FACULTY OF BUSINESS

ACCOUNTING SCHOOL

ACADEMIC REPORT

COURSE:

COMPREHENSIVE AUDIT

AUTHOR:

FLORES RIMACHI, DENILSON

TEACHER:

ARNALDO DIOGENES TRINIDAD MACEDO

Campus Lima Norte – Perú

2023
 INDEX
I. Introduction...........................................................................................................................3
II. Definition...............................................................................................................................4
2.1 What is Internal Control..................................................................................................4
2.2 What is Administration....................................................................................................4
2.3 What is sought with the C I............................................................................................4
2.4 What are the principles of Internal Control..................................................................5
2.4.1 Self control..............................................................................................................5
2.4.2 Autoregulation........................................................................................................5
2.4.3 Self-management...................................................................................................5
2.5 Responsibilities of CI......................................................................................................5
III. Importance of C I................................................................................................................6
3.1 What is the Flowchart and the Questionnaire?...........................................................6
3.1.1 Flowchart.................................................................................................................6
3.1.2 Advantages of the flowchart...............................................................................7
3.2 Questionnaire..................................................................................................................7
IV. Conclusion..........................................................................................................................8
V. Bibliographic references..................................................................................................9
I. Introduction

In the historical evolution of companies, the fact that in the past the owners
were in turn the managers in charge of business management has had a
marked importance.

Internal control is important for the accounting administrative structure of a

company. This ensures how reliable your financial information is, against fraud,
efficiency and operational effectiveness.

Internal Control is therefore not an isolated event, it is rather a series of actions

that occur constantly through the functioning and operation of a public or private
entity, and must be recognized as an integral component of each system or part
inherent to it. the administrative and operational structure existing in the
organizations, assisting the management in a constant manner, regarding the
management of the entity and the scope of its goals. This pronouncement deals
with the content and presentation of the report, by means of which the Public
Accountant communicates to the Management of the entity whose financial
statements it examines, the important weaknesses that have drawn their
attention during the study and evaluation of Internal Control, carried out on the
basis of selective, in order to determine the scope of the audit tests, and not to
express an opinion on it.
II. Definition

2.1 What is Internal Control

Gloria (2015) mentions that internal control is a process that every organization
or administration must carry out and that it must be designed to show us viable
security in relation to the objectives that have been achieved in a certain period,
it also tells us indicates that internal control has the function of evaluating the
effectiveness, efficiency and equity in all transactions or financial operations
that are carried out.

2.2 What is Administration

The administration appears since the man begins to work in society. The rise of
administration is an event of prime importance in social history. Few times in the
history of humanity has an institution become indispensable so quickly. The
administration is the specific body in charge of making resources productive,
that is, with the responsibility of organizing economic development.

The systematic body of knowledge on administration began in the middle of the

industrial revolution, in the 19th century, when large companies arose that
required new forms of organization and administrative practices.

2.3 What is sought with the C I

Organic Law of the National Control System and of the Comptroller General of
the Republic. (2016). Internal control is a process carried out by an organization
to provide a reasonable degree of assurance regarding the achievement of its
objectives, it acquires special importance in internal control, since it provides
financial information for the entity and, therefore, the statements contained in
the financial statements.

Seeks:

• Strategies.

• Give financial information.

• Effectiveness and efficiency.

• Comply with legal provisions and regulations.

2.4 What are the principles of Internal Control

2.4.1 Self control

 Evaluate and Control

 Identifies possible deviations
 Apply corrective measures
 Improvement Processes
 Manages efficiently and effectively transparently
2.4.2 Autoregulation

 Delimits the principles, ethical values and behaviors

 Establishes policies, controls in order to avoid possible risks in its
objectives.
2.4.3 Self-management

 Oversees the organization process

 Render Accounts
 Define and apply control measures
 Reports the imperfections observed in organizations

2.5 Responsibilities of CI

To have a good management of internal control, a responsibility is carried out,

this cost of:

 Formulate its strategic platform and the annual action plan that contains
the objectives, goals and activities that are intended, the description of
the policies, control objectives, areas and / or processes under control,
type of action, time, resources required and assigned managers

 Promote throughout the organization the formation of a culture of control

that contributes to continuous improvement in the fulfillment of the
institutional mission and in the fulfillment of the plans, goals, and planned
objectives.
  Communicate the results to the entity to publicize the product of its work,
so that it becomes an element of judgment for decision making.

III. Importance of Internal Control

An internal control system allows optimizing resources and achieving more

efficient financial and administrative management, improving productivity. It
contributes to making more accurate decisions and improving the prestige of
the entity.

According to Henao (2017) Internal control is important because it acts as a

protector against the various risks that may exist and can be generated within
companies, allowing the company to achieve its established objectives and
goals, also internal control is important since It allows us to reduce acts of
corruption and fraud that may occur, supporting the integrity and ethical
behavior of servers.

Likewise, there are two types of control procedures of great importance

  Preventive Control: they are established to avoid errors that can occur
during the development of transactions.
  Detection control: Its purpose is to discover errors or deviations that
during the development of transactions would not have been detected by
the preventive control procedure.

3.1 What is the Flowchart and the Questionnaire?

3.1.1 Flowchart

A flowchart or flowchart consists of a figure or graph that represents a series of

processes or a group of activities by means of symbols.
Therefore, the main utility of a flowchart is that it shows at a glance a process
that can be complex. In this way, each person involved in it knows what her job
is. This increases efficiency and reduces possible incidents. (Arias, 2020)
3.1.2 Advantages of the flowchart

 In a single image we will have enough information to know what we have

to do and make decisions about it.
 It allows us to know those points where there may be a problem and we
can make the corresponding improvements a posteriori and implement
them.
 Facilitates personal relationships between the people involved. For this
reason, in teamwork (including virtual ones) it is extremely useful. Each
party is clear about their part in the process.
 This way of representing processes makes it easy to understand the
different protocols implemented in the company.

3.2 Questionnaire

“An internal control questionnaire is a data collection tool that a company

provides to its employees for the purpose of conducting an audit and
determining which areas need to be focused on for improvement”. (Anonymous,
2020)

After completing the data collection through an internal control questionnaire,

the audit can use the information provided in the validation of the environment
and the development of the areas.

Each response must be validated, so respondents should be asked to provide the most
accurate information possible that truly reflects current business processes and
controls.

3.2.1 Questionnaire objectives

 Develop and maintain authority functionality to maintain organizational

controls.
  Clearly establish the functions and responsibilities of the different areas
of the organization and clarify possible sections that are not fully defined.
 Define an accounting system that offers complete and specific
information on the organization's operating results.
 Offer information that allows the organization's managers to clearly
design a process manual.
 Create a budget system for the future operations of the organization that
ensures compliance.

IV. Conclusion

 It can be concluded that internal control is of great importance in both

public and private companies, because it will help us achieve all the
objectives and goals that are established, as well as a good analysis and
management in companies.
 Finally, administration is extremely important in companies, since it helps
us through tools, processes and better decision-making to improve the
development and economy of the organization.
 We can conclude that the flow chart and the questionnaire are very
important for internal control since it allows us to have an order, which
allows us to understand how to measure the quality of processes in each
required area.
 Internal Control is a development that is carried out at all levels of an
organization, in order to fairly protect the fulfillment of the objectives. This
process is essential to protect assets, verify the accuracy and veracity of
administrative and financial information, stimulate the effectiveness of the
organization, determine the efficiency of operations and the economy in
the application of resources for objectives.
V. Bibliographic references

Arias, E. R. (08/31/2020). flowchart. Retrieved from

https://economipedia.com/definiciones/flujograma.html

Ramon Ruffner, J. (2016) Internal Control in Private Companies. Magazine of

the UNMSM,18,2-22. https://www.redalyc.org/pdf/4259/425942331004.pdf

HENAO FAIR, Y. (2017). Importance of internal control as a tool in the detection

and prevention of business risks. Retrieved from:
https://bibliotecadigital.univalle.edu.co/bitstream/handle/10893/11020/0567378.
pdf;jsessionid=DA2FE68AC065274F218B4B1AA2C152C1?sequence=1

Article 6 of Law No. 27785, Organic Law of the National Control System and the
Comptroller General of the Republic.
https://doc.contraloria.gob.pe/PACK_anticorrupcion/documentos/3_CONTROL_
INTERNO_2016.pdf

Perspectives. (2007). Origin and Development of the Administration. NR, 20.

Bolivian Catholic University San Pablo Cochabamba, Bolivia. Retrieved:
https://www.redalyc.org/pdf/4259/425942331004.pdf

Lopez Calva, M. (2013). Professional ethics and complexity: The principles and
religation. Educational Profiles, 35(142), 43-52.
https://www.scielo.org.mx/pdf/peredu/v35n142/v35n142a20.pdf

Ibarra, G. (2005). Ethics and comprehensive professional training. Reunion, 43.

Retrieved from: http://www.redalyc.org/articulo.oa?id=34004303