Question

Businesses might want to have multiple checking accounts to provide various functions. What type checking account would a business NOT want to have?

Answer 1

A business would not want to have a second checking account if it has limited financial resources and can't afford the additional fees associated with maintaining multiple accounts. If a business does not have a need for separate functions such as payroll or vendor payments, having multiple checking accounts may not be necessary.

Step-by-step explanation:

A business would NOT want to have a second checking account if it has limited financial resources and can't afford the additional fees associated with maintaining multiple accounts.

For example, if a business is operating on a tight budget and the cost of maintaining multiple checking accounts is high, it may not be feasible to have more than one account. Additionally, if a business does not have a need for separate functions such as payroll or vendor payments, having multiple checking accounts may not be necessary.