In the area of payroll,which of the following procedures represents proper control over the custody of assets?
A)The supervisor receives a copy of the payroll register for a chance to approve the payroll after it is completed.
B)Individual paycheques are prepared.
C)Unclaimed payroll cheques are held in the office of the chief financial officer.
D)Signatures from employees are obtained for calculation of deductions.

Question

Quizplus · Accepted Answer

Keeping unclaimed payroll cheques in the office of the chief financial officer represents proper control over the custody of assets as it ensures that unclaimed paycheques are not accessible to unauthorized individuals outside of the finance team. Option A represents an approval control, option B represents preparation control, and option D represents an input control.

In the Area of Payroll,which of the Following Procedures Represents