APPRAISAL OF THE ACCOUNTING SYSTEM IN NIGERIAN PUBLIC SECTOR( A CASE STUDY OF SELECTED GOVERNMENT ESTABLISHMENT IN ENUGU)
Accounting can be defined as the recording summarizing analyzing and interpretation of an organization.
Accounting system is a set of rules regulations and procedures which are articulated by a appropriate theoretical force into a system. Ti process data into
information which are required as input in the decision making system of the organization.
Based on these definitions accounting of public sector involves activities of collecting analyzing recording summarizing reporting and interpretation of transaction of government units.
The objective of the study is to determine he effectiveness
of the existing system of accounting of government units to appraise the system and ascertain
their suitability to analyze the problem associated with the system of accounting adopted (if any) by these organization and to identify future improvement.
Both primary and secondary sources of data were used in this research. Research question were formulated and a questionnaires comprising statement
drawn form the research question were prepared as well.
Interviews as a primary sources and textbooks as a secondary sources were also used.
Some of the major finding form the analysis of data collected are appointment of unqualified accountants to act as accounts supervisor negative attitude of
most accountants towards accountability resulting to inadequate keeping of records and accounts the erect of self accounting system which is now used as
an act for embezzlement/ self enrichment by the public sector accountants inadequate training and development of public sector accountants which results
to lack of proficiency of public sector accounting system incompetent among accountants in the public sector and the delay is presenting and preparation of
annual financial statement in the public sector.
On the basis of these finding the following recommendation are made viz.
Adequate internal control system has to be institute by the management for the prevention and detection of fraud and irregularities is the public sector
Training of the account personnel should be adopted in the public sector service.
Financial statement must be prepared and present to members annually to have the related information on their loopholes and area to improve on.
The above recommendation of fully implemented will enhance government accounting system and records and also stimulated improved financial reporting system in the public sector.
BACKGROUND OF THE STUDY
Accounting system is an organization has a significance impact is the efficient
management and administration of the organization accounting has been
called the “language of business and financial decision” because it provide management with data needed for decision making and for efficient operation of the firm.
Walgenbach Dlttrich and Hanson defined accounting as the process of recording classifying reporting and interpreting the financial data of an organization.
Once an accounting system has been defined and installed recording and classifying data become some what routine and repetitive. Accounting is a
dynamic profession like language it does not stay static it grows embrace additional rolls in its development trail.
Extensively accounting records has to be maintained not just because these records are required by law but to avoid confrontation with a multitude of
complex variables. Accountants cannot just observe the daily operation instead he must depend on the accounting process to convert business transaction
into statistical data that can be abstracted and summarized in accounting reports.
It is a thing of joy that an accounting body in Nigeria the institute of chartered accountants of Nigeria (ICAN) has lately accredited two institute as recognized
training countries for the purpose of training accountants solely for the public sector though the curriculum for government accounting yet to be fully
developed and integrated into the accountancy programmes of our institutions. Based there is also a great search of textbook on governmental accounting
is the country these are problem that must be promptly tacked.
Government establishment are set up to provide social goods and service for public welfare. These establishment finance their activities principally from
government subventions which are derived directly or indirectly form government various sources in come (such as fees charges central or local taxation and
borrowing) the need for a good book-keeping and accounting system together with proper accountability for public fund cannot be over accounting oicers
operate as an internal security men and through records control what goes on inside the business.