Question 1a b
Marking Guide
| (a) | up to 1 mark per well explained implication and up to 1 mark for each well explained recommendation | |
| multiple employees can be clocked in | ||
| weaker control environment | ||
| unauthorised overtime hours | ||
| payroll system errors not identified | ||
| payroll increases to be agreed by the board | ||
| written notification of pay increases to payroll department | ||
| night shift wages susceptible to risk of theft | ||
| factory supervisor not independent | ||
| absent night shift employees’ pay not secure over weekend | ||
| joiners/leavers notified on timely basis | ||
| max marks | 14 | |
| (b) | up to 1 mark per substantive procedure | |
| agree wages and salaries per payroll to trial balance | ||
| cast payroll records | ||
| recalculate gross and net pay | ||
| recalculate statutory deductions, agree relevant to current year rates | ||
| compare total payroll to prior year | ||
| review monthly payroll to prior year and budget | ||
| proof in total of payroll | ||
| verify joiners/leavers and recalculate first/last pay | ||
| agree salaries paid per payroll to bank transfer list and cashbook | ||
| agree total cash withdrawn from bank equates to wages paid and surplus cash banked | ||
| agree tax liabilities to payroll and post year-end cashbook | ||
| agree the individual wages and salaries as per the payroll to the personnel records and records of hours worked per clocking in cards | ||
| max marks | 6 |