INTERNAL AUDIT AND ITS IMPACT ON FINANCIAL ACCOUNTING SYSTEM
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Authors:
• Emilia VASILE, PhD Professsor, email: rector@univath.ro, Afiliation: „Athenaeum” University of Bucharest
• Ion CROITORU, PhD Associate Professor, email: ion.croitoru.ag@gmail.com, Afiliation: „Athenaeum” University of BucharestPages:
• 81|91 -
Keywords: internal audit, internal control, risk management, financial accounting system JEL
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Abstract:
Financial accounting system is characterized by a set of processes, procedures, resources (financial, material, human and informational) and means of recording, processing, transmitting and storing data and information of specific activities and economic environment in which the organization is organized and operates. In this context we can say that financial accounting system includes all activities within an organization that are reflected in fund management and property management. Internal audit is a function within the organization which helps to improve their management activities and provide reasonable assurance regarding the existence and operation of risk management processes, internal control and good management.
Regarding the financial accounting system, internal audit evaluates the reliability of data and financial information and operational effectiveness of operations and transactions, the management of funds and assets of the organization and ensure the maintenance of acceptable levels of risk associated with the system and an effective internal control and effectively. Given those mentioned this research aims to highlight the impact of internal audit on financial accounting activities carried out within an organization and contributing to increasing the credibility of financial information.
