...THE IMPACT OF INFORMATION TECHNOLOGY ON ACCOUNTING SYSTEM A CASE STUDY OF FIRST CITY MONUMENT BANK PLC MAKURDI ABSTRACT This study examines the impact of information technology on accounting system. The researcher has done this research using primary and secondary sources of data thereby adopting the questionnaire method and personal interview as a data collection technique. The statistical tool adopted in testing hypothesis was analyzed using chi-square. The major findings of this research revealed that, the positive impact of information technology outweighs the negative impact and both banks and customers benefit from it. Fraud is a major problem associated with information technology as it is on the increase by the day. The research recommended that, Government should improve the electricity supply in the country; they should support local IT firms by providing loans, and lowering tariffs with a view to encouraging them in carrying out their activities. TABLE OF CONTENTS Page Tittle page - - - - - - - - i Approval page - - - - - - - - ii Declaration - - - - - - - - iii Acknowledgement - - - - - - - iv Dedication - - - - - - - - v Abstract - - - - - - - - vi Table of contents - - - - - - - vii CHAPTER ONE INTRODUCTION 1.1 Background to the study - - - - - 1 1.2 Statement of the Problem. - - - - 2 1.3 Objectives of the study. - - -...
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...[1] ICPA, “Review and Resume”, Accounting Terminology Bulletin no. 1, (1953), par 9. [2] N. Conn, “Objectives of Financial Reporting by Business Enterprises”, Statement of Financial Accounting Concepts no. 1, (1978), par 9. [3] W. Ballada and S. Ballada, “Basic Accounting”, DomDane Publishing, (2011), pp. 20, 88-90. [4] Information Technology, http://en.wikipedia.org/wiki/Information_technology, (Accessed 2013). [5] M. Ghasemi, V. Shafeiepour, M. Aslani and E. Barvayeh, “The Impact of Information Technology (IT) on Modern Accounting”, Procedia - Social and Behavioral Sciences, vol. 28, (2011), pp. 112–116. [6] http://www.e-conomic.co.uk/accountingsystem/glossary/accounting-system, (Accessed 2013). [7] K. I. Dandago and A. S. Rufai, “Information Technology and Accounting Information System in the Nigerian Banking Industry”, Asian Economic and Financial Review, vol. 4, no. 5, (2013) June, pp.655-670. [8] J. Moscove, P. Sinkin and P. Bagranoff, “A Theory of Interdependent Demand for a Communication Service. Bell Journal of Economics, vol. 5, no.1, (1999), pp. 283-292. [9] J. Hall, Accounting Information System, (2008), pp. 11-28, ISBN-10: 0324560893, ISBN-13: 9780324560893. [10] S. Shanker, “How is Information Technology Used in Accounting?”, Chron Small Business Demand Media, (2013). [11] M. Amidu, et al., “E-Accounting Practices among Small and Medium Enterprises in Ghana”, Journal of Management Policy and Practice, vol. 12, no.4, (2011), p. 152. [12] Cost-Benefit...
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...Effects of Technology on Accounting Information Systems James King University of Phoenix: ACC/340 Accounting Information Systems I Instructor: Ray Dahmer June 27, 2011 Effects of Technology on Accounting Information Systems The information age and the resulting technological advances have made an impact on every functional area of the accounting industry including auditing, taxation, financial, and managerial accounting (Bagranoff, Simkin, & Norman, 2008). Information systems consist of data input and processing devices, applications, personnel, and procedures, all of which produce information that management uses to make crucial business decisions (Bagranoff, Simkin, & Norman, 2008). This paper contains a discussion of modern accounting information systems and the influence of those systems in the changing landscape of the accounting profession. New Technology and Its Effect on Business The introduction of modern information technology into the accounting profession has produced advances in the industry and in the design of accounting information systems. All but gone are the days of spiral bound ledgers and adding machines. Accounting applications running on computer systems with two-gigahertz processors and gigabytes worth of memory perform accounting tasks in modern organizations. The information generated by modern accounting information systems from the data gathered by the input terminals within the system, informs managers about the situation...
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...CONVENTIONAL ACCOUNTING SYSTEM AND INFORMATION TECHNOLOGY: EXPERIENCES IN MY PLACES OF WORK. BEING A SEMINAR PAPER PRESENTATION IN ACCOUNTING AND INFORMATION TECHNOLOGY FOR MASTERS IN ACCOUNTING (MAC) DEPARTMENT OF ACCOUNTING FACULTY OF ADMINISTRATION SCHOOL OF POSTGRADUATE STUDIES AHMADU BELLO UNIVERSITY, ZARIA, NIGERIA BY: KALU NNANNA NWONYUKU JUNE, 2013 CONTENTS 1.1.1 INTRODUCTION 1.2.1 THE MEANING OF ACCOUNTING AND ACCOUNTING PROCESS 1.2.2 THE ROLES AND FUNCTION OF ACCOUNTING INFORMATION 1.2.3 BASIC ELEMENTS OF AN ACCOUNTING INFORMATION 1.2.4 BASIC ACCOUNTING POSTULATES AND PRINCIPLES 1.3.1 MEANING OF INFORMATION TECHNOLOGY 1.3.2 ADVENT OF INFORMATION TECHNOLOGY IN ACCOUNTING SYSTEM 1.3.3. THE IMPORTANCE OF INFORMATION TECHNOLOGY TO ACCOUNTING SYSTEM 1.4.1 INFORMATION TECHNOLOGY USE FOR AN ACCOUNTING SYSTEM 1.4.2 SOFTWARE FOR ACCOUNTING INFORMATION SYSTEM 1.4.3 FACTORS TO CONSIDER WHEN CHOOSING ACCOUNTING SOFTWARE 1.4.4 HOW TO CHECK ACCOUNTING SOFTWARE 1.5.1 MERITS OF COMPUTERIZED ACCOUNTING SYSTEM 1.5.2 DEMERITS/LIMITATION...
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...Suryaningrum et al, 2014, ‘The effectiveness comparison between mobile based learning technology with face-to-face as a teaching method of Accounting Information System’, Global Conference and Finance Proceedings, Volume 9, Number 1. Authors conducted a study on the mobile-based teaching method to test if it will improve the student’s performance not only in technical skills but also in personal skills in learning Accounting Information System. The study was an exploratory research to develop a mobile learning application of Accounting Information Systems and test on the AIS mobile learning application made using the quasi-experimental research design. A pre-test exam was conducted where 50 accounting students who have completed Accounting Information Systems (AIS) courses were provided 20 randomly selected multiple-choice questions from 30 available questions with topic of data warehouse. The research result showed that before the student use mobile technology, their performance was not as expected. This pre-test result will then be compared with their exam score after taking advantage of the mobile learning application program which is still not published to date. The study reveals that the education system until now is mostly done by traditional face-to-face between students and educators with a shift in learning paradigm from conventional to sophisticated learning using technology. The development of ICT had clearly improved the education method in classrooms. On the...
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...June, 2010 2010-023X 103 Abstract—Nowadays the business world is changing at a faster and faster pace. The reasons given for this is globalization, highs information technology (IT) investments and the rapid pace of technological change. Organizations are responding in different ways and at different rates to the wide range of IT based opportunities and pressures. The purpose of this paper is to focus on the effects of IT related organizational changes on the management accounting function and to contribute to the body of knowledge about to what extent IT affects the ability to solve accounting tasks. The relationship between IT and accounting practices was investigated qualitatively using six case studies and we will measure the impact of IT on accountants’ tasks. The findings suggest a tendency for change and the decentralization of accounting tasks. Index Terms—Accounting, Accounting Information Systems, Financial Documents, Information Technology, Management Information System. I. INTRODUCTION Nowadays the business world is changing at a faster and faster pace. The reasons given for this is globalization, highs IT investments and the rapid pace of technological change in combination with escalating costs of research and development (Frishamar, 2002). The role of information technology (IT) has shifted over the last decades (Teng & Calhoun, 1996) to become an important part of how companies manage and control their resources. Organizations are responding...
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...Technology in Accounting Rabbit XACC/210 - Accounting Information Systems 08/18/2013 Gregory Ellis Technology in Accounting Information systems are changing various aspects of the accounting profession by dictating the ways that businesses operate. Before the use of computers, or AIS, accountants had to use hand-written ledgers and spreadsheets to keep track of business records. This old method of accounting took hours of time, cases of paperwork, and cost the businesses extra money. If an employer needed to found out information on payroll or inventory, they would have to shuffle through cases and files of paperwork. The more time it took to do this, the more money the employer lost. The businesses that can quickly process raw data and display the information managers require, gain a competitive advantage over companies that lack to ability to move data efficiently through the organization. Accounting information systems have sped up the time that it takes for an accountant to view or change crucial data. Accounting information systems are used to perform tasks in such areas as payroll, accounts receivable, accounts payable, inventory, and budgeting in real-time. It is important for any accountant to stay current with all of the new technological advances. According to “Bagranoff, N. A., Simkin, M. G., & Norman, C. S.” (2010), “Career opportunities abound for those with a solid foundation in Accounting Information Systems, including traditional...
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...EFFECTS OF COMPUTER ON THE ACCOUNTING PROFESSION NAMES MAT NO: OTOMEWO DANIEL WILLIAMS 6050 EKHATOR OSAYUWAMEN PRECIOUS 6951 ONI JOY ADELEMON 7029 EGBE PRINCE ISAIAH 7114 ODIASE PRECIOUS IYOBOSA 7033 EKUASE AUSTINE OSAMUDIAMEN 7031 ABSTRACT The aim of this study is the effect technology on accounting profession. The results of this study shows that technology causes decrease in book keeping. Also, it causes increase accuracy in accounting process, to shorten the time of providing reports, to decrease cost of gathering information, to improve reports in management accounting and to provide a background for executing techniques of costing. Technology has affected accounting profession in a great extent, in the sense that they need to acquire new skills like as applied software’s of accounting, excel and access. Also as it reduces book keeping and saving time, an accountants participation need to increase in the processes, planning, analyzing management. Therefore, it can stated that if the use of technology applied effective, it will be provide a better background for improving accounting profession and role-creating more suitable accountants in organizations. TABLE OF CONTENT INTRODUCTION BACKGROUND OF THE STUDY Technology over the last few decades has drastically changed the face of the accounting profession. For accountants, new technology is always trying to figure...
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...Procedia - Social and Behavioral Sciences 152 (2014) 852 – 855 ERPA 2014 Role of technology in accounting and e-accounting Aysel Güneya* a Bilecik Şeyh Edebali UniversityApplied Sciences Faculty, Bilecik, 11210, Turkey Abstract Technological developments changed methods for carrying out tasks within the scope of accounting activities and transactions related to accounting was started to being carried out through electronic media. Growth and development growing rapidly in information technologies day by day have brought digital revolution in economic, social and cultural fields. Our era is information era and when we acknowledge that accounting is an information system, the way and processes of transacting businesses of enterprises have changed with usage of information technologies in enterprises and this influenced accounting closely. Necessity of keeping up with changing conditions of accounting led educators and practitioners to new pursuits. Enabling inclusion of information era and technologic factors in education by benefiting from digital resources as well as theoretical information in accounting education provided in universities and generating an interactive environment to keep student wakeful and preferring educational model in which information technologies are used is necessary. In order to achieve that, students should be provided to take target-driven accounting courses and an educational order should be generated in which students can evaluate...
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...THE IMPACT OF INFORMATION TECHNOLOGY ON THE ACCOUNTING PROFESSION IN NIGERIA By: Idongesit Efiong Utah ABSTRACT This research focuses on assessing the impact of information technology on the Nigerian Accounting profession by examining four areas: Impact on the public and private sector, the challenges and reaction to the challenges posed by information technological innovation and information technologies enhancing effect on the Accounting profession. INTRODUCTION It is evident that we are in information driven age where information technology is a driving tool in the public and private sectors. The replacement of mainframe computers with personal computers which were affordable to most users has ushered us into an era of proliferation of information, speed of assess to and ability to disseminate information. The information technology revolution has brought about a drastic change in the business environment, its structure and the business process. Information technology has become a strategic tool that drives the strategic initiatives of organizations and businesses. Manual processes have been replaced with automated processes, routine bookkeeping and recording of financial information is being done electronically, and the ease and speed of transacting business has greatly increases. The accountant as a major player in the public and private sectors cannot afford to be left out. To function properly and competently the accountant must take the changes brought about by information...
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...Effects of Technology on the Accounting Profession University of Phoenix ACC/340 Accounting Information Systems Effects of Technology on the Accounting Profession Businesses have become more competitive, consumers are more informed, and technology has changed the way the world communicates. Information technology (IT) and the resulting ‘information age’ are continuously impacting every facet of accounting. (Bagranoff, Simkin, & Strand-Norman, 2006) This paper will examine how accounting information systems (AIS) are bringing about changes within the accounting profession. Additionally, a variety of technologies and how they affect accounting practices at Exclusively Yours Salon will be discussed. Accounting Information Systems and the Accounting Profession Today’s business environment is marked by increased competition and the need for better and faster information for decision making. According to Bagranoff, Simkin, and Strand-Norman, 2006: Because IT now captures transactions, AISs can produce financial statements almost in real time. Of course, some of the adjustments that accountants must make to the records are not done minute-by-minute, but a business can certainly track sales and many of its expenses continually. (p. 15) Additionally, large amounts of accounting records are increasingly presented only in an electronic fashion. Companies are reporting their financial outcome quarterly and an increasing number of companies are transferring their financial...
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...Vol. 1, No. 1, June, 2010 2010-023X Information Technology roles in Accounting Tasks – A Multiple-case Study Maria do Céu Gaspar Alves Abstract—Nowadays the business world is changing at a faster and faster pace. The reasons given for this is globalization, highs information technology (IT) investments and the rapid pace of technological change. Organizations are responding in different ways and at different rates to the wide range of IT based opportunities and pressures. The purpose of this paper is to focus on the effects of IT related organizational changes on the management accounting function and to contribute to the body of knowledge about to what extent IT affects the ability to solve accounting tasks. The relationship between IT and accounting practices was investigated qualitatively using six case studies and we will measure the impact of IT on accountants’ tasks. The findings suggest a tendency for change and the decentralization of accounting tasks. Index Terms—Accounting, Accounting Information Systems, Financial Documents, Information Technology, Management Information System. I. INTRODUCTION Nowadays the business world is changing at a faster and faster pace. The reasons given for this is globalization, highs IT investments and the rapid pace of technological change in combination with escalating costs of research and development (Frishamar, 2002). The role of information technology (IT) has shifted over the last decades (Teng & Calhoun...
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...Effects of Technology on the Accounting Accounting is one of the key elements in any organization, which financial health highly depends on its accuracy. Modern enterprise involves a huge number of financial transactions, which reflected through the relevant information flows. Accounting includes many routine operations, repetition of the same computing operations, as well as preparation of financial reports and payment documents. In this regard, the traditional accounting involves a complex and painstaking work of accountants, which requires considerable effort and knowledge. The modern development of information technologies and their wide application in economic practice can solve this problem by automating some of the accounting processes. Currently, the use of information systems in the enterprise became an integral part of the production process. Application of the system has allowed the company to automate operations on registration receipts, transfers and disposals of its assets, as well as to improve the overall degree of control, the availability, and conditions. In addition, automation of accounting has other advantages over the traditional way of accounting, such as ability to improve employees productivity, reduce the influence of the "human factor”, increase the speed of reporting and documentation, as well as to provide the possibility of parallel accounting in a several different standards. Implementation of information systems and technologies in the work...
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...Effects of Technology on the Accounting Profession ACC/210 August 15, 2011 Effects of Technology on the Accounting Profession Technology, information, software, and even the machines used to input, translate, and interpret the data we enter are ever evolving at shocking rates. We must constantly stay on top of our skills in order to be able to navigate through the vast screens, shortcuts, functions, and utilities stored in these small computers that have the capacity to do what would take a room full of human brains to do in a fraction of the time. In a time where nearly every occupation can be automated, accounting is nearly no exception, but notice I did say ‘nearly.’ With a vast array of software programs, data collection methods, and forms of technologies to keep accounting professionals up to the minute on their financials, there is little reason to justify the use of the antiquated legal sized general ledger books anymore. By integrating AIS effectively in the manufacturing industry, the accounting department where I work has been able to promptly and accurately produce cost analysis reports for the machines we produce, determine our SG&A at any given point, and determine whether a customer’s credit can be extended based on their average days of payment. AIS are invaluable tools that are overlooked for the value that they truly add to an accounting department. An accounting information system is a system that combines traditional accounting practices such as...
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...Positive Impacts that Information Technology has had in the Finance and Accounting Fields The role of Information Technology (IT) in today’s world cuts across almost all sectors of the economy and society. In finance and accounting, IT has played a significant role in ensuring the efficiency and effectiveness of accounting and finance activities (Half, 2012). Several IT networks and computer systems have shortened the lead-time necessary for accountants to make and present financial information to firms’ managements and other stakeholders. Moreover, the IT has also improved the overall efficiency of the information provided by the accountants to firms’ management departments. Accurate information by the accountants is crucial for appropriate and relevant decision making by the company. One of the biggest impacts of IT in accounting is the development and use of computerized systems in tracking and recording various financial transactions. Before the innovation of technology and its use in finance and accounting, recording of transactions took long and was never accurate. The paper ledgers, handwritten financial statements, and spreadsheets have been translated into computer systems for quick presentation of individual transactions into easily interpretable financial report (Half, 2012). Improved reporting is necessary for investors in the determination whether a company is an appropriate investment for growth opportunities. It also determines whether it has a potential...
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