ABSTRACT

This research examines the role of accounting in the control of public expenditures in Nigeria, a case study of control bank of Nigeria, Enugu State. The researcher adopted descriptive survey design. The population of the study is the combination of internal audit department staff and accounting department staff making it a total of 41. The research used both primary and secondary source of data. In view of this, three research questions were formulated to generate expected answers. Literal works were reviewed for proper understanding and guidance. Questionnaires, personal interview and observation were used for collect of primary data. Secondary source of data were collect from text books, periodical, articles and journals. Tables and simple percentage were used for data analysis, hypothesis were tested using chi-square statistics. Based on the findings, the researcher found out that few of the staff were not following due accounting principles thereby causing inadequate and improper pursuit of the accounting records Omission of certain book-keeping records, improper audit. The staff and management of central bank of Nigeria has now adopted accounting standard, and the balance of power on NASC, financial analyst government agencies and others. Finally the researcher proffered among other use of accounting principle and standard in the company.

TABLE OF CONTENTS

Title page

i

Approval page

ii

Dedication

iii

Acknowledgement

IV

Proposal

VI

Table of content

vii

CHAPTER ONE

INTRODUCTION

1.1

Background of the study

1

1.2

Statement of problem

5

1.3

Purpose of study

5

1.4

Significance of the study

6

1.5

Research questions

7

1.6

Research hypothesis

7

1.7

Scope and limitation of the study

8

1.8

Definitions of terms

9

References

10

CHAPTER TWO

2.1

Review of related literature

11

2.2

Historical   development of CBN

(A public company)

14

2.2.1 Ownership and control of CBN

17

2.2.2 Organization

19

2.3

Nature of accounting principles

23

2.4

Types of accounting principles

24

2.4.1 Factors affecting accounting principles

29

2.5

Budgeting and budgetary control

30

2.6

Standard costing of a tool of control

32

2.7

Role of accounting in public expenditure

37

2.8

Summary

38

References

39

CHAPTER THREE

3.1

Research methodology

40

3.2

Research design

40

3.3

Determination of sample size

40

3.4

Area of study

41

3.5

Population of study

41

3.6

Sample of study

41

3.7

Method of investigation

42

3.8

Method of data analysis

42

3.8.1sources of primary data

42

3.8.2 Source of secondary data

43

3.9

Development of research instrument

43

CHAPTER FOUR

4.1

Introductions

44

4.2

Presentations of data

44

4.3

Test of hypothesis and interpretation of result

54

4.3.1 Testing the first hypothesis

55

CHAPTER FIVE

5.1

Summary of findings

60

5.2

Conclusion

61

5.3

Recommendation

62

5.4

Recommendation for further

63

Appendix 1

64

Questionnaire

65

Bibliography

68

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

In most developing countries including Nigerian government participation in economic activity is usually significant. One of the ways through which government has intervened in Nigerian economy is through the establishment of public enterprises and statutory bodies operating service of an economic or social character on behalf of the government.

Since the colonial era, especially after independence 1960, Nigerian public enterprises have witnessed a steady growth unit recently. Its Olisa (1988-133) pet it. Beginning as a trickle in the period between this era of the second world war and Nigeria risen to flood level since independence the establishment of public enterprise in Nigeria are many add to available rational capital for the support of development and welfare programme, making to be controlled by a few individual, it possible for important profitable enterprise to be controlled by a few individual or group organization certain critical activities national survival and economic stability and providing employment opportunities (Ademolukun 1983). However, after a long

period of growing starts intervention in the Nigeria economy through public enterprises, the 1980’s onward has sometimes been dramatic in public opinion therefore public policy.

This has been brought by the persistent losses which state enterprises that trivet been running over fears. Consequently, there has been a willingness to look at alternative policy strategies for the achievement of economic development. At the forefront of these strategies is the minimization privatization of public enterprises.

In Nigeria, public enterprises are engaged in a while spectrum of economic activities including agriculture, mining, construction, manufacturing, commerce and services. The classification of public enterprises in Nigeria has been made according to varieties of criteria by different authorities. The public service review commission (1975:101) classified public sector int.

Public utilities

Regulatory of service body Financial institutions

Commercial and industrial enterprises

Being a mixed economy, individuals also own and operate private enterprises. A firm classified as private enterprises when it is founded and managed by an individual and or a group of individual. These firms

are expected to be registered in the local government within which they operate.

The rational for the establishment of private enterprises are numerous just like establishment of public enterprises. They include amongst others; provision of employment opportunities generating income for the owner of the enterprises government interest in profit growth of the enterprises which performance of the public sector through competition. Moreover, the general public is concerned with contribution which makes towards social enlistment which is exhibit to the environment in which the business is loaded and its willingness to contribute to the development of the environment.

The activities of the public enterprises have been on the increase in recent times which necessitated the introduction of the accounting practice to check and monitor the financial activities of these enterprises. In this book, titled principles of accounting, by Bimage (1985) Accounting is defined as a process by which data relating to the economic activities of an organization are measured recorded and communicated to interested parties for analysis and interpretation. The earliest methods of accounting records were kept in physical quantities. These records came from the Eastern (early) civilization