Explain the components of internal control; evaluate internal controls) Each

P4-57B(Learning Objectives 2, 4: Explain the components of internal control; evaluate internal controls) Each of the following situations reveals an internal control weakness:Situation a. In evaluating the internal control over cash payments of Yankee Manufacturing, an auditor learns that the purchasing agent is responsible for purchasing diamonds for use in the company’s manufacturing process, approving the invoices for payment, and signing the checks. No supervisor reviews the purchasing agent’s work.Situation b. Rachel Williams owns an architectural firm. Williams’ staff consists of 19 professional architects, and Williams manages the office. Often, Williams’ work requires her to travel to meet with clients. During the past six months, Williams has observed that when she returns from a business trip, the architecture jobs in the office have not progressed satisfactorily. Williams learns that when she is away, two of her senior architects take over office management and neglect their normal duties. One employee could manage the office.Situation c. Mike Dolan has been an employee of the City of Southport for many years. Because the city is small, Dolan performs all accounting duties, in addition to opening the mail, preparing the bank deposit, and preparing the bank reconciliation.Top of Form▸ Requirements1. Identify the missing internal control characteristic in each situation.2. Identify each firm’s possible problem.3. Propose a solution to the problem.Bottom of FormCategoryPointsDescriptionUnderstanding10Demonstrate a strong grasp of the problem at hand. Demonstrate understanding of how the course concepts apply to the problem.Analysis30Apply original thought to solving the business problem. Apply concepts from the course material correctly toward solving the business problem.Execution10Write your answer clearly and succinctly using strong organization and proper grammar. Use citations correctly.Total50A quality paper will meet or exceed all of the above requirements.