Would like some assistance writing a 800 word paper discussing what defines internal controls and list some examples that might help a small business owner.
Internal control refers to the systems developed in the organization to guard the reliability of the business activities and financial statements. Internal controls are those arrangements put in place to make certain that the assets of the organization are defended from loss, stealing, or exploitation. Internal controls structure is a process affected by the organization's top management and other employees that gives a substantial degree of reassurance that the objectives of the organization are being achieved. In a practical sense, internal control refers to techniques in place to avert fraud, lessen errors, augment operating efficiency, and increase compliance with established policies. These are methods in place that guard against mistakes or frauds.
Internal controls are methods that provide reassurance with regards to financial reports, efficiency of operation, conformity with the relevant laws and regulations. What emerges is that internal control cannot be the responsibility of a single individual but is the responsibility of every individual. In addition, internal controls are important because they actively help the company achieve its operating, financial accounting, and legal conformity objectives. Most important, internal controls do not provide absolute assurance that the objectives will be achieved. In other words, it only provides reasonable ...
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