Chapter 16 Payroll cycle - Tests of controls and tests of balances Which of the following documents would the auditor least likely seek in order to understand the personnel function of a client\'s payroll cycle? a. W-4 form that shows withholding of federal and state income taxes b. Form 941 that shows local, state, and federal payroll taxes. c. Form 1120 that shows corporate income tax returns. d. Form 1040 that shows personal income tax returns. Solution The Answer is option (c) Form 1040 that shows personal income tax returns.. ** At the time of checking payroll cycle of the client, the auditor should check all the taxes related to the personnell. such as withholding of federal and state income taxes, local, state and federal payroll taxes, also the corporate income tax to match the above, but the form 1040 is not that much required to check personnel related functions, because 1040 form is used by individuals for filling annual income tax returns. Thank You ... !.