Dave s Scooters is a small manufacturer of specialty

scooters The
Dave's Scooters is a small manufacturer of specialty scooters. The company employs 14
production workers and four administrative persons. The following procedures are used to
process the company's weekly payroll:a. Whenever an employee receives a pay raise, the
supervisor must fill out a wage adjustment form, which is signed by the company president. This
form is used to change the employee's wage rate in the payroll system.b. All employees are
required to record their hours worked by clocking in and out on a time clock. Employees must
clock out for lunch break. Due to congestion around the time clock area at lunch time,
management has not objected to having one employee clock in and out for an entire
department.c. Whenever a salaried employee is terminated, Personnel authorizes Payroll to
remove the employee from the payroll system. However, this procedure is not required when an
hourly worker is terminated. Hourly employees only receive a paycheck if their time cards show
hours worked. The computer automatically drops an employee from the payroll system when
that employee has six consecutive weeks with no hours worked.d. Paychecks are signed by
using a check-signing machine. This machine is located in the main office so that it can be
easily accessed by anyone needing a check signed.e. Dave's Scooters maintains a separate
checking account for payroll checks. Each week, the total net pay for all employees is
transferred from the company's regular bank account to the payroll account.State whether each
of the procedures is appropriate or inappropriate, after considering the principles of internal
control. If a procedure is inappropriate, describe the appropriate procedure.View Solution:
Dave s Scooters is a small manufacturer of specialty scooters The
SOLUTION-- http://solutiondone.online/downloads/dave-s-scooters-is-a-small-manufacturer-of-
specialty-scooters-the/

Unlock answers here solutiondone.online

Powered by TCPDF (www.tcpdf.org)