COSO Internal Control - Integrated
Framework 2025/2026 Exam Questions
with 100% Correct Answers | Latest
Update
Definition of Internal Control - 🧠ANSWER ✔✔A process, effected by an
entity's BOD, management, and other personnel, designed to provide
reasonable assurance regarding the achievement of objectives relating to
operations, reporting, and compliance.
Two reasons for a broad definition of internal control: - 🧠ANSWER ✔✔1.
Captures important concepts that are fundamental to how organizations
design, implement and conduct internal control and assess its
effectiveness, providing a basis for application across various types of
organizations, industries, geographic regions.
2. Accommodates subsets of internal control.
Three categories of objectives - 🧠ANSWER ✔✔Operating, reporting,
compliance
1
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
,Operating Objectives - 🧠ANSWER ✔✔Pertain to effectiveness and
efficiency of the entity's operations, including operational and financial
performance goals, and safeguarding assets against loss.
Reporting Objectives - 🧠ANSWER ✔✔Pertain to internal and external
financial and non-financial reporting and may encompass reliability,
timeliness, transparency or other terms as set forth by regulators, standard
setters, or the entity's policies.
Compliance Objectives - 🧠ANSWER ✔✔Pertain to adherence to laws and
regulations to which they are subject.
Five Components of Internal Control - 🧠ANSWER ✔✔1. Control
Environment
2. Risk Assessment
3. Control Activities
4. Information and Communication
5. Monitoring Activities
Entity Structure - 🧠ANSWER ✔✔Entity Level
Division
2
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
, Operating Unit
Function
Objectives and sub-objectives should be... - 🧠ANSWER ✔✔Specific
Measurable or observable
Attainable
Relevant
Time-bound
Categories of Reporting Objectives - 🧠ANSWER ✔✔External Financial
External Non-Financial
Internal Financial and Non-Financial
Principles relating to Control Environment - 🧠ANSWER ✔✔1. Demonstrates
commitment to integrity and ethical values.
2. Exercises Oversight Responsibility
3. Establishes Structure, Authority, and Responsibility
4. Demonstrates Commitment to Competence
5. Enforces Accountability
3
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
Framework 2025/2026 Exam Questions
with 100% Correct Answers | Latest
Update
Definition of Internal Control - 🧠ANSWER ✔✔A process, effected by an
entity's BOD, management, and other personnel, designed to provide
reasonable assurance regarding the achievement of objectives relating to
operations, reporting, and compliance.
Two reasons for a broad definition of internal control: - 🧠ANSWER ✔✔1.
Captures important concepts that are fundamental to how organizations
design, implement and conduct internal control and assess its
effectiveness, providing a basis for application across various types of
organizations, industries, geographic regions.
2. Accommodates subsets of internal control.
Three categories of objectives - 🧠ANSWER ✔✔Operating, reporting,
compliance
1
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
,Operating Objectives - 🧠ANSWER ✔✔Pertain to effectiveness and
efficiency of the entity's operations, including operational and financial
performance goals, and safeguarding assets against loss.
Reporting Objectives - 🧠ANSWER ✔✔Pertain to internal and external
financial and non-financial reporting and may encompass reliability,
timeliness, transparency or other terms as set forth by regulators, standard
setters, or the entity's policies.
Compliance Objectives - 🧠ANSWER ✔✔Pertain to adherence to laws and
regulations to which they are subject.
Five Components of Internal Control - 🧠ANSWER ✔✔1. Control
Environment
2. Risk Assessment
3. Control Activities
4. Information and Communication
5. Monitoring Activities
Entity Structure - 🧠ANSWER ✔✔Entity Level
Division
2
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
, Operating Unit
Function
Objectives and sub-objectives should be... - 🧠ANSWER ✔✔Specific
Measurable or observable
Attainable
Relevant
Time-bound
Categories of Reporting Objectives - 🧠ANSWER ✔✔External Financial
External Non-Financial
Internal Financial and Non-Financial
Principles relating to Control Environment - 🧠ANSWER ✔✔1. Demonstrates
commitment to integrity and ethical values.
2. Exercises Oversight Responsibility
3. Establishes Structure, Authority, and Responsibility
4. Demonstrates Commitment to Competence
5. Enforces Accountability
3
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
