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Rotter (1990) describes the external locus of control as: 'the degree to which persons expect that the reinforcement or outcome is a function of chance, luck, or fate, is under the control o f powerful others, or is simply unpredictable.'.
The term âcontrolsâ refers to any aspects of one or more of the components of internal control. Key Internal Controls are those controls designed to meet the company's control objectives and address managementâs financial statement assertions for MATERIAL activity.