Which of the Following Is a Component of Disbursement Float

question 55

Multiple Choice

Which of the following is a component of disbursement float but not a component of collection float?

• A) availability float
• B) mail float
• C) processing float
• D) check-clearing float

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Definitions:

Cash Invested

Money that is put into a business or project with the expectation of generating income or profit.

Accrued Interest

Interest that has accrued but remains unpaid.

Prepaid Insurance

Payments made for insurance services before the coverage period, recorded as an asset initially and expensed over time.

Accrued Revenues

Revenues that have been earned through goods or services delivered, though payment has not yet been received.