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CTP · Question #715
(Topic 8) A company's lockbox bank, which processes 24 hours per day, has a 6:00 P.M. ledger credit cutoff and grants same-day availability on checks drawn on Bank B that are received by 10:00 P.M…
The correct answer is D. Ledger credit Wednesday, collected credit Thursday. See the full explanation below for the reasoning.
Question
- (Topic 8)
A company's lockbox bank, which processes 24 hours per day, has a 6:00 P.M. ledger credit cutoff and grants same-day availability on checks drawn on Bank B that are received by 10:00 P.M. Which of the following ledger and collected credit postings would result from a Bank B check received at 11:00 P.M. on Tuesday?
Options
- ALedger credit Tuesday, collected credit Wednesday
- BLedger credit Tuesday, collected credit Thursday
- CLedger credit Wednesday, collected credit Wednesday
- DLedger credit Wednesday, collected credit Thursday
How the community answered
(40 responses)- A8% (3)
- B5% (2)
- C18% (7)
- D70% (28)
Community Discussion
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