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What is the monitoring component of the COSO internal control framework?

Monitoring is one of the key components of the COSO internal control framework. Monitoring activities are periodic or ongoing evaluations to verify that each of the five components of internal control, including the controls that affect the principles within each component, are present and functioning. Monitoring is managements monitoring of the company’s data and its systems of internal control. The two key principles of monitoring are:

Ongoing and/or Separate Evaluations – The organization selects and performs evaluations that are separate and frequent in nature. These will help determine whether or not internal controls are functioning adequately.

Communication of Deficiencies – The company assesses and communicates internal control deficiencies in a timely manner to those responsible for taking corrective measures.

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