Question 1
Discuss three important differences between the payroll and personnel cycle and other cycles in a typical audit.
Question 2
Which of the following statements about the payroll and personnel cycle is correct?
◦
There are three classes of transactions within the payroll cycle - salaried employees, hourly employees, and commissioned employees. | Transactions are more significant than related balance sheet accounts. | Internal controls over payroll are effective for almost all companies, even small ones. |
No | No | Yes |
◦
There are three classes of transactions within the payroll cycle - salaried employees, hourly employees, and commissioned employees. | Transactions are more significant than related balance sheet accounts. | Internal controls over payroll are effective for almost all companies, even small ones. |
Yes | No | Yes |
◦
There are three classes of transactions within the payroll cycle - salaried employees, hourly employees, and commissioned employees. | Transactions are more significant than related balance sheet accounts. | Internal controls over payroll are effective for almost all companies, even small ones. |
No | Yes | Yes |
◦
There are three classes of transactions within the payroll cycle - salaried employees, hourly employees, and commissioned employees. | Transactions are more significant than related balance sheet accounts. | Internal controls over payroll are effective for almost all companies, even small ones. |
No | Yes | No |