Accounting & Auditing Updates

A D V A NT A G ES OF E F F ECTIVE INT E R N AL CONTROL An e f f ec t i ve in te rn a l c o ntrol s y stem will h e lp a n e nt i t y ac hieve the fo u r g e n e r a l obj e c t i v e s of in t e rn a l cont r ol, as hint e d in t he d e finit i on of in t e rn a l cont r ol i . e .: i.     P romote a n e th i ca l, o r d e r l y , ec onom i ca l, e f f ici e nt a nd e f f e c t i ve op e r a t i ons a nd use of Organization’s re sour c e s; ii. Safeguard r e sou r ce s a g a inst loss due to w a ste, a buse, the f t, m i sman a g e m e nt, e r r o r s a n d f ra ud;   iii. P romote c omp l ian c e to l a ws, r e g ulations, pol i c ies a nd p r o ce d u r e s, a nd e th i ca l valu e s; iv. I d e nt i f y r isks a nd d e v e lop e f fe c t i ve str a t e g ies a nd p r o ce du r e s to control or man a g e them;       v.    F ulfil l ing ...

INT E R N AL CONTROL DE F INITION O F INT E R N AL CONTROL I nt e rn a l cont r ol i s d e fin e d a s follows: “ Int e rnal c ontrol is an i n tegral proc e ss that is af f e c ted by an e nt i ty ’ s man a g e m e nt and p e rsonnel and is d e signed to add r e ss ri s k s and to pr o v ide r e asonable assuran c e t hat in pursu i t of the e nt i ty ’ s mission, t he fo l lo w ing gen e ral obje c t i ve s are be ing achi e v e d: ·      E xec ut i ng ord e rly, e th i c a l, e c onomi c al, eff i c ient a nd e f f ec t i v e op e rat i ons; ·       Ful f i l l i ng a cc ountab i l i ty obl i gat i ons; ·      C ompl y ing w i t h appl i c a b le laws and regulat i ons; ·      Safeguarding resour ce s against l oss, misuse a nd damage ” . The d e finit i on hi g hl i g hts t he f ol l ow i ng k e y is s u e s r e lati...

L i st o f C ommo n E xa mp l es o f R i sks There are various strategic, operational,  financial, systems and knowledge risks facing various organization. These risks if not well managed, are likely to hinder organization in achieving their strategic objectives. Pl e a s e be aw a r e t h a t t h i s li st do e s not r e p r e s ent a co m p l e t e l i s t of p o s s i b l e r i sk a r eas, n o r w i l l a l l o f t h e s e ri s k s be a p p l i ca b l e t o a l l o r g an i z a ti o n s . T he l i st h a s b een c r e a t ed t o s t i m u l a t e d i s c us s i on on r i s k , r a t h er t han as a co m p r ehen s i v e c h eck li s t . S T R A T EG I C RISKS I ncl u di n g : G ov e r n a nce, St a k e h o lder Rel at i o n s h ip s , R e p ut a t i o n, E n v ir o n m ent        Ch a n g es i n s e rv ices pro v i d ed        L o s s o f c u s t o m e r s ...