Question

Employers may choose to use direct deposit to avoid:

A) bank reconciliation

B) lost paychecks

C) giving employees pay notification

D) delaying payroll processing

Answer 1

Employers use direct deposit primarily to prevent lost paychecks, ensuring a smooth and secure salary payment process.

Step-by-step explanation:

Employers may choose to use direct deposit to avoid lost paychecks. Direct deposit is a method where salaries are electronically transferred directly into an employee's bank account, which significantly reduces the risk of physical checks being lost or stolen. It streamlines the payroll process, making it more efficient and secure for both the employer and the employee. Using direct deposit also facilitates transactions, allowing employees to readily access their money through banking services such as writing a check or using a debit card.

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