All of the following are the different types of float the firm may experience in its collections EXCEPT
A) mail float.
B) availability float.
C) check kiting float.
D) processing float.

Question

Quizplus · Accepted Answer

Check kiting float is not a recognized type of float in firm collections. It refers to a fraudulent practice of exploiting the time it takes for checks to clear in order to artificially inflate bank account balances. The other options (mail float, availability float, and processing float) are legitimate types of float that refer to delays in the check clearing process due to mailing time, the time it takes for deposited funds to become available, and the time needed to process checks at the bank, respectively.

All of the Following Are the Different Types of Float