Internal controls are considered to be part of corporate governance.

Question

Quizplus · Accepted Answer

Internal controls are a set of measures and policies put in place by a company to ensure that it operates effectively and efficiently, safeguard its assets, comply with laws and regulations, and produce reliable financial reporting. As such, internal controls are an important component of corporate governance, which refers to the system of rules, practices, and processes by which a company is directed and managed. The goal of corporate governance is to promote transparency, accountability, and ethical behavior, and to protect the interests of shareholders and other stakeholders.

Internal Controls Are Considered to Be Part of Corporate Governance