The role of computerized accounting system in financial reporting; a case of kapchorwa district local government:

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Date
2019-02
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Publisher
Kampala International University, College of Economics and Management.
Abstract
This study was designed to find out the role of computerized accounting system in financial reporting in Kapchorwa District Local Government. It was specifically intended to identify the reasons as to why Kapchorwa District Local Government has computerized its accounting systems, to determine how computerized accounting system has improved on the quality of financial reporting, and to examine the influence of computerized accounting systems on financial reporting. The researcher employed both qualitative and quantitative research designs with a case study and a sample size of 50 respondents. Both primary and secondary data was used and the data collection methods included use of questionnaires and interview guides to collect in depth information; they contained open ended and closed questions and data was analyzed using SPSS. This was used to describe newly generated information about computerized accounting system and its role in financial reporting. The respondents included; Chief Administrative Officer, Chief Finance Officer, Accountants in the accounts department, health department, production and personnel, chief internal auditor, etc. The study established that computerized accounting system has great impact on the quality of financial reports and that many financial statements were generated through the computerized accounting system. The findings shows a strong significant positive relationship between the variables (r=0.861**, p>O.Ol) which implies that computerized accounting system and financial reporting at kapchorwa district local government are strongly related. This study also established that though most literature focuses on total transformation from manual to a computerized system, given the risks and disadvantages associated with computerized systems, there is need to use the two systems alongside each other. The study recommends that in order to achieve the proper use of the technology, there should be training of staff, mandatory regulations to all local governments, appraising of staff, building of relationships, routine maintenance and internal reviews. The study thereof concludes that computerized accounting system is of great importance to the running of the organization but is also associated with its own weaknesses that hinder efficiency in the organizational environment. A continuous culture of utilizing a computerized accounting system is also recommends
Description
a research report submitted to the college of economics and management in partial fulfillment of requirements for the award of the bachelor’s degree of business administration of Kampala international university.
Keywords
computerized accounting, financial reporting, kapchorwa district
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