Determine whether each of the following are costs and benefits for management to report the company's internal controls: (Need help with the top half - 1-5. Label each as a cost or a benefit)

Discuss the costs and benefits of requiring managers to report on the company's internal controls. Do you think it is necessary for the external auditor to attest to management's report? Why or why not? Determine whether each of the following are costs and benefits for management to report the company's internal controls: 1. For the firm: increased awareness of weak or ineffective controls, which, if corrected, Benefit Cost could result in improved operations. 2. Some huge financial outlays. Some disruption of operations to initially document and test the controls. 4. For investors: increased disclosure about a firm's controls. Cost Benefit 5. It forces management to take responsibility for the internal controls. Cost Do you think it is necessary for the external auditor to attest to management's report? Why or why not? Management's report on its internal controls is different from the firm's certification of the financial report. Having a third party confirmation will increase the reliability of management's report There is no way to assess the internal control as an outsider. on internal controls