Final answer:
An overdraft limit refers to the maximum amount of money that a company or individual can withdraw from their bank account when their balance goes below zero. A scanned copy of a paper notification stating that a company's overdraft limit has been increased indicates that the company now has a higher limit for borrowing money from the bank.
Step-by-step explanation:
In the context of banking, an overdraft limit refers to the maximum amount of money that a company or individual can withdraw from their bank account when their balance goes below zero. A scanned copy of a paper notification stating that a company's overdraft limit has been increased would indicate that the company now has a higher limit for borrowing money from the bank, allowing them to make withdrawals even if their account balance is negative.
For example, if a company had an overdraft limit of $10,000 and it was increased to $20,000, the company would have the flexibility to withdraw up to $20,000 from their account, even if their actual balance is negative.