assessing control risk
Not what you're looking for?
See attached file for full problem description.
Purchase this Solution
Solution Summary
This explanation provides you a comprehensive argument relating to assessing control risk
Solution Preview
OBTAINING AND DOCUMENTING THE UNDERSTANDING:
The first stage is to obtain the understanding of the system. This means getting the information and understanding the operating environment of the organization. The auditor should write down the various components of the operating environment like the laws that are applicable to the organization and keep a record of these. The internal auditor should then understand the goals and objectives of the organization and assess the related risks. The internal auditor needs to check the controls, understand the related policies and evaluate the procedures. He should enter these controls, polices and procedures in his working papers. He should then examine and understand the information system and communication techniques in use in the organization and enter their details in his working papers. Finally, he should understand the method used to monitor the performance of the organization. He should use evaluate their effectiveness, assess their weaknesses and enter the relevant information in their working papers;
PERFORMING CONCURRENT TESTS OF CONTROLS:
While the internal auditor is performing his duties he should carefully observe the control system. This is an important test of control. The next test is to inspect the corroboration that the control procedures were carried out. Were ...
Education
- BSc , University of Calcutta
- MBA, Eastern Institute for Integrated Learning in Management
Recent Feedback
- "I read your comments, and thank you for this feedback. Do I need to find other studies that applied this methodology Ive used? That's where I'm stuck at."
- "Thank you kindly sir. "
- "Excellent and well explained. --Thank you kindly. "
- "Awesome notes. I appreciate you."
- "I have the follow-up project and I will assign that to you very soon. "
Purchase this Solution
Free BrainMass Quizzes
Marketing Research and Forecasting
The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.
Six Sigma for Process Improvement
A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Basics of corporate finance
These questions will test you on your knowledge of finance.