Which one of the following is most apt to delay the collection of cash? Having c

Question

Which one of the following is most apt to delay the collection of cash?

Having customers mail checks to a local lockbox rather than the home office

Depositing checks throughout the day

Posting payments to accounts receivable prior to making deposits

Collecting mail twice daily

Supplying customers with bar coded payment slips

Having customers mail checks to a local lockbox rather than the home office

Depositing checks throughout the day

Posting payments to accounts receivable prior to making deposits

Collecting mail twice daily

Supplying customers with bar coded payment slips

Explanation / Answer

Posting payments to accounts receivable prior to making deposits

Explanation-

Payment that you are entered does not affect balance until they are posted after the entering of the payment than posting of payment to general ledger.

Pending payment also don't affect account balance until you update them in  Accounts Receivable.

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