ABSTRACT

Effective management and investors decision making can be greatly enhanced by access to accounting information required for critical analysis. This study was carried out to empirically the relevance of accounting information in management. It investigated PZ Plc as a case study. The study made use of primary data obtained from a field survey carried on the staff of the company by way of administration of questionnaire. The data that were collated from the completed questionnaire were analyzed using descriptive statistics and regression analysis. Two single regression models specified for the study were estimated using Ordinary Least Squares (OLS) technique. The empirical results indicated that both management and investment decision making process were increasing and significant functions of accounting information. It was suggested that every corporate organization should take corporate and investment decision based on accounting information, past corporate failure based on inadequate utilization of accounting information in decision making should be re-evaluated to prevent future reoccurrence, and external users should carry out critical analysis of accounting information before taking decision on any company.