_____ refers to a system of rules and procedures designed to ensure the accuracy and reliability of financial and accounting information.
A) Internal controls
B) External controls
C) Environmental controls
D) Global controls
E) Legal controls

Question

Quizplus · Accepted Answer

Internal controls refer to the policies and procedures established within an organization to ensure the accuracy and reliability of financial and accounting information. This includes measures such as segregation of duties, authorization and approval procedures, and physical controls over assets. External controls, on the other hand, are measures put in place by external parties such as auditors or regulators. Environmental controls relate to measures taken to protect the environment, global controls relate to multinational regulations and laws, and legal controls refer to the legal system and frameworks in place to regulate business activities.

_____ Refers to a System of Rules and Procedures Designed