A customer sends payment to a post office box which is emptied by the firm's bank daily. The bank then processes the payments and notifies the firm of the day's collections. This collection technique is known as
A) the lockbox system.
B) concentration banking.
C) controlled disbursing.
D) a direct send.

Question

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This collection technique is known as the lockbox system, where the customer sends payment to a post office box which is emptied by the firm's bank daily. The bank then processes the payments and notifies the firm of the day's collections.

A Customer Sends Payment to a Post Office Box Which