X-Corp is a company that has been operated for 25 years that produce various electronic equipment. Mr. James as CFO sees that there are irregularities in the financial management of the company with proper recording of budgets and expenses along with supporting evidence, but so far, Mr. James has not seen such great progress in the 2020 period, where the emergence of COVID-19 has hampered the company's performance. Mr. Joe, as the head of internal auditor, was asked to compile an audit plan by forming three teams that will be deployed to audit three divisions, there are the accounting department, production department, and the last is human resources department. In the accounting department, it is believed that there is manipulation of the financial statements because of the lack of supervision of the reporting activities that occurred. In the production department, Mr. James suspects that during production activities, there is cooperation with two other divisions, which are purchasing and selling divisions by changing the unit price and have an illegal negotiate with suppliers in order to get the materials more expensive. Lastly, Mr. James saw that there were major anomalies, especially in the budget allocation for the HRM department, which was quite a bit where it was said that they conducted training and recruiting new employees, where Mr. James sees that there is a possibility of falsification of evidence that created by HRM department.

Please make an audit plan activity to audit the three departments with different plans to be implemented according to their respective locations (you can write audit plans for the "accounting team", the "production team" and the "HRM team"). Make a fraud probability analysis based on an analysis of the fraud hexagon for the three departments. Do you think by implementing a good internal control will be able to prevent fraud that can be occur? How can you advise the company to do the internal control effectively based on your judgment regarding with the activities that occurred in those three departments?