A method of reducing the collection ﬂoat which utilizes the facilities of Canada Post is referred to as a _____ system.

Question

Quizplus · Accepted Answer

The term "lockbox" refers to a system where customer payments are directed to a special post office box or account managed by a third-party bank, which opens and processes the payments on behalf of the receiving company. This system can help to reduce collection float, as payments are processed quickly and efficiently. While Canada Post may be involved in delivering the payments to the lockbox, the system itself is not referred to as a "Canada Post system."

A Method of Reducing the Collection ﬂOat Which Utilizes the Facilities