THE ACCOUNTING PRACTICES OF BUSINESSES IN

STA. RITA GUIGUINTO BULACAN

This research proposal is submitted

in partial fulfillment of the requirements for

Senior High School – Grade 12

Accountancy, Business and Management Strand

By:

Balagtas, Trisha Mae P.

Landayan, Louela Venice F.

Manzano, Christine Joy D.

Santiago, Liya Mae B.

Secciona, Aira Mae P.

Tan Feliz, Alleah V.

Toledo, Wayne Oliver E.

Tomaneng, Kirstie Steph M.

January 2024

i
 ACKNOWLEDGEMENT

The researchers would first and foremost like to express their gratitude to the Lord, our
Almighty God for the knowledge, intelligence, understanding and strength to finishing up this
research study. Also, for giving the course this opportunity and involvement that gave us so
much to learn, and we thank you for the guidance all through the end.

The researchers would also like to express our deep and sincere gratitude to our research adviser,
Mrs, Anna Veronica D. Sabariaga for providing us invaluable supervision, support, and trust
during the course of our research study. We would also like to thank her for her empathy,
patience, and knowledge that she imparts unto us. It was a great privilege and honor to work and
study under her guidance.

Deepest appreciation to our co-researchers Ms. Liya Mae B. Santiago, Ms. Trisha Mae P.
Balagtas, Ms. Louela Venice F. Landayan, Ms. Aira Mae P. Secciona, Ms. Alleah V. Tan
Feliz, Ms. Christine Joy D. Manzano, Ms. Kirstie Steph M. Tomaneng, and Mr. Wayne
Oliver E. Toledo, for participating and giving all the knowledge and for working hard just to
understand this study. For giving the trust throughout the process of making and finishing this
paper. To our dearest parents for being in our side and giving us help financially and underlying
support.

And to those individuals who were supporting and giving their knowledge about our research
topic. To the municipal employees for the copies and some advices about Severe Flooding and to
those business owners who agreed and gave us a chance to interviewed them and to know more
about their businesses. A thousand Thank You to these individuals.

ii
 ABSTRACT

Accounting is a crucial process for recording a company's daily financial operations and
preparing annual financial statements. It involves monitoring all financial activities, including
inflow and outflow of funds. Accounting is often outsourced, but understanding its fundamentals
is essential for managing a firm. Effective accounting practices are crucial for financial
management and operational efficiency, especially in the merchandising and service sectors. A
descriptive mixed-method study was conducted to collect quantitative and qualitative data on
accounting practices in businesses. The study distributed 13 questionnaires to 13 respondents,
using a survey questionnaire with both closed-ended and open-ended questions. Full enumeration
sampling was employed to assess the purpose of accounting records. The results showed that
100% of businesses are using accounting records, with most using computerized records for
tracking receivables and payables. With enough knowledge, businesses can maintain their
operations over the years. In the survey questionnaires, 31% of respondents answered within the
2 to 4-year range, indicating a high level of knowledge in accounting practices. With this
research study, the businesses can use this to have better knowledge on accounting practices of
their businesses and what is the most used accounting method. The businesses could also receive
a needed recommendation to help them in managing their businesses’ records, to help them keep
track of the important things about their business.

Keywords: (Accounting Practices, Businesses, Manual Accounting Method, Computerized

Accounting Method)

iii
 Table of Contents

Title Page…………………………………………………………………….…..……………. i

Acknowledgement………………………………………………………………………..….… ii

Abstract…………………………………………………………………….……………..……. iii

Table of Contents…………………………………………………………….………………….. iv

Chapter 1: The Problem and its Background

Introduction……………………………………………………………………………… 1

Foreign Study……………………………………………………………………………. 1

Local Study……………………………………….…………………………………….… 4

Conceptual Framework………………………………………………………………..…. 7

Statement of the Problem……………………………………………………………….. 7

Hypothesis of the Study………………………………………………………………… 8

Significance of the Study……………………………………………………………….. 8

Scope and Delimitation……………………………………..……………………………. 9

Definition of Terms……………………….……………………………………………... 9

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Chapter 2: Methodology of the Study

Research Design…………………………………………………………..…………… 11

Respondents of the Study…………………………………………………..………….. 11

Instruments……………………………………………………………………………… 12

Data Collection…………………………………………………………….……………. 12

Ethical Consideration…………………………………………………………………… 12

Data Analysis…………………………………………………………………….……... 13

Chapter 3: Results, Findings and Discussion………………………………………………… 14

Chapter 4: Conclusion and Recommendation

Conclusion……………………………………………………………………..…….. 22

Recommendations…………………………………………………………………… 22

References………………………………………………………………….…..…….……… 24

Appendices………………………………………………………………….……………….. 26

Appendix A: Survey Questionnaire………………………………….………………. 26

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Appendix B: Data Gathering………………………………………………….……… 27

Appendix C: List of Figure…………………………………………………..……….. 29

Conceptual Framework……………………………………………..………….. 7

Appendix D: List of Tables……………………………………………………………. 29

Table 1: Demographic Profile according to gender…………………………… 14

Table 2: Age of the respondents……………………………………………….. 14

Table 3: Civil Status of the respondents……………………………………….. 15

Table 4: Educational attainment of respondents…………………..…………... 15

Table 5: Number of years of business operation……………………………… 16

Table 6: Number of employees………………………………………………. 16

Table 7: Assessment of respondents use of accounting record………………. 17

Table 8: Assessment of respondents use of accounting records…………….… 17

Table 9: Assessment and Ranking of Respondents Purpose of Keeping Account

Record……………………………………………………………….………. 17

Table 10: Assessment and Ranking of respondents reasons for not keeping

accounting record……………………………………….……………….…… 18

Table 11: Suggestion on how to improve the accounting

practices………………………………………………………………………. 19

Appendix E: Curriculum Vitae…………………………………………………..…… 34

vi
 Chapter 1

THE PROBLEM AND ITS BACKGROUND

Introduction

Accounting is the process of recording a company's daily financial operations and

preparing legally required annual financial statements. It involves monitoring all financial

activities, including inflow and outflow of funds. Accounting is crucial for record keeping,

management, legal and tax considerations, and is often outsourced. Despite many companies

outsourcing accounting, it is essential for managing a firm to be familiar with the fundamentals

of accounting.

Accounting practices play a crucial role in the financial management and operational

efficiency of businesses, particularly those in the merchandising and service sectors. These

sectors involve the buying and selling of goods or the provision of intangible services, and

effective accounting practices are essential for tracking financial transactions, managing

inventory, analyzing costs, and making informed business decisions.

This study focused on knowing the accounting practices of businesses and how it helps

them in managing their business’s accounting records.

Foreign Literature

Accounting practices in a digitalized world is a transformative journey from the

traditional period (manual system) to the current period of digitalization (automation). The

modern accounting profession involves the use of Information and Communication Technology

1
(ICT) to improve its application in accounting practices and auditing processes. (Nwakoby,

Raymond & Okoye, 2015). As technology is evolving rapidly, accounting is also required to

follow suit, otherwise, it will not be able to measure what is supposed to be measured. It will also

not be able to meet up with current challenges posed by the technology. Accounting firms did

not pay attention to digital innovation that came in the ‘80s and the response required by the

profession to adapt for effectiveness. Digitalization is perceived as a new way of doing business

that cuts away manual processing in organizations. (Gustafsson, 2015).

Accounting practice is the medium of financial reporting that serves both internal and

external interests. Management accounting is considered as internal because it is prepared by the

management of the company for the use of management and other interested parties such as the

Board to review the performance of the company. External accounting report involves

management accounting prepared by the management, audited by the statutory auditors, and

approved by the board of the company before it is released to the shareholders and public, such

report is required to comply with some rules and provisions of auditing guidelines and corporate

governance before they are considered appropriate. (Boundless, 2015).

Accounting Practices have been termed as the process of recording, documenting,

interpreting, and reliably communicating management reports and accounts, reporting financial

information of a company to help it make improved management decisions (Nair, 2017). More

often, it has is mentioned that large companies are more prone to adopting accounting practices

within their business model due to the strict compliance of pricing and costing decisions globally

(Ahmad, 2014). Accounting procedures have traditionally only been used to collect data, forecast

2
product prices and costs, support business choices, compete in highly competitive markets, cut

costs, and increase financial control over the organization. Owing to shifting demands from the

economy as a whole, these practices may occasionally change. Each dynamic change requires a

more notable change within various industries' accounting practices (Prakash, 2014). However,

one of the most significant drivers of change observed in existing literature has been predicted to

advance technology (Nair, 2017). Whenever technology has advanced, accounting practices have

also managed to be more advanced and adequate to the needs of the business due to rapid market

competition and globalization. (Ahmad and Zabri, 2016)

A research conducted by Kim and Park (2017) in South Korea investigated the impact of

accounting information systems on business performance. The study revealed that firms that

effectively utilize advanced accounting information systems experience improved decision-

making, cost control, and operational efficiency. This emphasizes the role of technology in

enhancing accounting practices and overall business performance (Kim & Park, 2017).

In a study by Martinez and Lopez (2019) in Mexico, the researchers examined the

challenges faced by small businesses in adopting computerized accounting systems. The research

identified factors such as lack of financial resources, limited technological infrastructure, and

resistance to change as barriers to the implementation of advanced accounting practices. This

highlights the need for support and resources to facilitate the adoption of modern accounting

systems in small businesses (Martinez & Lopez, 2019).

3
 A study conducted by Gupta and Sharma (2018) in India explored the impact of tax

regulations on accounting practices. The research found that complex and frequently changing

tax laws create challenges for businesses in maintaining accurate and compliant financial

records. The study emphasized the importance of simplifying tax regulations and providing

guidance to businesses to ensure proper accounting practices (Gupta & Sharma, 2018)

Local Literature

A study conducted by Cruz and Hernandez (2020) investigated the relationship between

the adoption of International Financial Reporting Standards (IFRS) and the financial

performance of Philippine companies. The findings revealed that companies that implemented

IFRS reported improved financial performance indicators, such as higher profitability and

increased shareholder value.In a research study by Santos and Reyes (2019), the impact of

computerized accounting systems on financial performance was examined. The study found that

companies that utilized computerized accounting systems experienced enhanced efficiency in

financial reporting, reduced errors, and improved decision-making, leading to better financial

performance. Garcia et al. (2018) explored the role of management accounting practices in the

financial performance of Philippine companies. The research revealed that companies that

employed advanced management accounting techniques, such as activity-based costing and

balanced scorecard, achieved better financial performance by effectively managing costs,

improving resource allocation, and aligning strategic objectives.

In terms of corporate governance and financial performance, a study by Reyes and Tan

(2017) examined the relationship between the presence of independent directors on company

4
boards and financial performance. The findings indicated that companies with a higher

proportion of independent directors demonstrated better financial performance, suggesting the

importance of strong corporate governance practices.

Furthermore, a study by Lim and Cruz (2016) investigated the impact of internal control

practices on financial performance. The research revealed that companies that implemented

robust internal control systems experienced fewer instances of fraud, improved accuracy in

financial reporting, and ultimately achieved better financial performance.

In a study by Hernandez and Santos (2018), the relationship between environmental

accounting practices and financial performance was explored. The findings indicated that

companies that integrated environmental accounting practices into their financial reporting

demonstrated improved financial performance, as stakeholders increasingly value sustainability

and environmental responsibility.

However, a study by Tan et al. (2019) highlighted the challenges faced by companies in

adopting advanced accounting practices. The research revealed that factors such as limited

resources, lack of awareness, and resistance to change hindered the implementation of more

sophisticated accounting practices, potentially impacting financial performance.

Accounting practices have a significant impact on the financial performance of

companies in the Philippines. The adoption of International Financial Reporting Standards,

computerized accounting systems, advanced management accounting techniques, strong

corporate governance, effective internal control systems, and environmental accounting practices

5
can contribute to improved financial performance. However, challenges in implementation and

resource constraints need to be addressed to fully leverage the benefits of these accounting

practices.

One of the measurements on how organizations perform good economic decisions is by

the provision of financial information. It is fundamental to exercise proper accounting practices

in order to supply efficient economic decisions made by business owners. In the news from

Manila Times, 2016, Marcos states that Philippines small enterprises are not powerful in the

ASEAN integration in the absence of government support. He added that small businesses

comprise 99.6% of businesses in the country which includes 70% of employment for the

country's total workforce. This means the downfall of the businesses will mean the downfall of

the greater Philippine society. As of 2020, there are 106,175 total number of small businesses in

the country (Manila Times, 2016).

An accounting system aids in understanding a company's financial situation. It is among

the best instruments for managerial decision-making. A sound accounting system provides a

summary of a company's financial standing and performance. It is among the best instruments

for management decision-making because it assists companies in reaching wise financial

decisions.

In the Philippines, the level of experience of small enterprise owners or the bookkeepers

in accounting practices is not as much as competitive that affects their economic decisions

toward organizational performance of the business. In addition to this, most of the owners hire

external accountants to comply with business requirements in regard to accounting. The level of

6
knowledge of business owners relies on the skills of accountants alone and not on the business

owners or the bookkeepers of the small enterprises that greatly affects the business performance.

Conceptual Framework

INDEPENDENT VARIABLE DEPENDENT VARIABLE

Businesses’ Accounting
Practices in terms of
Accounting Strategies
 Computerized
 Manual

Figure 1. Conceptual Framework of the Study

This part includes discussions about the accounting practices and its dependent variable which is

the businesses' accounting practices in terms of computerized method and manual method.

Statement of the Problem

This research was conducted to find out which factors business owners considered when

performing their Accounting Practices for their business. The study specifically aimed to address

the following questions:

1. What is the demographic profile of business owners in terms of:

1.1 Age

1.2 Gender

1.3 Civil Status

7
 1.4 Educational Attainment

2. What are the accounting practices of the businesses in terms of:

2.1 Computerized Accounting Method

2.2 Manual Accounting Method

3. What is the relationship of accounting strategies and businesses’ practices for their

accounting records?

4. What implications can be derived from the results of the study?

Hypothesis of the Study

There is a significant relationship between accounting strategies and the accounting practices of

businesses.

Significance of the Study

The findings of the study are expected to yield benefits to the following individuals and

institutions.

Local Economy - Understanding the accounting practices of businesses can shed light on how

these businesses impact the local economy. It can reveal their role in providing employment,

supporting local suppliers, and contributing to the community's financial stability.

Government and Policymakers - Insights from this study can assist local authorities and

policymakers in creating targeted programs and policies that support and promote businesses. It

can also inform taxation and regulation policies.

8
Future Business Owners - The study can provide them knowledge on whether or not should

they use accounting records and how it can help them in running their business.

Future Researchers - The conducted study will also provide a further opportunity for

researchers to update and expand their studies related to factors that influence accounting

practices used by businesses. It can be a source of information on the factors that influence

owners’ decisions.

Scope and Delimitation

This study primarily focused on the Accounting Practices of Businesses within Sta. Rita,

Guiguinto, Bulacan. The respondents of this study were the Businesses in Sta. Rita, Guiguinto,

Bulacan. It focuses on what accounting systems were used by the businesses. This study is

limited to having the respondents the registered businesses within Sta. Rita.

Definition of Terms

The following terms had been defined conceptually and/or operationally for a better

understanding of the study:

Accounting Strategies. These are the processes and methods used to consistently record, report,

and interpret a business's financial transactions, ensuring accuracy, consistency, and transparency

for internal decision-making, legal compliance, and external stakeholder understanding.

Accounting Practices. It is the process and activity of recording the day-to-day financial

operations of a business entity. It is necessary to produce the legally required annual financial

statements of a company.

9
Computerized Accounting Method. It is a software application that automates financial records

and reporting processes to make them faster, more accurate, and easier to manage.

Manual Accounting Method. It is the practice of keeping financial records without the aid of a

computer system and accounting software. Books and journals are used to record transactions,

which are then transcribed manually into a series of financial reports.

Businesses. An organization or enterprising entity engaged in commercial, industrial, or

professional activities.

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 Chapter 2

RESEARCH DESIGN

This chapter presented the research design utilized in the study, the respondents, the

instruments of the study, the data collection procedures, ethical considerations, and the data

processing and statistical treatment applied in data analysis.

Research Design

A descriptive mixed-method study on the accounting practices of businesses was

involved collecting both quantitative and qualitative data to provide a comprehensive

understanding of the research study. This approach allowed the researchers to gather numerical

data to quantify the extent of the practices, as well as qualitative data to capture the experiences

and opinions of the businesses individuals. By combining quantitative and qualitative data, the

researchers gained a comprehensive understanding of the accounting practices of the businesses.

This mixed-method approach allowed a more broad understanding of the practices of the

businesses. This research provided a valuable study to help the merchandise and services

businesses in accounting decisions to their business.

Respondents of the Study

The respondents of this study were registered businesses with the total population of 14.

We used the Slovin formula to get the sample size of this study which is 13. It was then divided

in the businesses around the area of Sta. Rita. As there were limited respondents, full

enumeration sampling was employed. This type of sampling method involves the complete

enumeration of all possible elements or configurations within the set of interest.

11
Instruments

The researchers utilized the descriptive questionnaire, including close-ended and open-

ended questions, designed to gather information about the accounting practices of businesses in

Santa Rita, Guiguinto, Bulacan. The participants consisted of businesses located in Barangay

Santa Rita, who were using accounting methods on their kind of business consisting of

merchandise and service.

Data Collection

The researchers have conducted a data collection on the accounting practices of

businesses in Sta. Rita, Guiguinto, Bulacan, with the data sourced from an article. The study

aspects such as knowing if the businesses keeps an accounting record or not, and understanding

the purpose of keeping accounting records. This comprehensive data will be instrumental in

gaining knowledge on the practices of owners and the knowledge of the businesses when it

comes to accounting practices of their business.

Ethical Consideration

The provisions of the Data Privacy Act will be strictly observed in the conduct of the

study. Permission to conduct the study will be sought from the School. The anonymity of the

respondents will be highly observed in the entire study. Respondent schools will be coded, and

their responses will be treated with out-most confidentiality to protect the interest of all

concerned.

12
Data Analysis

The businesses in the Sta. Rita Guiguinto, Bulacan were classified according to their

demographic profile: age, gender, civil status, and educational attainment, based on frequency

and percentage distribution. The accounting practices of the businesses were assessed using

weighted means, considering their adherence to accounting procedures, use of computerized or

manual systems, and prior accounting experience.

13
 Chapter 3

RESULTS, FINDINGS, AND DISCUSSIONS

Table 1: Demographic Profile according to gender

Gender Frequency Percentage

Female 9 69%

Male 4 31%

Total 13 100%

This table represents the demographic profile of the respondents according to gender, it show
that most of the businesses are handled by female with a frequency of 9 and a percentage of
69.23% while male has a frequency of 4 with a percentage of 30.77%.

Table 2: Age of the respondents

Age Frequency Percentage

19 to 25 3 23%

26 to 31 2 15%

32 to 37 3 23%

38 to 43 3 23%

44 to 49 1 8%

50 and above 1 8%

Total 13 100%

14
This table represents the demographic profile of the respondents according to age, it shows that
most of the businesses are within the age of 19 to 15, 32 to 37, and 38 to 43 with a frequency of
3 and a percentage of 23.08%. While there's a 2 frequency on 26 to 31 with a percent of 15.38%.
While the rest with a 1 frequency it has a percentage of 7.69%.

Table 3: Civil Status of the respondents

Civil Status Frequency Percentage

Single 7 54%

Married 6 46%

Total 13 100%

Table 3 represents the civil status of the respondents, it shows that the businesses are with a
status of married with a frequency of 7 and a percentage of 53.85%.

Table 4: Educational attainment of respondents

Level of Education Frequency Percentage

College 10 77%

High School 3 23%

Total 127 100%

This table shows the educational attainment of the respondents in sta rita, it shows that most of
the respondents attended in college with a frequency of 10 and a percentage of 76.92%.

15
Table 5: Number of years of business operation

Years of Business
Frequency Percentage
Operation

1 year and below 3 23%

2-4 4 31%

5-7 1 8%

8-10 1 8%

11-13 2 15%

14-16 1 8%

17-19 1 8%

Total 13 100%

This table shows that the majority of the respondents says that they have been in operation of the
business for the last 2-4 years which comes up to 30%.

Table 6: Number of employees

No. of employees Frequency Percentage

Less than 5 10 77%

6-10 3 23%

Total 127 100%

This represents the number of employees inside the business, it shows that most of them has less
than 5 employees inside the business with a frequency of 10 and a percent of 76.92%.

Table 7: Assessment of respondents use of accounting record

16
 Keep any form of
Frequency Percentage
accounting record

No 0 0%

Yes 13 100%

Total 13 100%

Table 7 represents if whether they use accounting records in their business, all of the respondents
answered B means yes with a frequency of 13 and a percentage of 100%.

Table 8: Assessment of respondents use of accounting records

Record Keeping System Frequency Percentage

Computerized 7 54%

Manual 6 46%

None 0 0%

Total 13 100%

In table 8, it demonstrates that the majority of the respondents that comes up to 54% said that
they did accounting as a computerized method.

Table 9: Assessment and Ranking of Respondents Purpose of Keeping Account Record

Purpose Weighted Mean Rank

Tracking of Receivables
54% 1
and Payables

Performance Evaluation 8% 4

Income Distribution 8% 5

17
 Support in Accessing
15% 2
Credit and Finance

Taxation 8% 6

Determine Size of
15% 3
Business

In this table, it shows the Majority of the respondents and 1st in the ranking, which comes up to
54% says that their purpose in accounting records is tracking of receivable and payables.

Table 10: Assessment and Ranking of respondents reasons for not keeping accounting record

Reason Weighted Mean Rank

It requires technical skills

0% -
and knowledge

It is time consuming 0% -

There is no need to keep

0% -
accounting records

It is expensive 0% -

It requires more staff 0% -

It is difficult to maintain
0% -
the system

It makes the enterprise pay

0% -
more taxes

In table 10, it demonstrates that not a single responder provided an answer to this particular
query. It is because all of the respondents keeps accounting records.

18
Table 11: Suggestion on how to improve the accounting practices

Suggestion Frequency Percentage

Organize training owners 8 62%

Hire consultant for

1 8%
financial

Statement Analysis 4 31%

Total 13 100%

It represents the suggestion of the respondents based on how to improve accounting practices, it
shows that most of the respondents that answered this is letter A by organize training for owners
with a frequency of 8 and a percent of 61.54%.

When asked in their opinion on what is their purpose for maintaining accounting records of their

business, the respondents answered the following:

Participant 1 “To provide an overview of financial situation of a business”

Participant 2 “To easily track my business”

Participant 3 “For better business accounting practices”

Participant 4 “Maintaining accounting records is essential, it helps to easily keep track on the

records”

Participant 5 “For keeping record of business”

Participant 6 “Keeping accurate and up to date records is vital to the success of your business”

Participant 7 “Accounting record to maintain a systematic, accurate & complete record of all

financial transaction of business”

Participant 8 “To keep in track of the business”

19
Participant 9 “To provide the overview situation of the business/company”

Participant 10 “To track the recievables and payables”

Participant 11 “It because mas when we needed a file mas nakikita agad natin ito or when we

needed to pass a poor so it easy to find”

Participant 12 “To see if the accounts getting lower”

Participant 13 “To more organize and easy to transform”

When asked in their opinion on what are their suggestions on how to improve the accounting

practices of business, they answered the following:

Participant 1 “Enhance the skills and learn more about the industry”

Participant 2 “May POS(Point of Service)”

Participant 3 “Hire an accountant”

Participant 4 “Enhance your knowledge in accountancy practices.”

Participant 5 “Learn on how to compute your accounts”

Participant 6 “Be timely with reconcilliation, allign reporting within accounting”

Participant 7 “Using software”

Participant 8 “Organize training for owners”

Participant 9 “Set a goal on how to handle the business/company”

Participant 10 “Organize free training for owners”

Participant 11 “Pag aralan nang mas maayos or mas magpaturo sa mas may alam sa business

at wag hayaan ang mga tauhan ang mag manage”

Participant 12 “In this business much more need to be computerized but much expensive to hire

such accountant because the business goes up & down”

20
Participant 13 “Research about accounting to make your life easier”

Chapter 4

CONCLUSIONS AND RECOMMENDATIONS

Conclusions

21
The results showed that the demographic profile of the educational background of the businesses

is within the college level. Since they attended college, they can manage to do accounting

records, and it will be easy for them to understand and do this type of tasking since they have

enough knowledge in this. The results showed that the accounting literacy businesses maintained

accounting records, which kept the business running over the years. The businesses also uses

computerized accounting method.

The researchers also assessed the respondents’ purpose of accounting records. The result of this

survey showed that 100% of the businesses are using accounting records which means none of

them answered No. Most of them are using a computerized accounting record, and the purpose

of keeping accounting records is to keep track of receivables and payables. With enough

knowledge, they'll be able to keep on the business over the years, in the answered survey

questionnaires the respondents answered within the range of 2 to 4 years and had a percentage of

31%.

Recommendations

The researchers conducted this study, gathered data, and came up with the answer to the problem

stated. Therefore, the study recommends the businesses to maintain a good track of their finances

using an accounting records. Most of the businesses also recommended that they should enhance

their skills and learn more about the industry or to hire an accountant for their businesses. It is

also recommended to educate the owners so that they will have an idea on keeping their business

alive for a long time.

22
 The researchers also recommends that keeping track of their business is a very good

choice to do for their business as it can help them to be more organized in their business. It can

also help them in finding needed files more easily especially when it is important or needed to be

found immediately. The businesses could also do some research on accounting practices to have

more knowledge on what to do in their business.

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Dasanayaka, Chamila & Murphy, David & Nagirikandalage, Padmi & Abeykoon, Chamil.

(2021). The Application of Management Accounting Practices towards the Sustainable

Development of Family Businesses: A Critical Review. Cleaner Environmental Systems.

3.10.1016/j.cesys.2021.100064.

https://www.researchgate.net/publication/356193667_The_Application_of_Management

_Accounting_Practices_towards_the_Sustainable_Development_of_Family_Businesses_

A_Critical_Review

APPENDICES

Appendix A
Survey Questionnaire

25
 Appendix B

Data Gathering

26
27
28
 Appendix C

List of Figure

INDEPENDENT VARIABLE DEPENDENT VARIABLE

Businesses’ Accounting
Practices in terms of
Accounting Strategies
 Computerized
 Manual

Figure 1. Conceptual Framework of the Study

Appendix D

List of Tables

Table 1: Demographic Profile according to gender

Gender Frequency Percentage

Female 9 69%

Male 4 31%

Total 13 100%

Table 2: Age of the respondents

Age Frequency Percentage

19 to 25 3 23%

26 to 31 2 15%

32 to 37 3 23%

38 to 43 3 23%

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 44 to 49 1 8%

50 and above 1 8%

Total 13 100%

Table 3: Civil Status of the respondents

Civil Status Frequency Percentage

Single 7 54%

Married 6 46%

Total 13 100%

Table 4: Educational attainment of respondents

Level of Education Frequency Percentage

College 10 77%

High School 3 23%

Total 127 100%

Table 5: Number of years of business operation

Years of Business
Frequency Percentage
Operation

1 year and below 3 23%

2-4 4 31%

5-7 1 8%

8-10 1 8%

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 11-13 2 15%

14-16 1 8%

17-19 1 8%

Total 13 100%

Table 6: Number of employees

No. of employees Frequency Percentage

Less than 5 10 77%

6-10 3 23%

Total 127 100%

Table 7: Assessment of respondents use of accounting record

Keep any form of

Frequency Percentage
accounting record

No 0 0%

Yes 13 100%

Total 13 100%

Table 8: Assessment of respondents use of accounting records

Record Keeping System Frequency Percentage

Computerized 7 54%

Manual 6 46%

None 0 0%

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 Total 13 100%

Table 9: Assessment and Ranking of Respondents Purpose of Keeping Account Record

Purpose Weighted Mean Rank

Tracking of Receivables
54% 1
and Payables

Performance Evaluation 8% 4

Income Distribution 8% 5

Support in Accessing
15% 2
Credit and Finance

Taxation 8% 6

Determine Size of
15% 3
Business

Table 10: Assessment and Ranking of respondents reasons for not keeping accounting record

Reason Weighted Mean Rank

It requires technical skills

0% -
and knowledge

It is time consuming 0% -

There is no need to keep

0% -
accounting records

It is expensive 0% -

It requires more staff 0% -

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 It is difficult to maintain
0% -
the system

It makes the enterprise pay

0% -
more taxes

Table 11: Suggestion on how to improve the accounting practices

Suggestion Frequency Percentage

Organize training owners 8 62%

Hire consultant for

1 8%
financial

Statement Analysis 4 31%

Total 13 100%

Appendix E

33
 Curriculum Vitae

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