Weak internal controls increase the risk of fraud. In addition to the loss of funds, fraud carries indirect costs such as damage to an entity’s reputation and to employee morale.

For more information on internal controls, see our Statement of Position, The Importance of Internal Controls, at http://www.auditor.state.mn.us/default.aspx?page=20110607.013.

Date this Avoiding Pitfall was most recently published: 07/06/2018