Gladly Company is a company that manufactures plastic products for industrial use. It has a mainframe computer system. Last year,...

Gladly Company is a company that manufactures plastic products for industrial use. It has a mainframe computer system. Last year, Gladly suffered a $500,000 loss due to fraud perpetuated by a computer programmer. The programmer manipulated Gladly's accounting program so that several cheques were issued to him personally. Each cheque was less than $10,000 which did note require approval from the controller. These smaller cheques for approved vendors were processed automatically by the program and electronic signatures were applied to the cheques. Any cheque of $10,000 or more had to be approved and signed by the controller a) Define general computer controls and application controls. Provide an example of each. b) Provide two examples of a general control that may have prevented the fraud. C) Describe the implications of weak general controls on application controls and on the financial statement.