Collection Float is the time spent to collect receivables. Collection float is the sum total of time taken by Invoice Float; Mail Float; Processing Float and Availability Float. Explore more!
Collection Float is the time spent to collect receivables.
Collection float is the sum total of time taken by Invoice Float; Mail Float; Processing Float and Availability Float
1. Invoicing float is the time period between the delivery of goods or services to the customer and the customer's receipt of the bill, generally by mail. It is the time it takes a company to record its delivery of service or
goods and then to produce and mail a bill.
2. Mail float is the time taken by Postal or Courier Service to deliver the customer's payment.
3. Processing float is the period between the receipt of the payment and its deposit into the company's bank account and includes the time it takes to record the payment in the accounting system.
4. Availability float is the time it takes the deposited check to clear the customer's account and for good funds to be available to the company for disbursement.
Introduction to Bank Reconciliation Process
These set of articles provide a brief introduction to Bank Reconciliation Process. This topic not only discusses the meaning of bank reconciliation process but also discusses how this process in handled in new age ERPs and Automated Reconciliation Systems.
Bank Reconciliation is a PROCESS to Validate the bank balance in the general ledger With Bank Statement. Learn the bank recon process.
Collection Float is the time spent to collect receivables. Collection float is the sum total of time taken by Invoice Float; Mail Float; Processing Float and Availability Float. Explore more!
Why enterprises need cash management. What is the purpose of having a well defined cash management process?
The Cash Clearing process enables you to track amounts that have actually cleared your bank. Till reconciliation happens the amounts are parked in 'Cash Clearing Account'.
Treasury Management - Functions
Treasury management has become an specialized function. Treasury function helps in managing the Risk-return profile as well as the tax-efficiency of investment instruments. In larger firms, it may also include trading in bonds, currencies and financial derivatives. Learn about the various tasks, activities and imperatives, undertaken by treasuries in in today's context.
In automated clearing, Bank statement details are automatically matched and reconciled with system transactions. Learn how this process works and what are the perquisites to enable the same.
Account Reconciliation – How? Learn the three key attributes to perfom account reconciliation.
Complete Bank Reconciliation Process
Bank Reconciliation Process is a eight step process starting from uploading the Bank Statement to finally posting the entries in General Ledger. Learn the Eight Steps in Detail!
Technology has enabled the treasury function by providing various solutions to manage it's complicated tasks. This article explains various types of treasury management systems available in the market.
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