Accounting Software and Resolution to Financial Insolvency in Nigeria: A Meta Analysis

Onyia Valerie, Falana Abolade & Worlu Rowland

Abstract


Financial insolvency is important for sustainable national growth. This can be resolved through liquidity management, which is very important in any organization in terms of the organization’s current assets, current liabilities, short-term borrowings, and management of shortfall or surplus cash for short-term periods, which affects the company’s profitability. Liquidity management should be the company’s goal of working capital management. Such idle cash can be used to invest in another company or diversifiable venture that are profitable. Accounting software or accounting information system is a resolution to financial insolvency in which it captures and records the financial effects of transactions. Accounting Information System (AIS) assists managers in four problem-solving stages, which are recognizing the problem, identifying alternatives, assessing the alternatives and taking managerial decision. The methodology employed for this study is Meta-analysis. The sample size employed was 30 literatures. The overall combined relationship had a P-value of .0000 indicating an overall significant level. Insolvency practice and its regulation is critical to economic development. This is especially true in the light of the unintended consequences of globalisation that may result in economic shock and business failures. Nigeria can benefit from reforms in financial insolvency by benchmarking the reform and practice initiatives of the more advanced countries within and outside Africa.


Full Text:

PDF

Refbacks

  • There are currently no refbacks.