【正文】 calls that should not have been charged to the account.SSRN, USA 2020 A Clear Look at Internal Control: Theory and ConceptsTop 10 Paper, First Quarterly 2020 7Through careful design, the system of internal controls can help our unit operate more efficiently and effectively and provide a reasonable level of assurance that the processes and products for which you are responsible are adequately protected.? Maintaining written procedures for manual processing will ensure that operations can continue in the event of puter failure.4. The factors of internal controls Internal control consists of five interrelated ponents as follows: preventing or detecting error or fraud. Controls within a process may consist of financial reporting controls and operational controls (that is, those designed to achieve operational objectives). 3. Type of internal controlMost internal controls can be classified as preventive or detective.Preventive controls are designed to discourage errors or irregularities. ? A puter application which checks validity prevents the entry of an invalid account number.? Reading and understanding business Human Resource policies, such as Work Hours [for PA Staff], helps prevent violations of the Federal Fair Labor Standards Act. [Human Resources Professional Staff Policy ]? A manager39。 review and approval authorizations。 reconciliations。 b) Reliability of financial reporting。s control. Under the COSO Internal ControlIntegrated Framework, a widelyused framework in the United States, internal control is broadly defined as a process, effected by an entity39。s objectives. Effective internal control helps an organization achieve its objectives。s board of directors, management and other personnel designed to provide reasonable assurance regarding the achievement of objectives in the following categories namely. Effectiveness and Efficiency of Operations Reliability of Financial Reporting Compliance with Applicable Laws and Regulations In AU Section 319 Consideration of Internal Control in a Financial Statement Audit internal control described as: Internal control is a process—effected by an entity’s board of directors, management, and other personnel—designed to provide reasonable assurance regarding the achievement of objectives in the following categories: (a) reliability of financial reporting, (b) effectiveness and efficiency of operations, and (c) pliance with applicable laws and regulations.According AU section 319 internal control consists of five interrelated ponents:a. Control environment sets the tone of an organization, influencing the control consciousness of its people. It is the foundation for all other ponents of internal control, providing discipline and structure.b. Risk assessment is the entity’s identification and analysis of relevant risks to achievement of its objectives, forming a basis for determining how the risks should be managed.c. Control activities are the policies and procedures that help ensure that management directives are carried out.d. Information and munication systems support the identification, capture, and exchange of information in a form and time frame that enable people to carry out their responsibilities.e. Monitoring is a process that assesses the quality of internal control performance over time.Several key points should be made about this definition:1. People at every level of an organization affect internal control. Internal control is, to some degree, everyone39。s payments to third parties are for valid services rendered.) Internal control procedures reduce process variation, leading to more predictable outes. Internal controls within business entities are called also business controls. They are tools used by manager39。s resources are directed, monitored, and measured. It plays an important role in preventing and detecting fraud and protecting the organization39。 it includes internal cheek, internal audit and other forms of controls. COSO describe Internal Control as follow. Internal controls are the methods employed to help ensure the achievement of an objective. In accounting and organizational theory, Internal control is defined as a process effected by an organization39。Electronic copy available at: A clear look at Internal Controls: [Theory and Concepts] Hamed Arad (Philee)Department of accounting, Islamic Azad University, Hamedan, IranBabak JamshedyNavidFaculty Member of Islamic Azad University, Kermanshah, IranResearch Paper, July 2020, Social Science Research NetworkMarch 2020SSRN Digital Library, History of AccountingElectronic copy available at: SSRN, 2020 TOP 10 PAPER, Electronic copy available at: SSRN, USA 2020 A Clear Look at Internal Control: Theory and ConceptsTop 10 Paper, First Quarterly 2020 1 Social Science Research Network (SSRN)UNITED STATES OF AMERICA Hamed Arad (Philee)* (Corresponding Author)Department of accounting, Islamic Azad University, Hamedan, Iran Babak JamshedyNavidFaculty Member of Islamic Azad University, Kerman shah, IranJEL Classifications: M41 Submitted February, 2020 Date posted: February 13, 2020。 last revised: April, 2020This paper can be downloaded from theSocial Science Research Network Electronic Paper Collection:Abstract: internal control is an accounting procedure or system designed to promote efficiency or assure the implementation of a policy or safeguard assets or avoid fraud and error. Internal Control is a major part of managing an organization. It prises the plans, methods, and procedures used to meet missions, goals, and objectives and, in doing so, support performancebased management. Internal Control which is equal with management control helps managers achieve desired resu