If an accounting supervisor were allowed to hire employees, approve the hours worked, prepare the paychecks, and deliver the paychecks, which of the categories of control activities would be violated?
A)Adequate records
B)Segregation of duties
C)Authorization of transactions
D)Independent checks

Question

Quizplus · Accepted Answer

Allowing one person to hire, approve hours, prepare checks, and deliver checks violates segregation of duties as one person has control over multiple aspects of a transaction or process. It increases the risk of errors, misstatements, and fraud.

If an Accounting Supervisor Were Allowed to Hire Employees, Approve