Internal Control Audit and Compliance: Documentation and Testing Under the New COSO Framework

A PRACTICAL GUIDE FOR EASING THE TRANSITION TO THE NEW COSO FRAMEWORK

The COSO (Committee of Sponsoring Organizations) internal controls framework was first released in 1992 and has become a standard internal controls assessment measure for public accountants, Sarbanes-Oxley internal control rules, internal auditors, and others worldwide.

Internal Control Audit and Compliance offers a guide and comprehensive reference to the newly revised framework established by COSO. The revised COSO framework provides standards and evaluation tools, which businesses and other entities rely on to evaluate their control systems. Written by Lynford Graham, this important resource includes clear explanations and expert guidance for implementing the framework's principles and shows auditors and accounting managers how to document and test internal controls over financial reporting.

The COSO internal control framework identifies five components of internal control: control environment; risk assessment; control procedures; information and communication; and monitoring. While these components remain unchanged, the author covers each element of the updated framework and highlights the relevant changes. The revised framework identifies seventeen new principles, each of which are explored in detail to help understand the new and emerging best practices for efficiency and effectiveness. Graham also includes explicit definitions of internal controls and reveals the new strategies for assessment and testing.

Internal Control Audit and Compliance contains the much-needed information for making the transition from older guidelines and offers practical instructions for implementing the necessary changes in order to incorporate the new revised COSO framework into daily practice.