Accounting information systems and profitability of a business entity: a case of Uganda Book Shop

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Date
2011-06
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Volume Title
Publisher
Kampala International University: College of Economics and Management Sciences
Abstract
This research study was basically on accounting information systems and profitability of an institution. Emphasis made on types of businesses and their accounting information systems, users of the accounting information, differences between management accounting and financial accounting during discussion making. The accounting concepts/rules, purpose of financial statements, profitability and cash flows, General accepted accounting principles (GAAP), professional ethics and how the financial statements are related to profits of an organization. The researcher in carrying out the study was guided by the following research objectives (i) To find out whether accounting information systems have an impact on the profits of the business entity (ii) To find out the different accounting methods used by business entity (s) a case of Uganda Bookshop (iii)To ascertain the necessary qualities of an accounting information system (vi) To find out the relationship between financial accounting and management accounting and profitability of the business. The researcher used a non-probabilistic sampling method, using questionnaires and interview as major investment for data collection. However, the researcher chose Uganda Book Shop (Kampala Branch) as an area of study because it's a business entity which aims at profit maximization and therefore has in place an accounting information system to ascertain its profits and therefore find out whether the accounting information systems can influence the level of profits of that organization. The findings of the study indicated that accounting information systems such as following accounting convention/rules when preparing organizations accounts, financial statements preparations, using an external certified public accountants (CAP), practicing management accounting, following professional ethics when handling business accounts and following Generally accepted accounting standards (GAAP) can promote the profitability of Uganda Bookshop. In order for the bookshop to improve further on its profitability if should know the users of its accounts for proper decision making, should make research on other factor s that may affect the profitability other than accounting information systems for example promotion of sales, employee's motivation.
Description
A research report submitted in partial fulfillment for the Award of Degree of Bachelor of Business Administration of Kampala International University
Keywords
Profitability, Accounting, Business, Uganda Book Shop, Information systems
Citation