Define what it is meant by internal control. Provide a minimum of three examples.
It is the end of the accounting period, and your boss asks you to help determine the inventory balance to place in the company's balance sheet. Explain which physical quantities of inventory that you will include, and which you will exclude.
Meaning of Internal control:
An accounting procedure or system designed to promote efficiency or assure the implementation of a policy or safeguard assets or avoid fraud and error etc.
Definition of internal control:
Entire financial and other controls covering the organization, method, process and internal audit established by the administration in order to ensure that the activities
are carried out in an effective, economic and efficient manner in compliance with the purposes of the administration and determined policies and the legislation, the assets and resources are protected, accounting records are kept in an accurate and complete manner and financial and management ...
The internal control accounting periods are examined.