Which of the following procedures would normally be performed by the auditor when conducting tests of payroll transactions?
A)Interview employees selected in a statistical sample of payroll transactions.
B)Trace a sample of payroll checks to the master employee list.
C)Confirm amounts withheld from employees' salaries with proper governmental authorities.
D)Examine signatures on paid salary checks.

Question

Quizplus · Accepted Answer

When conducting tests of payroll transactions, the auditor would typically trace a sample of payroll checks to the master employee list. This helps to ensure that payroll transactions were accurately recorded and processed in the payroll system. The other options may be performed as part of the audit, but are not specific to the tests of payroll transactions.

Which of the Following Procedures Would Normally Be Performed by the Auditor