The benefits of a lockbox system include all of the following except:
A) increased working cash.
B) elimination of clerical functions.
C) increase in total float.
D) early knowledge of dishonored checks.

Question

Quizplus · Accepted Answer

The other three choices are benefits of a lockbox system. However, the lockbox system does not increase total float as it reduces the time needed for checks to clear and thus decreases the total float.

The Benefits of a Lockbox System Include All of the Following