Financial Management - Chapter 19

Managing Cash Inflow • Reducing Float can speed up cash receipts. • Mail Float: length of time from the moment a customer mails a check until the firm begins to process it. • Processing Float: the time required by a firm to process a check before it can be deposited in a bank. Managing Cash Inflow • Reducing Float can speed up cash receipts. • Mail Float: length of time from the moment a customer mails a check until the firm begins to process it. • Processing Float: the time required by a firm to process a check before it can be deposited in a bank.