Certified Payroll Professional Practice Exam

The correct answer is C. The purpose of the pre-notification process in direct deposits is to test the validity of the electronic payment. This step allows the sender to confirm that the employee's bank account information is correct and that the funds can be successfully deposited. This helps prevent any potential issues with incorrect account numbers or failed deposit attempts. Options A, B, and D are not the primary purpose of the pre-notification process in direct deposits. While notifying the employee of the impending deposit, ensuring correct tax deductions, and confirming the bank account number are important aspects of payroll processing, the main goal of the pre-notification process specifically is to verify the validity of the electronic payment.