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CTP · Question #288

(Topic 3) A large retailer is preparing to accept credit cards and anticipates monthly credit card sales of $1,000,000. If the terms with the acquiring bank include bundled allocated fees of 6% and…

The correct answer is A. Accept gross settlement. See the full explanation below for the reasoning.

Question

  • (Topic 3)

A large retailer is preparing to accept credit cards and anticipates monthly credit card sales of $1,000,000. If the terms with the acquiring bank include bundled allocated fees of 6% and the retailer wishes to delay fee payment as long as possible, what should the retailer do?

Options

  • AAccept gross settlement.
  • BPlace a hold on consumer credit limits.
  • CReceive net settlement.
  • DDelay funds transfer to card-issuing banks.

How the community answered

(30 responses)
  • A
    83% (25)
  • B
    3% (1)
  • C
    10% (3)
  • D
    3% (1)

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