Ed's wife Diane owns a printing business in town. Ed works in the accounts payable department of Jiffy Abs Vitamin Company. Diane prints invoices for work supposedly done for Jiffy Abs (no actual work was performed) and Ed places in the invoice in the approved for payment invoice pile. Jiffy Abs pays these invoices and sends Diane a check.

A) Describe two (and only two) specific controls that Jiffy Abs should have in place to prevent or detect this situation in a timely fashion.

B) Describe two (and only two) specific tests of controls audit procedures to determine the operational effectiveness of the controls you named in (A).

C) Describe two (and only two) specific substantive audit procedures that would detect the situation described.

No credit will be given for generic answers (e.g. policies and procedures; separation of duties without specifics; discuss with management). Be specific!