THE IMPACT OF EFFECTIVE ACCOUNTING SYSTEM IN FINANCIAL TRANSACTIONS IN TERTIARY INSTITUTIONS IN CROSS RIVER STATE

This study examined the impact of effective accounting systems on financial transactions in tertiary institutions in Cross River State, Nigeria. The research adopted a survey design with a population of 450 accounting and finance staff from six tertiary institutions in the state. Using Taro Yamane's formula, a sample size of 212 respondents was determined, and structured questionnaires were administered. Data collected were analyzed using descriptive statistics, Pearson correlation, and regression analysis. The findings revealed that automated accounting systems significantly improve the accuracy of financial transactions (r = 0.782, p < 0.05), internal control mechanisms substantially reduce financial irregularities (r = 0.756, p < 0.05), and effective accounting systems enhance financial accountability and transparency (r = 0.801, p < 0.05). The study concluded that effective accounting systems are crucial for ensuring proper financial management in tertiary institutions. It was recommended that tertiary institutions should invest in modern accounting software, strengthen internal control systems, provide continuous training for accounting staff, establish robust audit mechanisms, develop comprehensive accounting policies, and adopt cloud based accounting solutions for real-time financial monitoring.