Prompt: For each of the following situations, tell which of the five internal control activities or procedures was lacki

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Prompt: For each of the following situations, tell which of thefive internal control activities or procedures was lacking. Morethan one control may be lacking. Also, recommend how proceduresshould be changed to avoid the problem in the future.
Johnny stole over $10,000 from his employer by writing checksmade payable to himself and was able to hide the theft by showingthe checks as outstanding on the bank reconciliation he preparedeach month. The department manager is supposed to review the bankreconciliations but is “too busy” to be bothered and just initialsthe reconciliations without reviewing them.
Bob is the foreman of a loading dock. Bob is also lazy and doesnot prepare receiving or shipping reports until days after goodsare received or shipped. Austin is the manager of a warehouse andhas unlimited access to the warehouse.
Austin maintains the warehouse inventory shipping and receivingrecords, fills inventory orders, stocks inventory, and counts theinventory. He also steals inventory from the warehouse and concealsthe fraud by overstating inventory records.
Acme Inc. has a policy that requires credit sales over $10,000to be approved by a credit supervisor. In an effort to increasesales, supervisors are allowing credit sales over the limit withoutperforming the required review, which includes reviewing the creditworthiness of the customer.
Acme Inc. uses high-cost items in making its world-famouswidgets. The high-cost items are kept in a special room in themanufacturing area. The room is unlocked, and anyone can go intothe room at any time to get items so that the manufacturing line isnot delayed. Management is perplexed that a number of the high-costitems are consistently missing.
Please answer each one.