Which of these is the least likely risk factor for payroll?

	a.	payments to actual employees at higher than authorized rates
	b.	payments to fictitious employees
	c.	payments to actual employees for hours less than they worked
	d.	payment to actual employees for hours not worked

The control related to the completeness assertion is:

	a.	determining the mathematical accuracy of the suppliers invoices.
	b.	preparing a daily prelist of suppliers invoices approved for payment.
	c.	coding the account distributions on the suppliers invoices.
	d.	serially numbering suppliers invoices on receipt so that subsequent checks of numerical continuity can confirm that all invoices are recorded.

Prior to recording purchases transactions, suppliers invoices are checked and approved in the accounts department. Controls over this function include all of the following except:

	a.	approving the suppliers invoice for payment by having an authorized person sign the invoice.
	b.	agreeing the details of the suppliers invoice with the related receiving report and purchase order.
	c.	marking all supporting documentation as paid.
	d.	determining the mathematical accuracy of the suppliers invoice.

Segregation of the functions of payroll and personnel do all of the following, except:

	a.	reduce the risk of payments to fictitious employees.
	b.	restrict the payment of wages to the payroll department.
	c.	restrict the recording of new employee data to the payroll department.
	d.	reduce the risk of payments to terminated employees.

Which of the following is not a factor that tends to increase the inherent risk for purchases and payables?

	a.	the number of directors
	b.	a high volume of transactions
	c.	issues over costs being capitalized versus being expensed
	d.	all of the above are factors that tend to increase the inherent risk for purchases and payables.

Responsibility for determining that unpaid suppliers invoices are processed for payment on their due dates generally lies with the:

	a.	accounts payable department.
	b.	purchasing department.
	c.	warehouse department.
	d.	internal audit department.

Controls applicable to paying the payroll and protecting unclaimed wages include all of the following except:

	a.	any unclaimed payroll cheques should be stored in a safe or vault in the finance office.
	b.	finance office personnel should check the agreement of the names and amounts on cheques or bank transfers with payroll register entries.
	c.	payroll cheques and bank transfers should be signed or authorized by finance office personnel involved in preparing or recording the payroll.
	d.	payroll cheques, where used, should be distributed to employees by finance office personnel not involved in preparing or recording the payroll.

The receiving department should be instructed to accept no goods without having on file a properly authorized:

	a.	purchase requisition.
	b.	receiving report.
	c.	purchase order.
	d.	invoice.

Responsibility for updating of the personnel data master file should rest with authorized employees in the:

	a.	personnel department.
	b.	controllers department.
	c.	employees operating department.
	d.	payroll department.