Internal Controls Over Assets

Internal Controls Over Assets

Companies lose millions of dollars each year through employee theft and fraud. To prevent this, internal controls are implemented. We will examine the types of controls companies use, and discuss what happens when these controls are missing.

Consider this scenario: You own a small business with 25 employees. In your initial post, explain which internal controls you would use to protect your assets and ensure that your financial statements are accurate.

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Internal Control over Assets

Many small businesses ought to think that internal control is only useful for large organizations, for instance, in our case of 25 employees internal control is important. However, there can be a modification of much internal control for small industry. For example, a sole proprietor can reconcile their chequebook as well as bank statements regularly alongside actual.

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