How do manual payments differ from electronic payments in processing?

Manual payments primarily differ from electronic payments in that they involve the use of physical checks and accompanying documentation. This means that when an organization opts for manual payments, they typically generate a physical check that must be signed and mailed out, along with any necessary paper invoices or records. This process requires more time and resources due to the need for physical handling of documents and checks.

In contrast, electronic payments streamline the process by utilizing digital transactions, which can be executed instantaneously or within a very short time frame. Electronic payments do not necessitate any physical paper and therefore eliminate numerous steps involved in the manual process, such as printing, signing, and mailing checks.

The other options relate to the characteristics of manual payments or misconceptions about them but do not accurately reflect the essential nature of what manual payments entail. For instance, the notion that manual payments require invoices to be processed online contradicts the very nature of manual payments, which typically rely on physical documents. Saying that manual payments are quicker overlooks the inherent delays involved in processing checks, and the assertion that they do not need reconciliation is misleading, as all payment types, whether manual or electronic, ultimately require reconciliation to ensure accuracy in financial records.