INTERNAL CONTROL, INTERNAL
AUDIT AND INTERNAL CHECK
Que. 1.
Define internal check.
Ans.:
According to Ronal A. Irish, Internal check refers to the organisation of
office duties in such a way as to prevent or disclose both errors and frauds.
Que. 2.
Define Internal Audit.
Ans.:
Internal control means not only internal check and internal audit, but the
whole system of controls, financial and otherwise, established by the
management, in order to carry on the business of the company in an orderly
manner, to safeguard its assets, and to secure as far possible the accuracy and
reliability of its records.
Que. 3.
What is audit programme?
Ans.:
Existence and effective implementation of internal control enables the auditor
to design audit programme serving the highest order of audit performance.
Que. 4.
What is job Cards?
Ans.: In
case of piece rate system, every worker is given job cards. The work assigned
and the work done for the day or the week is recorded ‘in the job card. It is
the base for preparation of wage sheet. Every entry in the job card is to be
signed by foremen of the department.
 |
| Internal Audit |
Que. 5.
Write two objectives of the internal control.
Ans.: 1.
Managerial policies: Internal control aims to the strict adherence to
managerial policies. It expects that all business operations are being executed
in due compliance with management philosophy, plans, principles, policies and
procedures so as to attain highest degree of organizational performances
2.
Authentication: Internal control aims to ensure that every transaction is being
undertaken with due authentication from responsible officials.
Que. 6.
Write two objectives of the internal audit.
Ans.: 1.
To develop and maintain higher level of operational efficiency of the
organisation.
2. To guide the management in framing and
effective implementation of standard financial policies, procedures in
accounting and working of the whole organisation.
Que.
7. Write two objectives of the internal
check.
Ans.: 1.
Proper division of work.
2.
Minimization of Errors and Frauds.
Que. 8.
Describe Internal Check on Cash sales.
Ans.:
Large scale retail Oiganisational may deploy internal check system for cash
sales. Cash sales may take place either at the sales counter, cash sales by
travelling salesmen, postal sales.
Que. 9.
Describe the Internal Check for sales by Travelling Salesman.
Ans.: The
travelling salesmen are assigned with the main task of effecting sales. Along
with sales travelling salesman may be allowed to collect cash either for cash
sales or due to debts receivables.
Your Friend
Smdsohail
Follow me on-
Instagram- Skisohotrends
Twitter- Smdsohail8
Facebook
Page- SkiSohotrends
Our branded
shopping site- Soho Online Mart
0 comments:
Post a Comment