Internal controls are concerned with:
A) only manual accounting systems.
B) the extent of government regulations.
C) protecting against theft of assets and enhancing accounting information.
D) preparing income tax returns.

Question

Quizplus · Accepted Answer

Internal controls are set in place to protect against theft of assets and to enhance accounting information by ensuring accuracy, completeness, and reliability of financial statements. Internal controls can be applied to both manual and automated accounting systems, and they go beyond government regulations to ensure the financial stability and viability of a company. Internal controls are not focused on preparing income tax returns, although accurate financial statements are necessary for tax purposes.

Internal Controls Are Concerned With