Which of the Following Best Describes the Collection Float

question 40

Multiple Choice

Which of the following best describes the collection float?

• A) how long it takes the firm to receive the check after the customer has mailed it
• B) how long it takes the firm to process the check and deposit it in the bank
• C) how long it takes before the bank gives the firm credit for the funds
• D) how long it takes for a firm to be able to use funds after a customer has paid for its goods

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Definitions:

Implicit Motives

These are unconscious desires and needs that influence behavior and decision-making, often differing from explicit motives that are consciously recognized.

Rational Method

The Rational Method is a systematic approach to solving problems based on logical reasoning and empirical evidence.

Empirical Method

A way of gaining knowledge by means of direct, structured observation or experiment, grounded in real-world data.

Empirically Derived

Developed or derived from practical experience and experimentation, rather than theories or pure logic.