Which statement is correct  A. Firms Cabot use lockboxes if they use cash concentration accounts.  B. Firms prefer to increase delay on disbursements. C. Firms prefer to eliminate all types of float.  D. Firms open regional offices so their employees can pick up lockbox payments throughout the day.  E. The check clearing act for the 21st century is designed to reduce total collection time to one day.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Which statement is correct 

A. Firms Cabot use lockboxes if they use cash concentration accounts. 

B. Firms prefer to increase delay on disbursements.

C. Firms prefer to eliminate all types of float. 

D. Firms open regional offices so their employees can pick up lockbox payments throughout the day. 

E. The check clearing act for the 21st century is designed to reduce total collection time to one day. 

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