RELEVANCE OF ACCOUNTING TO MANAGEMENT DECISION MAKING PROCESS IN TERTIARY INSTITUTION.
Need help with a related project topic or New topic? Send Us Your Topic
DOWNLOAD THE COMPLETE PROJECT MATERIAL
RELEVANCE OF ACCOUNTING TO MANAGEMENT DECISION MAKING PROCESS IN TERTIARY INSTITUTION.
Chapter one
BACKGROUND FOR THE STUDY
1.0 Introduction
In today’s environment, record keeping is essential for any company organisation, which leads to accounting.
Accounting can be defined as the use of professional knowledge in the fields of cost analysis and cost accounting to give management with the information they need to make decisions, perform their jobs, and function effectively.
Accounting is also the process of gathering data, analysing it, and presenting it to management in order to help them make informed decisions.
Accounting goes far beyond the actual creation of records; it is concerned with the use of records to compute analysis and interpretation, studying the various alternatives available to the firm, and using this accounting experience to aid management decision making, as information has value if it is used wisely for decision making and utilised by individuals.
As a result, each individual’s needs and the relevancy of the information to be delivered should be those that are within the understanding and control of the decision-making process.
Accounting often works as a mirror, reflecting an enterprise’s image to the outside world.
It enables the report’s final consumers to make informed decisions.
Accounts are all about accountability. Most organisations are held externally accountable in some capacity for their actions and operations. They will create reports on their operations that reflect their goals and the individuals to whom they are accountable.
1.1 Statement of the Problem
Because accounting plays such an important part in the management decision-making process, the researcher seeks to identify the issues that impede accounting and to highlight the implications of accounting for decision making.
1.2 PURPOSE OF THE STUDY
The goal of this study project is to assess and evaluate the organization’s accounting performance as a decision-making tool, with a focus on its functions and role in the Nigerian economy’s industrial sector.
To investigate the extent to which the functions and objectives for which the decision was made have been met.
To reach desired goals, it is also necessary to examine issue areas such as “bottleneck” in accounting.
To investigate areas such as operational rules and orientations, disbursement methods, interest charges on account, and other commitments.
1.3 Research Hypothesis
The researcher wants to propose the following hypothesis:
HO1: Is there a relationship between accounting tools and management decisions?
Is there any relationship between accounting as a profession?
H O2: Are there any connections between the accounting department and the other departments?
H O3: Is there any connection between record keeping and accounting as a profession?
1.4 Significance of the Study
This study will be significant in a variety of ways, including:
This study will provide some of the previous work done in a certain field of study, such as accounting, to improve decision-making.
This study will also provide detailed information on how accounting technologies can be utilised to increase, analyse, record, and report human resource investment as well as all accounting-related costs.
This study will also highlight several methods for valuing management information in monetary terms and including it in annual financial statements.
This research is also significant in terms of identifying all of the associated expenses of accounting and how to control them using strategies.
1.5 Limitations of the Study
The purpose of this research is to look into the relationship between accounting and management decision making in Nigerian tertiary institutions.
Because there are so many higher institutions throughout the country, it is impossible to conduct research on all of them. As a result, this study has been limited to Lagos State University to represent all tertiary institutions in Lagos State.
1.6 Definition of Terms
i. Accounting: The process of recording and reporting on the movement of money, stock, or other human financial transactions.
ii. Financial Statements: They consist of a balance sheet, profit and loss account, cash flow statement, notes, and other statements that together are intended to provide a true and fair picture of the financial position and profit and loss.
iii. Assets: Assets are economic resources that can provide benefits to the owner, either immediately or in the future, such as land, buildings, equipment, plant, and machinery. It could be fixed, current, or fictive in nature.
iv. Historical Cost: This is a standard valuation concept used in accounting. The enterprise values resources in accounting based on their acquisition cost.
Need help with a related project topic or New topic? Send Us Your Topic