An imprest payroll account that has a significant balance may indicate the presence of:
A)employees have not yet deposited or cashed payroll checks.
B)fraudulent transfer of funds by the company.
C)lack of controls over payroll distribution.
D)the company is overpaying its employees.

Question

Quizplus · Accepted Answer

A significant balance in an imprest payroll account typically indicates that employees have not yet deposited or cashed their payroll checks, as the account is meant to be zeroed out after payroll is distributed.

An Imprest Payroll Account That Has a Significant Balance May