ABSTRAK Surakarta Dr. Moewardi Local Public Hospital is a state institution operating in public health service. As it progresses, Dr. Moewardi Local Public Hospital not only conducts health service activities but also activities relating to administration and documentation. This condition occurs due to the presence of cash circulation and other asset every day. For that reason it is required an information system that is capable of maintaining the organization wealth and generating efficiency. Particularly in cash, this system can be presumed getting special attention since cash is the most liquid asset and often become an object of misusage. The objectives of research are to find out the internal control of cash revenue and expense and to obtain some evidence on the strength and the weaknesses of the internal control system in Surakarta Dr. Moewardi Local Public Hospital. Then the writer expects to get wide knowledge on internal control system. In collecting data, the writer used interview and observation methods. The research shows that the internal control system in Surakarta Dr. Moewardi Local Public Hospital has some strength, including: an organization structure separating the functions, the presence of separation authority giving authorization to each transaction, and the usage of printed ordered numbered form. In addition, the internal control system in Surakarta Dr. Moewardi Local Public Hospital has also some weaknesses including: the document that has not been made doubly, the document that has not been conducted every day partly because of the job accumulation in budget division and there has not been bank reconciliation periodically. Based on the analysis conducted, it can be concluded that in Surakarta Dr. Moewardi Local Public Hospital there has been an internal control system over the cash it has and such a system has been implemented in most units. Considering such weaknesses, the writer tries to gives some recommendations: the document should be made doubly, there should be conducted bank reconciliation monthly, there should be conducted a sudden/surprise audit and the replacement of budget division name with the financial control division in order to be matched to its task.
