Concentration Banking is a method of:

The correct answer is: B. Centralised collection

Concentration banking is a method of centralised cash management in which a company collects its cash from multiple locations and deposits it into a single account at a central bank. This can help to improve efficiency and reduce costs, as well as provide greater control over cash flow.

A. Decentralised collection is a method of cash management in which a company collects its cash from multiple locations and deposits it into multiple accounts at different banks. This can be useful for companies that have operations in multiple countries or regions, as it can help to reduce the risk of currency fluctuations and bank failures.

C. Direct collection is a method of cash management in which a company’s customers pay directly into the company’s bank account. This can be useful for companies that have a large number of customers, as it