Internal control and financial performance among cooperatives in Panabo City

Abstract

Cooperatives are important company of economic growth. Nonetheless, many Cooperatives face challenges in managing their finances effectively. For a business to be able to sustain its operations and meet their goals, it must be manage prudently. This study aimed to determine the relationship between internal control and financial performance among cooperatives in Panabo City. A total of 74 cooperatives employee were the respondents of this research. The statistical tools used were Mean and Pearson-r. Quantitative research utilizing the descriptive-correlation method was the research design used in this study. Results revealed that the level of internal control among cooperatives is garnered a high control in terms of control environment, internal audit and control activities which constituted a 4.20 grand mean. For the level of financial performance was very high that yielded a 4.36 grand mean. Results revealed a significant relationship between internal control and financial performance among cooperatives in Panabo City specifically in Panabo Cooperatives and Tagum Cooperatives. The results yielded an r-value of 0.450 and a P-value of 0.000, which was less than a 0.05 level of significance.