The objectives of a zero balance account system for the firm include
A)reduce disbursing float.
B)achieve better control over its cash payments.
C)increase cash balances in regional rather than national banks.
D)all of the above are correct.

Question

Quizplus · Accepted Answer

A zero balance account system is designed to help firms manage their cash more efficiently by maintaining a zero balance and transferring funds as needed, which aids in better control over cash payments.

The Objectives of a Zero Balance Account System for the Firm