History and development of accounting in nigeria pdf

Relationship exists between socioeconomic, political and environmental factors and the development of entrepreneurship in nigeria. History and development of accounting in nigeria small. In particular, i remember taking two classes, the first was an introduction to financial accounting and the. At the time, many nigerians didnt realize the need for the. Doc accounting research and the development of accounting. The university of ibadan was the first university to open in nigeria, and its scholars set up the history departments at most of nigeria s other universities, spreading the ibadan historiography. The history of accounting or accountancy is thousands of years old and can be traced to ancient civilizations. As a result, the gb exploited the resources and people of africa. Accounting as it is practiced today, evolved gradually over the years, and we can must pinpint the time of the first accounting system. Auditing was then undertaken with the intention of fraud detection. History and development of accounting in nigeria cost accounting practice in the informal sector of nigeria development caan. The history of accounting, stewardship and total separation of the roles of agents from principal beget auditing history. Thats why its necessary to discuss history of the nation to. The children were taught about their culture, social activities, survival skills and work.

For some, the first name that might come to mind when referencing early accounting history is luca pacioli. Bookkeeping systems are used by businesses and nonprofit organizations, homeowners, churches and schools. In the summer of 1995 i enrolled in courses sponsored by both the society of management accountants of saskatchewan and athabasca university. Taxation started in the precolonial era and has been improved over the years. The history, origin and development of accounting has laid the foundations for 21stcentury practice. This study explored the history of accounting standard in nigeria in relation to. The frcn was established by the financial reporting council of nigeria act, 2011. Prior to nigeria s emergence into the class of developing nations, no relevance was given to accounting and nigerians hardly engaged the services of accountants. In this chapter, we provide a broad overview of accounting history commencing from 8000 bc, when simple tokens recorded evidence on transactions, through the ancient civilizations, where clay and papyrus were used, to the invention of the first printing press in the fifteenth century to modern times. Luca pacioli became known as the father of accounting. The history of accounting in nigeria is as important as nigerias history particularly before and after the era of independence. The origins of institute of chartered accountant of nigeria ican.

Long before 1500, much of presentday nigeria was divided into states, which can still be linked to the modern ethnic groups that trace their history to the origins of these states. From prehistory to the information age by james desantis premise. The history of nigeria before independence in order to understand the current nigerian politics and society, three dominant characteristics need to be taken into account. Economic development in nigeria, although has been rocked back and forth by various political, sociocultural, financial and infrastructural setbacks, the economic development of a country like nigeria cant be said to have totally been where it used to be, or to have back tracked as some people insinuate. An assessment of nigerian stock exchange market development. All these will help in the development of accounting and actualize the mandate of producing globally relevant accounting professionals. This is very important area in economic development of any country, including nigeria. Accounting is more than just the act of keeping a list of debits and credits.

Geographical, historical and political profiles of nigeria. This was the year nigeria assumed both political and military control of its territory. Prior to nigerias emergence into the class of developing nations, no relevance was given to accounting and nigerians hardly engaged the services of accountants. O efforts to shape a new directional focus that will ensure an efficient and effective cost accounting practice in nigerias informal business sector. The frcn has statutory authority to establish financial reporting standards for all public interest entities, which includes not only quoted and unquoted companies but also governments. Journal of nigeria studies volume 1, number 2, fall 2012 political leadership and corruption in nigeria since 1960. Prior to independence in 1960, there was no registered body for professional accountants in the country. Accounting is defined by the american institute of certified public accountants aicpa as the art of recording, classifying, and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of financial character, and interpreting the results thereof. Specifically, firms became aware of the need for mechanisms of fraud detection and financial accountability, and investors increasingly relied upon financial reports as corporations began to participate in the stock market. His book was one of the first published using the historical gutenberg press. However, there are many avenues and variations of the job that can be utilized that do not necessarily coordinate. Historical development of accounting in nigeria sbaccounting. Although accounting has developed a lot over the last few centuries, many of the principles used now date back to the fifteenth century when the doubleentry method of accounting was first introduced. Accounting as a profession has a very important role to play in the economic development of any nation.

History of nigeria before independence 1914 till date peakng. The study focuses on the history of the early development of accounting profession in nigeria by carefully looking at the roles played by state in the evolution of accounting bodies. Therefore, this article intends to show how came about accounting and development to date. This paper examines the trend in the educational development of nigeria from precolonial times to the present, with a view to highlighting the progress made and problems encountered on the way. A thorough understanding of the history and development of management accounting is required before the gap between education and practice can be investigated. A history of forensic accounting forensic accounting can be described as the use of auditing and investigative skills to examine financial statements in preparation to be used in a court of law. Msc accounting, aca department of accountancy kano state polytechnic nigeria tijjani habibu ahmad msc forensic accounting and auditing, aca internal audit unit hussaini adamu polytechnic kazaure nigeria abstract this research investigates the effect of nigerian stock exchange market development on economic growth using a. Brief history of education in nigeria long before the europeans arrived, education had been part of nigerians. The origin and development of management accounting 1 introduction 1.

An extension of this was the development during the mid1980s of riskbased auditing. This study explored the history of accounting and evolution of accounting standard in. The following research questions will be answered in order to identify and examine entrepreneurship development programme in nigeria and proffer solutions to them. The development of accounting in nigeria with special emphasis on the key role players in education, training and practice lawrence a. Ais is an integrated framework within a firm that employs physical resources to transform economic data into financial information for operating and managing the firms activities, and reporting the firms achievements to interested parties. However, with management accounting history, as with general history, change is a permanent feature and without an understanding of its development, we are poorly equipped to understand or guide its direction. Similarly, we may be fascinated by the phrase kings eyes and ears used to describe government auditors in nigeria. The development of the accounting profession in nigeria became feasible only with the movement towards political independence in.

The history of accounting information systems information technology essay. Based on the data received from the history of evolution and the features of gradual development, history of accounting can chronologically be classified into 4 stages. The history of accounting in nigeria is as important as nigeria s history particularly before and after the era of independence. On the coast of west african, an area of 356,669 square miles has been covered, which was known officially as the federal republic of nigeria in 1963. Luca pacioli is often named when referring to the history and development of accounting. Naude 2011 draws the conclusion that entrepreneurship will contribute to growth and employment creation in advanced, emerging and least developed economies alike. Riskbased auditing is an audit approach where an auditor will focus on those areas which are more likely to contain errors. The research into the history of the accounting profes section further examines other threats to the terri sion in nigeria, many of their reports have tended torial. Evolution and development of auditing owolabi sunday ajao, jayeoba olajumoke olamide and ajibade ayodejitemitope department of accounting babcock universit y, ilishan remo ogun state nigeria. Accounting profession, accounting education in nigeria, threats to. We traced the history of auditing and evaluated the various dynamics of duties of auditors over the years.

Every time i teach accounting theory, the students asked me why they need to study the historical perspective in the development of accounting standards. Let us make an indepth study of the history and objectives of international accounting standards iasc. Jun 24, 2019 historians hypothesize that the primary reason for the development of writing systems came out of a need to record trade and business transactions. Either way, the history of accounting throws a light on economic and business history generally, and may help us better predict what is on the horizon as the pace of global business evolution escalates.

The frcn replaced the former nigerian accounting standards board. Accounting records dating back several thousand years have been found in various parts of the world. As at that time, nigeria was still following the british system of government in which there is a prime minister and a ceremonial president. The growth and development of every economy hinges on how resources are judiciously managed and multiplied. Accounting began as a simple system of clay tokens to keep track of goods and animals, but has developed throughout history into a way of. Accounting as a profession, or career of study like other discipline has a beginning. History of accounting in nigeria all you need to know peakng. The history of accounting or accountancy is thousands of years old and can be traced to ancient civilizations the early development of accounting dates back to ancient mesopotamia, and is closely related to developments in writing, counting and money and early auditing systems by the ancient egyptians and babylonians. Apr 24, 2020 accounting is more than just the act of keeping a list of debits and credits. The education in this area implies the action of giving systematic studying to enlighten the professionals. It is the language of business and, by extension, the language of all things financial. History and development of accounting world history.

With the rise of agriculture and trade, people needed a way to keep track of their goods and of transactions. Accounting development, historical accounting, government funding and. More specifically, we present an overview of the indigenous, quranic and the westerntype education before and after independence. History and development of accounting in perspective science. The foregoing studies did not consider the association between audit quality practices and financial reporting, particularly in nigeria, the hub of africas economic activities. It is observed that for the first time in nigeria, legislation empowered a regulatorfinancial reporting council of nigeria frcn with statutory duty to formulate code of corporate governance in nigeria and to ensure compliance with same. Numerous ancient african civilizations settled in the region that is today nigeria, such as the kingdom of nri, the benin empire, and the oyo empire. The british empire tried to fight for economic dominance in the region. The historical development of taxation in nigeria answers.

The approach also examined the role played by functionalist and. The views and perceptions of the major actors in the field of accounting in nigeria which includes academic accountants, professional accountants and the accounting regulators were sought. Request pdf professional accounting development in nigeria. Independence from british rule came to pass in nigeria on the 1 st of october, 1960. Trade records have been found dating back to ancient mesopotamia. First, the spread of islam began a millennium ago, predominantly in the north but later on extended to southwestern nigeria. Islam reached nigeria through the borno empire between 1068 ad and hausa states around 85 ad during the 11th century, while. With one of the biggest democracies in the world and a presidential system of government, it has a dual economy, based on its rich natural resources, traditional agriculture and the trade sector before the development of nigeria, no one needed the services of an accountant. Nigeria, commonly known as the giant of africa with more than 150 million people is the most populous country in africa. The development of the accounting profession in nigeria became feasible only with the movement towards political independence in the country. Historical overview of accounting information systems.

History of accounting in nigeria 725 words bartleby. Its scholars also wrote the textbooks that were used at all levels of the nigerian education system for many years. To simplify it, accounting history can be categorized into the precolonial period, colonial. This study explored the history of accounting and evolution of accounting standard in nigeria in relation to the countrys adoption of the ifrs. Through the historical process, the primitive inconsistent and confusing system of keeping. It offers the directions that are necessary for the future accountants to get the profession in nigeria. The nok achieved a level of material development not repeated in the region for nearly 1,000 years. Pdf professional accounting development in nigeria.

History and development of accounting and management. A simple chi square was used to relate these threats and challenges to the development of accounting profession in nigeria. Accounting revolution when medieval europe moved toward a monetary economy in the th century, merchants depended on bookkeeping to oversee multiple simultaneous transactions financed by bank loans. During the preindependence period, in nigeria, especially before the establishment of the collages of arts and sciences particularly the one in ibadan, people who wanted to enroll into accounting profession had to be trained through article ship. History of accounting in nigeria the institutionalization of accounting started in britain, from where accounting was imported to nigeria. The origin and development of management accounting. Moreover, knowledge of the history of management accounting will facilitate an understanding of the future of this profession. Accounting research and the development of accounting profession in nigeria. Jan 26, 2019 accounting is the system of recording, classifying and summarizing financial information in such a way that users of the information can make economic decisions based upon it. Audit quality practices and financial reporting in nigeria. History of accounting in nigeria all you need to know. A historical perspective in the development of accounting. The early development of accounting dates back to ancient mesopotamia, and is closely related to developments in writing, counting and money and early auditing systems by the ancient egyptians and babylonians. And as such, in discussing the history of accounting, you must have discussed the history of nigeria.

Some of the roles of accounting in economic development are listed below. In some ways accounting is a process used for centuries. Historical perspective agbi eniola samuel, isuwa dauda, and salvation joshua selven department of accounting and management, faculty of arts and social sciences, nigerian defence academy, kaduna, nigeria abstract. Colleges and universities offer doctorate degree programs in the field of bookkeeping often referred to as accounting. Political leadership and corruption in nigeria since 1960. Accounting is a way to record and communicate financial information for businesses and other organizations.

Born in 1445 in tuscany, pacioli is known today as the father of accounting and bookkeeping. The historical background of taxation in nigeria indicates that the first form of taxation occurred in northern nigeria. In nigeria, studies have been carried out on the effect of entrepreneurship development on the problem. This article covered the history of accounting development. In written form, the history of bookkeeping dates back to 4000 b. International accounting standards committee iasc came into being on 29th june 1973 when 16 accounting bodies viz. Pdf this study explored the history of accounting and evolution of accounting standard in nigeria in relation to the countrys adoption of the. History and development of accounting 2085 words 9 pages. Taxation started right from the precolonial era during the hausafulani administration. Looking at the history of taxation in nigeria, the beginning of the colonization period was connected with various trading posts and companies in the west africa. This research work examines the accounting standards in nigeria.

Gentlemen, the purpose of this meeting is to have as many questions and as much discussion on those questions as possible. Sep 14, 2010 the history of auditing in nigeria prior to the period of industrial revolution in 1900, accounting was almost limited to the government sector. History and development of accounting in perspective. Brief history of education in nigeria history of education. The full history of accounting in nigeria is saturated and rich. The history of accounting information systems information. The earliest accounting records date back more than 7,000 years. The development of accounting in nigeria can be traced to the time when the companies ordinance can be said to start in the early fifties when the nigerian colleges of arts, science and technology were established in ibadan, enugu and zaria and the development of the departments of. The history of nigeria can be traced to prehistoric settlers nigerians living in the area as early as 1100 bc.