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Fundamental concepts in internal control.

Support your response from the e-text and/or course articles, do not use only web sites and avoid the unacceptable web sites. Use a specific example from your experience that illustrates the answer and demonstrates your understanding of course concepts. Responses should have both citation and reference.

Internal control has gained increasing importance among management, external auditors, regulators, and others.


-What fundamental concepts are embodied in the definition of internal control?

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The most fundamental concepts in internal controls include each of the mechanisms that make internal controls successful. Internal controls "are effected by people. It's not merely policy manuals and forms, but people functioning at every level" (Brown University, 2012). Internal controls are structured based on the control environment, a comprehensive risk assessment, the control activities, information and communication, and monitoring.
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Solution Summary

The solution provides a detailed discussion explaining the fundamental concepts that are embodied in the definition of internal control.