Computerized Accounting and Performance of Selected Wholesale Companies in Mogadishu, Somalia
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Date
2014-09
Authors
Journal Title
Journal ISSN
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Publisher
Kampala International University, College of Economics and Management Sciences
Abstract
This study established the relationship between computerized accounting systems
and performance of selected wholesale companies in Mogadishu, Somalia. The
study was based on these three objectives; I) to examine the effectiveness of
computerized accounting systems; 2) to assess the performance of selected
wholesale companies; and 3) to find out whether there is significant relationship
between computerized accounting systems and performance of selected wholesale
companies in Mogadishu, Somalia. A descriptive correlational and cross sectional
survey design involving both qualitative and quantitative approaches was
employed. Using Slovene's formula, a sample size of 114 was used to collect data
from employees of the selected wholesale companies through purposive and
systematic random sampling techniques. a researcher made questionnaire was
used to collect data, which was analyzed using frequencies and percentages, mean
scores and ranks, Pearson's Linear correlation coefficient and Linear regression
analysis. The findings revealed that computerized accounting was effective in the
selected wholesale companies (overall mean= 2.78); performance of the selected
wholesale companies was also found to be high (overall mean = 2.71); the
relationship between effectiveness of computerized accounting and performance
of the selected wholesale companies in Mogadishu was also positive and
significant (at r =.988; R2 = 0.978; and sig. = 0.000). Basing on the individual
items under computerized accounting, this study found out that effectiveness in
data validation; financial security and financial information and reporting have
positive and significant relationship with performance of the selected wholesale
companies. This finding is demonstrated by the p values of 0.379; 0.217 and
0.264 at significant values of 0.003; 0.000; and 0.009 respectively at standardized
significant value of 0.05. However, data storage and accuracy did not have any
significant relationship with performance of selected wholesale companies as its
significant value computed in 0.121 and this is greater than the standardized
significant value of 0.05, so the null hypothesis was accepted. The researcher
concluded that computerized accounting in the selected wholesale companies in
Mogadishu is effective; the performance of the selected wholesale companies is
high; and that there is a strong, positive and significant relationship between
computerized accounting and the performance of the selected wholesale
companies in Mogadishu. The study recommends that the management of the
selected companies should work hand in hand with their accountants to ensure
improvements are ensured in the areas of data validation financial reporting and
information as well as data storage and accuracy such that improvement in
performance of the companies can be enhanced.
Description
A thesis submitted to the College of Higher Degrees and
Research in Partial Fulfillment of the Requirements For the Award of a Degree Master of Arts in Business Administration (Accounting and Finance) of Kampala International University.
Keywords
Computerized Accounting, Performance, Wholesale Companies, Mogadishu, Somalia