Depository bank accounts are an efficient way to manage cash since:
A) the treasurer is the only person authorized to perform the bank reconciliation on this type of account.
B) dual signatures are needed for all withdrawals.
C) corporate headquarters can quickly transfer the money to the company's centralized account.
D) the account earns a high rate of interest.

Question

Quizplus · Accepted Answer

Depository bank accounts allow for easy and quick transfer of funds to a centralized account, which can improve cash management efficiency. The other options (A, B, and D) do not necessarily apply to all depository bank accounts and may not contribute to their efficiency in managing cash.

Depository Bank Accounts Are an Efficient Way to Manage Cash