The Committee of Sponsoring Organizations (COSO) was established by the Treadway Commission to work on a common definition for internal control. The Control Objectives for Information and Related Technology (COBIT) was a project undertaken by the Information Systems Audit and Control Foundation that involved an extensive examination of the internal control area.
Conduct a preliminary search and:
- Discuss why these two committees are so important.
- Discuss components of internal control system. In your opinion, which component is the most important and why?
- Why are accountants so concerned about their organization having an efficient and effective internal control system?
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