Share
Explore BrainMass

Difference between Evaluating and Reporting

Explain the difference between evaluating, reporting, and testing internal controls for public and nonpublic companies. Under what circumstances would you attempt or not attempt to apply the standards for public companies to nonpublic companies and why?

Solution Preview

Explain the difference between evaluating, reporting, and testing internal controls for public and nonpublic companies. Under what circumstances would you attempt or not attempt to apply the standards for public companies to nonpublic companies and why?

Evaluating internal controls is assessing the internal controls risk already established by an organization usually based on the manager's understanding and assumption of the controls such as:

1. Identify internal controls weakness

Complete a control risk matrix
a. Identify a transaction related audit objectives (TRAO) that applies to the type of transaction.
b. Identify specific controls that ...

Solution Summary

The differences between evaluating, reporting and testing internal controls for public and non public companies.

$2.19