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PROJECT TOPIC: THE EVALUATION OF ACCOUNTING SYSTEM IN THE OIL INDUSTRIES (A CASE STUDY OF NIGERIA NATIONAL PETROLEUM COMPANY ILORIN)

Project Body:


CHAPTER ONE

1.0   INTRODUCTION

1.1   BACKGROUND OF THE STUDY

The importance of accounting cannot be over emphasize for accounting is needed at the birth of an organization during the life time of the organization and at the death of the organization (i.e. winding up). Accounting can be described as the mid-wife and of the company at birth, guardian during life time and successor of the death.

Changing social attitude combine with developments in information technology, quantitative method and behavioral sciences to affect radically the environment with accounting operates today, hereby creating the need to re-evaluate the objective of accounting in a under perspective.

Accounting is moving away from its traditional procedural base, encompassing record keeping and such related work as the presentation of budgets and final accounts, towards the adoption of a rob which emphasizes its social importance, the changing environments have extended the boundaries of accounting  and have created a problem of  defining the scope of the subject. There is need for a definition which is broad enough to deliberate it boundaries, while sufficiently precise as a statement of its essential nature. A more recent definition which his less rest native in interpreting accounting  as “the process of trying measuring and communicating economic information to permit informed judgments and decide by the users of instruction system is a set of element by the which operate together in order to obtain a goal”

Accounting system could be said to be universal in outlook, it is worthy to note that what actively universal are the underlying basic concepts of accounting as usually regulated by such instruments as the international accounting standards (IAS). Statement of standard accounting practice (SSAP) etc. These instrument are always in the particularly to final account as made available to the public. International accounting system differ from nation to nation, sector to sector and organization.

This project therefore is to study and peculiars of accounting system being operated in the oil industry with special reference to chevron Nigeria limited.


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