THE EFFECTS OF FINANCIAL ACCOUNTING REPORTING ON MANAGERIAL DECISION MAKING


THE EFFECTS OF FINANCIAL ACCOUNTING REPORTING ON MANAGERIAL DECISION MAKING (A CASE STUDY OF IDEMS ULTIMATE LTD. UYO, AKWA IBOM STATE).

TABLE OF CONTENT

Title Page………………..i

Certification……………ii

Dedication………………iii

Acknowledgment……….iv

Table of content………vii

CHAPTER ONE

INTRODUCTION

1    Background to the Study

1.2    Statement of the Problem

1.3    Objective of the Study

1.4    Research Questions

1.5    Significance of the Study

1.6    Research Hypothesis

1.7    Scope of Study

1.8    Limitation of the Study

1.9    Definition of Terms

1.10    Organization of Study

CHAPTER TWO

REVIEW OF RELATED LITERATURE

2.1    Conceptual Review

2.1.2    Basis of Financial Accounting

2.1.3    Differences between Management Accounting and Financial

Accounting

2.1.4    Users of Accounting Information

2.2    Concept of Financial Report

1.2.1    Objective of Financial Reporting

2.2.2 Types of Financial Reporting

Accounting Information for Public Limited Liability

2.2.3    Companies

2.2.4    Characteristics of Good Financial Report

2.3    Concept of Decision Making

2.3.1  Types of Management Decisions

2.4    Theories on Accounting Information

2.5     Empirical Studies on Accounting Information

2.6    Effect of Financial Accounting Reporting on Management

Decision

2.7    Summary of the Review of Related Literature

CHAPTER THREE

RESEARCH DESIGN AND METHODOLOGY

3.1    Research Design

3.2       The Area of Study

3.3     Population of the Study

3.4      SAMPLE SIZE AND SAMPLING TECHNIQUES

3.5    Sources of Data Collection

3.6    Research Instrument

3.7    Administration of the Instrument

CHAPTER FOUR

DATA PRESENTATION, ANALYSIS AND INTERPRETATION

4.1 ANALYSIS OF RESPONDENTS SOCIO-DEMOGRAPHIC

INFORMATION

4.3    Discussion of Findings

CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSION AND

RECOMMENDATIONS

5.1     Summary of Findings

5.2    Conclusion

5.3      Recommendations

REFERENCES

APPENDIX A

APPENDIX B

CHAPTER ONE

INTRODUCTION

1    Background to the Study

Financial reports provide an overview of a business profitability and financial condition in both short and long term. They are necessary sources of accounting information about companies for wide variety of users. In every business, there need information. This information needs ranges from financial, production, marketing etc. Generally, the larger the organization the greater the management need for information. Financial report plays a vital role in the decision making process of business organizations. The main purpose of financial reports is the provision of financial information as a record making. It has been said that accounting is the language of business (Needle 2008).

 It might also be said that the ability to apply accounting knowledge is critical to success in business: A business prepares various reports at the end of each fiscal period. These reports summarize the changes that have taken place during the period. For these financial reports to be useful, the data need be presented in such a way that the users will recognize similarities; differences and trends from one period to another to enable them make decisions. The accounting information contained in the financial reports enables management to make more inform decisions. Financial reports should provide adequate information in all areas of organization and economic activities; it should be able to disclose clearly the nature and accurate accounts of the transactions from which a true and fair view financial position of the organization can be ascertained. Financial reports serve a lot of useful purposes to different users namely, shareholders, Creditors, Banks, government agents, employees, potential investors and the management of the entity itself (William 2008).

The above identified groups of persons rely on the information supplied by the given firm through financial reporting in which they have interest to ascertain the organization’s state of affairs which serves as important guide in deciding the extent to which they commit their fund.

1.2    Statement of the Problem

The problem that prompted this research is that management does not know the various ways of presenting financial accounting reporting, which often affects managerial decision making. There are no proper allocation of resources of the organization which leads to non-achievement of the profit maximization objective. Also the inability of the management to recruit trained and professional personnel, as a result, the quality of the decision made by this organization are very poor.

1.4    Objective of the Study

The main objective of this study is to ascertain effect of financial accounting reporting on managerial decision making.

The specific objective are followed:

i.    To know whether the various ways of presenting financial accounting reporting has any effect on managerial decision making in the company.

ii.    To examine the attitude of management in the allocation of resources which often lead to achievement of profit maximization objective.

iii.    To determine the extent to which management recruit, trained and retrained the accounting staff on financial reporting.

iv.    To determine whether management use financial accounting reporting solely for decision making.

1.4    Research Questions

Based on the objectives, the following research questions were developed:

i.    Does the various ways of presenting financial accounting reporting have any effect on managerial decision making of the company

ii.    What is the attitude of management in the allocation of resources which often leads to profit maximization objective?

iii.    To what extent does management recruit trained and retrained the accounting staff on financial reporting?

iv.    Does management use financial accounting reporting solely for decision making?

1.5    Significance of the Study

The significance of this study is that, it shows the impact of financial reports in the operation of the organization. This research is beneficial to internal and external users of financial reports. This research will help managers determine the method of financial needs that will help in realization of their corporate objectives. The study will help the management to know the experts (accountants) that will be able to prepare an annual report that will enable the management to make well-informed decision that will enhance profit maximization. It will enable the external users to know whether the organization is making profit in order to invest more. This study will also serve as resource material for other researchers for further research in related areas.

1.6    Research Hypothesis

This hypothesis was propos by the study;

Ho: There is no relationship between financial accounting report and managerial decision making in Idems Ultimate Uyo, Akwa Ibom State.

Hi:  There is  relationship between financial accounting report and managerial decision making in Idems Ultimate Uyo, Akwa Ibom State.

1.7    Scope of Study

This research work covered the whole of Akwa Ibom State manufacturing companies, but due to certain constraints the research is restricted to Idems Ultimate Company PLC. Thus, the research investigates the impact of using financial reports in making management decisions.

1.8    Limitation of the Study

The limitation of this study is the time factor. Since the researcher carried out the research at the same time with her studies, there was limited time for to cover all the necessary areas of the research study. And also lack of audience from the respondents.

1.9    Definition of Terms

Annual Report: This is a comprehensive report on a company’s activities throughout the preceding year. Annual reports are intended to give shareholders and interested people information about the company activities and financial performance.

Managerial Decision: This is the decision concerning the operation of the firm, such as the choice of the firm size, firm growth rate, and employment.

Information: This can be seen as data which have been processed into a form meaningful to the recipient (receiver).

Organization: Is an organized body of people working together for the pursuit of a particular purpose (s) called organization goals.

1.10    Organization of Study

This project is made up of five chapters and each chapter is sub-divided into units to ease the work.

Chapter one provides a general introduction to the study. It covers areas such as; the background of the study, statement of the problem, objectives of the study, research questions, significance, scope, limitation, organization of the study and definition of terms.

Chapter two is titled “review of related literature”. This chapter evaluates and reviews existing relevant work related to this study by different authors, research work conducted and articles in respect of financial accounting report and managerial decision making.

Chapter three presents the research design and methodology which includes; the area and population of study, sample size and sampling techniques, instruments/methods for data collection, and method of data analysis.

Chapter four deals on the systematic analysis, presentation and interpretation of the data collected.

Chapter five presents the summary and conclusion of findings, and recommendations.

.

THE EFFECTS OF FINANCIAL ACCOUNTING REPORTING ON MANAGERIAL DECISION MAKING



TYPE IN YOUR TOPIC AND CLICK SEARCH.






RESEARCHWAP.ORG
Researchwap.org is an online repository for free project topics and research materials, articles and custom writing of research works. We’re an online resource centre that provides a vast database for students to access numerous research project topics and materials. Researchwap.org guides and assist Postgraduate, Undergraduate and Final Year Students with well researched and quality project topics, topic ideas, research guides and project materials. We’re reliable and trustworthy, and we really understand what is called “time factor”, that is why we’ve simplified the process so that students can get their research projects ready on time. Our platform provides more educational services, such as hiring a writer, research analysis, and software for computer science research and we also seriously adhere to a timely delivery.

TESTIMONIES FROM OUR CLIENTS


Please feel free to carefully review some written and captured responses from our satisfied clients.

  • "Exceptionally outstanding. Highly recommend for all who wish to have effective and excellent project defence. Easily Accessable, Affordable, Effective and effective."

    Debby Henry George, Massachusetts Institute of Technology (MIT), Cambridge, USA.
  • "I saw this website on facebook page and I did not even bother since I was in a hurry to complete my project. But I am totally amazed that when I visited the website and saw the topic I was looking for and I decided to give a try and now I have received it within an hour after ordering the material. Am grateful guys!"

    Hilary Yusuf, United States International University Africa, Nairobi, Kenya.
  • "Researchwap.org is a website I recommend to all student and researchers within and outside the country. The web owners are doing great job and I appreciate them for that. Once again, thank you very much "researchwap.org" and God bless you and your business! ."

    Debby Henry George, Massachusetts Institute of Technology (MIT), Cambridge, USA.
  • "Great User Experience, Nice flows and Superb functionalities.The app is indeed a great tech innovation for greasing the wheels of final year, research and other pedagogical related project works. A trial would definitely convince you."

    Lamilare Valentine, Kwame Nkrumah University, Kumasi, Ghana.
  • "I love what you guys are doing, your material guided me well through my research. Thank you for helping me achieve academic success."

    Sampson, University of Nigeria, Nsukka.
  • "researchwap.com is God-sent! I got good grades in my seminar and project with the help of your service, thank you soooooo much."

    Cynthia, Akwa Ibom State University .
  • "Sorry, it was in my spam folder all along, I should have looked it up properly first. Please keep up the good work, your team is quite commited. Am grateful...I will certainly refer my friends too."

    Elizabeth, Obafemi Awolowo University
  • "Am happy the defense went well, thanks to your articles. I may not be able to express how grateful I am for all your assistance, but on my honour, I owe you guys a good number of referrals. Thank you once again."

    Ali Olanrewaju, Lagos State University.
  • "My Dear Researchwap, initially I never believed one can actually do honest business transactions with Nigerians online until i stumbled into your website. You have broken a new legacy of record as far as am concerned. Keep up the good work!"

    Willie Ekereobong, University of Port Harcourt.
  • "WOW, SO IT'S TRUE??!! I can't believe I got this quality work for just 3k...I thought it was scam ooo. I wouldn't mind if it goes for over 5k, its worth it. Thank you!"

    Theressa, Igbinedion University.
  • "I did not see my project topic on your website so I decided to call your customer care number, the attention I got was epic! I got help from the beginning to the end of my project in just 3 days, they even taught me how to defend my project and I got a 'B' at the end. Thank you so much researchwap.com, infact, I owe my graduating well today to you guys...."

    Joseph, Abia state Polytechnic.
  • "My friend told me about ResearchWap website, I doubted her until I saw her receive her full project in less than 15 miniutes, I tried mine too and got it same, right now, am telling everyone in my school about researchwap.com, no one has to suffer any more writing their project. Thank you for making life easy for me and my fellow students... Keep up the good work"

    Christiana, Landmark University .
  • "I wish I knew you guys when I wrote my first degree project, it took so much time and effort then. Now, with just a click of a button, I got my complete project in less than 15 minutes. You guys are too amazing!."

    Musa, Federal University of Technology Minna
  • "I was scared at first when I saw your website but I decided to risk my last 3k and surprisingly I got my complete project in my email box instantly. This is so nice!!!."

    Ali Obafemi, Ibrahim Badamasi Babangida University, Niger State.
  • To contribute to our success story, send us a feedback or please kindly call 2348037664978.
    Then your comment and contact will be published here also with your consent.

    Thank you for choosing researchwap.com.