Which of the following is an important internal control over payroll?
A) separating the duties of the disbursement of paychecks from the recording of payroll transactions in the ledger
B) separating the duties of safeguarding property from record-keeping of property
C) separating the duties of approving invoices from signing disbursement checks
D) separating the duties of cash disbursement from bank reconciliations

Question

Quizplus · Accepted Answer

Separating the duties of the disbursement of paychecks from the recording of payroll transactions in the ledger is an important internal control over payroll because it reduces the risk of errors or fraud by ensuring that no single person has complete control over the entire process. This helps to prevent the unauthorized or incorrect disbursement of funds, as well as potential misrepresentation or manipulation of payroll records. The other choices relate to different types of internal controls, but they are not specific to payroll.

Which of the Following Is an Important Internal Control Over