Internal Control to improve business profitability in Nuevo Chimbote-Peru

Abstract

The internal control applied to companies is basically oriented to the establishment of corrective measures from nature to detect errors and establish amendments to processes and results. The objective of the research was to analyze the internal control for the improvement of business profitability in Nuevo Chimbote, particularly in the Company León & Asociados Auditores Consultores, in the year 2020. The methodology refers to descriptive research, non-experimental design, to a sample of 35 people such as management, administrative and service personnel, who constitute the analysis units. The technique used was the survey and the instrument the questionnaire. The findings show that internal control improves the profitability of the Company León & Asociados Auditores Consultores; guidelines and directives are applied on the economic and financial administrative activities in a certain fiscal year, which has been poured out by the managers and/or workers of the company, existing a positive relationship between internal control and profitability. It is concluded that the internal control implemented is far from the quality standards and the formal guidelines established to meet the institutional objectives and goals, which leads to profitability not being optimal in a financial yea.