techniques That Can Be

question 117

Multiple Choice

All of the following are different techniques that can be used to help firms reduce collection float EXCEPT

• A) using drafts.
• B) using wire transfers.
• C) using concentration banking.
• D) using a lockbox system.

---

Definitions:

Inelastic Demand

A situation where the demand for a product does not change significantly with a change in its price.

Price-Discriminating

A pricing strategy where a company charges different prices for the same product or service to different market segments based on willingness to pay.

Elastic Demand

Refers to a market situation where the quantity demanded of a product is highly responsive to changes in its price.

Price Discrimination

A pricing strategy where a company charges different prices for the same product or service depending on the customer, market, or region.