What's The Difference Between Internal Control, Internal Check And Internal Auditing?


6 Answers

Joe Gilbert Profile
Joe Gilbert answered
Internal control is a term most often used in business and in accounting more specifically. It is defined as a process used by an organization that is designed to help them accomplish specific goals.  Foremost among those goals most often are the prevention of theft, by employees and outsiders as well, and internal controls to prevent collusion among employees. An internal check can be something as simple as a tag that is signed off as an item moves through the production process. An internal audit is an independent process from within an organization to add value and improve the overall operations of a business.

The scope of an internal audit within an organization can be very broad and it can involve things such as the reliability of financial accounting, investigating fraud and collusion, the safeguarding of assets, and ensuring compliance with all local, state, and federal laws and regulations. Most often internal auditors report back to management and/or the board of directors of a company with results of their investigations. Since internal auditors must a have a broad business background and most often have higher education to be able to do their jobs.

Recent developments in internal auditing have moved away from the traditional roles of ensuring compliance with company policy and state and government regulations. Now the focus of an internal audit is more frequently focused on the monitoring and evaluation of enterprise risk and rewards, based on a number of potential actions.

Internal controls, internal checks, and internal auditing are all necessary elements in an organization, no matter the type or size of the business. It can help to avoid losses, cut costs, and take advantage of situations when they present themselves. Expect this field to grow even more in the future as a changing workforce will require more audits and checks on it.
Amen Bukhari Profile
Amen Bukhari answered
Internal audit means continuous audit by the employees. Internal check means the separation of tasks and divisions of duties. Internal audit is concerned with examination of records after their completion. Internal check is a part of accounting system. Internal audit may not be conducted for the whole year. Internal check is applicable throughout the year.
Internal audit is concerned with detection of errors.

Internal check is concerned with prevention of errors. Internal audit is concerned with detection of frauds. Internal check is concerned with prevention of frauds. There is special staff to conduct internal audit. There is no special staff to apply internal check. The work of accounting staff is checked after they have recorded transactions. The work of one person is checked by another at the time of recording transactions.

The internal auditor may investigate about the business activities. The internal check is not related to any investigation. Reporting is the function of internal audit. The auditor can find out the weakness of various functions. The report is submitted to the management. There is a need to go through the report. The weakness and proposals can be examined in detail. The report is submitted to the management by audit staff. The report is not submitted to the management by any person.
Anonymous Profile
Anonymous answered
I want the difference between internal control and internal checks
Arthur Wright Profile
Arthur Wright answered
Internal check is to find any problems within its finacial records and control is taking care of that problem once and for all and making sure it stays gone
Anonymous Profile
Anonymous answered
The internal check is allocating work to different members f the staff in such a manner that the day-to-day work of one members of the staff is automatically checked by another. This is to ensure accuracy and prevent frauds. On the other hand, internal audit is not a part of internal check. The staff appointed by the management in the internal audit department verifies the records maintained by various departments. In the former, checking is not done for the purpose of checking. The work is so allotted. But in the case of internal audit, checking is done for the purpose of internal audit.
Aisha Profile
Aisha answered
Internal control refers to a process that is designed for helping the organization to accomplish goals and objectives through people of the organization and IT systems. Whereas Internal Check is a part of Internal Control. It refers to the accounting procedure that safeguards against frauds and losses. On the other hand Internal Auditing is an activity that devises ways for organizations for better achievement of objectives.
thanked the writer.
Anonymous commented
Internal auditing does not devise ways, it evaluates the adequacy and effectiveness of these ways and suggests improvements. It is Management's responsibility to devise ways.

Answer Question