The Following Is a Description of the Payroll Procedures for Cherokee

question 114

Essay

The following is a description of the payroll procedures for Cherokee Custom Crafters,a small company that customizes vans and RVs according to customers' specifications:
The payroll department prepares a time card for each employee on the payroll every Monday and leaves the time cards in a box near the entrance to the factory.Workers fill in their time daily.
A payroll clerk picks up the time cards the following Monday when dropping off the new time cards.The payroll clerk then inputs the number of hours for each employee into the computer.
The payroll application calculates gross pay,deductions,and net pay,and prints a payroll register.
Payroll checks are prepared manually by the payroll clerk and signed by the chief accountant,who takes them to the factory supervisor.The factory supervisor distributes the checks.The chief accountant prepares the monthly reconciliation of the payroll bank accounts.
Required: List five recommendations for improving Cherokee Custom Crafters' internal controls over its payroll function.

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Definitions:

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