Problem

In determining the effectiveness of an entity’s policies and procedures relating to the oc...

In determining the effectiveness of an entity’s policies and procedures relating to the occurrence assertion for payroll transactions, auditors most likely would inquire about and

A. Observe the separation of duties concerning personnel responsibilities and payroll disbursement.

B. Inspect evidence of accounting for prenumbered payroll checks.

C. Recompute the payroll deductions for employee fringe benefits.

D. Verify the preparation of the monthly payroll account bank reconciliation.

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