Theft or Fraudulent Distribution of Payroll Checks Is a Potential

Multiple Choice

Theft or fraudulent distribution of payroll checks is a potential threat to the payroll processing activity.What is one control that can be implemented to help prevent paychecks being issued to a "phantom" or "ghost" employee?

A) the cashier should sign all payroll checks
B) prenumber all payroll checks
C) use an imprest account to clear payroll checks
D) paychecks should be physically distributed by someone who does not authorize or record payroll