The Effectiveness of Internal Control Systems of Banks. The Case of Ghanaian Banks
Abstract
This study evaluated the control environment and monitoring activities components of Internal Control Systems of Ghanaian Banks using COSO’s principles and attributes of assessing the effectiveness of internal control systems. A five point Likert scale was used to measure respondent’s knowledge and perception of internal controls and the bank’s internal control system effectiveness. Responses ranged from strongly disagree to strongly agree, where 1 represented strongly disagree (SD) and 5 represented strongly agree (SA). Statistical Package for Social Sciences (SPSS) was used to analyse data and presented in the form of means and standard deviations for each question and each section of the questionnaire. The study found out that, strong controls exist in the control environment and monitoring activities components of the internal control systems of banks in Ghana. The two components were highly rated by respondents with average means of 4.72 and 4.66 respectively. The study recommended that boards of banks in Ghana should not be complacent about the findings but should work hard to ensure continuous ongoing and separate internal control monitoring to ascertain that controls really exist and are functioning properly.
Full Text:
PDFDOI: https://doi.org/10.5296/ijafr.v4i2.6432
Refbacks
- There are currently no refbacks.
Copyright (c) 2014 Philip Ayagre, Ishmael Appiah-Gyamerah, Joseph Nartey
This work is licensed under a Creative Commons Attribution 4.0 International License.
International Journal of Accounting and Financial Reporting ISSN 2162-3082
Copyright © Macrothink Institute
'Macrothink Institute' is a trademark of Macrothink Institute, Inc.
To make sure that you can receive messages from us, please add the 'macrothink.org' domain to your e-mail 'safe list'. If you do not receive e-mail in your 'inbox', check your 'bulk mail' or 'junk mail' folders.