A special bank account used solely for the purpose of paying employees, by depositing in the account each pay period an amount equal to the total employees' net pay and drawing the employees' payroll checks on the account, is a(n):

Question

Quizplus · Accepted Answer

The special bank account described in the question is commonly known as a payroll bank account. This account is solely dedicated to paying employees' wages, by depositing the net pay amount and drawing checks from the account. Option A, B, C, and D are not correct choices since they do not accurately describe the purpose and type of account used for paying employees.

A Special Bank Account Used Solely for the Purpose of Paying