ABSTRACT
The accounting information is the bases for financial planning analysis and decision making. They are needed to produce, compare and evaluate the forms of earning ability. It is also required to aid on economic decision making. the accounting information of an enterprises, firms or companies are contained in the financial statement of accounting reports and this comprises of firms balance sheet, profit and loss accounts or income statement of sources and application of fund, statement of value added, notes to the accounts and statement of accounting policy etc. The information contained in each of the statement and the management in decision making in diverse ways for example; the statement of value added measures, the wealth created by a business entity over a period of time and how it has been shared amongst the interest group. The profit and loss account measure the share profit which has accrued to the shareholders during a period while the balance sheet indicates the financial condition on the statement of affairs of a business at a business at a particular moment of time or accounting period.
TABLE OF CONTENT
Title page i
Approval page ii
Dedication iii
Acknowledgment iv
Abstract v
Table of content vi
Chapter one
- Introduction 1
- Background of the study 2
- Statement of problem 3
- Purpose of study 5
- Research questions 6
- Scope of study 7
- Significance of study 7
- Limitation of study 8
- Operational definition of terms 9
Chapter two
- Review of related literature 12
- Introduction 12
- Nature of accounting information 12
- Source of accounting information 18
- Importance of accounting information 21
- Accounting information and management 23
- Decision making process 27
- User of accounting information in firms 29
- Problems of the use of accounting information
in companies 39
CHAPTER THREE
3.0 Research design and methodology 42
3.1 Introduction 42
3.2 Research design 42
3.3 Sources/methods of data collection 43
3.4 Population and sample size 45
3.5 Sample technique 46
3.6 Validity and reliability of measuring instrument 47
3.7 Method of data analysis 49
CHAPTER FOUR
4.0 Presentation and analysis of data 51
4.1 Introduction 51
4.2 Presentation of data 52
4.3 Analysis of data 52
4.4 Interpretation of Result 78
CHAPTER FIVE
- Summary of findings, conclusion and
Recommendations 80
5.1 Introduction 80
5.2 Summary of findings 80
5.3 Conclusion 82
5.4 Recommendations 83
Bibliography 85
Appendix 87
CHAPTER ONE
- INTRODUCTION
Management is frequently faced with the problems of making alternative decisions faced with fact that resources are relatively scarce and limited compared to human wants. management does not only seek to ascertain cost at various stages in the process of providing a product or services, but also to make proper and accurate decisions at all levels on the modern organization. This process is facilitated by utilization of adequate and accurate accounting information policies.
Chris M. Madu [1999] without doubt decision making is one of the highest forms of human and hence management activity. The development of a business and the activity of its potentials very much depend on the existence of entrepreneurs with the present skills, capital and professional advice. These include accurate accounting information provided by accountants and their planning and other decision process. Despite the provision and utilization of accounting information, managers found it difficult to plan accurately. Consequently, results have on most cases been away from decision barget. This can be attributed to inadequate and inappropriate use of information. This study will examine the use of accounting information in the form. it will delve into the constraint affecting the use of accounting information by mangers in their decision making process.
Also this study will give a related literature that will discuss the nature and sources of accounting information, its importance and the users of this information.
- BACKGROUND OF THE STUDY
The background of this study gives us the context of the problem being investigated. The researcher traces the circumstances that triggered off the study. A background to the study is necessary in any research undertaking because it relates to us where we are coming from and serves as a link between the past and the present as regards the problems being investigated.
- STATEMENT OF PROBLEM
The major purpose of the use of accounting information is the minimization of risk and uncertainties that is likely to bring about failure on business.
Some likely problem that may be encountered or the use of accounting information includes:
The ability of mangers to interpret accurate accounting data made available to them may less to a deviation from the form’s normal course of goal attainment.
The level off qualification of the accounting staff if not adequate will pose a serious problem on the quality of accounting information supplies as it may likely be inadequate.
Lack of job experience may also affect the quality of information passed into management to ensure it work affectively.
The poor and improper utilization accounting information, there may be difficult in acquiring relevant accounting information needed by the management of a form for decision making needs on the other hand, if this information is gotten, it may not be properly utilized for the purpose for which it was acquired.
The lack of timely relevant information of the accounting and other personnel in the department.
The new and improved technology on large scale, forms without the complimentary expertise in its operations are likely to reduce the usefulness of the accounting information supplied.
