Chapter 12 Auditing The Human Resource Management Process 1
I. Overview of the Human Resource Management Process II. Types of Transactions and Financial Statement Accounts Affected III. The Major Functions IV. The Key Segregation Duties V. Inherent Risk Assessment Contents Chapter 12 2
I. Overview of the Human Resource Management Process: Chapter 12 3 The human resource process starts with the establishment of sound policies for hiring, training, evaluating, counseling, promoting, compensating, and taking remedial actions for employees. The main concern of the auditor involves payroll transactions once an employee has been hired.
II. Types of Transactions and financial statement Accounts Affected: Chapter 12 4 Two types of transactions are processed through the purchasing process: Types of Transactions Account Affected Payroll transaction Cash Inventory Direct & indirect labor expense accounts Various payroll-related liability and expense accounts Accrued payroll liability transactions Cash Various accruals (such as payroll taxes and pension costs)
III. The Major Functions:
- Spring '16
- Human Resource Management, Expense, Salary, inherent risk