The 2013 COSO Report stresses that:
A)Internal control is a process
B)An internal control system, if properly designed, can become a substitute for management
C)People only at high levels of an organization are an important part of an internal control system
D)An internal control system should consist of three interrelated components: the control environment, risk assessment, and control activities

Question

Quizplus · Accepted Answer

The 2013 COSO Report emphasizes that internal control is a process, designed to provide reasonable assurance regarding the achievement of objectives in effectiveness and efficiency of operations, reliability of financial reporting, and compliance with applicable laws and regulations. It does not suggest that an internal control system can substitute for management, nor does it limit the importance of people in the internal control system to only those at high levels. Additionally, it outlines five interrelated components of an internal control system, not just three: the control environment, risk assessment, control activities, information and communication, and monitoring activities.

The 2013 COSO Report Stresses That