Assessment of internal control system in extractive industry enterprises

Purpose of the research – to elaborate a model of assessing the effectiveness of internal control in extractive industry enterprises according to a theoretical analysis of internal control and the results of research. The proposed model of assessing the effectiveness of internal control in extractive industry enterprises is not universal, but it is the first of the kind and allows assessing a certain part of enterprises with regard to the particularities of their performance and system of accounting; such a purposeful attitude enables assessing the effectiveness of the internal control system precisely and objectively. The attention is focused on the spheres of performance that are specific of enterprises operating in the extractive industry sector, such as stock assessment, reserve loss identification, asset security, i.e. the spheres that influence a clear acceptance of purchasing and expenditure or sale processes. The testing results have confirmed the components of this model and their interrelation, as well as its good applicability which allows not only specialists in the field to assess the effectiveness of internal control in an extractive industry enterprise, but also other concerned people, for example, the state tax inspectors, to be able to identify which Lithuanian extraction industry enterprises make frauds initiated by enterprise authorities