One method of establishing internal control over receivables is to establish a bank lock box.

Question

Quizplus · Accepted Answer

A bank lock box service allows payments from customers to be sent directly to a bank, rather than to the business's location, which helps in reducing the time for receivables to be cleared and also minimizes the risk of theft or mismanagement of funds by internal staff, thereby establishing stronger internal control over receivables.

One Method of Establishing Internal Control Over Receivables Is to Establish