What type of transactions might be submitted in a batch without prior authorizations?

The correct answer refers to transactions where the authorization was unsuccessful, yet the merchant still opts to proceed with the transaction. In many cases, merchants may choose to complete a sale without obtaining prior authorization if they believe they can manage the associated risk. This scenario typically occurs in environments where the merchant has a history of low chargeback rates or where the customer is perceived as trustworthy. By submitting these transactions in a batch, the merchant can streamline their processing procedures, even though it involves risk because they lack the prior authorization to guarantee payment.

This approach, while potentially increasing the risk of chargebacks, can be necessary in situations where rapid service is imperative. It allows merchants the flexibility to cater to customer needs without being bogged down by slow authorization processes, especially in settings such as retail or hospitality, where customer experience is a priority.

Other choices, while reflecting different transaction scenarios, do not accurately describe the concept of submitting transactions without prior authorization. Successful transactions typically require some form of approval before they can be processed, cash payments do not fall under the typical electronic processing framework needing authorization, and low processing fees do not inherently influence whether prior authorization is required.