A System of Handling Cash Receipts by Mail Whereby Customers

question 152

Multiple Choice

A system of handling cash receipts by mail whereby customers remit payments directly to the bank, rather than through the company's mail is a(n) :

• A) imprest system.
• B) lock-box system.
• C) phishing system.
• D) online banking system.

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Definitions:

NAV (Net Asset Value)

The per-share value of a mutual fund or ETF, calculated by dividing the total value of all the securities in its portfolio, minus liabilities, by the number of shares outstanding.

Significant Premium

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SEC Regulations

Rules and guidelines established by the Securities and Exchange Commission (SEC) to protect investors, maintain fair, orderly, and efficient markets, and facilitate capital formation.

Private Investors

Individuals or entities that invest their own capital in various financial instruments or businesses, aiming for personal profit.