Information Technology and Financial Reporting By Deposit Money Bank in Nigeria: An Empirical Study

Abstract

The study investigated the impact information technology has on the preparation and publishing of financial reports in deposit money banks in Nigeria. It examines whether Information Technology improves the qualities required by the international financial reporting standards on financial reports, and if it affects compliance with required standards as well. The study adopted descriptive research design method with a population of 2,500 accountants and a sample size of 345 which was derived using Yaro Yamani formula. The study made use of primary data. Data collected were analyzed using simple regression analysis. Results from the study based on the regression analysis which gave an outcome of 90% and a p-value of 0.00 for the first hypothesis show that information technology makes financial reporting more accurate, useable and of better quality. The regression analysis gave a result of 2.9% and a p-value of 0.680 for the second hypothesis which means that information technology does not hinder compliance with international financial reporting standards. Finally, the study recommended that information technology should be made a core part of the curriculum in schools and professional training of accountants so as to improve their skills. Also, research on advancements accounting technology should be taken serious in Nigeria, as there is constant change and improvement in this area.

Key words: Information, Technology, Financial Reporting, Money Deposit Bank