What Is the Difference Between a Lockbox System and Concentration

question 141

Multiple Choice

What is the difference between a lockbox system and concentration banking?

• A) In concentration banking, both physical collection and processing take place close to the customer but in a lockbox system, neither the collections nor processing take place close to the customer.
• B) In a lockbox system, customers' payments are physically collected close to them and much of the processing takes place close to the bank, but in concentration banking both physical collection and processing take place close to the bank.
• C) Concentration banking involves using several banks to fund a large loan and lockbox systems deal with the ability to speed up collections.
• D) None of the options.

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Definitions:

Discrimination Learning

A process by which an organism learns to respond differently to various stimuli, distinguishing between similar but distinct cues.

Excitatory Generalization Gradient

The tendency for the conditioned response to be elicited by stimuli that are similar to the conditioned stimulus.

Conditioned Stimulus

A previously neutral stimulus that, after being repeatedly paired with an unconditioned stimulus, begins to elicit a conditioned response on its own.

Conditioned Response

The learned reaction to a previously neutral stimulus that becomes conditioned through association with an unconditioned stimulus.