It is generally more difficult for the auditor to detect payment of fraudulent hours than payment of fictitious employees.

Question

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Payment of fraudulent hours means that an employee is submitting false hours worked on their timesheet or punching in and out incorrectly. This type of fraud can be difficult to detect because the employee is an actual employee of the company, and the hours being submitted may even seem reasonable. Payment of fictitious employees, on the other hand, involves creating a fake employee in the payroll system and submitting hours for them to receive payment. This type of fraud is typically easier to detect because there is no actual person performing the work. Therefore, it is generally more difficult for auditors to detect payment of fraudulent hours than payment of fictitious employees.

It Is Generally More Difficult for the Auditor to Detect