This paper considers the problem of resistance estimation in electronic systems including battery management systems (BMS) and battery chargers. In typical applications, the battery resistance is obtained through an approximate method computed as the ratio of the voltage difference to the applied current excitation pulse or vice versa for admittance. When estimating the battery resistance, this approach ignores the change in the open circuit voltage (OCV) as a result of the excitation signal. In this paper, we formally demonstrate and quantify the effect of the OCV drop on the errors in internal resistance estimation. Then, we propose a novel method to accurately estimate the internal resistance by accounting for the change in OCV caused by the applied current excitation signal. The proposed approach is based on a novel observation model that allows one to estimate the effect of OCV without requiring any additional information, such as the state of charge (SOC), parameters of the OCV-SOC curve, and the battery capacity. As such, the proposed approach is independent of the battery chemistry, size, age, and the ambient temperature. A performance analysis of the proposed approach using the battery simulator shows significant performance gain in the range of 30% to more than 250% in percentage estimation error. Then, the proposed approach is applied for resistance estimation during the hybrid pulse power characterization (HPPC) of cylindrical Li-ion battery cells. Results from tested batteries show that the proposed approach reduced the overestimated internal resistance of the batteries by up to 20 m{\Omega}.