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Lombard Company is a young business that has grown rapidly. The company's bookkeeper, who was hired two years ago, left town suddenly after the company's

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Lombard Company is a young business that has grown rapidly. The company's bookkeeper, who was hired two years ago, left town suddenly after the company's manager discovered that a great deal of money had disappeared over the past 18 months. An audit disclosed that the bookkeeper had written and signed several cheques made payable to the bookkeeper's brother and then recorded the cheques as salaries expense. The brother, who cashed the cheques but had never worked for the company, left town with the bookkeeper. As a result, the company incurred an uninsured loss of $84.000. Evaluate Lombard Company's internal control system and identify violations of the principles of internal control. What internal control procedures would you recommend in each of the following situations? a. A concession company has one employee who sells T-shirts and sunglasses at the beach. Each day, the employee is given enough shirts and sunglasses to last through the day and enough cash to make change. The money is kept in a box at the stand. b. An antique store has one employee who is given cash and sent to garage sales each weekend. The employee pays cash for merchandise to be resold at the antique store

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