Three brothers worked for a very large manufacturing company. One of the brothers worked as a warehouse foreman, another as a bookkeeper, and another as a customer service representative. The warehouse foreman would leave work every day pushing a wheelbarrow full of old rags, with his lunch box balanced on top. The company guards became suspicious of this unusual behavior and began checking through the rags and the lunch box every day

as the man left work. They never found anything hidden in the rags or in the lunch box. Every day, the man would take the wheelbarrow and sell it in a neighboring city to one of three different hardware stores. The brother in bookkeeping would write up a sales ticket for the sale of one wheelbarrow to a fictitious construction company. The paperwork would be completed as if every sale were made on credit. As payments were received from a real company that had done business with the company for many years, he would record part of each payment on the fictitious company's account and adjust all of the accounting records to cover the irregularities. The brother working in customer service would write up a complaint report each month explaining how the wheelbarrows sold to the fictitious company were falling apart on the construction sites. The report said the company demanded a refund for each of the faulty products. The brother in customer service would send the report to the brother in bookkeeping, who then would send a "refund" check to the brother in the warehouse for the total cost of the wheelbarrows. The three brothers split all of the proceeds - until they went to jail.
Required:
Explain how an audit might lead to the discovery and solution of this scheme.