3.) The internal control concepts that Trubeys must implement:

a. Segregation of duties - No one person should be responsible for all transactions from the beginning to the end. Those responsibilities should have been performed by more than one person. Like, maintaining the cash receipts and the sales records. Another concept that this relates to is that no one individual should perform more than one of the following; recording transactions, authorizing transactions and maintaining custody over the assets. The company must separate the three; selling jewelry, putting items in layaway, recording sales, maintain cash receipts and accepted the cash, to prohibit incompatible duties. b. Physical safeguarding of assets – Safeguarding assets against theft and unauthorized use, acquisition, or disposal is also part of internal control.They must carefully handle and keep all the cash that came in, so people may have an ample opportunity to skim the cash even before any transactions were recorded. c. Proper Authorizations –transactions and activities helps ensure that all company activities adhere to established guide lines unless responsible managers authorize another course of action. Cashiers should not be given an authority to record and authorize the transactions. They should not have the authority to record sales returns, or having access to layaway or jewelry items. This authority should be given to a manager above her. d. Independent checks – on performances, which are carried out by employees who did not do the work being checked, help ensure the reliability of accounting information and the efficiency of operations. For example, the manager verifies the accuracy of a retail clerk's cash drawer at the end of the day. Internal auditors may also verify that the manager performed the check of the cash drawer, layaway transaction receipts, and the