Which Internal Control Is Not an Important Part of the Payroll

question 87

Multiple Choice

Which internal control is not an important part of the payroll system?

• A)Supervisors verify the accuracy of employee time cards.
• B)Paychecks are distributed by an independent paymaster.
• C)Accounts payable verifies the accuracy of the payroll register before transferring payroll funds to the general checking accounting.
• D)General ledger reconciles the labor distribution summary and the payroll disbursement voucher.

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Definitions:

Cash Outflows

Money or funds leaving a business, typically for expenses, investments, or other payments.

Investment Projects

Initiatives or plans requiring capital investments aimed at generating future benefits or returns.

Simple Rate

A straightforward percentage or interest rate, typically referring to finance or investment, without compounding over time.

Operating Expenses

Costs associated with the day-to-day operations of a business, excluding the costs directly related to producing goods or services.