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American_Bankers_Association

CTFA · Question #401

Collection float is the __________.

The correct answer is A. Total time between the mailing of the check by the customer and the availability of cash to the. See the full explanation below for the reasoning.

Investment Management

Question

Collection float is the __________.

Options

  • ATotal time between the mailing of the check by the customer and the availability of cash to the
  • BTime consumed in clearing the check through the banking system
  • CTime the check is in the mail
  • DTime during which the check received by the firm remains uncollected

How the community answered

(60 responses)
  • A
    83% (50)
  • B
    3% (2)
  • C
    8% (5)
  • D
    5% (3)

Topics

#collection float#float types#cash availability#payment clearing

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