Payroll

Question 1

What are the key assertions?

Answer 1

• Completeness
• Accuracy
• Occurrence

Question 2

What are the sources of evidence?

Answer 2

• Payroll Control Account
• Payroll Payment Listing
• Payslips
• Contracts of Employment
• Hourly Rates of Pay
• Timesheets
• Bank Statements & Cash Book
• Starters & Leavers Forms

Question 3

What can you do with the payroll control account?

Answer 3

Agree the total wages and salaries expense per the payroll control account to the general ledger and the financial statements - completeness & presentation.

Question 4

What can you do with the payroll payment listing?

Answer 4

Cast the monthly payroll listings to verify the accuracy of the payroll expense - accuracy.

Question 5

What can you recalculate?

Answer 5

Recalculate the gross and net pay for a sample of employees and agree to the payroll records - accuracy.