Final answer:
A drawing account gives a steadier income to salespeople on commission by allowing them to take advances against future earnings. Wages are determined by market forces, including supply and demand for skills. Different bank accounts, like checking and savings accounts, have evolved with some features overlapping, offering various benefits to meet customer needs.
Step-by-step explanation:
A drawing account is specifically used to provide a steadier income for salespeople who work on commission. It allows them to withdraw advances against their future commissions, ensuring they have a regular income even during periods when their commissions might be lower due to factors beyond their control, such as seasonal fluctuations in sales. Drawing accounts help to mitigate the uncertainty and income variability that can come with commission-based pay structures.
Wages are often determined by the supply and demand for specific skills in the workforce. Those with scarce and highly sought-after talents or education often earn more. Additionally, competition influences wage levels, and during periods with high unemployment rates, many are willing to accept lower wages. Alternatively, if a firm needs to reduce labor costs, it might invest more in machinery, which can increase productivity but also lead to fewer workers being hired.
Banks offer various accounts to serve different needs, such as checking accounts for easy transaction access and savings accounts which typically pay interest. Checking accounts may offer interest rates akin to savings accounts if certain conditions are met, blurring the lines between the two types of accounts. Savings accounts might allow a limited number of checks per month, further blurring the distinction.