Internal control is defined by the consultative committee of accounting bodies in the united kingdom as a whole system of controls, financial an do otherwise established by the management in order to carryon the business of the enterprise in an orderly and efficient manner, ensure adherence to management polices, safeguard the asset and secure as far as possible the completeness and accuracy of his records.
The individual components of an internal control system are known as “control” or internal control.
According to J.C Ezeh Apil 2001 he defined internal control system as a whole system of control financial and otherwise, established by the management in order to carry on the business of the enterprise in an orderly and efficient manner, ensure adherence to management policies, safe guard the asset and secure as far as possible the completeness and accuracy of the records. The individual components of an internal control system are known as “control or internal controls”.
Internal control by J.C. Ezeh can also be seen in the following definitions they are:
i. As a whole system
ii. Established by the management
iii. Ensure Adherence to management policies
iv. Safeguard the assets
v. Secure completeness
vi. Accuracy of the records
i. Internal control as a whole system, can be seen as a single procedure (e.g a clerical officer Y, check the calculations done by a clerical officer z) or as a whole system. The whole system should be more than some of the parts.
ii. Internal control system are established by the management, either directly or by means of external consultants, internal audit or accounting personnel external auditors may be asked to advice on the establishment of system.
Finally by J. C. Ezeh internal control refutes to the entire system of controls in an enterprise and is not limited to accounting information.
Millichamp A.H of 1991 defined internal control as a whole system of control finance and otherwise established by the management in order to carry on the business of the enterprise in an orderly and efficient manner ensure adherence of management policies and completeness and accuracy of records.
Oknowko I. E of 1994 in his own definition of internal control he defined it as that which comprise the plan of an organization and all of the coordinated methods and measure adopted, within a business to safeguarded its assets, checking accuracy and reliability of the accounting records, promotes operation efficiency and encourage adherence to management policies.
Control is necessary to assure that management policies and directives are properly adherence to.
Management is far removed from the scene of operation in the typical large industry and personal supervision of employers is an impossibility. As a substitute, management must rely on various control techniques to implements its decision and goals.
The responsibility for establishing and maintaining an adequate system of internal control lies with management to decide the extent of the internal control system which is appropriate to the enterprises. It depends on nature size and volume of the enterprise and the geographical distribution of the enterprise and many other factors. Management has recognized internal control as a valuable tool in effectively carrying out its responsibilities and auditors have pressed for improvement in internal control to their effects to be of assistance to management as well as to permit education in audit work made possible by the concomitant increase in the creditability of the accounting records.
OTHER SIMILAR ACCOUNTING PROJECTS AND MATERIALS
AN APPRAISAL OF THE IMPLICATION OF ELECTRONIC BANKING IN NIGERIA BANKS (A CASE STUDY OF ACCESS BANK)
CHAPTER TWO REVIEW OF RELATED LITERATURE Electronic banking in Nigeria has overtime been viewed by many especially economists as having a lot of implications on the economy of Nigeria and especially...Continue reading »
A CRITICAL ANALYSIS OF THE USE OF FINANCIAL STATEMENTS IN ASSESSING THE PERFORMANCE OF AN ORGANIZATION (A CASE STUDY OF FIRST BANK NIGERIA)
ABSTRACT The study was carried out to analyse how an organization performs making use of the financial statements with First Bank of Nigeria Plc serving as the case study. the study disclosed that th...Continue reading »
AN EVALUATION OF THE PERFORMANCE OF NIGERIAN STOCK EXCHANGE IN THE ECONOMIC DEVELOPMENT OF NIGERIA ( A CASE STUDY OF NIGERIAN STOCK EXCHANGE)
HISTORICAL BACKGROUND OF THE NIGERIA STOCK EXCHANGE IN THE ECONOMIC DEVELOPMENT OF NIGERIAN. The nigeria stock excahnge denoted by NSE is a government establishment where stocks are traded on a daill...Continue reading »
APPLICATION OF BUDGETS AND BUDGETARY CONTROL MEASURES IN A NON-PROFIT ORGANIZATION: A CASE STUDY OF APOSTOLIC CHURCH, DELTA
2.1 CONCEPTUAL FRAMEWORK A budget is can be defined by accountants as “a planned outcome to be generated and for the expenditure to ensure during that period and the capital to be employed to a...Continue reading »
ASSESSING BOOK-KEEPING PRACTICES OF SMALL AND MEDIUM SCALE ENTERPRISES IN CALABAR LOCAL GOVERNMENT AREA
ABSTRACT The economy of Nigeria cannot function properly or thrive without the micro, small and medium scale enterprises (SMEs). These small scale enterprises cannot function properly if they are not ...Continue reading »
ASSESSMENT OF ADEQUATE RISK RECOGNITION AND MANAGEMENT IN NIGERIAN INSURANCE COMPANIES (A CASE STUDY OF UNION ASSURANCE COMPANY, UYO)
THE CONCEPT OF RISK Risk has been the subject of study by different scholars over the years with several meaning and definitions. But the most accepted definitions are that of J.E Banister and P.A Baw...Continue reading »
What are looking for today?
THE EFFECT OF TREASURY SINGLE ACCOUNT ON THE ECONOMY OF NIGERIA
37,534 people found this useful
THE IMPACT OF HUMAN RESOURCE PLANNING ON ORGANIZATIONAL PERFORMANCE
36,190 people found this useful
THE EFFECT OF SOCIAL MEDIA ON STUDENTS PERFORMANCE IN LEARNING LISTENING COMPREHENSION
32,972 people found this useful
TAX ADMINISTRATION IN NIGERIA: CHALLENGES AND PROSPECTS, A CASE STUDY OF LAGOS STATE BOARD OF INTERN...
30,222 people found this useful
CAUSES AND EFFECTS OF COMMUNICATION BREAKDOWN IN AN ORGANIZATION (A case study of champions’ brewe...
24,985 people found this useful
FACTORS AFFECTING LANGUAGE CHOICE IN A MULTILINGUAL SOCIETY
24,672 people found this useful