Analysis of the application of the internal control system on the example of an economic entity

Abstract

Within the framework of this work, an analysis was made of the application of the internal control system on the example of an economic entity. The author substantiated the importance of internal control in the activities of the organization, and identified the main risks associated with internal control (social, economic, institutional). The paper analyzes the main characteristics of an economic entity, including those related to the specifics of the activity, relationships with suppliers and other external stakeholders, as well as those associated with the organizational and legal aspects of the organization's activities. Further, the author carried out an assessment of the economic situation of the organization, which included a horizontal analysis of the statement of financial results. In the course of the analysis, data for the last few years were studied, absolute and relative changes in key indicators of the financial activity of an economic entity were considered. The paper also carried out the calculation and further analysis of the main ratios characterizing the financial position of the organization, namely the capitalization ratio, the autonomy ratio, the financial stability ratio, the permanent asset index (coefficient), the absolute liquidity ratio, the quick liquidity ratio, the current liquidity ratio. After analyzing the financial aspects of the organization's activities, aspects of the direct activities of the internal control service in an economic entity were studied. The author analyzed the organizational structure of the organization's internal control. Based on the data obtained, the work described the existing problematic aspects related to the internal control of an economic entity. Taking into account the problems described, the author formed possible recommendations related to improving the efficiency of internal control in an economic entity.