Abstract:
The aim of this study was to assess the impact of computerized accounting system on financial
reporting of school facilities in Tanzania; A case study of Babati Town Council. The specific
objectives were to examine the impact of computerized accounting system on financial reporting of
school facilities, to assess the challenges faced in school facilities when applying computerized
accounting system for financial reporting and to assess whether the accountants or users of
computerized accounting system prefer computerized accounting system to manual accounting
system. The researcher employed a mixed research approach whereby a strategized sample size
of 39 respondents was used to represent the targeted population of 43 users. The primary data was
collected by using self-administered and an interview guide questionnaire. The data was processed
and analyzed descriptively by using STATA which summarized the results into frequency
distributions, percentages and histograms. It was found and concluded that computerized
accounting system have got positive impact on financial reporting of school facilities, also is faced
by challenges and also is preferred to manual accounting system. It was also recommended that
although there is positive impact on financial reporting of school facilities and that it is preferred to
manual accounting system, yet there are challenges facing it thus the Government is urged to
address them so that users of computerized accounting systems smoothly prepare financial reports
not only of the best quality, but also on time. Further studies on the same but in health facilities or
procurement of accounting books or on economic benefits to computerized accounting systems
developers were also suggested.
