What is a mandatory control imposed by external regulations typically aimed at ensuring compliance?

The correct answer is a mandated control. This term refers specifically to controls that are imposed by external regulations and are designed to ensure compliance with laws and regulatory requirements. Mandated controls are often necessary for organizations to operate legally and ethically within their industry. They can include practices such as financial reporting standards, safety regulations, and environmental laws, which organizations are required to follow to avoid penalties or legal consequences.

Independent audits, while they do serve as a means to evaluate compliance and the effectiveness of internal controls, are not controls themselves but rather a process or activity that assesses financial statements and compliance with regulations. Voluntary codes of ethics are self-imposed standards by an organization and do not carry legal weight like mandated controls. Procedural controls relate to internal processes that manage operations but do not necessarily stem from external mandates.

Thus, mandated controls specifically capture the essence of regulations imposed externally to ensure entities comply with legal requirements, making them essential for maintaining business integrity and accountability in operations.