The Smart Company employs 125 people, who are paid every two weeks.

The accounting/payroll process is as follows:

All employees except the top 5 administrators in the company must punch a time clock at the main building, before leaving and when returning, at the end of the day from different work sites.

None of the 5 administrators are involved in the theft from the company's assets or money!!!

The company has set-up a direct electronic payroll system with your bank of choice for your check to be deposited in.

Copies of your check are provided to you and you must sign for the check copy.

Payroll is done through accounting. Various people electronically send the transfer of funds to the various employees banks.

There is a tracking system in place!!!

The company has conducted an audit. It has audited the books and has had every employee physically sign for the copy of their check.

All payroll through the audit is accounted for.

The payroll department also takes care of all vendor contracts.

All work and inventory are on schedule and where it should be.

The company is short $238,000.

Where did the money go? And who took it?

Please analyze the above case studies.