The Role of Financial Accountability in a Public Limited Company
The Role of Financial Accountability in a Public Limited Company
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Abstract on The Role of Financial Accountability in a Public Limited Company
The mismanagement of every organization emanates from the ability of the financial accountability to administer the financial undertaken in order to achieve its profit maximization.
Business collapsed, is characterized by negligence to adhere to effective control system, which primarily comes from internal control.
An organization encounters problems, which often times result to financial impropriety, which has made many firm to collapse. Some of these problems lie largely outside the control of the organization. These are the problem to be solved by the financial accountability in the interest of effective control system of the organization while other problems arise from the organization’s limitation in his financial undertakings.
An analysis of factors that contributed to this fact would be highlighted and useful recommendation towards resolving these problems would be made.
This researcher is optimistic in view of the fact that if these recommendations are adhered to, they will go a long way in achieving the objectives of this research work.
Chapter One of The Role of Financial Accountability in a Public Limited Company
INTRODUCTION
Accountability as seen by Iwumenne (1982: 56) is the sole of any business continuity. A mismanaged economy cannot sustain her subjects. In the micro sense, a mismanaged firm is for failure. The main aim of business is profit maximization. This cannot be achieved if the financial mismanagement is endowed in any form. In any business setting, the priority of management is to enable the firm to continue to finance its undertakings. This cannot be achieved without due regard to the prudent financial administration.
According to Muoha Otanka (1975:4)2. The spirit of continuity of a business is the careful administration that well administers the financial undertakings. Really, the issue of financial importriety has made many a business, collapse. There are many ways to
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