20-20 (Objectives 20-2, 20-3) Following are some of the tests of controls and substantive tests of transactions procedures often performed in the payroll and personnel cycle. (Each procedure is to be done on a sample basis or using audit software.)    1. Reconcile the monthly payroll total for direct manufacturing labor with the labor cost distribution.    2. Examine the time card for the approval of a foreman.    3. Recompute hours on the time card and compare the total with the total hours for which the employee has been paid.    4. Perform a surprise payroll payoff and observe employees picking up and signing for their checks.    5. Compare the employee name, date, check number, and amounts on cancelled checks with the payroll journal.    6. Trace the hours from the employee time cards to job tickets to make sure that the total reconciles, and trace each job ticket to the job-cost record.    7. Use audit software to account for the sequence of payroll checks in the payroll journal.Required    a. Identify whether each of the procedures is primarily a test of control or a substantive test of transactions.    b. Identify the transaction-related audit objective(s) of each of the procedures21-21 (Objectives 21-1, 21-3, 21-5, 21-6, 21-7) The Frist Corporation has the following internal controls related to inventory:    1. Only authorized inventory warehousing personnel are allowed in inventory storage areas.    2. All inventory products are stored in warehousing areas that are segregated from other storage areas used to house equipment and supplies.    3. All inventory held on consignment at Frist Corporation is stored in a separate area of the warehouse.    4. The inventory purchasing system only allows purchases from pre-approved vendors.    5. The perpetual inventory system tracks the average number of days each inventory product number has been in the warehouse.    6. Microchips are embedded in each product and when inventory items are removed from the warehouse to shipping, radio-frequencies signal a deduction of inventory to the perpetual inventory system.    7. On a weekly basis, inventory accounting personnel take samples of inventory products selected from the perpetual inventory system and verify that the inventory is on-hand in the warehouse and that the quantities in the listing are correct.    8. On a weekly basis, inventory accounting personnel select inventory items on hand in the warehouse and verify that the item is included in the perpetual inventory listing at the correct amount.    9. The perpetual inventory system subtotals the quantity of inventory in the system and interfaces with the general ledger system on a daily basis to ensure quantities agree.    10. The perpetual inventory system will not accept inventory additions without the recording on a valid receiving report.For each of the internal controls:Required    a. Identify the related transaction-related audit objective(s) affected by the control.    b. Describe risks the control is designed to mitigate.    c. Design a test of control to determine if the control is operating effectively.