The engagement scope outlines the specific boundaries, focus areas, and activities that the internal audit will examine. The analysis of wire transfers exceeding $10,000 within a specified timeframe is a clear, specific task that defines what will be reviewed during the engagement, making it a typical element of an engagement scope.
IIA References:
* IIA Standard 2220: Engagement Scope states that the scope must be sufficient to satisfy the engagement's objectives and should outline specific areas and processes to be reviewed. Analyzing transactions over a certain threshold, like wire transfers exceeding $10,000, is a well-defined aspect of what the audit will cover.

The most effective way to identify the HR department's risks and controls, especially after recent process changes, is to discuss the department's present strategies and objectives with the head of the HR department.
This approach allows the auditor to gain current and relevant insights directly from the person most knowledgeable about the department's current operations, risks, and controls. It ensures that the auditor understands the current environment, any new challenges, and the specific controls in place to mitigate risks.
This method is more comprehensive and current compared to reviewing past reports or generalized organizational frameworks, which might not reflect recent changes accurately.
The Institute of Internal Auditors (IIA) Standard 2010 - Planning: "The chief audit executive must establish risk-based plans to determine the priorities of the internal audit activity, consistent with the organization's goals." IIA Practice Guide on "Engaging with Stakeholders"

Trend analysis is the analytics procedure that an internal auditor would use to compare performance information from one quarter to another. This technique involves analyzing data over a specific period to identify patterns, trends, and changes in performance metrics. Trend analysis helps auditors understand the direction of key performance indicators and assess whether performance is improving, declining, or remaining stable.
References:
* The Institute of Internal Auditors (IIA) Standards
* Data Analytics Techniques in Internal Auditing

Per Standard 2340 - Engagement Supervision, engagement supervision includes reviewing and approving work programs, changes, and results to ensure objectives are met and quality is maintained. This activity is part of supervision (C), not reporting (A), monitoring (B), or risk assessment (D).

The data extracted by the internal auditor includes human resources data with employment conditions, payroll data, and entrance logs. With this information, the auditor can identify employees who are getting paid even though their employment has expired. By comparing the employment conditions and expiration dates in the HR data with the payroll data, the auditor can detect discrepancies where individuals continue to receive payments beyond their employment period. Entrance logs can help corroborate these findings by showing the lack of physical presence of these employees, further supporting the identification of ghost employees who no longer work for the organization but still appear on the payroll.
IIA Practice Guide: "Auditing Employee Benefits"
COSO Internal Control - Integrated Framework