Problem 8-1A Analyzing internal control LO C1 Following are five separate cases involving internal control issues. Required: 1. For each case, identify the principle(s) of internal control that is violated. a. c. Tywin company keeps very poor records of its equipment. Instead, the company asserts its employees are honest and would never steal from the company. Ben Shales prides himself on hiring quality workers who require little supervision. As office manager, b. Ben gives his employees full discretion over their tasks and for years has seen no reason to perform independent reviews of their work. At Tico Company, Julia and Trevor alternate lunch hours. Julia is the petty cash custodian, but if someone needs petty cash when she is at lunch, Trevor fills in as custodian. d. Chi Han receives all incoming customer cash receipts for her employer and posts the customer payments to their respective accounts. Carla Farah's manager has told her to reduce costs. Carla decides to raise the deductible on the plant's property insurance from $5 thousand to $10 thousand. This cuts the property insurance e. premium in half. In a related move, she decides that bonding the plant's employees is a waste of money because the company has not experienced any losses due to employee theft. Carla saves the entire amount of the bonding insurance premium by dropping the bonding insurance