Why Is a Separate Payroll Account Used to Clear Payroll

question 40

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) banks don't like to commingle payroll and expense checks
• D) All of the above are correct.

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Definitions:

Axon

The part of the neuron that carries information away from the cell body toward other cells.

Neuron

A distinct type of cell responsible for conveying nerve signals; commonly known as a neuron.

Cell Body

The part of the neuron that contains the nucleus, which directs the manufacture of substances that the neuron needs for growth and maintenance.

Fat Cells

Specialized cells in the body that store energy in the form of fat and play a key role in regulating metabolism.