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This research with the topic The Impact of Accounting Information System on
the Performance of Banks, had as main objective to examine the impact of
accounting information systems on the performance of banks in Buea. The research
has as main hypothesis being that Accounting information systems do not have
significant impact on the performance of banks in Buea.

The descriptive research
design was used. Data was gotten for the research from the primary source
principally from the administration of questionnaires to 50 respondents of banks in
Buea, the regression analyses was used to carry out analyses. The findings showed
that Accounting Information system has an impact on the performance of banks in
Buea. Recommendations were made that banks in Buea should improve on ssthe
aspect of accounting information system especially in aspects of record keeping,
planning, decision making so as to also ensure a reduced rate of corruption and a
proper functioning of the various identified banks in Buea.

1.1 Background of Study
An accounting information system is a structure that a business uses to gather, store,
direct, process, recover and report its financial data. So that, it can be used by
owners, accountants, advisor, business analysts, managers, chief financial officers,
auditors and regulatory and tax agencies. Accounting information systems is part of
a company’s information systems, that helps in facilitating decision making within
organizations and can be modified to an organization’s environment, structure and
requirements of task. This study emphasizes on the important of accounting
information in making decisions. The accounting information always plays an
essential role in decision making of the managers related to the financial and
economic issues. It also affects to the survival of an organization.
In addition, accounting tools such as cost accounting system, management
accounting system, price and profitability provide the useful information to the
manager to make the financial and economic decisions also. This research study is
also disclosing the relationship between the Accounting Information Systems used

by the Enterprises and its profitability. The purpose of the study was to examine the
effect of accounting information systems on profitability level of organization.
Banking has over the years transformed from the time of ledger cards and other
manual filling systems into a system based such as computer-based technology.
Banking System has moved away from a situation where all activities are manual
based such as all transactions are carried out manually; in modern day banking
transactions are carried out automatically with the support of ATM (Automated
Teller Machine) and other modern technology equipment and this has also help
reduce the numbers of crowds in the bank, and enhance and support the operation of
banking. (Adekange1986:23-25).

With modern day computer technology, Banks
now have the ability to delights its customers with superior services and empower a
knowledgeable workforce to create and make decisions.
Computer technology base Banks now have the ability to seize opportunities and
respond to market changes. They (computerized banks) now also know how to
utilize the best of both people and technology and bringing together the best of teams
of talent. They (computerized banks), can also provide faster and better services to
its customers which can be done in an instant through the use of computer
technology. The advent of accounting information system (AIS) in the Nigerian
Banking Sector marked the beginning of a new dispensation in banking and has

revolutionized traditional banking practices and redefined the entire frontiers of
banking as well as the entire work place (Adekange, 1986: 23-25).
Without computers, issues like linkage, universal banking concepts, automated teller
machine (ATM) and other innovations would have been unthinkable. The
application of computers has improved banking performance; and computers and
other information technology have generally been identified as an important tool in
attaining corporate goals of delivery services effectively to customers which is
crucial to the sustainable growth and profitability of the bank (Brien, 1983:46).
Every organization, both profit and non-profit organizations have their objectives and
goals in mind to achieve. For non-profit organizations, their goal is to satisfy the social
needs of the citizens and in the effort to achieve these purposes, supervision more often
than not plays a vital role. The size and the scope of these organizations have
sometimes made it hard for the executors to exercise personal and first-hand
supervision of operation. It is in this light that internal control established by
management is initiated. For organizations to carry out their businesses there must be
some factors put in place for the smooth running of the organization like materials,
machine and money.
These need to be well coordinated in order to attain success in the organization. These
factors are used by groups of people known as management. Management cannot exist
without an organization; both are inseparable. The system of internal control provides

assurance to management of the dependability of the accounting data used in the
decision making of the organization.
Over several numbers of years, the performance of accounting has increased right
from the single-entry system to double entry system. The main aim of the accounting
is to provide financial data like purchase, sales, expenses and income of the
organization but in today’s modern world accounts maintenance is helpful in many
ways. Previously accounts are maintaining to know profit or loss of the organization
but now a day it is also useful for increasing profitability of the organization by way
of accounting information system. Businesses include transactions which produce
information for better analysis of business performance and accounting information
system is a delivery system for accounting.

1.2 Problem Statement
Accounting is a system that provides information to various inte

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