Internal Controls and Fraud

What About Small Entities?
• Fewer lines of business and fewer products within lines
• Concentration of marketing focus by channel or geography
• Leadership by management with significant ownership interest or
rights
• Fewer levels of management with wider spans of control
• Less complex transaction processing systems
• Fewer personnel, many having a wider range of duties
• Limited ability to maintain deep resources in line as well as
support staff positions such as legal, human resources,
accounting, and internal auditing
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