The Role of Accounting Thought in the Evolution of Management Accounting: Where are we really (Published)
The dearth of the reasoning stage in the scrutiny of evolution of management accounting thought creates a serious gap in this classic topic in management accounting literature. Liberalization of the advance economies in early 1800 increased the intensity of international competition and changed in the internal information needs of corporations’ managers. This study explores the evolution of a broad range of management accounting practices but focused on management control systems, using theoretical frameworks. The ultimate purpose of this paper is to explain how management accounting (MA) evolved and current state of the main theories behind management accounting so as to guide researchers and advance further business scholars. In addition to identifying the management accounting theoretical development, the study identifies the main criticisms of these theories, thus creating a ground for prospective enquiry. The differences in management accounting practices are examined in relation with corporations and academic experiences. The study finds evidence of change in management accounting practices and development is associated with shift in external environment. The study show that accounting though and events of the last two decades have spurred development of managerial accounting. Additionally, MA it is becoming widely recognized as a field of expertise separate from financial accounting. And that the number management accounting innovations during the last two decades is higher than those of two earlier decades of 1960s and 1970s.
Business Consolidation and Its Impact on Financial Performance: Evidence from the Ghanaian Banking Industry (Published)
The study provides empirical examination on the impact of business consolidation or mergers and acquisitions (M&A) on the financial performance of banks in Ghana. Both descriptive and correlational research designs were employed for the study. Two banks: Ecobank Ghana Ltd and Access Bank Ghana Ltd were chosen for the study. The annual reports of the banks from pre-merger period (2009 to 2011) and post-merger period (2012 to 2015) were used for the analysis. Two analysis techniques: ratio and regression analysis were used to examine the impact of mergers and acquisitions (M&A) on the profitability of these firms. Net profit margin (NPM) and return on capital employed (ROCE) were used as proxies for financial performance and Ordinary Least Square (OLS) regression model was used to estimate the level of impact of M&A on the performance of the banks. The study revealed that mergers and acquisitions (M&A) resulted to more than 80% growth in income and the net assets immediately after acquisition. The growth in profitability continued in subsequent years, however at a decreasing rates. With regards to net profit margin and return on capital employed (ROCE), the banks observed a marginal decline after three years of acquisition. The study further found empirical evidence to support the view that mergers and acquisitions (M&A) has a positive and significant impact on both NPM and ROCE. Accordingly, it is concluded that mergers and acquisitions (M&A) has a positive and significant impact on financial performance of banks.