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About: Cash concentration     Goto   Sponge   NotDistinct   Permalink

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Cash concentration is the transfer of funds from diverse accounts into a central account to improve the efficiency of cash management. The consolidation of cash into a single account allows a company to maintain smaller cash balances overall, and to identify excess cash available for short term investments. The cash available in different bank accounts are pooled into a master account. The advantages of cash concentration are 1. * Cash control 2. * Cash visibility * v * t * e