The Importance of Accounting

This assignment delves into the multifaceted significance of accounting. It examines the role of accounting principles in ensuring transparency and reliability in financial reporting. The importance of accounting information for effective decision-making is highlighted, particularly in contexts like business strategy and tourism. Additionally, the assignment explores how accounting contributes to understanding economic phenomena and measuring societal impact.

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INDEPENDENT STUDY FOR
ACCOUNTANTS (ISAC)
U23000
Lecturer: Mikki Ng
THESIS TOPIC: ROLE AND IMPACT OF
ACCOUNTING IN DECISION MAKING
Student name: Lim Teck Wai
Student ID: 837747
I declare that all materials included in this essay/report/project/dissertation is the
end result of my own work and that due acknowledgement have been given in the
bibliography and references to ALL sources be they printed, electronic or personal.
Signed: Date: 01st December 2017

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ROLE AND IMPACT OF ACCOUNTING IN DECISION MAKING
Contents
1.0 CHAPTER ONE........................................................................................................................4
1.1 Background of the Study...........................................................................................................4
1.2 Problem Statements...................................................................................................................5
1.3 Purpose of The Study.................................................................................................................6
1.4 Significance of The Study.........................................................................................................6
1.5 Research Questions...............................................................................................................6
1.6 Hypothesis of The Research.................................................................................................6
1.7 The Scope and The Study’s Delimitation..................................................................................7
1.8 Disadvantages of The Study......................................................................................................7
2.0 CHAPTER TWO.......................................................................................................................7
2.1 Review of Relevant Literature...................................................................................................7
2.11 Introduction..............................................................................................................................7
2.12 Accounting Training and Development Perspective...............................................................8
2.13 Use of Accounting Information Systems in Decision Making of ZBMS Company.............10
2.14 Usage of Information Within AIS.........................................................................................10
2.15 User of Accounting Information System...............................................................................11
2.16 Functions of AIS....................................................................................................................11
3.0 CHAPTER THREE.................................................................................................................12
3.1 Research Design and Methodology.........................................................................................12
3.11 Introduction............................................................................................................................12
3.12 Research and Design..............................................................................................................12
3.13 Population..............................................................................................................................12
3.14 Samples and Sampling Methodology....................................................................................12
3.15 Research Tools.......................................................................................................................13
3.16 Methods Used in Data Collection..........................................................................................13
3.17 Analyzing of Data..................................................................................................................13
3.18 Validity and The Tool’s Reliability.......................................................................................13
3.19 Statistical Instruments Used to Analyze Data.......................................................................14
4.0 CHAPTER FOUR...................................................................................................................15
4.11 Analysis and Presentation of Data.........................................................................................15
4.12 Analysis of The Data Collected.............................................................................................15
4.13 Interpretation..........................................................................................................................16
4.14 Interpretation..........................................................................................................................17
4.15 Interpretation..........................................................................................................................17

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4.16 Interpretation..........................................................................................................................18
4.17 Interpretation..........................................................................................................................19
4.18 Interpretation..........................................................................................................................19
4.19 Research Questions................................................................................................................20
4.20 Interpretation..........................................................................................................................20
4.21 Interpretation..........................................................................................................................21
4.22 Interpretation..........................................................................................................................22
4.23 Interpretation..........................................................................................................................22
4.24 Interpretation..........................................................................................................................23
4.25 Interpretation..........................................................................................................................24
4.3 HYPOTHESIS TESTING.......................................................................................................24
4.31 Decision Rules.......................................................................................................................24
4.32 Hypothesis 1..........................................................................................................................24
4.33 Decision.................................................................................................................................25
5.0 Discussion................................................................................................................................26
6.0 Conclusion and Recommendations..........................................................................................26
References......................................................................................................................................27

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CHAPTER ONE
1.1 Background of the Study
Accounting and Information Systems (AIS) refers to a way of collecting, storing and
processing of finance and accounts information that is helpful in decision making (Roska,
2007). AIS simply refer to a method based on information technology that is used in
monitoring accounting routines. The report generated by the system can later be used by the
internal management or by other parties which might be interested such as investors, tax
companies, and debtors.
Accounting acts as business language as well as a tool that records, reports and
evaluates economic activities that have impact on business initiatives (Kearns, 2014 ).
Accounting and Information System manages all business transactions like cost, capital
expenses and sales revenue (Wilmshurst, 2001). AIS give financial data to both internal
users and external users like managers and investors. Sometimes it is known as a way to an
end, and the end being the decision reached with the help of an accounting data.
Management refers to the act of ensuring things are done via people and the
materials which are available (Pervan, 2014). Management also refers to the act of working
especially through others in order to achieve the set goals of a company or for their own
interest. While trying to accomplish the goals, managers must have strategic plans to find
the most appropriate Accounting Information (Horvat, 2015). Accounting Management uses
financial and non-financial data which is to be used by internal individuals to make
decisions that facilitate achievement of an organization’s goals. Financial data that
management uses include: market shares, sales growth and profits while non-financial data
include: loyalty of a customer, performance of a product in competition and quality of the
products.

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The process of finding other alternative sources of action through effective ways is
known as decision making. Decision making is applied only when there is no other course
to take or follow. According to (Wilmshurst, 2001) AIS provide validity checking through
auditions and accountability. Good Accounting Information Systems plays a major role in
making of decisions and in management.
1.2 Problem Statements.
AIS tools play an important role in making decisions of a business. Tools that have
been proved to be helpful in making business decisions of management accounting include:
cost of data, profit and price. The cost of the system helps in obtaining knowledge of prices
and building a base for different decisions like calculation and estimation of profit. When
making a decision, profitability is the determinant (Unegbu, 2014). A certain tool can prove
to be useful in one organization and fail in a different organization. Distinctive data is
required by organizations for different functions and therefore organizations must be keen
when choosing accounting tools to suite their decisions.
In general, the use of AIS will be a challenging factor when trying to change the
environment which is competitive in order to make a good decision for an institution. The
main problem facing management is how to identify fundamental concepts of AIS which
would be used by every sector like organizations, high schools and universities (Tartaraj,
2014). The effect can either be positive or negative depending on the school’s choice of
accounting information. This will enable us to identify the reason behind negative effect
which can be resulted by employing a lot of accounting information or giving poor
information to the schools. This can result to poor decisions regarding the school’s progress.
The main aim is to understand how AIS in institutions help the management in making of
decisions.

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1.3 Purpose of the Study
The main aim of this study is to study the effects of AIS in secondary schools in
terms of the quality of decisions made by the management. Other aims of this study are; to
study the impact of AIS on the management’s decision making process, to study the relation
between the worker’s perception and the Accounting Information System, to study the
various things that has effect on AIS within the schools, and to study the impact of AIS on
the performance of secondary schools.
1.4 Significance of the Study
The AIS has major role in regarding decision making. Therefore, recognizing and
making decisions of the systems in the schools together with its relationship with
technology will facilitate correction of defects that may be caused due to lack of technology.
The technology that could help in making plans and rational decisions in high schools.
1.5 Research Questions
The following questions were used to guide my study research: Does AIS have any
impact on decision making regarding management? Does any relationship exist between the
worker’s perception and AIS of the high school? Which are the things that facilitate enough
accounting information in the schools?
1.6 Hypothesis of the Research
This study was developed on the premise of the following hypothesis: There is no
existence of any relationship between decision making of the management and the AIS.

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1.7 The Scope and The Study’s Delimitation
The research will be conducted by studying literature concerning the schools in West
Local Government area of Kwara. This research was conducted through studying a few
research sources on the subject of AIS. The study was conducted through the collection of
secondary data. The secondary data comprised organizational records, censuses, and data
collected through qualitative research or qualitative methodologies.
1.8 Disadvantages of the Study
The shortcomings of the study are the main challenges which are preventing
extensive research. Examples of such challenges include; lack of enough time and lack of
systems (Atieno, 2009). A system can be referred to as an assembly of elements that interact
with individuals.
CHAPTER TWO
2.1 Review of Relevant Literature
2.11 Introduction
According to (Wilmshurst, 2001), all accounts must receive a specific form of data.
A skilled individual joining a company or an organization has to show aspects of his/her
information. He/she may be guided on how to pass data according to the procedures related
to accounting routines. Carmen Mihaela Scorte, (2009 ) notes that there is a need to instill
education to Information System operators in order to acquire skills in a certain job and
have broader knowledge required in future. During an accountant’s training, it is wiser to
have a wider scope in outlook rather than training them in a certain information skill
(Raluca, 2014). Different approach in certain levels of accounting should be viewed from a
different part of information study.
Tartaraj (2014) notes that other experts in accounting leave a lot of information
systems to their competitors. Later, they endure costs of hiring new accounting
professionals whom they consider to be more qualified. However, this has proved not to be

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a favorable policy since morale cannot be obtained by simply paying high wages. In
addition, (Tartaraj, 2014) states that in order to obtain the desired qualities of personnel in
accounting, a good Accounting Information System needs to be in place. Other contributors
to the field are people like (Hellström, 2005) who wrote a manual on the quality of
management’s decision in the schools of Nigeria. The purpose of the study was to measure
what AIS can add to the quality of decision management in schools.
2.12 Accounting Training and Development Perspective
Accounting education and Accounting training are two very different things.
Education refers to the thought of one becoming more rational by acquiring knowledge from
university or college (Scorte, 2009 ). On the other hand, accounting training is work
oriented and happens in organizations. Accounting training can be viewed as more
appealing than Accounting education.
According to (Hellström, 2005), there is existence of some kind of relation between
both Accounting education and Accounting training. He argues that even though education
and training mostly happen at the same time, schools have different programs which are
practical oriented or at times, work oriented (Hellström, 2005). Land on the other hand, for
some development programmers in organization entirely cover the basic principles which
are wide in scope and can also go for formal (Unegbu, 2014). Accounting training is
therefore important and essential activity since it plays a major role in determining the
efficiency and making of decisions in any institution.
According to (Unegbu, 2014), AIS is very important to many organizations and
therefore, there is a need to maintain the AIS. To well understand the Accounting
Information System, it would be better to explain the three words separately. First, it is
documented by the literature that Accounting originates from “Accounting Information
System” language. Secondly, information is an important data that offers a base for decision
making, to fulfill a rightful duty, a system becomes an entity. According to (Tartaraj, 2014),
the AIS expose a framework with which an entity uses physical material supply and funding

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to change the economical information into data for carrying out the activities of the
organization, and for offering information regarding the entity to various interested users.
As matter of fact, (Cosmin, 2015) notes that a combination of human beings and technology
would allow firms to give its knowledge freely.
Nowadays, lives of human beings and the world have been changed from the age of
information to the age of knowledge, with knowledge being viewed as the most asset of
value. According to (Blazenka, 2002), knowledge is different from other things since it is
not stored in a book, databank or in a software like a program. Copeland, (2015) believes
that knowledge is forever inside an individual, and it is taught and learnt by an individual.
With the moving world to knowledge era, this report will study how ZBMSS maintains its
knowledge so as to remain a competitor among the construction companies. Unegbu, (2014)
emphasized that organizations must know how to maintain their assets and gain knowledge
for survival and competition in knowledgeable society. As a matter of fact, management of
knowledge is interested on exploiting and developing the knowledge model (Hellström,
2005). The aim of this report is to study the AIS being in use by one company in Malaysia
known as ZBMS. The report will show the system users and ways in which value is added
to the firm. The report will also research on how knowledge is maintained through creation,
storage, dissemination and application and also how AIS play a vital role in the process. The
reminder of the report is arranged as follows; the current section explains the background of
ZBMS and how Accounting Information Systems is used, the following section is for
providing research and findings about AIS used by ZBMS, the other chapter offers
suggestions for forthcoming research, and the last section summarizes the research and
highlights the disadvantages of the study.

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2.13 Use of Accounting Information Systems in Decision Making of ZBMS Company
ZBMS is a private limited firm which is located in Kuala Lumpur, Malaysia. The
firm is a construction firm which deals with information construction, building, engineering and
procurement commissioning of oil and gas sector and development of property. ZBMS employed
an AIS called Contract Plus Financial and Project Accounting Package which was initially made
by ZYXW company in their financial development. This AIS is an integrated solution for the
business, organizations, engineering industries and construction firms. According to (Toth,
2012), the software will be generating financial information to be studied by the accountants and
later on used by the high management for making strategic decisions. This will enable managers
in identifying future chances and challenges facing the company and the organization.
2.14 Usage of Information within AIS
Projects in construction are taken by the organization according to the activities involving
that construction. The activities may be divided into: infrastructure, power use, building and
many more whereby each project is viewed as a different company (Raluca, 2014). Projects
undertaken by every division depend on the number of tenders given to the organization. As
shown by the figure below, the wellspring of information came from external sources like
clients, contractors and supplier. The accountant of the project is required to work hand in hand
with the surveyor in order to bring forth clear information as described below:
Client - The Quantity surveyors of the Client are supposed to analyze the work in
progress (WIP) and therefore come forth with a percentage of WIP that both the parties will
agree on. After agreement, Progress Billing Certificate (PBC) will be given by QSs of the client
(Scorte, 2009 ). Later on, a copy of the certificate will be sent for info processing by the head
officer.
Subcontractors - The Question Surveyor of ZBMS will analyze the WIP of the
subcontractor and forth come with a percentage that both parties will agree on. After agreement,
subcontractor Progress Certificate will be given by QSs and verification will be done by

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managers of ZBMS. Later on, a copy of the certificate will be sent for info processing by the
head officer.
Suppliers - The Quantity Surveyors and Accountants of the project are the trusted
individuals in ensuring that all the goods are safe and reach their destination in good condition
before any delivery terms are taken (Silviu-Virgil, 2007). The orders of the delivery will be
pinned to the invoice of the supplier and it will be sent for processing by the Head Officer. The
certificate will help one to evaluate and design the work done (Lim, 2013). However, the
shortcomings above are taken care of with invention of technologies like software development
which facilitates processing of data in a systematic manner. It is therefore significant to know the
flow of information in ZBMS so as to understand information usage in the firms as illustrated
below.
2.15 User of Accounting Information System
Financial personnel and Accountants of the project reside within the project site. Other
heads of office such as Management accountants and managers of finance uses the system
internally (Waterstraat, 2015 ). Other management stuff that uses the system internally are the
General managers of finance, Chief operating director, Board of Directors, and Management
Directors (Tartaraj, 2014). We also have other individuals who use the system externally and
they include the Agencies of Government, debtors, and auditors. Moreover, various people inside
and outside the firm use accounting data during decision making.
2.16 Functions of AIS
The main purpose of Accounting Information System is to equate values of the past,
present and future economic events (Neogy, 2014). In ZBMS, accounting information system
gives financial reports like balance sheets, cash flow reports and income reports (Cosmin, 2015).
The input, processing and output of information will be widely used by both internal and external
individuals (Watts, 2002). Wilkinson discovered that effective AIS carry out various activities in
the three stages namely: collection of information and maintenance of data.

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CHAPTER THREE
3.1 Research Design and Methodology
3.11 Introduction
The research aims at analyzing the effect of AIS on quality of decision making amongst
various high school teachers in West Local Government of Ilorin. Chapter three is focused on
studying the methodology through which information needed for the study is acquired.
3.12 Research and Design
This refers to a pure explanatory method of surveying. This method of surveying is
descriptive and it entails careful studying of the attributes existing in a certain scenario and
provides visual population pictures.
3.13 Population
The population of West Local Government of Ilorin was used in the research by teachers
and staff management of the chosen schools. The research aimed at a small number of teachers
and staff management of the selected schools to act as the sample population (Walliman, 2011).
Random sampling was one of the methodologies employed to obtain a representation sample
(Carmon, 2016). When planning for a sample to be used, a researcher must have knowledge on
the units, size and instructions of the samples to be used.
3.14 Samples and Sampling Methodology
From the sample population above, a sample of size thirty was obtained using a simple
method known as Random Selection.

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3.15 Research Tools
A questionnaire was used as an instrument in gathering the data for this research
(Karilainen, 2014). The questionnaire comprised of two sections namely: Section A which
involved human based data like working experiences and gender while Section B contained
items related to the study which facilitated conducting of the above research.
3.16 Methods Used in Data Collection
Various methodologies were applied in collecting the data. The methods were:
administering questionnaires, oral survey, journals, necessary literatures and newspapers (Hox,
2015).
3.17 Analysing of Data
The main tool used in this research was the questionnaire. Questionnaires are employed
since they ask for information using the appropriate procedures from the respondent hence
making it easy for the researcher to come up with a specific criterion to be investigated (Fathalla,
2004). A questionnaire is split into two sections; Section A and Section B. Section A contains
bio data of the respondent like marital status, age, work experience, job qualifications and many
more while Section B contains the questions used in the research.
3.18 Validity and The Tool’s Reliability
Validity of an instrument refers to the extension of what the instrument should measure
and perform the way it should be (Copeland, 2015). A researcher uses validity of an instrument
to determine its accuracy. On the other hand, reliability refers to the extent on which a tool
measures what is supposed to measure (Sainani, 2010). A researcher uses a method known as
test re-test to determine the instrument’s reliability.

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3.19 Statistical Instruments Used to Analyse Data
One of the tools that were used in the questionnaire was the Frequency Distribution
Response and Percentage to analyze the information (Mateus, 2014). Another tool used in the
hypothesis was the Chi-square test. Chi-square test compresses the outlined frequency samples
with the frequencies expected. According to this test, the null hypothesis is assumed to be true.
The chi-square formula is shown below:
=∑(O-E)2
E
Where X2
is the value of Chi-square and O representing the actual/observed frequency (Stuart,
2005). E is the theoretical/expected frequency.
According to the ruling decision, if the table value of X squared is smaller than the
critical value of the table, the hypothesis of the report is accepted while if vice versa, the
hypothesis is not accepted.

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CHAPTER FOUR
4.11 Analysis and Presentation of Data.
Earlier in chapter three of this research, it was mentioned that there are two sources of
information namely; primary source and secondary source (Hung, 2000). This chapter will deal
with presentation and analysis of the collected data. Both primary and secondary sources of data
are important to analyze but primary sources will be of more interest (Blazenka, 2002). This is
because it consists of questionnaire forms and personal interviews. Every single data above will
be divided into smaller sections and studied carefully with the aim of coming up with a
conclusion and recommendations.
4.12 Analysis of the Data Collected
During the research, sixty questionnaires were given out and fifty-six of them were
brought back complete. This shows a percentage rate of 93% of questionnaire completion. The
questionnaire was about AIS and its effect on quality decision making of secondary school’s
management in Kuala Lampa (Christensen, 2004). The questionnaires which were sent to
employees of the school were split into two major sections namely; Section A which consisted of
the employees’ personal information and Section B which consisted of questions related to the
research.

VARIABLE CLASSIFICATION RESPONDENT %
SEX: MALE 32 69.6
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Section A
Personal Information of the Respondent
Table1: Sex
FEMALE 24 30.4
TOTAL 56 100
4.13 Interpretation
It was noted from the above tables that the number of males outweighs the number of
females. It was also noted that the percentage rate of the female staff is 30.4 percent while that of
the male staff is 69.6 percent.
Table2: Age Distribution
VARIABLE CLASSIFICATION RESPONDENT %
AGE 21-30 18 32
31-40 22 39
41- above 16 29
TOTAL 56 100

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4.14 Interpretation
According to the table above, it is clear that ages of the sample fall mainly between 31
and 40 which equates to 39%. Since most of the respondents are married, this fact is true (Scorte,
2009 ). 32% is owned by the respondents with age ranging from 21 to 30. The remaining 29% is
owned by respondents whose age lies between 41 and above.
Table3: Official Status of the Respondents.
VARIABLE CLASSIFICATION RESPONDENTS %
POSITION School Management 12 21
Principal, vice principal - -
Accounting teacher 40 71
Other teaching staff 04 8
TOTAL 56 100
4.15 Interpretation
From the fifty-six respondents, only twelve of them were members of the management
having a 21% share. The accounting teachers who were forty managed a 71% share. The
remaining teaching staffs who were four managed an 8% of the share.

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Table 4: Marital Status
VARIABLE CLASSIFICATION RESPONDENT %
MARITAL SINGLE 08 14
MARRIED 48 86
DIVORCE - -
TOTAL 56 100
4.16 Interpretation
According to the above table, many of the respondents contacted during the survey fell in
the married category which had a percentage rate of 86% (Novak, 2015). The other group of
single respondents had a percentage rate of 14%. It is clear from the table that there were no
divorce issues.
Table5: Education Qualification
VARIABLES RESPONDENTS %
SSCE - -
OND/NCE 14 25
HND/B.Sc /BA/B.Ed 31 55
M.Sc/M.Ed/MA 11 20
Total 56 100

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4.17 Interpretation
The results from the above table show that many respondents own first degree at
percentage rate of 55% (Wilmshurst, 2001). Fourteen of the respondents were given NCE/OND
which has 25%. Eleven respondents have got the highest education qualification of M. Sc
/M.Eds./MA which represents only 20%.
Table 6: Work Experience
VARIABLES RESPONDENTS %
BELOW5YRS 15 27
5-10YRS ' 12 21
10–Above 29 52
Total 56 100
4.18 Interpretation
According to the above table, it is clearly seen that twenty-nine of the respondents have
been in the organization for more than ten years hence having a 52% percentage rate. On the
other hand, only fifteen and twelve respondents have been in the organization for less than five
years and 5-10 years in the same manner.

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SECTION B
4.19 Research Questions
Table7: AIS has an effect on the quality of decision making in Nigerian secondary
schools. Look at the table below.
OPTION FREQUENCIES PERCENTAGE (%)
Strongly Agree 35 64
Agree 10 17
Strongly Disagree 4 7
Disagree 7 12
Total 56 100
4.20 Interpretation
It can be clearly seen from the above table that many of the respondents accept that AIS
has an effect on the quality of decision making by management (Karagiorgos, 2017). The above
thirty-five respondents represent a percentage rate of 64%. Ten respondents who represent 17%
are in agreement with the assertion while four and seven respondents who represent 7% and 12%
are strongly disagreeing and disagreed in the same manner.

OPTION FREQUENCIES PERCENTAGE (%)
Strongly Agree 38 68
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Table8: AIS has increased the rate of economic development in Nigeria.
4.21 Interpretation
The table above shows that AIS has increased the rate of economic development in
Malaysia with the highest percentage of the respondents agreeing with the fact.
Table9: AIS has enhanced the quality of decision making in the Nigerian high
schools.
OPTION FREQUENCIES PERCENTAGE (%)
Strongly Agree 28 50
Agree 18 32
Agree 12 21
Strongly Disagree 1 2
Disagree 5 9
Total 56 100

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Strongly Disagree 3 5
Disagree 7 13
Total 56 100
4.22 Interpretation
According to the table above, it clearly shows that 50% of the respondents strongly agree
while 32% agree that AIS facilitates quality decision making in the Nigerian high schools
(Blazenka, 2002). 5% strongly disagreed while 13% disagree with the above statement.
Table10: AIS use of information to fight poverty in Nigeria.
OPTION FREQUENCIES PERCENTAGE (%)
Strongly Agree 13 23
Agree 20 37
Strongly Disagree 11 20
Disagree 12 21
Total 56 100
4.23 Interpretation
The above table reveals that thirteen and twenty respondents agree that AIS has
facilitated the fight on poverty in Nigeria (Sawani, 2016). The remaining eleven and twenty
respondents disagree with the statement.

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Table11: AIS has enabled the management to make right economic decisions.
OPTION FREQUENCIES PERCENTAGE (%)
Strongly Agree 6 11
Agree 33 59
Strongly Disagree 2 4
Disagree 15 26
Total 56 100
4.24 Interpretation
It is clear from the above table that many respondents are in agreement with the statement
above.
Table12: Workers are not satisfied by the methodology of Accounting Information
System.
OPTION FREQUENCIES PERCENTAGE (%)
Strongly Agree 8 14

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Agree 25 45
Strongly Disagree 3 5
Disagree 20 36
Total 56 100
4.25 Interpretation
The table above show that 14% and 15% strongly agreed and agreed respectively with the
above statement. The rest of the respondents disagreed with it.
4.3 Hypothesis
After analyzing the important information, the following step is to prepare the hypothesis
of the research. Testing of the hypothesis’ research will be done using the Chi-square method.
4.31 Decision Rules
The decision rule states that if the Xcal value is smaller than the T-tab value, the null
hypothesis should be accepted hence if otherwise, the hypothesis should be rejected and the
alternative hypothesis accepted (Blazenka, 2002).
4.32 Hypothesis 1
There is no existence of any relationship between a management decision making and an
AIS.
Table13: Expected and Observed Frequency Data.
Respondents Strongly Agree Strongly
Disagree
Disagree Total

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Impact on secondary school 35(33) 10(14.7) 4(3.7) 7(4.7) 56
Economic Development 28(30) 18(13.3) 3(3.3) 2(4.3) 51
Total 63 28 7 9 107
X2=(O-E)2
E
Table14: Chi-Square Table.

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4.33 Decision.
Since X^2 when calculated is past the Table value of 5% significance level, the null
hypothesis is rejected and the alternative hypothesis accepted.

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5.0 Discussion
An individual can make a conclusion from the tested hypothesis that AIS has an effect on
the management decisions according to Anil’s work (Franco, 2009 ). Through the hypothesis, an
individual understands the importance of the relationship between AIS and decision making in
schools. Douglas theory of 2007 shows that there exists a healthy relationship between the
worker’s perception and the AIS (Scorte, 2009 ). According to the results of hypothesis three, it
is clear that there is an existence of a relationship between AIS and the poverty levels. This was
deduced by (Lim, 2013) findings which stated that trying to reduce poverty is helpful when
poverty rate is high in a country.
6.0 Conclusion and Recommendations
After carefully conducting the research, my opinion is that this kind of study should not
be discouraged at all. Prospective students should view Accounting Information Systems as an
enjoyable field of specialization. Schools and Institutions are advised to have Accounting
Information Centers for storing accounting related data for future references.
The research has also revealed that in order to fully utilize the AIS, three main factors
must be involved which are: Achievement of fits with regard to the origin of the situation, fitness
of AIS when solving problems, and fitness of AIS with the culture.
From the information gathered from various research literatures, this study has identified
recommendations that ought to be implemented to enhance the benefits of accounting. First, the
institution should rely on an accounting system to arrive at financial decisions (Blazenka, 2002).
Also, there should be efforts to assess the impact of the accounting concepts that are currently
employed in making management decisions. Thirdly, Institutions for the purposes of future
references, should always maintain the records of the past events (Cosmin, 2015). This keeping
of records can be achieved effectively by automating the operations of the institutions. Similarly,
(Hess, 2004) recommends that the institutions should seek to employ qualified accounts who can
be able to keep accurate records and provide valuable information that can be used in making
financial and strategic decisions, and finally, employees ought to be encouraged to practice
professionalism in their career so enhance quality delivery of services.

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Blazenka. (2002). Importance of Accounting Website in Informing on Accounting Practice.
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Carmen Mihaela Scorte, A. C. (2009 ). The Importance of Accounting Information In Crisis
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