What are good internal controls?

Expert Solution

Good internal controls are essential to assuring the accomplishment of goals and objectives. They helps to provide reliable financial reporting for management decisions. Also it ensures effective and efficient operations that accomplish the goals of the unit and still protect assets and employees.

The major five components of internal controls are control environment, risk assessment, control activities, monitoring, information and communications. Every business have their own mission and vision to get their goal. So for getting into their goals, there should be many decisions to be taken, proper orientations of the programmes to be done and other things. So for all these to be done, there must be a good internal controls which helps to boost the companies performance and also safeguards the assets of the company.

SUMMARY:

A good internal Controls not only helps to achieve the companies goals but also ensures the safeguarding of assets and avoids the risks.

ekkarill92 answered 1 year ago

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What are good internal controls?

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