Management Disclosures on Internal Control in Annual Reports- A Study on Banking Sector: Bangladesh Perspective

Saha, Anup Kumar; Arifuzzaman, S.M.

Abstract

Even though no regulations require, public limited companies include management reports regarding internal controls in annual reports. Accountants and auditors are in a good position to suggest what degree of reporting is appropriate as they are directly involved in auditing financial statements and reviewing internal controls. This is a unique opportunity for management to discuss issues and concerns not communicated elsewhere in the annual report. From the very beginning there is a growing consensus as to what the content should include: financial statement presentation; purpose, nature and components of internal controls; roles of internal audit, independent auditor and audit committee. A significant number of companies studied acknowledge that “the systems are designed to provide only a reasonable assurance of meeting stated objectives.” If independent auditor’s attestation of such management reports were required; such a mandate would have a significant impact on roles of both the independent auditor and management.

Citation

Saha, A. K., & Arifuzzaman, S. (2011). Management Disclosures on Internal Control in Annual Reports- A Study on Banking Sector: Bangladesh Perspective. International Journal of Economics and Finance, 3(5), 216-222. https://doi.org/10.5539/ijef.v3n5p216

• Journal Article Type: Article
• Publication Date: Oct 1, 2011
• Deposit Date: Nov 6, 2013
• Publicly Available Date: Feb 17, 2014
• Journal: International Journal of Economics and Finance
• Print ISSN: 1916-971X
• Electronic ISSN: 1916-9728
• Publisher: Canadian Center of Science and Education (CCSE)
• Peer Reviewed: Peer Reviewed
• Volume: 3
• Issue: 5
• Pages: 216-222
• DOI: https://doi.org/10.5539/ijef.v3n5p216
• Keywords: Internal control, Securities and exchange commission, Dhaka stock exchange, Audit committee, 10-K.