Question 1

What are the basic functions of the payroll phase in the HR management and payroll cycle and what is its objective? Explain.

Accepted Answer

The payroll phase's objective is to accurately calculate and disburse all salary and wage payments due to employees.This involves ensuring that all working hours are recorded in an accurate and timely manner,that correct salary and wage rates are applied to pay calculations,and that payroll payments are made on time and in the manner preferred by the employee.Payroll related activities provoke a high incidence of fraudulent payments,strong effective control of all salary and wage disbursements is crucial.In addition,it is vital to ensure any monies deducted from employees' wages,such as taxation instalments and superannuation contributions,are correctly accounted for and forwarded to relevant third parties in a timely fashion.The payroll function also controls the recording of accumulated leave balances,including adding leave as it accrues,and deducting leave as it is taken.Activities involving recording employee leave entitlements affect not only the individual employee,they are an important liability that is represented on a company balance sheet.Incorrect calculation and disclosure of employee leave related liabilities can have serious consequences.

Question 2

Which of the following is not a good KPI for measuring the HR management and payroll cycle performance?

Accepted Answer

A) Dollar cash losses due to fraud in the payroll cycle. 
B) Dollar underpayments of wages to employees. 
C) Number of employee complaints. 
D) Account management fee of the imprest account. 
A) Dollar cash losses due to fraud in the payroll cycle. 
B) Dollar underpayments of wages to employees. 
C) Number of employee complaints. 
D) Account management fee of the imprest account. D

Question 3

A software development company has several employees working from home.Which of the following would be the best way of recording the hours they have worked each week?

Accepted Answer

A) Electronic submission by completing an on-screen form and attaching an electronic signature. 
B) A bar code reader that is swiped when the employee arrives at/departs from the office 
C) Physical clocking on card that must be inserted in a time clock machine at the office,at the start and end of each shift 
D) Telephone call from the manager each week 
A) Electronic submission by completing an on-screen form and attaching an electronic signature. 
B) A bar code reader that is swiped when the employee arrives at/departs from the office 
C) Physical clocking on card that must be inserted in a time clock machine at the office,at the start and end of each shift 
D) Telephone call from the manager each week A

Question 4

Which of the following is not directly involved in the calculation of payroll?

Accepted Answer

A) Tax scales database. 
B) Leave entitlements database. 
C) Payslips database. 
D) Employee master database. 
A) Tax scales database. 
B) Leave entitlements database. 
C) Payslips database. 
D) Employee master database.

Question 5

The employee termination process is not directly linked with:

Accepted Answer

A) The operational department. 
B) The leave entitlements database. 
C) The revenue cycle. 
D) The performance management process. 
A) The operational department. 
B) The leave entitlements database. 
C) The revenue cycle. 
D) The performance management process.

Question 6

To alter employment status of an employee,a HR clerk does not need to source information from:

Accepted Answer

A) The employee's supervisor 
B) The employee himself/herself 
C) The employee's performance review 
D) The employee employment master record 
A) The employee's supervisor 
B) The employee himself/herself 
C) The employee's performance review 
D) The employee employment master record

Question 7

Which of the following cannot minimise the risk of paying a fictitious employee?

Accepted Answer

A) Asking someone in HR management who is not involved with the pay calculations or authorising any pay change details to distribute the pay slips. 
B) Setting up the role of a paymaster and let the paymaster distribute the pay slips. 
C) Ensuring that pay slips are physically handed to employees. 
D) Asking supervisors of the employees to distribute pay slips. 
A) Asking someone in HR management who is not involved with the pay calculations or authorising any pay change details to distribute the pay slips. 
B) Setting up the role of a paymaster and let the paymaster distribute the pay slips. 
C) Ensuring that pay slips are physically handed to employees. 
D) Asking supervisors of the employees to distribute pay slips.

Question 8

Which of the following is not involved in employee recruitment?

Accepted Answer

A) Position description database. 
B) Employees master database. 
C) Open positions database. 
D) Payroll database. 
A) Position description database. 
B) Employees master database. 
C) Open positions database. 
D) Payroll database.

Question 9

Which of the following is NOT a source document in the HR management and payroll cycle?

Accepted Answer

A) A job application 
B) A weekly timesheet 
C) A labour budget for the next 12 months 
D) An employee performance review 
A) A job application 
B) A weekly timesheet 
C) A labour budget for the next 12 months 
D) An employee performance review

Question 10

Which of the following systems cannot be applied to the HR management and payroll cycle?

Accepted Answer

A) CRM 
B) ERP 
C) CAD 
D) ESS-CRM 
A) CRM 
B) ERP 
C) CAD 
D) ESS-CRM

Question 11

Which of the following is an activity in the HR management and payroll cycle?

Accepted Answer

A) Recording hours spent on a project 
B) Authorisation of changes in personnel details 
C) Controlling access to the list of authorised suppliers 
D) Calculating variances between labour used and budget 
A) Recording hours spent on a project 
B) Authorisation of changes in personnel details 
C) Controlling access to the list of authorised suppliers 
D) Calculating variances between labour used and budget

Question 12

Key selection criteria:

Accepted Answer

A) Are the same as a position description. 
B) Form part of a position description. 
C) Have no connection with a position description. 
D) None of the options are correct. 
A) Are the same as a position description. 
B) Form part of a position description. 
C) Have no connection with a position description. 
D) None of the options are correct.

Question 13

The HR management and payroll cycle ends when:

Accepted Answer

A) an employee expresses his/her intent to leave the organisation 
B) the organisation is out of business 
C) the employment contract of an employee comes to an end 
D) All of the options are correct. 
A) an employee expresses his/her intent to leave the organisation 
B) the organisation is out of business 
C) the employment contract of an employee comes to an end 
D) All of the options are correct.

Question 14

Which of the following are the KPIs that can be used to measure the objective of "Effectively,efficiently and objectively recruit suitable staff"? (i)Recruitment cycle time - advertisement to appointment (ii)Average employment duration - appointment to termination (iii)Number of applicants for positions advertised

Accepted Answer

A) (i)(ii)only 
B) (i)(iii)only 
C) (ii)(iii)only 
D) (i)(ii)(iii) 
A) (i)(ii)only 
B) (i)(iii)only 
C) (ii)(iii)only 
D) (i)(ii)(iii)

Question 15

Common controls of the risk paying fictitious employees do not include:

Accepted Answer

A) Regularly reconcile payments made to payroll records. 
B) Independent authorisation required to create new employee record. 
C) One for one checking of employee termination notices against current employee pay records 
D) Segregation of duties 
A) Regularly reconcile payments made to payroll records. 
B) Independent authorisation required to create new employee record. 
C) One for one checking of employee termination notices against current employee pay records 
D) Segregation of duties

Question 16

An employee record is ideally initially generated by a human resources employee who:

Accepted Answer

A) Has responsibility for identifying and authorising new employees and is involved in payroll cycle activities. 
B) Does not have the responsibility for identifying and authorising new employees and is not involved in any payroll cycle activities. 
C) Has the responsibility for identifying and authorising new employees but is not involved in any payroll cycle activities. 
D) None of the options are correct. 
A) Has responsibility for identifying and authorising new employees and is involved in payroll cycle activities. 
B) Does not have the responsibility for identifying and authorising new employees and is not involved in any payroll cycle activities. 
C) Has the responsibility for identifying and authorising new employees but is not involved in any payroll cycle activities. 
D) None of the options are correct.

Question 17

Common controls of the risk of incorrect salary and wage calculations do not include:

Accepted Answer

A) Use of batch and hash totals. 
B) Cash disbursements signed for by recipient. 
C) Reporting salary and wage variances to budgets and forecasts. 
D) Distribution of detailed payslips to employees. 
A) Use of batch and hash totals. 
B) Cash disbursements signed for by recipient. 
C) Reporting salary and wage variances to budgets and forecasts. 
D) Distribution of detailed payslips to employees.

Question 18

When an employment contract comes to an end:

Accepted Answer

A) ~ the employee's exit from the company must be carefully managed 
B) the employee's exit from the company need not be managed 
C) the deduction of taxes is no longer the organisation's concern 
D) the forwarding of superannuation is no longer the organisation's concern 
A) ~ the employee's exit from the company must be carefully managed 
B) the employee's exit from the company need not be managed 
C) the deduction of taxes is no longer the organisation's concern 
D) the forwarding of superannuation is no longer the organisation's concern

Question 19

An inability to retain existing staff members:

Accepted Answer

A) Allows for generational change to take place 
B) Provides opportunities for existing staff members 
C) Leads to expensive and disruptive staff replacements 
D) All of the options are correct 
A) Allows for generational change to take place 
B) Provides opportunities for existing staff members 
C) Leads to expensive and disruptive staff replacements 
D) All of the options are correct

Question 20

Which of the following descriptions of the HR management and payroll cycle is NOT true?

Accepted Answer

A) All decision making in the cycle should involve both deep and broad analysis prior to a decision being taken. 
B) Operational decisions are typically made by senior staff and relate only to a specific instance of the cycle. 
C) To be effective strategic level process business decisions made in the cycle should be congruent with the overarching business strategy. 
D) To develop employee payment policies and procedures,one needs knowledge of applicable employee legislation,industry standards and legal requirements. 
A) All decision making in the cycle should involve both deep and broad analysis prior to a decision being taken. 
B) Operational decisions are typically made by senior staff and relate only to a specific instance of the cycle. 
C) To be effective strategic level process business decisions made in the cycle should be congruent with the overarching business strategy. 
D) To develop employee payment policies and procedures,one needs knowledge of applicable employee legislation,industry standards and legal requirements.

What are the basic functions of the payroll phase in the HR management and payroll cycle and what is its objective? Explain.

Which of the following is not a good KPI for measuring the HR management and payroll cycle performance?

A software development company has several employees working from home.Which of the following would be the best way of recording the hours they have worked each week?

Which of the following is not directly involved in the calculation of payroll?

The employee termination process is not directly linked with:

To alter employment status of an employee,a HR clerk does not need to source information from:

Which of the following cannot minimise the risk of paying a fictitious employee?

Which of the following is not involved in employee recruitment?

Which of the following is NOT a source document in the HR management and payroll cycle?

Which of the following systems cannot be applied to the HR management and payroll cycle?

Which of the following is an activity in the HR management and payroll cycle?

Key selection criteria:

The HR management and payroll cycle ends when:

Common controls of the risk paying fictitious employees do not include:

An employee record is ideally initially generated by a human resources employee who:

Common controls of the risk of incorrect salary and wage calculations do not include:

When an employment contract comes to an end:

An inability to retain existing staff members:

Which of the following descriptions of the HR management and payroll cycle is NOT true?

Systems Fundamentals

Systems Characteristics and Considerations

Database Concepts I

Database Concepts II

XBRL Reporting

System Mapping and Documentation

Internal Controls I

Internal Controls II

Transaction Cycle The Revenue Cycle

Transaction Cycle The Expenditure Cycle

Transaction Cycle The Production Cycle

Transaction Cycle The General Ledger and Financial Reporting Cycle

Systems Development

Auditing of Accounting Information Systems

Ethics, fraud and Computer Crime

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Exam 12: Transaction Cycle The HR Management and Payroll Cycle

What are the basic functions of the payroll phase in the HR management and payroll cycle and what is its objective? Explain.

Which of the following is not a good KPI for measuring the HR management and payroll cycle performance?

A software development company has several employees working from home.Which of the following would be the best way of recording the hours they have worked each week?

Which of the following is not directly involved in the calculation of payroll?

The employee termination process is not directly linked with:

To alter employment status of an employee,a HR clerk does not need to source information from:

Which of the following cannot minimise the risk of paying a fictitious employee?

Which of the following is not involved in employee recruitment?

Which of the following is NOT a source document in the HR management and payroll cycle?

Which of the following systems cannot be applied to the HR management and payroll cycle?

Which of the following is an activity in the HR management and payroll cycle?

Key selection criteria:

The HR management and payroll cycle ends when:

Common controls of the risk paying fictitious employees do not include:

An employee record is ideally initially generated by a human resources employee who:

Common controls of the risk of incorrect salary and wage calculations do not include:

When an employment contract comes to an end:

An inability to retain existing staff members:

Which of the following descriptions of the HR management and payroll cycle is NOT true?

Systems Fundamentals

Systems Characteristics and Considerations

Database Concepts I

Database Concepts II

XBRL Reporting

System Mapping and Documentation

Internal Controls I

Internal Controls II

Transaction Cycle The Revenue Cycle

Transaction Cycle The Expenditure Cycle

Transaction Cycle The Production Cycle

Transaction Cycle The General Ledger and Financial Reporting Cycle

Systems Development

Auditing of Accounting Information Systems

Ethics, fraud and Computer Crime

Filters