What type of payroll processing control is designed to avoid fines associated with noncompliance with statutory requirements?
A) Reconcile payroll and employee records.
B) Complete a payroll processing checklist for each pay period.
C) Controller reviews and signs payroll checks.
D) Reconcile payroll withholdings and the general ledger accounts.

Question

Quizplus · Accepted Answer

Reconciling payroll withholdings and the general ledger accounts ensures that the correct amounts of taxes and other withholdings are being withheld from employee paychecks and that these amounts are being properly recorded in the company's financial records. This control helps to avoid fines associated with noncompliance with statutory requirements.

What Type of Payroll Processing Control Is Designed to Avoid