Accounting Multiple Choice Question – 10 March 2026

A deficiency has been identified in the following area of the company’s wages system, as outlined below.

For the stated deficiency, select the risk which is MOST likely to arise.

• Regular reconciliations of the payroll to timesheets are not performed.

Select ONE answer:

1. Pay might not be recorded correctly in the general ledger
2. Payments might be made incorrectly
3. The company may pay employees who have left
4. The various elements of pay might not be calculated correctly

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

1. Not correct
2. Not correct
3. Not correct
4. Correct – The deficiency arises when calculating pay (i.e., ensuring that the amounts on the payroll reflect the amount recorded on the timesheets), so would not directly affect the general ledger.

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