Page 1 Please use 10-point font, single spacing. Part A (approximately 1/2 page) - Internal Controls Define and describe "Internal Controls." Tell why an effective intemal control system is necessary and what it is expected to accomplish. Give examples of internal controls designed to protect - - a company's cash, - its inventory, and - the integrity of its financial reports. Explain what a "control environment" is and how a company's managers can establish an effective control environment. Include your thoughts about the importance of every employee's contribution to the control environment. Part B (approximately 1/2 page) - Ethics and Fraud Define and describe "Ethics." Define "Fraud." Describe each of the elements of the fraud trangle and tell how it helps us to understand human behavior. How does this understanding help us to design effective internal controls? Tell why you think high ethical standards are important in the business environment. Page 2 - Ethical Analysis Z Evaluate the scenario provided on the next pege. Answer these questions based on your analysis: 1. Do you think Greg is an ethical and honest person? What evidence in the scenario supports your opinion of him? 2. How does the fraud triangle help us to understand Greg's behavior? 3. How do the circumstances of the scenario pose a threat to the corporation's cash and to the integrity of its financlal reports? 4. What internal control(s) could reduce the opportunity for Greg to succeed in pressuring you to commit fraud? 5. If the current sales goal is "achleved" fraudulently, what consequences do you think Greg and your team will experience next year? 6. Think about how you would be feelling after your last encounter with Greg. How does the fraud triangle help you to evaluate your predicament? How can you use this to determine an appropriate course of action? How far would you be willing to go to keep from sacrificing your personal and professional integrity? 7. Create a conclusion to the story. Write a paragraph describing what you would do. Can you suggest a way that the sales goel might be achleved legitimately