ACCA SBL Syllabus F. Organisational Control And Audit - Internal controls and Information - Notes ^{3 / 3}

Timely and meaningful internal controls underpins the effective functioning of any organisation.

Organisational leaders use financial and non-financial information to manage and direct their operations, while external stakeholders—investors, suppliers, creditors, banks, and regulators use it to make investment decisions, to undertake transactions with organisations with confidence, and to exercise regulatory oversight.

Financial statements capture much of the information that organisations prepare, publish, and use.

And while it’s becoming more important to report other, non-financial information that stakeholders find relevant to their decision making, financial statements prepared in accordance with internationally accepted financial reporting standards are a crucial tool for the effective functioning of markets.