Internal accounting control as a fundamental factor for business administration

Abstract

Business administration aims to shape organizations to achieve the proposed goals efficiently and effectively. This task represents a challenge in the face of the changes and transformations that occur today and directly influence the internal business environment. Specifically in the organizational internal control, the internal accounting control emerges as the controls designed to verify the correctness and reliability of the accounting data that offer an adequate record and summary of the authorized financial operations. To analyze the relevance of internal accounting control in business administration, documentary-bibliographic research was carried out, in which documentary sources were interpreted and analyzed. From this analysis it is concluded that the lack of internal accounting control is a fact that affects most companies due to the lack of knowledge that officials and workers have and the need to produce and sell company goods or services. However, internal accounting control allows the information on profits and losses to remain updated, duly systematized and accessible at any time to generate reports and carry out the respective analyzes to draw conclusions and make relevant decisions, which is why it is essential in the administration control by means of an internal accounting manual, monthly accounting records and an administrative accounting computer system as well as compliance with the control elements to apply corrective measures in the event of possible deviations from the organizational objectives and goals.