BU477 Chapter Notes - Chapter 8: Esure, General Ledger, Internal Control
Document Summary
Bu477 chapter 8 notes: the policies and procedure institute and maintained by the management of an e(cid:374)tit(cid:455) i(cid:374) order to pro(cid:448)ide reaso(cid:374)a(cid:271)le assura(cid:374)(cid:272)e that (cid:373)a(cid:374)age(cid:373)e(cid:374)t"s o(cid:271)je(cid:272)ti(cid:448)es are met. Strategic, high level goals that support the mission of the entity: 2. A high level of assurance that allows for only a low likelihood that material misstatements will not be presented or detected on a timely basis by internal control. Inherent limitations the effectiveness of the system is dependent on the competence and dependability of the people using it. Collusion: a cooperation effort among employees or management to defraud a business of cash, inventory or other assets. Internal control framework= committee of sponsoring organizations of the treadway. Commission (coso) internal control- integrated framework = gaap: 1. Management must evaluate the design of internal control over financial reporting: 2. Management must test the operating effectiveness of those controls.
