Which of the following is not an internal control procedure for payroll?
A) observe clocking in and out time for the employees
B) payroll depends on a fired employee's supervisor to notify them when an employee has been fired
C) payroll requires employees to show identification when picking up their paychecks
D) changes in pay rates on a computerized system must be tested by someone independent of payroll

Question

Quizplus · Accepted Answer

Payroll relying solely on a fired employee's supervisor to notify them of the termination is not a sufficient internal control procedure. It is important to have a formal process in place to ensure all employee information, such as hiring and terminations, is properly communicated to the payroll department. The other options listed are all appropriate internal control procedures for payroll.

Which of the Following Is Not an Internal Control Procedure