ABSTRACT

The purpose of this study was to determine the impact of accounting information needs and the performance of poultry farms in the Buea Municipality, south west region of Cameroon. The objectives of the study were to examine the impact of accounting information needs services on poultry farms and to know how performance influence poultry farms. The study adopted a descriptive research design. The target population of the study was poultry farm businesses and local poultry farmers within the Buea municipality and the target population was randomly selected. The study relied on primary data collected using a questionnaire which was administered on a drop and pick later method. The filled questionnaires were checked for completeness, coded and entered into a statistical software which produced descriptive and inferential statistics to describe the data. The findings were presented using graphs, pie charts and tables for ease of understanding. The study found out that Accounting information needs services had a major positive influence on the management and performance of poultry farms process. A regression analysis of the two independent variables on the dependent variable show that they collectively explain strong positively of all the changes on the management or performance process.  The findings show that some of the poultry farms were not poorly clean and disinfected and also the absence of vaccination and recommended that accurate downtime of at least 14 days with appropriate cleaning and disinfection measures should be taken into consideration as well as vaccination exercise in poultry farms on time which help to prevent the spread of disease among the flock thereby enhancing performance on poultry farms.

CHAPTER ONE

INTRODUCTION

1.1 Introduction:

Accounting is the process of identifying, measuring and communicating economic information to permit informed judgments and decision by users of the information. Accounting provides information for managers to use in operating the business. In addition, accounting provides information to other stakeholders to use in assessing the economic performance and condition of the business.Accounting information is information provided by accountants and accounting systems. This information is usually presented in financial statement such as the income statement and the balance sheet. According to Thomas & Evanson (1987), accounting information signals that decisions are needed, and provides information useful to make decisions. Hongren et al (1996), state that accounting information presented in financial reports helps in decision making by showing where and when money has been spent or earned, what commitments have been made and it helps to predict the future effects of decisions. This chapter consists of the background of the study, statement of problem, research question, and objective of the study, research hypothesis, and significance of study, organization of the study and definition of term.

1.2 Background to the Study:

Accounting plays a vital role in running a business because it helps to track income and expenditure, ensure statutory compliance, and provide investor, management and government with qualitative financial information which can be used in making business decision (Dan Woods, 2019). Accounting also collect and communicate data that can be used for analysis and decision making. The way financial data is provided, it content is of primary important information to users.

Accounting information is an important element that plays a role in determining the effectiveness and efficiency of the corporation using it, especially when it is characterized by quality, which is indispensable in the making of appropriate decisions. A growing body of literature indicates that quantitative financial data create a meaningful means for management to assess historical performance and respond to future uncertainties (Ajay and Micah, 2014; Al-Hiyari, 2013). Accounting is the systematic art of recording, classifying, and summarizing in a significant manner and in term of monetary, transactions and events which are, in part least, of financial character, and interpreting the results thereof. Accounting can also be referred as an information system that measures, processes, and communicate financial information about an economic entity. Advancement in information technology have significantly improved accounting system and transformed economic life, (Adefila, 2008).

Agricultural sector is one of the most important sector in Cameroon economy, it estimate 70% of the economically active population and accounting for an estimated 80% of the primary sector’s contribution to the country’s Gross Domestic Product (GDP). It also provides 1/3 of foreign exchange earnings and 15% of the country’s budgetary resources. In the world today, the era we are is an open era that requires the development of strategic plans that enable people to stay in situation of competition.  For agriculture sector to entre in to the competitive world like any other sector, does not exceed the traditional methods of production in all stages and be a strong competitor, it will erode bit by bit until it vanishes (Ziad, 2014).

Accounting as an information system, is supposed to play an important role in supporting the decision-maker in agriculture sector in a way no less important than the role of accounting in other sector, especially the accounting system in agricultural activities are no different than in any other economic facility, whether industrial, commercial, or services one. This is the measure of service design, planning, control, and financial reporting on the development of agriculture facilities (Zaid, 2014).

1.3 Statement of Problem

In all forms of business units accounting information are of crucial importance. In fact, they are the basis to business success. Maintenance of sound accounting records is a major factor that contributes proper decision making process since it’s the root thought which relevant information requirements is derived. Most small and medium enterprise are owner managed and hence most of them may not have the relevant skills in accounting and financial management thus the appetite to have strong accounting information system may be lacking. Indeed, prior research has asserted that the quality of accounting information utilized within the small and medium enterprise sector has a positive relationship with an entity’s performance (Lybeart, 1998). Similarly, it has been emphasized that there is the need for financial information for small and medium enterprise due to the volatility normally associated with their situation such as unstable cash and profit position, and reliance on short-term debt (McMahon and Holmes, 1991; and Dodge, Fullerton and Robbins, 1994). 

Research on small medium-size enterprise development shows that the lack of reliable accounting information provided by small and medium enterprise is a problems in developed and developing countries (UNCTAD, 2001). Poor record-keeping and inefficient use of accounting information to support financial decision making are major causes of business failure (Walton, 2000).

1.4Research Question

1.4.1 Main Research Question

How effective is Accounting information needs and performance of poultry farms?

1.4.2 Specific Research Question

What impact does accounting information has on the performance of poultry farms?

What is the relationship between accounting information and the performance of poultry farms in Buea?

1.5Objectives of the Study

1.5.1 Main objective

The reason or purpose of the study is to analyze the impact of accounting information needs and the performance of poultry farms in Buea.

1.5.2 Specific objective

The following are the specific objectives;

To examine the impact of accounting information needs on performance of poultry farms in Buea.

To determine the relationship between accounting information and performance of poultry farms in Buea.