Which of the Following Is TRUE of Collection Float

question 196

Multiple Choice

Which of the following is TRUE of collection float?

• A)It represents the time delay between when payment is placed in the mail and when it is received.
• B)It represents the time between receipt of a payment and its deposit into a firm's account.
• C)It results from the lapse between the time when a firm deducts a payment from its checking account ledger and the time when funds are actually withdrawn from its account.
• D)It results from the delay between the time when a customer deducts a payment from the checking account ledger and the time when the vendor actually receives the funds in a spendable form.

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Definitions:

Volley Principle

A theory in neuroscience that suggests multiple neurons can collectively transmit a higher frequency of signals by firing in synchronization, especially relevant in the context of auditory processing.

Frequency Theory

A theory regarding how sounds are converted into electrical signals in the brain to interpret pitch by the rate of hair cell vibrations.

Place Theory

A theory in hearing that suggests different areas of the cochlea are activated by different frequencies of sound.

Hair Cells

Sensory cells located in the inner ear that are critical for converting sound vibrations into electrical signals that the brain can understand.