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The PRIMARY reason for replacing checks (cheques) with EFT
systems in the accounts payable area is to:
A. make the payment process more efficient.
B. comply with international EFT banking standards.
C. decrease the number of paper-based payment forms.
D. reduce the risk of unauthorized changes to payment
transactions.
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Answer: A
The payment process is more efficient because it involves
virtually no manual intervention. This reduces the chance
that transcription errors will occur as the information is
entered into the accounts payable system. International EFT
banking standards do not dictate the form that transactions
should take. The decrease in the number of paper-based
payment forms makes processing easier, but most companies
will accept payment in whichever form the customer is
willing to use. The reduction of unauthorized changes to
payment transactions is not a major reason for going to EFT.
| Is This Answer Correct ? | 2 Yes | 1 No |
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