INTERNAL CONTROL AS A MEANS OF ENHANCING PROFITABILITY IN A MANUFACTURING COMPANY. (A CASE STUDY OF APACO FOAM AND CHEMICAL INDUSTRIES LIMITED, AGBOR, DELTA STATE).

CHAPTER ONE

1.0      INTRODUCTION

1.1   BACKROUND TO THE STUDY

internal control is the whole system of controls, financial and otherwise, established by the management, in order to carry on the business f the enterprise in an orderly and efficient manner ensure adherence to management policies, safeguard the assets and secure as far possible, the completeness and accuracy of its records.

Consequent upon the above, this research is designed to carry out an empirical study on the internal control system of Apaco Foam and Chemical Industry Limited. Agbor Delta State and to recommend and or suggest ways that a strong internal control system can assist the company to maximize profit.

Apaco Foam and Chemical Industry Limited, Agbor Delta State, was established in 1977 wish a staff strength of three (3) comprising of the Director, Mr. G.O. Muobike, his wife and one other staff. It factory and office, then was situated at Obiazikwo street, owu. Agbor in the then Bendel State which was bifurcated into Edo and Delta states. Its major business is the production of foam other by products are:

i.            Mattresses

ii.          Rug under-lays

iii.        Sheetings

iv.         Cuishons

v.           Pillows and

vi.         Shoulder pads

   The factory and office complex which is situated at No. 3 Muobike Crescent by Owa-Alero/Owa Ekei Road Boji Boji Owa Agbor, was officially commissioned on May 13th 1995 by the then military administrator of Delta State, group captain Abraham Kefas..