ASSESSMENT OF THE INTERNAL CONTROL SYSTEM OF AKATSI DISTRICT ASSEMBLY

ABSTRACT This study examined effectiveness and efficiency of the internal control system and its practices at the Akatsi District Assembly (ADA). The assessment considered the extent to which control environment consistent with policies at the ADA, how risks are assessed, and the extent to which the accounting systems are consistent to required standards, the extent to control procedures are adhered to, and monitoring and control mechanisms at the Akatsi District Assembly. Descriptive research strategy was employed by the researcher. The sample for the study was made up of thirty informants, believed to provide the needed information for the study. Informant interview was conducted. Findings of the study revealed that the control environment of the internal control system is sound enough for effective governance and management functions, for communication and enforcement of integrity and ethical values, and for easy identification of potential risks by management and deciding upon appropriate corrective actions. The study also revealed the existence of effective information and accounting system in the Akatsi District Assembly that is good enough for good financial reporting objectives, effective performance review, information processing, physical controls and segregation of duties. It could therefore be concluded that the internal control system at the Akatsi District Assembly is considerably effective for efficient managerial function. It is, however, recommended that management, through the Human Resource Unit, should organize training for all staff and Assembly Members of the ADA for all to appreciate the need for internal control measures to ensure the ADA’s finances are reported accurately.