Alternative Financial Accounting and Reporting Systems in Nigeria Local Government Councils

Abstract

The aim of this paper is to analyse the various forms of accounting systems that can be applied in the local government. Over the years, local government has placed more reliance on the preparation of accounting information on cash accounting bases without having recourse to its disadvantages among which include its narrow informational contents which also limit the bases of evaluating local government performance. Alternatives to local government cash base accounting techniques are; budget accounting, accrual accounting, commitment accounting and fund accounting all with their merit and demerit. In order to have the fair objective of evaluating the performance of local government, an effective and efficient accounting system needs to be put in place.