The measures used by an organization to provide reasonable assurance that the organization produces reliable financial reports,complies with applicable laws and regulations,and conducts its operations in an efficient and effective manner are collectively
A)Generally accepted accounting principles.
B)Financial accounting standards.
C)Securities and exchange regulations.
D)The internal control structure.

Question

Quizplus · Accepted Answer

The measures used by an organization to provide reasonable assurance that the organization produces reliable financial reports, complies with applicable laws and regulations, and conducts its operations in an efficient and effective manner are collectively known as the internal control structure. This includes the processes, procedures, and policies put in place by management to ensure that risks are identified, assessed, and managed appropriately. The internal control structure is an essential component of an organization's risk management and corporate governance framework.

The Measures Used by an Organization to Provide Reasonable Assurance