ABSTRACT
This study investigated accounting skills needed for effective management of small scale enterprises in Oshimili South Local Government Area, Delta State. Four research questions guided the study. The research adopted the survey design approach.
PASS 2024 UTME WITHOUT STRESS:- 👉 DOWNLOAD and PRACTICE with 2023 UTME CBT APP 📱👈
CLICK to DOWNLOAD NOW.:- 👉 PASS Your POST UTME by Downloading Your School's Post UTME Past Questions and Answers 📱👈
CLICK HERE TO DOWNLOAD THE COMPLETE MATERIAL (CHAPTER 1 -5)
The population of the study comprised personnel in accounting departments and operators/owners of small scale enterprises in the area of the study. a total of forty-two (42) sample was selected using a simple random sampling technique. Questionnaire was used as instrument for data collection which consisted a 20-item on a 4-point scale.
Mean and standard deviation were used to analyse data collected. The findings of the study revealed that Microsoft Excel, Peachtree and other fundamental accounting skills are needed by small scale enterprises together with the benefits accruable to firms that acquire these skills. Based on the findings of the study, the study recommends that most of the accounting skills are needed to enhance this business enterprises acumen and improve their profit margin.
These skills are relevant for successful management of small scale enterprises. Also these needed accounting skills do not differ significantly with the skills required by large enterprises.
The paper concludes that the acquisition of accounting skills by owners of small scale enterprises is of utmost importance given the numerous contributions that are inherently accruable to owners and operators of small scale enterprises.
The paper recommends massive and regular training of the owners and operators of SMEs nationwide on the accounting and business.
PRELIMINARY PAGES
Title Page
Certification
Dedication
Acknowledgements
Table of Contents
List of Tables
Abstract
CHAPTER ONE
INTRODUCTION
1.1    Background to the Study                                                                        Â
1.2 Statement of the Problem
1.3 Purpose of the Study
1.4 Research Questions
1.5 Significance of the Study
1.6    Scope of the Study                                                                                  Â
1.7 Operational Definition of Terms
CHAPTER TWO
REIVEW OF RELATED LITERATURE
2.1 An Overview of SMEs
2.2 The Need for Accounting Skills for Successful Management
2.3 Users of Financial Information Relating to a Business
2.4    The Importance of Accounting Knowledge                              Â
2.5    Financial Statement Definition                                    Â
2.6 The Objective of Financial Management
2.7 The Assumption of Financial Statements
2.8Â Â Â Â Qualitative Characteristics of Financial Statement Â
2.9 The Modern or Computerized Accounting Skills required
by Small Scale Sector
2.10 Manual Accounting Skills Required by other Entities in the
Small Sector
2.11 Analysis of Financial Statement
CHAPTER THREE
METHODOLOGY
3.1 Design of the Study
3.2 Population of the Study
3.3 Sample and Sampling Technique
3.4 Instrument for Data Collection
3.5 Validation of the Instrument
3.6 Reliability of the Instrument
3.7 Method of Data Collection
3.8 Method of Data Analysis
CHAPTER FOUR
DATA ANALYSIS AND DISCUSSION OF RESULTS
4.1 Data Analysis
4.2 Major Findings of the Study
4.2 Discussion of Results
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1    Summary                                              Â
5.2    Conclusion                                            Â
5.3    Recommendations                                  Â
5.4    Contribution to Knowledge                  Â
5.5    Limitations of the Study                                                  Â
5.5    Suggestions for Further Research                          Â
References                                                                  Â
Appendices                                 Â
CHAPTER ONE
INTRODUCTION
Background to the Study
Small scale enterprises have been adjudged to act as catalyst in the economic development of any country. Small and Medium Scale Enterprises (SMEs) have been described as possessing great potential for employment generation, improvement of local technology, output diversification, development of indigenous entrepreneurship and forward integration with large scale industries (CBN, 2011).
SME can be defined based on certain criteria including, turnover, number of employees, profit, capital employed, available finance, market share and relative size within the industry. The definition can be based on either some quantitative or qualitative variables.
The SME sector comprises very different types of businesses across a wide range of economic sectors. There are essentially two categories: those that are growth-oriented, and those small and micro enterprises that operate at thesubsistence level to provide employment and income mainly for their owners and a relatively small number of external employees.
Subsistence enterprises represent the vast majority of SMEs in developing countries. The definition and classification of SMEs in Nigeria is in terms of capital employed, turnover and number of employees.
The CBN communiqué No 69 of the special monetary policy committee meeting of April 15, 2010 acknowledged the existence of several definitions of SMEs. One of such definition/classification states that an enterprise that has an asset base (excluding land) of between N5 million to N500 million and labour force of between 11 and 300 belongs to the SME sub-sector.
SMEs have also been broadly defined as businesses with turnover of less than N100million, for the Small and Medium Enterprises Equity Investment Scheme (SMEEIS), a small and medium enterprise is defined as any enterprise with a maximum asset base of N1.5 billion (excluding land and working capital) with no lower or upper limit of staff.
Developing countries like Nigeria that require sustained economic growth in their economies must pay attention to the SME sector and harness the great potential to generate employment, improved local technology, output diversification, developed indigenous entrepreneurship and forward integration with large-scale industries that can be provided by the sector.
Unfortunately, the SMEs in Nigeria have underperformed despite the fact that the SMEs in Nigeria constitute more than 90% of Nigerian businesses, their contribution to the nation’s GDP is below 10%. SMEs account for a large proportion of the total employment growth many countries. In such countries, SMEs produce a significant share of their increases in Gross Domestic Product (GDP), while the contributions of larger enterprises tend to remain stable (ADB, 2002).
Nigeria is the most populous country in Africa and the eight in the world with a population of over 140 million people by 2006 census. With a nominal GDP of $207.11 billion and per capita income of $1,401 it has the second largest economy in Africa (Salami, 2011).
However, most of small scale businesses in Nigeria are not registered as corporate bodies but as sole proprietorship, this makes registration procedures quite simple and a bit easier than the other forms of business registration. Partly due to this phenomenon, SMEs has outnumbered all the other forms of business and could be found almost everywhere across the country.
The Small and Medium and Large Enterprises are more commonly involved in trading, provision of services and craft production activities in Nigeria, the SMEs population comprises approximately 97% of all businesses. This sector plays a crucial role in the economy as an engine to generate economic growth and also has its contribution to the economy in other ways.
Cook (2001) highlighted some contributions of Small Scale Enterprises to include:
- the encouragement of entrepreneurship
- the greater likelihood that SMEs will utilize labour intensive technologies and thus have immediate impact on employment generation.
- The fact that they can usually be established rapidly and put into operation to produce quick returns.
- The ability of SME development to encourage both inter and intra, regional decentralization and ;
- The nation that they may become a counter veiling force against the economic power of larger enterprises. More generally, the development of SMEs is seen as accelerating the achievement of wider economic and socio-objective including poverty alleviation.
In spite of all these, recent studies show that 60-70 of these enterprises fall within the first three years of establishing and this has been attributed to lack of adequate financial accounting knowledge and skills by entrepreneurs who manage the affairs of these enterprises.
In most industries, comparability will be affected by size. Larger firms will be able to avail themselves economic and certain sophisticated quantitative management techniques that may not be practicable for small ones smaller companies may be able to maintain closer client relation and better customers than the larger ones.
The difference in operation technique may influence deficit in accounting method employed in generating financial information, (Abdulrasheed, Khadijat & Oyebola, 2012). Appropriate accounting application should be an active steering tool to run and manage a business.
Accounting is the process of recording business transactions in a systmatic form so that the financial position of the business can be communicated to the users of such accounting information. Accounting is the key to business success and is also found to be the most frequent problem to why these businesses cannot operate well.
Accounting has aided in the development of these enterprises in the fields of science and technology and many other diverse fields by it direct assessment on the overall financial progress in pursuing their goals. The modern trend in information communication technology (ICT) has also affected the quality of performance of these enterprises.
Over the years rapid advances in electronic accounting have been made and several programme and application software development to support the enormous transactions created by e-business; electronic technology driven accounting system which have added responsibility accounting and profitability accounting and recent concept (O’Brien, 1997).
Microsoft Excel is a package or application that has loads of calculation capabilities that help in computing total sales, profit and loss made by an organization preparation of bank and income statement etc.
The graphic aspect of the Microsoft Excel packages is used in charts of different types and graph. Microsoft Excel package helps in inventory management and it is high sustainable for preparing an organizational payroll.
Peachtree accounting package help recipients in Management Information System (MIS). Peach-tree accounting skills provides knowledge of inventory management records as well as management of system frauds. It also provides adequate journal preparation and preparation of cash flow statement.
Despite the revolution on our daily lives, small scale enterprises are very slow at adapting to the great resources. They fail to include the knowledge of modern accounting packages like Microsoft Excel, Microsoft Access and Peach Tree Accounting into their daily business lives.
It is on the above premise that this study investigatedaccounting skills needed for effective management of small scale enterprises in Oshimili South Local Government Area, Delta State, Nigeria.
1.2 Statement of the Problem
Accounting is a very important aspect of any organization. Some Small Scale Enterprises have been observed to have accounting departments, yet they encounter ineffective management in the aspect of keeping records.
The rapid technological changes in the methods of preparing, recording, analyzing, summarizing and interpreting financial transaction calls for a need for an introduction of modern accounting packages, system and skills in businesses.
This is based on the fact that the wake of the millennium has witnessed dramatic changes in the manner accounting functions are been performed. The convergence of computer, telecommunication and e-commerce with business environment have brought to the force emerging ICT concepts and knowledge that were not used in Small and Medium Scale Entreprises (SMEs).
1.3 Purpose of the Study
The main purpose of this study is to investigate the accounting skills needed for effective management of Small Scale Enterprises (SSEs) in Oshimili South Local Government Area, Delta State, Nigeria.Specifically, the sought to:
- Ascertain the extent to which Microsoft Excel sub skills needed by Small Scale Enterprises.
- Ascertain the extent to which Peach treeaccounting sub skills required by Small Scale Enterprises.
- Determine the level of requirement of fundamental accounting skills needed by Small Scale Enterprises.
- Examine how accounting skills enhances good financial management of Small Scale Enterprises.
1.4 Research Questions
The following research questions were raised which guided the conduct of this study. In order for easy and effective collection of data the following research questions were formulated to guide the study.
- To what extent is the Microsoft Excel sub skillrequired by Small Scale Enterprises?
- To what extent is Peachtree accounting sub skills required by Small Scale Enterprises?
- To what extent are the fundamental accounting skills neededby Small Scale Enterprises?
To what extent does accounting skills enhance good financial management of Small Scale Enterprises?
CLICK HERE TO DOWNLOAD THE COMPLETE MATERIAL (CHAPTER 1 -5)
                         Â
                  Â
>GUARANTTEE|:| Score 280 Above in 2024 UTME👉 DOWNLOAD FREE JAMB CBT APP HERE:.: GURRANTTEE Score 280 Above in 2022 UTME👉 DOWNLOAD FREE JAMB CBT APP HERE 📱👈WISH TO STUDY & LIVE in UK?:- STUDY, WORK AND LIVE IN the UK Application Form NOW OUT. Call 08030447894
