Question

What are some advantages of paying employees by check? (All that apply)

A) Increased vulnerability

B) Improved traceability

C) Improved record-keeping

D) Decreased reconciliation process

Answer 1

Advantages of paying employees by check include improved traceability, improved record-keeping, and decreased reconciliation process.

Step-by-step explanation:

• Improved traceability is an advantage of paying employees by check. When a check is issued to an employee, it provides a clear record of the payment and can be easily traced back to the employer. This can be useful for auditing purposes and helps ensure transparency.
• Improved record-keeping is another advantage. When employers pay employees by check, it creates a paper trail that can be used for accounting and tracking purposes. The check serves as proof of payment and can be filed away for future reference.
• Decreased reconciliation process is also an advantage. When payments are made electronically or in cash, there can be a need for additional reconciliation processes to ensure accuracy. However, paying employees by check simplifies the reconciliation process as it provides a clear and documented record of the payment.