Therefore, it can be said that COSO framework is a suitable framework for American management evaluation objectives. Of course, other countries have also released some suitable frameworks, such as COCO framework in Canada. The standard also points out that although different frameworks may not contain exactly the same components as COSO, they contain components that cover all the general topics of COSO. Therefore, if management uses an appropriate framework different from COSO, auditors should use the concepts and standards in Auditing Standards No.2 in a reasonable way.
COSO internal control framework can determine three main objectives of internal control, namely, efficiency and effectiveness of operation, reliability of financial report and compliance with applicable laws and regulations. In addition, the standard takes control environment, risk assessment, control activities, information and communication and monitoring as five components of the framework, serving the above three objectives.
Although COSO's internal control framework can't be regarded as the only suitable framework that meets the requirements of SEC, compared with the previous internal control evaluation standards, the work of the Accounting Oversight Committee of American public companies is of great progress significance for the design, implementation, supervision, evaluation and continuous improvement of standardized internal control. It enables managers at all levels of many American companies to effectively perform their internal control duties within a unified framework, and provides a basis for the accounting community to evaluate internal control. This standard will urge the company to establish an effective internal control and supervision system and lay a good foundation for effective corporate governance.