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A New Government Regulation Decreases the Time That a Bank

Question 14

Multiple Choice

A new government regulation decreases the time that a bank can hold a check before clearing it. This shortens the average float by two days. Under which circumstance will this cause a loss of revenue for a healthcare business?


A) When it writes checks from an account that pays interest
B) When it deposits checks from customers in an account that pays no interest
C) When it deposits checks from customers in an account that pays interest
D) When it receives as payment a high number of NSF checks

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