Accounting Control

Filed Under »
Dictionary Says

Definition of 'Accounting Control'

Methods and procedures that are implemented by a firm to help ensure the validity and accuracy of its own financial statements. The accounting controls do not ensure compliance with laws and regulations, but rather are designed to help a company comply.
Investopedia Says

Investopedia explains 'Accounting Control'

An example of an accounting control would be limiting management’s involvement in the preparation of financial statements. Sometimes it is helpful for management to be involved, since they generally know the company better than anyone. But final say on numbers should be in the hands of an accountant, because management may have incentive to distort numbers to inflate the company's performance.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Accounting Equation

    The equation ...
  2. Accounting

    The systematic ...
  3. Financial Accounting

    The process of ...
  4. Cost Accounting

    A type of ...
  5. Audit Department

    A unit within a ...
  6. Audit Department

    A unit within a ...
  7. Transposition Error

    A simple error ...
  8. Liability

    A company's ...
  9. Savings Account

    A deposit ...
  10. Liquidator

    In the most ...

Articles Of Interest

  1. Financial History: The Evolution Of Accounting

    Follow accounting from its roots in ancient times to the profession we now depend on.
  2. Financial History: The Rise Of Modern Accounting

    Find out how these two have grown hand-in-hand throughout our modern history.
  3. Finding The Right Accounting Certification

    An accounting certification may be the boost your career needs. Find out how to get the most bang for your buck.
  4. International Reporting Standards Gain Global Recognition

    Comparing financial numbers from corporations in different countries is possible with the adoption of IFRS.
  5. Understanding Pro-Forma Earnings

    These figures can either shed light on a company's performance or skew it. Find out why.
  6. Common Clues Of Financial Statement Manipulation

    Search for the "bloody" fingerprints in accounting crimes.
  7. The Impact Of Combining The U.S. GAAP And IFRS

    The convergence of accounting standards is changing the attitudes of CPAs and CFOs toward harmonization of international accounting.
  8. Analyze Cash Flow The Easy Way

    Find out how to analyze the way a company spends its money to determine whether there will be any money left for investors.
  9. Digging Into Book Value

    This calculation will serve up your portion of the shareholder pie.
  10. CPA, CFA Or CFP® - Pick Your Abbreviation Carefully

    A couple of letters can mean a big difference. Find out which designation you need and how to get it.

comments powered by Disqus
Recommended
Loading, please wait...
Trading Center