Which item is NOT a COSO Internal Control Framework component?

Which item is NOT a COSO Internal Control Framework component?

• A. Audit Committee Effectiveness
• B. Control Environment
• C. Information and Communication
• D. Risk Assessment

Answer: (A)

COSO Internal Control Framework is built from five components that describe the internal control system: the control environment, risk assessment, control activities, information and communication, and monitoring activities. An audit committee, while essential for governance and oversight of these controls, is not itself a component of the framework. It functions to oversee, monitor, and guide the organization’s control processes, but it does not constitute one of the five internal control components. Therefore, the item describing Audit Committee Effectiveness is not a COSO component, while the others—Control Environment and Risk Assessment—are.

COSO Internal Control Framework is built from five components that describe the internal control system: the control environment, risk assessment, control activities, information and communication, and monitoring activities. An audit committee, while essential for governance and oversight of these controls, is not itself a component of the framework. It functions to oversee, monitor, and guide the organization’s control processes, but it does not constitute one of the five internal control components. Therefore, the item describing Audit Committee Effectiveness is not a COSO component, while the others—Control Environment and Risk Assessment—are.