When examining payroll transactions,an auditor is primarily concerned with the possibility of
A)overpayments and unauthorized payments.
B)posting of gross payroll amounts to incorrect salary expense accounts.
C)misfootings of employee time records.
D)excess withholding of amounts required to be withheld.

Question

Quizplus · Accepted Answer

The primary concern of an auditor when examining payroll transactions is the possibility of overpayments and unauthorized payments. This includes ensuring that employees are not being paid more than what they are entitled to and that payments are only made to authorized personnel. Other concerns such as posting to incorrect accounts, misfootings of time records, and excess withholding are also important, but not the primary concern.

When Examining Payroll Transactions,an Auditor Is Primarily Concerned with the Possibility