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Which Fact Is TRUE

question 13

Multiple Choice

Which fact is TRUE?

Identify the components and strategies that affect collection float.
Recognize the significance of electronic transactions and their influence on reducing collection and disbursement floats.
Comprehend the concept of net float and its importance in cash management.
Understand the role and mechanism of preauthorized payments and their impact on collection time.

Definitions:

Optimal Number

A value that represents the most efficient, effective, or functional level or amount in a given context.

Monthly Profit

The net amount of money gained or lost by a business within a month after all revenues and expenses have been accounted for.

Slack Variables

Additional variables introduced into linear programming problems to convert inequality constraints into equality constraints.

Nonnegative

A term describing numbers that are greater than or equal to zero, excluding negative numbers.

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