ABSTRACT
This study investigated the impact of internal system on the financial management of an organization. The main problem can be identified as lack of internal control on the financial management of the organization that affect profitability and service quality of a firm. The major objective of this study is to determine the effect of internal control to proper use of organizational funds and asset, to ascertain whether perpetration of fraud and losses of revenue in an organization are as a result of weakness in the internal control, to ensure whether a true and fair reflection of organizational activities are presented in the financial statement whether there is an active observation of internal control measures and to determine the relationship between internal control measure and proper keeping of accounting records. A survey research design was adopted for this research study and a sample size was selected using Yaro Yamane sampling technique as data used were obtained from both primary and secondary sources. Research questions were formulated out of which three hypothesis were formulated using analysis of variance(ANOVA) method at 5% level of significance and the P- value was also used for comparison between calculated value of significance of the two groups. The finding from the analysis indicates that internal control measure enhances true reflection of organizational activities as presented in the financial statement, Internal control measures ensures proper use of organizational assets and fund, Perpetration of fund and losses of revenue in organization are as a result of weakness in the internal control system. It also recommends that the management, internal audit department as well as the account department to the overall management of the organization should be focused on insuring the safety of assets and soundness of their operation.
TABLE OF CONTENTS
Cover page i
Tittle
page ii
Declaration iii
Certification iv
Dedication v
Acknowledgement vi
Abstract x
CHAPTER
ONE
INTRODUCTION
1.1 Background of the Study 1
1.2 Statement
of Problem 3
1.3 Objectives of the study 4
1.4 Research
Questions 4
1.5 Research Hypothesis 5
1.6 Significance of the Study 5
1.7 Scope of Study 6
1.8 Definition of terms 6
CHAPTER TWO
REVIEW OF LITERATURE
2.1 Conceptual Framework 8
2.1.1 Concept of Internal Control 8
2.1.2 Internal Control 9
2.1.3 Roles and Purpose of
Internal Control 10
2.1.4 Types of internal control 11
2.1.5 Essential Features of Internal Control in Financial Management 13
2.1.6 Internal Control in Financial Institute and Statutory Guideline
as a Tool
Against Fraud and Distress 15
2.1.7 Bearers of Internal Control Responsibility 15
2.1.8 Key Success Factors of a Financial Institution 16
2.1.9 Element of a Good Internal Control 17
2.1.10 Internal Check 18
2.11 Relationship Between Internal Auditing and Internal 18
2.12 Management and Control System 19
2.2 Theoretical framework 20
2.2.1 Stewardship Theory 20
2.2.2 Social Control Theory 21
2.3 Empirical review 22
2.4 Limitations 23
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Research
design 25
3.2 Study
area 25
3.3 Population of the Study 26
3.4 Sample Size and Sampling Technique 26
3.5 Sources of
Data 27
3.5.1 Primary
source 27
3.5.2 Secondary
Source 27
3.6 Data
collection instrument and procedure 27
3.6.1 Personal
interviews 27
3.6.2 Questionnaire
27
3.6.3 Validation
and reliability of the instrument 28
3.7 Data analysis
techniques 28
CHAPTER FOUR
DATA PRESENTATION, ANALYSIS AND
DISCUSSION OF FINDINGS
4.1 Data Presentation 29
4.2 Testing of Hypothesis 39
4.2.1 Hypothesis One 39
4.2.2 Hypothesis Two 40
4.2.3 Hypothesis Three 40
4.3 Discussion of Findings 41
CHAPTER FIVE
SUMMARY OF FINDINGS,
CONCLUSION AND RECOMMENDATION
5.1 Summary of findings 43
5. 2 Conclusion 43
5.3 Recommendations 44
REFERENCE
APPENDIX
APPENDIX 1
FAVOUR, U (2021). Effect Of Internal Control System On The Financial Management Of An Organisation (A Study Of Nigeria Bottling Company Plc, Enugu). Mouau.afribary.org: Retrieved Oct 31, 2024, from https://repository.mouau.edu.ng/work/view/effect-of-internal-control-system-on-the-financial-management-of-an-organisation-a-study-of-nigeria-bottling-company-plc-enugu-7-2
ULU, FAVOUR. "Effect Of Internal Control System On The Financial Management Of An Organisation (A Study Of Nigeria Bottling Company Plc, Enugu)" Mouau.afribary.org. Mouau.afribary.org, 19 May. 2021, https://repository.mouau.edu.ng/work/view/effect-of-internal-control-system-on-the-financial-management-of-an-organisation-a-study-of-nigeria-bottling-company-plc-enugu-7-2. Accessed 31 Oct. 2024.
ULU, FAVOUR. "Effect Of Internal Control System On The Financial Management Of An Organisation (A Study Of Nigeria Bottling Company Plc, Enugu)". Mouau.afribary.org, Mouau.afribary.org, 19 May. 2021. Web. 31 Oct. 2024. < https://repository.mouau.edu.ng/work/view/effect-of-internal-control-system-on-the-financial-management-of-an-organisation-a-study-of-nigeria-bottling-company-plc-enugu-7-2 >.
ULU, FAVOUR. "Effect Of Internal Control System On The Financial Management Of An Organisation (A Study Of Nigeria Bottling Company Plc, Enugu)" Mouau.afribary.org (2021). Accessed 31 Oct. 2024. https://repository.mouau.edu.ng/work/view/effect-of-internal-control-system-on-the-financial-management-of-an-organisation-a-study-of-nigeria-bottling-company-plc-enugu-7-2