Question

Internal control includes ___________.

• A. Cost Audit
• B. Internal checks
• C. Internal audit
• D. Both (B) and (C)

Answer 1

Answer: (D)

Both (B) and (C)

Internal controls is a process of achieving the organization objective by ensuring operational efficiencies and financial discipline along with compliance.

Internal check is a method of ensuring a system of check and balances where the work of one employee is automatically checked by another person.

Internal audit is an examination, analysis and monitoring of business operations to make a comprehensive review of overall business.

Internal checks and Internal audit are part of internal control.