The Use of Computer in Recording Accounting Informations, Problems and Prospect

The Use of Computer in Recording Accounting Informations, Problems and Prospect


The Use of Computer in Recording Accounting Informations, Problems and Prospect


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Abstract on The Use of Computer in Recording Accounting Informations, Problems and Prospect

This research work is aimed at ascertaining the various roles played by using computer in recording accounting information problems and prospects in the modern business world using Bendel feed and flour mill, Ewu, Edo state as a case study.The importance of using computer in recording accounting information will be apparent when considering the fact from the data that is gathered in the course of this work, from the related literature as well as, from interviews and discussions. Also questionnaire were distributed equally and collected which yielded or revealed that the use of computer in recording accounting information [played a positive role in initiating computer use in the modern business world.The information supplied by the Chief accountant in Bendel feed and flour mill Ewu, Edo state contributed to the success of the exercise. The statistical analysis that used in the study includes the hypothesis testing in which the questionnaire is analyzed under their related hypothesis and the use of chi-square test of homogeneity.It will also be discovered that it is  important among other groups of professionals needed for this implementation of the exercise. Therefore, they formed the pillar on which any successful establishment rests upon. Based on the findings, it was recommended that the use of computer in recording accounting information should be give a free hand in implementation exercise in order to enhance the importance of the use of computer in recoding accounting information.

Chapter one on The Use of Computer in Recording Accounting Informations, Problems and Prospect


 Background of the Study

In this present world, individual, business men, firms and government have seen the effects of computer in the area of recording and safe keeping of information,. However, this computer cannot function unless the day-to-day business activities are well documented and fed into it properly. Every business get up has different levels of management and each of  these level of management and information to enable them make decision on how he objective of the organization can be achieved likewise, the government need of computer networking can never be over-emphasis in the sense that, every government departments, ministries and parastatals are computerized. This project is designed to cover every aspect of computer roles in recording accounting information for management use. Unlike the stone age when computer has not been in existence, people were getting information from inscriptions on stones and carvings in wood.  All these information are soon forgotten because there was no special method designed to preserve then.

In Nigeria before the advent of computer, nearly al clerical works are, done by paper and pen. This gives rise to;

1.  Mismanagement of stationeries.

2.  Errors and omissions in accounting enterprises

Monotonous work and tiredness and other, associated clerical problems. But since the introduction of computer, these problems are minimized. Therefore, the use of computer in recording accounting information in this modern world cannot be over sighted. In the past, recording, filing and safekeeping of information was known as “routine clerical work” but with the advent of sophisticated, electronic business machines it is now known as “data processing”.

Today, no business can survive without the use of computer especially, in recording accounting information. It is on this ground that this project is carried out to make people; businesses, finance and government know the roles that a computer is playing in keeping accounting records.


This research work on “The use of computer in recording accounting information, problems and prospects” is to investigate or require for the following:

a. To know a brief history of computer

b. To understand some important components of the computer

c. To know the uses and importance of computer in keeping accounting records.

d. To understand some of the problems that are  associated with the use of computer.

e. Knowing the advantages and disadvantages in using computer to record accounting information.

f.  To create awareness on the use of computer in business.


“Garbage in garbage out” is a general phenomenon in computer. Electronic computer has no self-judgment and as such devoid of human errors. It is what you feed into the computer (input) that it gives out (output). For example, if one feeds in wrong data into the computer, no matter how efficient the programming may be wrong output will be the out come because the computer has been mislead. In addition, computer has its own language and all data are [programmed and written in this special language. There fore, it required a lot of training without which computer will not make any meaning to the users.

Furthermore, computer does not function effectively in a hot environment, for this reason it requires huge amount in installing air-conditions to enhance efficiency. Finally, small businesses cannot afford computer because it is costly to buy and maintain. This constitutes a bottleneck in getting correct information and as such, the small businesses cannot thrive in the present of the big ones.


The purpose of this study is to conduct an indebt study in the problems and prospects that is faced with the use of computer in recording accounting information. Moreover, individuals, businessmen, firms and government are not fully aware about the uses of computer, it is design to create this awareness. Another reason why this research work is embarked on is to answer a lot  at questions that are raised by users and non-users of computer in book-keeping.


The following are some of the questions the researcher would like to find answer to in order for him to carry out the project effectively:

a.  What made individuals, firms and government adopt computer system?

b.  What has been the effect of the use of computer on old and new staff?

c. Routine clerical work” and “Data processing” which is more economical?

d. What improvement has computer made to the general accounting system in the counting?

e. What are the problems that generate  from the use of computer?

f.  What are needed to make computer use effective?

g. What effect has the use of  computer in the labour market.

h.  In modern accounting, can computer be left out in recording information?


The following hypothesis shall be treated in the coursed of carrying out this research work:

1.HO: There is no significant relationship between the electronic data processing approach and the manual system approach.

Hi: There is significant relationship between the electronic data processing approach and the manual system approach.

2.  HO: Computer has no positive effect in recording accounting information. 




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