An accountant for a small business is suspected of writing checks todummyvendors and collecting the money himself. After a thorough investigation of the company, you determine that the company does not require authorization for vendor payments. In an inter-view with the suspect, you ask him if any controls are in place that could prevent someone from writing fraudulent checks. He quickly responds in theaffirmative.

1.What type of questions could you ask next?

2. Do you think the accountant know he is being suspected?

3. What should the company lack to do in order to avoid the fraud?