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A Cash Concentration Account

Question 38

Multiple Choice

A cash concentration account:


A) is frequently used as a source of funds for short-term investments.
B) cannot be used to cover a compensating balance requirement.
C) cannot be used to transfer funds into zero-balance accounts.
D) is generally the only bank account a firm needs to efficiently manage its cash.
E) is another name for a controlled disbursement account.

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