Bookkeeping is to be understood in the context of a business. It is simply the recording of financial transactions. Transactions include purchases, sales, receipts and payments by an individual or organization. Bookkeeping is usually performed by a bookkeeper. Many individuals mistakenly consider bookkeeping and accounting to be the same. This confusion is understandable because the accounting process includes the bookkeeping function, which is but one part of the accounting process.

Internal Control

Internal control is defined as a process affected by an organization's structure, work and authority flows, people and management, as well as information systems designed to help the organization accomplish specific goals or objectives. It is a means by which an organization's resources are directed, monitored and measured. It plays an important role in preventing and detecting fraud and protecting the organization's resources, both physical (eg. machinery and property) and intangible (eg. reputation or intellectual property such as trademarks).

Risk Management

Risk management is the identification, assessment and prioritization of risks, followed by coordinated and economical application of resources as to minimize, monitor and control the probability and/or impact of unfortunate events.