Financial Education - Internal accounting control as an instrument for the correct management of business assets

in hive-175254 •  last year 

Continuing with my articles on the internal control system, I must clarify that these accounting systems are made up of the financial statements for planning, verification and information, because these systems provide business managers with authority for the correct organisation of the entity.

Source ( cricpa )

Improving the internal control systems implies adapting them to the nature, structure, characteristics and mission of the business entity, since the audit of the organisation's internal control systems serves to propose economic and financial growth strategies to the highest authority of the respective organisation.

Therefore, internal control is inherent to the development of the activities of business entities, as it must be designed to prevent errors and fraud, and the control mechanisms must also be found in the drafting of all the rules of the business entity.

In short, internal control is part of the set of methods and procedures that are used by the organisation as a measure to safeguard its assets, all of which is used to comply with internal and external requirements of the business entity.

Source ( smallbusiness )

In other words, internal control systems generate a wide range of information about the assets of the entity under study, understood as an instrument capable of channelling the correct management of current assets through internal control.

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