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Over the years, there have being a problem of incorrect and unreliable financial record which has lead to loss of organizational integrity. The research work aimed among others at determining the relationship between internal measures to proper 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. Four research questions were formulated out of which three hypothesis were formulated using regression co-efficient analysis method at 5% level of significance and the Z table was also used for comparison between calculated value of significance B and tab le value. The finding from the analysis indicates that internal control measure management performance and is necessary for the growth and effectiveness of the organization. Financial management of any organization cannot do without internal control as true and fair presentation of financial statement may never be possible if the board and senior management are not committed to providing a well planned internal control system. It also recommends that a periodical review of the organization should be done by the management so as to cope with the model trends in organizational fraud prevention.


Cover page

Title Page i

Dedication ii

Acknowledgement iii

Approval Page iv

Abstract v

Table of contents vi

1.1 Background of the study 1
1.2 Statement of problem 3
1.3 Objective of the study 4
1.4 Research Questions 5
1.5 Statement of hypothesis 5
1.6 Significance of the study 7
1.7 Scope of the study 7
1.8 Limitation of the study 8
1.9 Definition of terms 8
1.10 References 10


2.1 Introduction 11
2.2 Internal control 11
2.3 Role and Purpose of internal control 13
2.4 Types of Internal control 15 2.5 Function of internal control 19
2.6 Internal control in financial institution 20
2.7 Element of a good internal control system 24
2.8 Relationships between internal auditing and internal control system. 27
2.9 Management and internal control system 28
2.10 Defect and shortcoming of internal control 29
2.11 Possible solution to defects internal control system 31
2.12 Limitation of internal control 32

CHAPTER THREE Research methodology

3.1 introduction 34

3.2 Research design 34

3.3 Sources of data 34

3.4 Area of study 35

3.5 population of the study 35

3.6 sample size and sampling technique 35

3.7 Research instrument 36

3.8 Validation and Reliability of instrument 37

3.9 Method of data analysis

CHAPTER FOUR: Data Presentation and analysis

4.1 introduction 40

4.2 Data Presentation 40

4.3 Test of hypothesis

CHAPTER FIVE: Summary, Conclusion and Recommendation

5.1 Summary of findings 54

5.2 Conclusion 54

5.3 Recommendation 55

Bibliography 57

Appendix 59

Questionnaire 67

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