Asked by Breanna Clayton on Jun 27, 2024
Verified
Which of the following is NOT used to accelerate cash receipts?
A) Lock Box Systems
B) Wire Transfers
C) Concentration Banks
D) Remote Disbursing
Lock Box Systems
A service offered by banks to companies for the receipt of payment from customers, involving the collection of payments in regional post office boxes and processing them quickly.
Remote Disbursing
A financial process used by organizations to distribute funds or payments from a central location to beneficiaries or accounts that are geographically dispersed.
- Determine the strategies employed by companies to expedite the inflow of cash and the rationale for these approaches.
Verified Answer
CH
Carson HolmesJun 28, 2024
Final Answer :
D
Explanation :
Remote disbursing is a process of electronic payment for making payments to suppliers or vendors, so it is not used to accelerate cash receipts. On the other hand, lockbox systems, wire transfers, and concentration banks are used to accelerate cash receipts by reducing the time required to process and receive payments.
Learning Objectives
- Determine the strategies employed by companies to expedite the inflow of cash and the rationale for these approaches.