When does ARC draft an agency's bank account for net remittance?

When does ARC draft an agency's bank account for net remittance?

• A. Five days after the PED
• B. Two days after the PED
• C. On PED
• D. Seven days after the PED

Answer: (A)

ARC drafts the agency’s bank account for net remittance five days after the PED. The PED marks the end of the posting cycle for that period, and the five-day window allows time to finalize postings, handle any adjustments, and ensure the bank has the correct, settled amount before the withdrawal. This timing is the established remittance cycle, so drafting on PED itself, or earlier, would not align with the process, while drafting seven days after would delay the funds beyond ARC’s standard timetable.

ARC drafts the agency’s bank account for net remittance five days after the PED. The PED marks the end of the posting cycle for that period, and the five-day window allows time to finalize postings, handle any adjustments, and ensure the bank has the correct, settled amount before the withdrawal. This timing is the established remittance cycle, so drafting on PED itself, or earlier, would not align with the process, while drafting seven days after would delay the funds beyond ARC’s standard timetable.