Walmart's Management Rule In Internal Controls

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Walmart’s Management Rule in Internal Controls
Review the report of the independent registered public accounting firm on internal controls. Explain components of the report that meet the criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) and the PCAOB. Walmart’s public accounting firm is Ernst & Young, LLP (E&Y) and they have doing the audits for a few years now. Ernst and Young performed the audit for the year ending on January 31, 2017. When Ernst &Young performed their audit, they obtained an understanding of the internal controls Walmart uses over their financial statements, assessing the risk of material weakness, tested and evaluated the internal controls based on the assessed risk in accordance with the Internal Controls-Integrated Framework. From there they looked at the maintenance of record keeping making sure transactions and disposition of assets were recorded correctly and in accordance with the generally accepted accounting principles. They continued the audit by checking that receipts and expenditures were made only accordance of management and the board of directors’ approval. They also took the time to make sure prevention or timely detection of the company’s assets didn’t result in a material effect that would cause a dramatic difference in the financial statements based off the Public Company Accounting Oversight Boards. (
Explain management’s
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