The management accountants employed by Robbins Inc. wrongly charged executives' personal expenses to the overhead on a government contract. Their activities can be characterized as

1. illegal acts of a type independent auditors should be aware might occur in government contract business.

2. irregularities of the type independent auditors should plan an audit to detect.

3. irregularities of the type independent auditors have no responsibility to plan an audit to detect.

4 errors in the application of accounting principles.