In this age of high technology and computer based information systems, why are accountants concerned about physical (human) controls?
Virtually all systems, regardless of their sophistication, employ human activities that need to be controlled. This class of controls relates primarily to the human activities employed in accounting systems. These activities may be purely manual, such as the physical custody of assets, or they may involve the use of computers to record transactions or update accounts. Physical controls do not relate to the computer logic that actually performs these accounting tasks. Rather, they relate to the human activities that initiate such computer logic. In other words, physical controls do not suggest an environment in which clerks update paper accounts with pen and ink.
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