Ethics:

Ethics is the set of some moral values and principal that differentiate right and wrong morally.

Internal control:

Internal control is the process designed by the management to achieve the following objectivities:

• Effectiveness of the operations and rescue the risk of assets loss.

• Reliability of financing and non-financing external and internal reporting.

• Follow the applicable rules, regulations, and laws.

Audit:

The audit is the process of checking the financial statements of a company `to ensure that it is 100% authentic and free from any kind of bias or fraud.

Unqualified audit report:

It is also called a clean audit. This is a type of report where the financial reports are free from all kinds of bias, errors, and manipulation. The company follows all rules and regulations under GAAP properly. Investors and banks the companies that come under this type.

Fraud:

Fraud means the willingly wrong representation of something, to hide some material facts from outsiders or mislead them about some facts.

Three conditions of fraud:

• Pressure: When a person is working very well but no one is appreciating him for his good work.

• Opportunity: In this when the person gets the chance to fraud because of his work and responsibility and no one will doubt him.

• Rationalization: The person realizes that this fraud will help him and harm no one. The person thinks it is not bad.