The Objectives of Internal Control Are to

question 120

Multiple Choice

The objectives of internal control are to

• A) control the internal organization of the accounting department personnel and equipment
• B) provide reasonable assurance that operations are managed to achieve goals, financial reports are accurate, and laws and regulations are complied with
• C) prevent fraud, and promote the social interest of the company
• D) provide control over "internal-use only" reports and employee internal conduct

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Definitions:

Corporate Power

The legal authority and inherent capacities that a corporation possesses to conduct business, enter into contracts, and own assets.

Board of Directors

A group of individuals elected to represent shareholders and make decisions on major company issues, including strategy, governance, and overall direction.

Board of Supervisors

A governing body elected or appointed to oversee the administration of county government in some U.S. states.

Corporate Officers

Individuals appointed to manage the day-to-day operations and strategic direction of a corporation, typically holding titles such as CEO, CFO, or COO.