Introduction
An internal control is a process designed to provide reasonable assurance regarding the achievement of objectives relating to operations, reporting, and compliance. Establishing and using proper internal controls is vital and can help set the ethical tone within an organization. A clear understanding of roles and responsibilities is key when establishing internal controls. Maintaining proper internal controls and roles and responsibilities helps deter fraudulent activity and ensures that financial statements are prepared both timely and accurately.
What you will find here
Internal Controls: This portion of the book will provide an overview of internal controls for financial accounting.
In particular, it will provide an understanding of internal controls, the types and components of internal controls, and requirements for the development and implementation of these controls in accordance with IU policies and standards. This portion of the book also provides an overview of financial process narratives and requirements when financial process narratives are needed.
Roles and Responsibilities: This portion of the book will provide guidelines for assigning appropriate roles and responsibilities for the financial duties within a unit. This portion of the book defines a Constituent Reporting Unit and requirements for Constituent Reporting Units at IU, provides a list of current Constituent Reporting Units, and defines the roles, responsibilities, and the processes used to create and maintain the IU Accounting Standards.
Glossary: The glossary is a repository of both general and Indiana University specific accounting terminology.