Which of the Following Best Describes the Availability Float

question 102

Multiple Choice

Which of the following best describes the availability float?

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

---

Definitions:

Lecompton Constitution

A proposed Kansas state constitution (1857) supporting slavery; it was ultimately rejected after much controversy.

Proslavery Constitution

A constitution or constitutional amendments that legitimize or promote the practice of slavery, often used to refer to historical documents in the United States prior to the Civil War.

Kansas

A U.S. state located in the Midwestern region, known for its contributions to agricultural outputs, such as wheat and corn.

Free Labor Ideology

The belief that labor should be free to choose where and for whom they work, contrasting with the system of slavery.