What do we mean by internal control cost and firm value? Internal control applies to accounting first; let me discuss maintaining internal control in any business. You understand the business will have many expenses, so when you start the company, you must forecast the costs and prepare your budget showing possible […]
What happens when liabilities exceed assets? What is a liability? Liability is the amount a business owes to others, like more loan payments and creditors, which means the company is in debt. What is an asset? An asset consists of land & buildings, equipment, machinery, and debtors, that is, the money […]
Enforce Internal Control What is internal control? Internal control is vital to protect the company from mistakes and fraud. A business will not be able to survive in the long run or grow if internal control is not enforced. Every business needs internal control as any company is targeted for theft. […]