IMPACT OF ACCOUNTING INFORMATION ON BANKS DECISION-MAKING IN NIGERIA: A STUDY OF SELECTED MONEY DEPOSIT BANK IN ABAKALIKI

Abstract

This study examined the impact of accounting information on Banks’ Decision making in Nigeria: a Study of Selected Money Deposit Banks in Abakaliki). Specifically, the study sought to determine the impact of operating profit account, statement of financial position and cash flow statement on banks decision making in Nigeria. The study adopted descriptive survey research design. The target population was 122 people which served as the sample size. The reliability of the instrument used was determined using cronbach alpha with SPSS version 23 and it gave the coefficient index of 0.85. The data were descriptively analyzed using mean and standard deviation while hypotheses were tested with t-test at 0.05 level of significance. Based on the data analysis, the following findings were made: operating profit account has positive significant impact on banks’ decision making to a high extent; statement of financial position has positive significant impact on banks’ decision making to a high extent; and cash flow statement has positive significant impact on banks’ decision making to a high extent in Ebonyi state. Recommendations made include among other things that: Deposit Money  banks should employ well trained analysts in the profession, who will be responsible for analyzing customer’s financial statements for proper interpretation for effective decision making; and effort should be made by Deposit money staff towards the production of good quality accounting information in public sector in order to improve financial performance.