与内部控制论文相关的外文文献

AClearLookatInternalControls:TheoryandConceptsAbstract:Internalcontrolisanaccountingprocedureorsystemdesignedtopromoteefficiencyorassuretheimplementationofapolicyorsafeguardassetsoravoidfraudanderror.InternalControlisamajorpartofmanaginganorganization.Itcomprisestheplans,methods,andproceduresusedtomeetmissions,goals,andobjectivesand,indoingso,supportperformance-basedmanagement.InternalControlwhichisequalwithmanagementcontrolhelpsmanagersachievedesiredresultsthrougheffectivestewardshipofresources.Internalcontrolsshouldreducetherisksassociatedwithundetectederrorsorirregularities,butdesigningandestablishingeffectiveinternalcontrolsisnotasimpletaskandcannotbeaccomplishedthroughashortsetofquickfixes.Inthispapertheconceptsofinternalcontrolsanddifferentaspectsofinternalcontrolsarediscussed.Keywords:InternalControl,ManagementControls,ControlEnvironment,ControlActivities,Monitoring1.IntroductionThenecessityofcontrolinnewvariablebusinessenvironmentisnotlatentforanypersonandmanagementasaresponsefactorforstockholdersandanothershouldimplementagreatcontroloverhis/herorganization.Controlistheactivityofmanagingorexertingcontroloversomething.Theemergenceanddevelopmentofsystematicthoughtsinrecentdecaderequiredanewattentiontobusinessresourceandcontroloverthiswealth.Oneofthehottopicaboutcontrolsoverbusinessresourceisanalyzingthecost-benefitofeachcontrol.InternalControlsserveasthefirstlineofdefenseinsafeguardingassetsandpreventinganddetectingerrorsandfraud.WecansayInternalcontrolisawholesystemofcontrolsfinancialandotherwise,establishedbythemanagementforthesmoothrunningofbusiness;itincludesinternalcheek,internalauditandotherformsofcontrols.COSOdescribeInternalControlasfollow.Internalcontrolsarethemethodsemployedtohelpensuretheachievementofanobjective.Inaccountingandorganizationaltheory,Internalcontrolisdefinedasaprocesseffectedbyanorganization'sstructure,workandauthorityflows,peopleandmanagementinformationsystems,designedtohelptheorganizationaccomplishspecificgoalsorobjectives.Itisameansbywhichanorganization'sresourcesaredirected,monitored,andmeasured.Itplaysanimportantroleinpreventinganddetectingfraudandprotectingtheorganization'sresources,bothphysical(e.g.,machineryandproperty)andintangible(e.g.,reputationorintellectualpropertysuchastrademarks).Attheorganizationallevel,internalcontrolobjectivesrelatetothereliabilityoffinancialreporting,timelyfeedbackontheachievementofoperationalorstrategicgoals,andcompliancewithlawsandregulations.Atthespecifictransactionlevel,internalcontrolreferstotheactionstakentoachieveaspecificobjective(e.g.,howtoensuretheorganization'spaymentstothirdpartiesareforvalidservicesrendered.)Internalcontrolproceduresreduceprocessvariation,leadingtomorepredictableoutcomes.Internalcontrolswithinbusinessentitiesarecalledalsobusinesscontrols.Theyaretoolsusedbymanager'severyday.toencouragecompliance,lockingyourofficetodiscouragetheft,andreviewingyourmonthlystatementofaccounttoverifytransactionsarecommoninternalcontrolsemployedtoachievespecificobjectives.Allmanagersuseinternalcontrolstohelpassurethattheirunitsoperateaccordingtoplan,andthemethodstheyuse--policies,procedures,organizationaldesign,andphysicalbarriers-constitute.Internalcontrolisacombinationofthefollowing:1.Financialcontrols,and2.OthercontrolsAccordingtotheinstituteofcharteredaccountantsofIndiainternalcontrolistheplanoforganizationandallthemethodsandproceduresadoptedbythemanagementofanentitytoassistinachievingmanagementobjectiveofensuringasfaraspossibletheorderlyandefficientconductofitsbusinessincludingadherencetomanagementpolicies,thesafeguardingofassetspreventionanddetectionoffraudsanderrortheaccuracyandcompletenessoftheaccountingrecordsandtimelypreparationofreliablefinancialinformation,thesystemofinternalcontrolextendsbeyondthosematterswhichrelatetothefunctionofaccountingsystem.Inotherwordsinternalcontrolsystemofcontrolslaydownbythemanagementforthesmoothrunningofthebusinessfortheaccomplishmentofitsobjects.Thesecontrolscanbedividedintwopartsi.e.financialcontrolandothercontrols.Financialcontrols:-Controlsforrecordingaccountingtransactionsproperly.-Controlsforpropersafeguardingcompanyassetslikecashstockbankdebtoretc-Earlydetectionandpreventionoferrorsandfrauds.-ProperlyandtimelypreparationoffinancialrecordsIebalancesheetandprofitandlossaccount.-Tomaximizeprofitandminimizecost.Othercontrols:Othercontrolsincludethefollowing:Qualitycontrols.Controloverrawmaterials.Controloverfinishedproducts.Marketingcontrol,etc6.PartiesResponsibleForAndAffectedByInternalControlWhileallofanorganization'speopleareanintegralpartofinternalcontrol,certainpartiesmeritspecialmention.Theseincludemanagement,theboardofdirectors(includingtheauditcommittee),internalauditors,andexternalauditors.Theprimaryresponsibilityforthedevelopmentandmaintenanceofinternalcontrolrestswithanorganization'smanagement.Withincreasedsignificanceplacedonthecontrolenvironment,thefocusofinternalcontrolhaschangedfrompoliciesandprocedurestoanoverridingphilosophyandoperatingstylewithintheorganization.Emphasisont