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The Role of Good Accounting System in the Management of Deviate Enterprises in Nigeria A Case Study of Nwaoku Pam Paper Mill Ihitte Uboma Local Government

The Role of Good Accounting System in the Management of Deviate Enterprises in Nigeria

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Reference ID: PS-19-TM


This research material titled “The Role of Good Accounting System in the Management of Deviate Enterprises in Nigeria” is dedicated to God for his enabling grace, and to all computer enthusiasts who contributed to make life a pleasant experience during my research documentation.


I extend my sincere gratitude to all those who contributed to the completion of this project. Special thanks to my Supervisor (Name of your Supervisor), the Head of Department (Name of your HOD), the Lecturers in the department of Accountancy / Accounting, Book Authors and Profound Scholars of existing or related project material on “The Role of Good Accounting System in the Management of Deviate Enterprises in Nigeria” for their invaluable guidance, support, and expertise throughout the journey.

I am also grateful to your study area (mention any funding organizations, if applicable) for their financial assistance. This research would not have been possible without the encouragement and assistance of some stakeholders (mention any mentors, teachers, or colleagues). Additionally, I would like to acknowledge the understanding and patience of my family and friends during this endeavor. Your unwavering support has been a constant source of motivation. Thank you all for being part of this meaningful endeavor.







    • 2.1 Introduction
    • 2.2 Conceptual Review
    • 2.3 Theoretical Framework
    • 2.4 Empirical Studies



    • 3.1 Introduction
    • 3.2 Research Design
    • 3.3 Population of Study
    • 3.4 Sampling and Sampling Technique
    • 3.5 Validation of Research Instrument
    • 3.6 Method of Data Collection
    • 3.7 Method of Data Analysis
    • 3.8 Questionnaire Administration
    • 3.9 Ethical Consideration
    • 3.10 Statistical Analysis



    • 4.1 Introduction
    • 4.2 Presentation and Analysis of Data
    • 4.3 Re-statement of Research Questions
    • 4.4 Test of Hypotheses
    • 4.5 Discussion of Findings



    • 5.1 Introduction
    • 5.2 Summary of Findings
    • 5.3 Conclusion
    • 5.4 Recommendation
    • 5.5 Suggestion for Further Study




    This research work is designed to show that the companion in the management of any business is a good accounting system that works effectively and efficiency and a special emphasis is laid on Nwaoku pam Paper Mills ltd, a medium scale manufacturing private company. Regrettably, good accounting system is lacking in most privately owned business enterprises in Nigeria, Only a few among the whole of them are having good accounting system. Hence, this project strives to explore some of the reasons for the lack good accounting system in most prociate enterprise in Nigeria. The discussion in this project as down in three chapters which chapter one covers the introduction the scope, nature, purpose and objectives off the study including in the chapter are some definition of terms and imitation of the study while chapter two covers the literature review which revenged the main intact of the subject matter such as the overview off the meaning of good accounting system including its nature and other components, then chapter three covers research methodology and design which reviews introduction theoretical frameworks, Rationale for choice variable, the methodology and data selection and analysis. Chapter Four covers presentation and analysis of data which reviews introduction, Data presentation, classification and calculation analysis of data accounting to research question and interpretation of result while the last chapter covers (chapter five emphasis on the summary, conclusion and recommendations. The recommendations made after the work are product of the desire of the researcher to cheek the high rate of the liquidating business enterprises.

    The Role of Good Accounting System in the Management of Deviate Enterprises in Nigeria (A Case Study of Nwaoku Pam Paper Mill Ihitte Uboma Local Government)


    1.0 Introduction

    Private enterprises are necessary in the economic development of any country it development or developing country. In developing country like Nigeria the roles attached are much. They put development and other socio-economic activities on the wheel. They provide other services that are peculiar to its development especially now that the establishment of industries and other socio-economic infrastructure are over politicized.

    Challenged by government social and development neglect of Uboma, but surrred up by economic desires Nwoku Pam paper Mill Limited, like many other privately owned enterprise was established for the following purposes.

    The need for quick economic through industrialization to remove or reduce economic stagnation and raise the living standards of the Nigeria population.

    1. To carry Industrialization to rural area neglected by the government.
    2. To promote employment to school graduate in moral areas and check the exodus into urban area.
    3. To compliment government industrial efforts
    4. To consequently and subsequently provide socio-economic infrastructures like electricity (power) water motorable roads to the rural areas.

    Disappointedly, most of those privately owned enterprise disappeared shortly from the book of life after they are established without achieving their set goals.

    Today, the incessant occurrence of these industries delegates have become an issue of worries to people, ridicule to government, researchers/ academicians and industrialist as well. The problems become most regrettable when reflect on how hard and time it takes accumulate.

    The money for such investment through short period of time it takes such investment to collapse. To most cases, such industrial failures are attributes to bad accounting system and many or non-application of accounting concept and convention. Today this has become industrial cankerworm eating deep into business in Nigeria.

    1.1 Statement Of The Problem

    That they help poor returns on investments and consequently, constant factory shut-down which is a functions of poor management and bad accounting system. It is common accounting practices, concepts and conventions. Mostly private owned enterprise are characteristics with the following:

    1. Inadequate financial planning and implementation of recommended facts.
    2. Employment of unqualified or non-professionals and as a result accounting books kept are incomplete and inadequate to aid management in formulating policies and making decisions.
    3. Inadequate or non-installation of a good accounting system and good internal control system
    4. Inability t divorce ownership from management
    5. Lack of understanding the width of the input and the advantages of accounting.

    Emphasis therefore directed in search of what is adequate control, check and balances as a tool for advertising industrial and business failures. The study therefore seeks to provide a sound accounting system hat will afford management of resources and decision making that will aid the growth of the enterprises.

    1.2 Objectives Of The Study

    The objectives of the study is to enable the researcher to have an insight into the role of good accounting system in the management of a private enterprises by:

    1. Designing adequate books of accounts and analyze the information content with a view of aiding management in decision making.
    2. Examine the nature and method of accounting information and management control operating in Nwoku Pam paper mills Limited, ascertain its strength and weakness and if possible make recommendations where necessary.
    3. Reviewing, evaluating, qualifying the extent of the application of a good accounting system in the management of private enterprises.

    1.3 The Need For The Study

    The establishment of the enterprises call for expanded technical and management services of which accounting is a vital one.

    Consequently, there have been several literature on private enterprises. Many have effectively appraised the management and control problems of related enterprises while others dealt with the technical aspect of it.

    Despite these appreciated efforts, the researcher feels that much has not been written on the accounting aspect and its effectiveness in provide enterprises. Where there is such an attempt, it has been a theoretical overview only. To help bridge the gap this study has to be carried out, as it is believed that it would such as:

    1. Highlight the accounting and financial control problem plaguing the enterprise.
    2. Install of good accounting system that would help the enterprise and private business to stand the test of time.
    3. Arouse further research into other financial areas of the organization.
    4. Suggest better financial structure necessary for optical operational and financial result of the enterprise.

    1.4 Assumptions of the Study

    Keeping accurate and completely comprehensive record of all transactions that will lead to the development/management of private enterprises.

    The failure to keep accurate an completely comprehensive records of all transaction will lead to financial disaster for private business.

    1.5 Scope of the Study

    In view of the time and characteristics difficulty of obtaining data in private enterprises, a case study approach of enterprise Nwoku Pam Paper Mill Limited is made. The study would examine the accounting and financial problem of the enterprise and hence determine the necessary control measures for revenue and income reporting budgeting, systems of control and financial practices of the enterprise most of the comments, especially on the essence apply equally to non-profit and public organization.

    1.6 Research Questions

    In pursuance of the purpose of this study, some research questions became pertinent. These questions invariably will help to sharpen the researchers focus. These include:

    • Is the company implementing the use of good accounting system?
      Of what effect is the practice of good accounting system to private companies?
    • How does the company (Nwaoku Pam Paper Milt Limited) Implement the accounting system?

    1.7 Limitation of the Study

    Willingness is a good accounting system in the management of private enterprise to disclose some vital information especially when it pertains to financial performance despite assurance of confidentiality by the researcher has reduced the depth of this study.

    Time research efforts, un-coopeniting nature of the nature of the management secrecy and financial constrains made an elaborate study to care for the whole country difficulty.

    1.8 Definition of Terms

    For the case of understanding, some terms and concepts used should be defined, as this is not assumed by expects in the field alone, such terms and concepts include:

    Accounting System: It is special concern with the design and implementation of procedures for the accumulation and reporting off financial data. This is a check and balare devised to safeguard business assets and provides for information flow that will be efficient and hopeful to the business owners.

    Budget: Is a formal written statement of managements plans for the future, expressed in financial terms. A budget that is the course of further action it should contain an attainable objectives.

    Capital Employed: This is the shareholders fund, loan, capital and any other long-term sources of funds.

    Financial Leverage: This is the use of charge sources of funds such as debt and preference share capital along with the owners equity in the capital structures.

    Net Working Capital: This is the owners equity in the business. It is the residual claim against the assets of the business after total liabilities are deducted.

    Private Enterprises: This is a business organization that is wholly owned by individual person, immediately member of the family, who effectively controls them neither the government nor the public has had in the ownership and management in spite of the size.


    2.0 Literature Review

    2.1 Introduction

    This chapter focuses on the review of related literature. A literature review includes the current knowledge as well as theoretical and methodological contributions to a particular topic. It documents the state of the art with respect to the topic you are writing. It surveys the literature in the topic selected. In this research work the literature review includes the …

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