AFP
CTP · Question #306
(Topic 4) A North American service company has autonomous offices in different geographic regions each handling their own sales and accounts receivables deposits to local banks which primarily…
The correct answer is B. Cost efficiency. See the full explanation below for the reasoning.
Question
- (Topic 4)
A North American service company has autonomous offices in different geographic regions each handling their own sales and accounts receivables deposits to local banks which primarily consist of checks. By implementing a lockbox collection system, what objective in its collection policy would it have met?
Options
- APayment float
- BCost efficiency
- CSegregation of duties
- DCustomer satisfaction
How the community answered
(57 responses)- A4% (2)
- B77% (44)
- C7% (4)
- D12% (7)
Community Discussion
No community discussion yet for this question.