COSO: a Framework for Internal Control What Is Internal Control

question 63

Essay

COSO: A Framework for Internal Control What is internal control as defined by COSO? Also,explain the other elements of the definition that are important to internal control.

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Definitions:

High Risk

Situations or ventures involving a significant possibility of loss, failure, or negative outcomes, often accompanied by the potential for high rewards.

Value Engineering

A systematic method to improve the "value" of goods or products and services by using an examination of function.

Value Analysis

A systematic assessment to reduce costs while maintaining or improving performance and quality in products or processes.

Reasonable Profit

A profit margin that is considered fair and acceptable, taking into account the costs of goods sold, operating expenses, and market standards.