BillDave Supplies Ltd, employs 100 salesmen, each of whom covers a different area and is supplied with a car. At the end of each week, each salesman submits an expense claim on a pre-printed form with supporting vouchers attached. Expenditure is on fuel together with invoices for hotel accommodation, meals and entertainment are not attached. 

Claims are scrutinized by the Assistant Accountant. She raises any queries with the salesmen concerned and makes out cheques for signature by the two Directors. 

The amount of salesmen's expenses paid out annually is material to the financial statements. 

Required: 

a) Discuss the shortcomings of this system.

b) Suggest ways in which it could be improved.

c) List the test of control that the auditor might perform on this system.