Microfibre cloths are not actually the best things to apply polish and waxes. Dense but soft foam pads are the best thing.
However Microfibre cloths are great for buffing off what ever product you have on the paint. However as said above, don't physically use the same cloth to both remove an application of polish and wax. Use a separate Microfibre cloth for each different product. In fact to do it properly you'll even need more than one cloth just to do the one step.
The meguiars waxes come with a foam applicator pad which is ideal. The ultimate wipe is for removing the applied wax and to allow you to buff to a shine. The microfibre drying cloth is exactly that, it allows you to dry the car after a simple wash.
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