You are performing the audit of Erwin Corporation. You audit team has begun to brainstorm about the

Question:

You are performing the audit of Erwin You audit team has begun to brainstorm about the fraud of claiming workers as independent contractors, rather than as employees. In addition to the knowledge of the employment laws in the state(s) the company operates, you use the session to generate questions related to whether Erwin keeps required payroll records.

Required:
(a) What are some of the important audit questions that might be generated during this brainstorming session, regarding payroll-related fraud? Regarding payroll-related ICFR?
(b) What audit procedures apply to those risks?

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...