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This week, I want you to write a little scenario explaining a way that you could commit payroll/HR fraud
This week, I want you to write a little scenario explaining a way that you could commit payroll/HR fraud. For your response, I want another student to explain what types of internal controls could prevent that fraud from occurring. Have fun with this post and be creative!
Expert Solution
Mr. John is the HR manager of XYZ Limited since 2007.Around 200 employees are working in the office. During the Payroll audit , auditor finds inconsistency in the payroll payments. Auditor findings are :
1. Federal and State tax payments are inadequate according to the employees working.
2. Gate punching time sheet and payment details are misallianced.
3. Advances are written off as expenses.
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