PERCEIVED EFFECT OF INTERNAL CONTROL ON THE FINANCIAL PERFORMANCE OF MANUFACTURING FIRMS IN KURDISTAN REGIONAL GOVERNMIENT OF IRAQ

The study examines the effects of internal control on financial performance of manufacturing firms in Kurdistan Regional Government of Northern Iraq (KRGI). This comes in the wake of facing a series of challenges that are being faced by the manufacturing industry in Kurdistan Regional Government (KRG) which include capacity utilization and funding problems. Deductions made have exhibited that the utilization of internal control is strongly presumed to ensure that management and workers strictly confine to their duties of working towards improving the success of the manufacturing firms in Kurdistan. Regression analysis was applied on the 142 responses that were retrieved using SPSS 22. The obtained findings showed that the control environment, control activities and internal auditing are positively related to financial performance.