Abstract
This study surveyed the move towards accrual-based accounting in financial reporting: perception of accountants in the ministries in Bayelsa State. The study surveyed 232 out of 551 accountants in the ministries and parastatals in the State. Four research questions and four null hypotheses guided the study. Data was collected using a structured questionnaire. The test instrument was a four point scale which was subjected for face validation by three experts and a reliability of 0.88 was obtained implying that the instrument was reliable. Data collected were analyzed using mean to answer the research questions. A one-way-Analysis of Variance (ANOVA) was used to test the null hypotheses at a probability level of 0.05. It was found that: the introduction of accrual-based accounting in the ministries in Bayelsa State has immense benefits. Accrual-based accounting information has positive effects on effective fixed assets management. There are potential challenges against the implementation of accrual-based accounting in the ministries, and that these challenges are surmountable. It was recommended among others that the Nigerian Accounting Standard Board should establish policies that will provide opportunity for accrual-based accounting to be adopted by the three tiers of governments. There is need for more communication and coordination between accounting practitioners and academicians. Government needs to make adequate fund available to avert the potential challenges against effective implementation of accrual-based accounting in public sector. Government should adopt accrual-based accounting in the ministries, department and agencies. Government should also improve the syllabus of tertiary institutions to incorporate accrual-based accounting as it concerns public sector accounting.
