Anitan, Glenn Mark F.

BSA - 3A2

In no more than five (5) sentences, describe the purpose of each control.
Authorization of Transactions
- When we say authorization of transactions, this control is used to make sure that all the
transactions are valid and in compliance with the management’s goal. Transactions
must be executed according to the terms of their general or specific authorizations, by
responsible personnel acting within the scope of their prescribed authority and
responsibility.
Complete and Accurate Record Keeping
- Audit trails which consist of source documents, journals and
ledgers must be complete and accurate because, they help in the day-to-day activities of
the firm by helping to identify the current stage of a transaction and also are a way for
the auditors to trace any transaction and verify it. It is necessary to assure that prompt,
timely, and accurate recording of transactions or economic events occurs.
Physical Control
- The purpose of having physical controls is to limit the exposures such as theft or
damage of company assets. The unauthorized use of assets can be prevented by using
appropriate access control measures. Security for physical assets can be provided with
the use of locks, safes, alarms, etc and for the information and the information system
with the help of firewall and passwords.
Internal Verification
- Internal Verification is when the transactions are verified by an independent person who
does not have any association with the task or the transaction performed, then there
are more chances of identifying errors or misrepresentations. Using independent
internal verification procedures, the company can identify the performance of
individuals, the validity of the processing system and the correctness of data