Change search
ReferencesLink to record
Permanent link

Direct link
The relevance of Financial Statements and Its Impact in Organizational Performance – a case study of Atwima Mpomua Rural Bank.
Blekinge Institute of Technology, School of Management.
2011 (English)Independent thesis Advanced level (degree of Master (One Year))Student thesis
Abstract [en]

The aim of the thesis is to investigate the perception of investors in a rural bank as regards the uses of financial statements. Rural banks are the main source of financial service in rural sub-Saharan Africa and their services are mostly patronized by rural folks. Illiteracy rates in developing countries are very high as compared to developed countries and most of these people are living in rural areas. Sixty percent (60%) of Ghana’s population are rural dwellers and illiteracy levels are high in these areas. Financial information from relevant literature is used purposely for the comprehension of various financial positions of a company. Financial information from studies is most understood by expects with knowledge of account and finance. Investors who don’t have knowledge of account or finance rely on expects advice when making financial decisions. The study is therefore examining what extent of knowledge the rural dwellers who are mostly illiterates, and hence might not be able to understand financial statements, have of financial performance of the bank in which they are investing. The data was collected from a sample of one hundred and eighty respondents using questionnaires and face to face interviews conducted with management staff of the bank and used for analysis. Analyses were presented in a statistical format using mean score, vein diagrams and ratio calculation. Majority of investors in the bank were found to have tertiary level education making them literate, and they could understand and interpret financial statements. They preferred to have more access to financial statements and perceived service delivery a priority. Managers of the bank use profitability and liquidity ratios calculated from the various financial statements of the bank to determine their performance. The research was conducted on just one of the many rural banks in Ghana and as such could lead to results which might be not representative of what patens in rest of the many rural banks scattered across the country. The present study adds to the existing literature by examine the issue of user perception of financial statements in sub-Saharan Africa i.e. a developing economy and the issue of illiterates knowledge of financial performance. This seeks to determine their understanding of the bank’s performance measures.

Place, publisher, year, edition, pages
2011. , 57 p.
Keyword [en]
Finance, Accounting, Rural Banks
National Category
Business Administration
URN: urn:nbn:se:bth-1141Local ID: diva2:828302
Social and Behavioural Science, Law
P.O. Box AF 1251 Adenta-Accra Ghana 00233244707814Available from: 2015-05-25 Created: 2011-02-15 Last updated: 2015-06-30Bibliographically approved

Open Access in DiVA

fulltext(579 kB)95 downloads
File information
File name FULLTEXT01.pdfFile size 579 kBChecksum SHA-512
Type fulltextMimetype application/pdf

By organisation
School of Management
Business Administration

Search outside of DiVA

GoogleGoogle Scholar
Total: 95 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

Total: 199 hits
ReferencesLink to record
Permanent link

Direct link