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THE IMPACT OF ACCOUNTING ON
ORGANISATION EFFECTIVENESS. A CASE STUDY OF FEDERAL PAY OFFICE, ENUGU
ABSTRACT
The need for
keeping prompt and accurate record of transaction in the government services of
the receipt and disbursement of public fund cannot be over-emphasized. This is
why the officers of the Accountant –General of the federation in whose hands
this duty falls, has over the years been engaged in the determination of
procedure to achieve an optimum effectiveness of these recordings.
The management of public fund regimes
an appropriate and comprehensive accounting system. This has necessitated the
formulation of a number of control measure to ensure accountability and probity
right from the budget proposal level to the actual implementation.
As government spending grows, there
is the need to do more than our tailing spending within appropriate amount as
it is entirely possible to expend money without reaping the reward for such
scientific. Thus, the need to evaluate the benefits and manage the costs become
more essential. This is the enrolment of accounting, and its efficiency and effectiveness
manifests the impact on the governed.
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF STUDY
The
management and control of the public fund is the heart of government
administration. This calls for the need for an acceptable accounting system that
will comprehensively prefer solution to the accounting needs of the government
on public funds is governed by the financial (control and management). Act of
1958 A to E into section 154, dealing
with the operation of the consideration Amendment of 1957 which inserted
sub –154 A to E into section 154, dealing operation of the constrained therein
formed the based of the financial Act which were replicated with slight changes
in the 1979 and 1989 constitution, Higher to , government accounting is regulated
by section 129 –145 of the constitution, the laws enacted by government in
power, the financial control and management Act 1958, by decree and acts
enacted from time to time.
The management and control of the
public fund is invested on the federal ministry of finance and this rests on
the shoulders of the Treasury now referred to as the office of the Accountant
General.
In the treasury its self, functions
and duties are streamlined to a set of guide. This is because government accounting
is based strictly on cash”.
The
expenditure and receipts for the year are balanced and closed for the year and
there is no transfer to the next period.
The financial regulation, treasury
accounting manual, and regulation. That guide the treasury in the management and control of the public find
of the government whose objective is service.
This study is directed to a division
of the treasury the federal pay office, Enugu. It will be concerned mainly with
the duties and functions of the office, the effectiveness of the accounting as
it relates to the goals of the
Government
which is service. The study will also determines to what extent the principles,
rules and regulation governing. The government accounting system is being
utilized and its effect on the general public.
The federal pay office, Enugu which
is the main focus of this work has the following as its main general duties:
i. receiving and payment of cash.
ii. Keeping of cash book to record all
the cash transaction.
iii. Operation of a bank account on which
cheques are drawn.
iv. Providing information on the cash
position at a given date.
Effectiveness
of these duties are enhanced through the establishment of internal check system
in its operation to minimize fraud and loss of funds.
The federal pay officer is the head
of this office. Going by the provision of financial regulation (ff) section 104
(II), the officer “ is entrusted with the receipts, custody and disbursement of
public money and is required to keep one of the recognized cash books, the
transaction in which are subsequence embodies in the accounts rendered by the
accountant – general of the federation”.
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