Internal control is subject to several inherent limitations. Indicate whether each of the following situations is an example of

(a) human error,

(b) collusion,

(c) changed conditions, or

(d) cost-benefit considerations:

1 . Effective separation of duties in a restaurant is impractical because the business is too small.

2. The cashier and the manager of a retail shoe store work together to circumvent the internal controls for the purpose of embezzling funds.

3. The cashier in a pizza shop does not understand the procedures for operating the cash day. register and thus fails to ring up all sales and to count the cash at the end of the 4. At a law firm, computer supplies were mistakenly delivered to the reception area instead of the receiving area because the supplier began using a different means of shipment. As a result, the receipt of supplies was not recorded. SE-9