Practicing Success
What are internal control designed to do? |
Safeguard assets and optimise use of resource Only to achieve maximum revenue Only safeguard assets Only ensure accurate accounting records |
Safeguard assets and optimise use of resource |
The correct answer is Option (1) - Safeguard assets and optimise use of resource. The primary purpose of internal controls is to help safeguard an organization and further its objectives. Internal controls function to minimize risks and protect assets, ensure the accuracy of records, promote operational efficiency, and encourage adherence to policies, rules, regulations, and laws. |