The Primary Purpose of a Lockbox Arrangement Is To

Multiple Choice

The primary purpose of a lockbox arrangement is to:

A) provide for the safe-keeping of the firm's marketable securities.
B) identify inventory safety stocks.
C) slow down (delay) cash disbursements to the firm's customers.
D) speed up a firm's collections on checks received from customers.
E) speed up a firm's disbursement of checks to its suppliers.