SOLVED

51) What key separation of duties should the auditor expect to find within the payroll and personnel cycle? 52) Payroll checks should be distributed by someone independent of the payroll and timekeeping functions. A) True B) False 53) Auditors seldom expect to find misstatements when testing payroll transactions. A) True B) False 54) The nature, extent, and timing of substantive tests of payroll transactions vary depending, in part, on assessed control risk. A) True B) False 55)Â “Physical control over assets” is not a type of control that is applicable to the payroll cycle. A) True B) False 56) When auditing the payroll and personnel cycle, tests of controls are routinely performed. A) True B) False 57) When labor is a material part of inventory, auditors should emphasize substantive tests of transactions. A) True B) False 58) A signed payroll check that has not been cashed is considered an asset to the company that issued the check. A) True B) False 59) For proper internal control, the person(s) responsible for signing the payroll checks should not have access to timekeeping or be otherwise involved in the preparation of payroll. A) True B) False