Internal Control and Risk Management in Auditing

Posted by admin on Jan 6, 2025 in Business Administration and Innovation Management | 0 comments

Internal control is a process, effected by an entity’s personnel, designed to achieve specific objectives. It consists of five interrelated components that help a company direct its objectives and integrate all staff into the process. Although these components are applicable to all companies, small and medium-sized businesses may implement them differently than large ones. Their implementation may be less formal and structured, but it can still be effective.

Audit Risk

Audit risk is the possibility

Effective Decision-Making: Strategies and Techniques

Posted by admin on Jan 6, 2025 in Business Administration and Innovation Management | 0 comments

Decision-making is the selection of a course of action among alternatives. The process leading to decision-making can be viewed as:

1. Establishment of premises
2. Identification of alternatives
3. Evaluation of alternatives in terms of the proposed goal
4. Choice of an alternative, i.e., making a decision

Limited or Bounded Rationality

Limited information, time, and certainty restrict rationality. Satisficing is the process of selecting a course of action that is satisfactory or acceptable under certain circumstances.