Why Is a Separate Payroll Account Used to Clear Payroll

question 49

Multiple Choice

Why is a separate payroll account used to clear payroll checks?

• A)For internal control purposes,to help limit any exposure to loss by the company.
• B)To make bank reconciliation easier.
• C)To separate payroll and expense checks.
• D)All of the above are correct.

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Definitions:

Security Guard

A person employed to protect property, assets, or people.

Nash Equilibrium

A concept in game theory where no participant can gain by changing strategies if the other participants remain unchanged.

John Nash

An American mathematician known for his pioneering work in game theory, and the Nobel laureate in Economic Sciences.

Nash Equilibrium

A concept in game theory where each player's strategy is optimal given the strategies of all other players, and no player has anything to gain by changing only their own strategy.