[Question text] Which of the following statements is CORRECT? Select one: A. Instantaneous electronic funds transfer would only eliminate all types of float if the transaction occurs during normal business hours. B. The basic cost of collection float to the firm is the opportunity cost of not being able to use the cash. C. Collection float refers to an immediate increment in a firm’s available balance when a check is received. D. Float management only involves controlling a company’s collection of cash.
[Question text] Which of the following statements is CORRECT? Select one: A. Instantaneous electronic funds transfer would only eliminate all types of float if the transaction occurs during normal business hours. B. The basic cost of collection float to the firm is the opportunity cost of not being able to use the cash. C. Collection float refers to an immediate increment in a firm’s available balance when a check is received. D. Float management only involves controlling a company’s collection of cash.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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[Question text] Which of the following statements is CORRECT?
Select one:
A. Instantaneous electronic funds transfer would only eliminate all types of float if the transaction occurs during normal business hours.
B. The basic cost of collection float to the firm is the opportunity cost of not being able to use the cash.
C. Collection float refers to an immediate increment in a firm’s available balance when a check is received.
D. Float management only involves controlling a company’s collection of cash.
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