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Phase 2 Individual ProjectAudit Review and Documentation Colorado Technical University OnlineACCT644-1404B-01: Management Control and AuditingProfessor: Dr. Carla HodgeDecember 1, 2014
I. IntroductionEvery business encounters various doubts and perils, which could either adversely or positively alter it. Risk can be handled via various methods, such as: recognition, evasion, transference, or control. Internal controls are the customary technique utilized to reduce the possible adverse effects that can be caused by risk and uncertainty. In order to effectively assess the internal controls that are currently being utilized at Bovar Company there are three key objectives that firms must adhere to in order to build an efficient and effective internal control structure:1.Dependability of fiscal records2.Efficient and effective manufacturing processes3.Adherence to legalities and rules (Glover, 2014)II. Dependability of Fiscal Records The dependability of fiscal records indicates that the auditor experiences affirmation that a business’s transactions transpired as a result of factual and approved happenings, no transactions were over-looked and no transactions were dually reported. Also, the examiner will