Essay About Board Of Directors And  Management

Control Environment Evaluation Form
Control Environment Evaluation Form
Easy Clean, Co.
December 31, 20XX
Reference:
Prepared by:
Date:
CE1a 1c
Reviewed by:
Greatly
Weakens
Control
Neither
Weakens nor
Strengthens
Greatly
Strengthens
Control
1. Integrity and Ethical Values
In evaluating this component of the control environment,
consider whether:
there appears to be sufficient integrity on the part of
management and employees
2. Commitment to Competence
In evaluating this component of the control environment,
consider whether:
 management has specified the competence level needed
for particular skills and translated the desired levels of
competence into requisite knowledge and skills
evidence exists indicating that employees appear to have
the requisite knowledge and skills
3. Board of Directors or Audit Committee Participation
In evaluating this component of the control environment,
consider whether:
a board exists and is sufficient in membership to deal with important issues adequately: Board exists.
 directors or committee members have sufficient
knowledge, industry experience, and time to serve
effectively: Phil and Doug have sufficient knowledge and experience.
 some directors or committee members are independent of
Management: There is no independent member of directors.
 meetings are regularly held with accounting officers and
external auditors:
 the board oversees and takes action as needed: Board only meets once a year. Question as to how much involvement or authority the other