Which of the following is NOT a control for safeguarding payroll disbursements?
A) A formal timekeeping system is used.
B) Personnel department employees' and payroll department employees' responsibilities are separated.
C) Personnel department employees and payroll department employees have combined responsibilities.
D) A photo identification is required when payroll checks are distributed.

Question

Quizplus · Accepted Answer

C is correct because combining the responsibilities of personnel and payroll departments reduces the effectiveness of internal controls by increasing the risk of fraud and errors. Separation of duties is a key control in safeguarding payroll disbursements.

Which of the Following Is NOT a Control for Safeguarding