An Effective System of Internal Control Over the Payroll Function

question 3

Multiple Choice

An effective system of internal control over the payroll function would include

• A) verification of agreement of job time tickets with employee clock card hours by a payroll department employee.
• B) reconciliation of totals on job time tickets with job reports by employees responsible for those specific jobs.
• C) custody of rate authorization records by the supervisor of the payroll department.
• D) preparation of payroll transaction journal entries by an employee who reports to the supervisor of the human resource department.

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Definitions:

Environmental Scanning

The process of systematically gathering, analyzing, and interpreting external information that may impact an organization's plans and decisions.

Organizational Variables

Factors or characteristics within an organization that can influence its operations, culture, and outcomes.

HR Policy

A set of formal guidelines and procedures drafted by an organization to manage its workforce effectively, covering aspects like recruitment, training, and benefits.

Specialist Workers

Employees who possess expert knowledge or skills in a specific field or area of professional practice.