Control Environment Evaluation Form

Control Environment Evaluation Form

Easy Clean, Co.

December 31, 20XX Reference:

Prepared by:

Date: CE1a 1c

Reviewed by:

Greatly

Weakens

Control Neither

Weakens nor

Strengthens Greatly

Strengthens

Control

1. Integrity and Ethical Values 1 2 3 4 5 6 7

In evaluating this component of the control environment,

consider whether:

 there appears to be sufficient integrity on the part of

management and employees

2. Commitment to Competence 1 2 3 4 5 6 7

In evaluating this component of the control environment,

consider whether:

 management has specified the competence level needed

for particular skills and translated the desired levels of

competence into requisite knowledge and skills

 evidence exists indicating that employees appear to have

the requisite knowledge and skills

3. Board of Directors or Audit Committee Participation 1 2 3 4 5 6 7

In evaluating this component of the control environment,

consider whether:

 a board exists and is sufficient in membership to deal with important issues adequately: Board exists.

 directors or committee members have sufficient

knowledge, industry experience, and time to serve

effectively: Phil and Doug have sufficient knowledge and experience.

 some directors or committee members are independent of

Management: There is no independent member of directors.

 meetings are regularly held with accounting officers and

external auditors:

 the board oversees and takes action as needed: Board only meets once a year. Question as to how much involvement or authority the other