Pembahasan Ujian PAI: A40 – No. 25 – Maret 2014

Elements of effective control

Any internal accounting control system relies on certain methods tobe effective. Some critical elements of an effective system of accounting controls are the:

• Segregation of duties
• Execution of transactions as authorized
• Recording of transactions as executed
• Safeguarding of assests

Physical comparison of recorded amounts

^[1] Mulligan, E. and Stone, G. (1997). Accounting and financial reporting in life and health insurance companies. Atlanta, Ga.: Life Management Institute, LOMA.