Which of the following is the technique for reducing collection float by having funds sent to several geographically situated regional banks and then transferring to a main concentration account in another bank?
A) Lockbox system
B) Concentration banking
C) Wire transfers
D) Collection float

Question

Quizplus · Accepted Answer

Concentration banking involves funds being sent to regional banks and then transferred to a main concentration account, reducing collection float.

Which of the Following Is the Technique for Reducing Collection