Carol Kingsly has worked for the past eight years as a payroll clerk for Signarama, a medium sized sign fabricator. Carol recently experienced unfortunate circumstances. Her teenage daughter wrecked the family car and she is being sued. Carol is a hard worker and a model employee. Although she received regular performance raises during her first few years at the company, her wages have not increased in the past three years. Carol recently asked her supervisor, Bill Swanson, for a raise. While Bill agreed that Carol deserved a raise, Bill told Carol that he could not currently approve one because of "sluggish sales." Carol returned to her bookkeeping duties while the financial pressures in her life continued. Two weeks later, when a salesperson, Renee Tyler, quit over a dispute with management, Carol came up with a plan. Since she processed employee terminations, time card approval, and paycheck distribution, Carol decided to delay Ms. Tyler's termination, forge a few timecards with her signature and then cash her checks for herself. (Since she hand distributed the paychecks every two weeks no one would find out anyway.) In fact, no one ever discovered her scheme and Carol continued the practice for a full year, "earning" Carol an extra $40,000. Required: Answer the questions below: 1. How does Carol's scheme affect Signarama's balance sheet (specifically Cash, Total Assets, and Retained Earnings) for the year? Ignore income taxes. 2. Use the fraud triangle from Chapter 4 to a) identify the three elements of the fraud triangle and b) explain how Carol was impacted by each of these elements. 3.What internal controls could have been put in place to prevent Carol's paycheck scheme in the first place? (Be specific)