With respect to a lockbox system of cash collections, which one of the following statements is correct?
a) Mailing time is reduced while the collection time remains constant.
b) Electronic lockboxes have totally replaced traditional lockbox systems.
c) Checks can be deposited prior to the payments being applied to the customers’ accounts.
d) Mailing time is reduced but the processing delay is increased.
e) Checks are held by the bank until the payee firm approves them to start the check-clearing process.