Local authority accounting with special reference to Ordinance 25 of 1974 (Natal)

 

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dc.contributor.advisor Kritzinger, L en_ZA
dc.contributor.author Macintosh, John Charles Cheyne en_ZA
dc.date.accessioned 2016-03-21T19:15:22Z
dc.date.available 2016-03-21T19:15:22Z
dc.date.issued 1978 en_ZA
dc.identifier.citation Macintosh, J. 1978. Local authority accounting with special reference to Ordinance 25 of 1974 (Natal). University of Cape Town. en_ZA
dc.identifier.uri http://hdl.handle.net/11427/18069
dc.description Bibliography: p.207-211. en_ZA
dc.description.abstract Local Authorities form the third or lowest tier of government in the Republic of South Africa and are responsible for urban development and control. Although they appear to enjoy considerable freedom of action and enjoy responsible government (except in the case of the smaller Local Authorities) they operate within a system of strict Provincial supervision and control. Provincial legislation regulating their operations differs among the Provinces and only that applying in the Province of Natal has been considered. The purpose of the Local Authority accounting system is to provide information on the economic activities of these units to interested parties. These activities involve the use of public resources and, consequently, the objectives of the accounting system are management control over, and accountability for, the use of these resources. However, neither of these objectives are fully met by current Local Authority accounting practices which are designed rather for legal compliance and stewardship accountability than providing information on their economic activities. Local Authority accounting practices differ in many respects from those of private enterprise accounting. Fund accounting is employed to segregate and control resources~ control over operating income and expenditures is through the statutory budget procedure and the use of capital finance is strictly controlled. Consequently, reporting is fragmented over the various funds, planning is usually on an annual basis and there is no proper fixed asset accounting. Financial reporting by Local Authorities is mainly designed to meet their internal needs and to discharge their responsibilities to the Provincial Councils, and the information needs of the communities they serve has been given little attention. The actual reporting is through the presentation of financial statements on a fund-by-fund basis and in aggregate form prefaced by the treasurer's report and the report of the auditor. Certain Local Authority annual reports also contain a statistical section. However, the financial statements do not provide suitable information on the results of operations and the financial position of the funds of the Local Authority as a whole. The treasurer's report and the statistical section are not required by law and their contents are purely at the discretion of the individual treasurers. The auditor's report is mainly an expression of opinion on the financial statements but may include additional information which is usually of a statistical nature. Considerable changes to the reporting system, including the use of popular reports and consolidated financial statements, have been suggested. If the Local Authority accounting system is to meet its present and future needs then it should undergo considerable change and follow many of the accounting practices presently used by private enterprises. However, such changes should be developed by Local Authorities and in this respect, the responsibility to effect change rests with the Local Authorities, the Institute of Municipal Treasurers and Accountants S A and the Provincial Councils. en_ZA
dc.language.iso eng en_ZA
dc.subject.other Accounting en_ZA
dc.title Local authority accounting with special reference to Ordinance 25 of 1974 (Natal) en_ZA
dc.type Master Thesis
uct.type.publication Research en_ZA
uct.type.resource Thesis en_ZA
dc.publisher.institution University of Cape Town
dc.publisher.faculty Faculty of Commerce en_ZA
dc.publisher.department College of Accounting en_ZA
dc.type.qualificationlevel Masters
dc.type.qualificationname MCom en_ZA
uct.type.filetype Text
uct.type.filetype Image
dc.identifier.apacitation Macintosh, J. C. C. (1978). <i>Local authority accounting with special reference to Ordinance 25 of 1974 (Natal)</i>. (Thesis). University of Cape Town ,Faculty of Commerce ,College of Accounting. Retrieved from http://hdl.handle.net/11427/18069 en_ZA
dc.identifier.chicagocitation Macintosh, John Charles Cheyne. <i>"Local authority accounting with special reference to Ordinance 25 of 1974 (Natal)."</i> Thesis., University of Cape Town ,Faculty of Commerce ,College of Accounting, 1978. http://hdl.handle.net/11427/18069 en_ZA
dc.identifier.vancouvercitation Macintosh JCC. Local authority accounting with special reference to Ordinance 25 of 1974 (Natal). [Thesis]. University of Cape Town ,Faculty of Commerce ,College of Accounting, 1978 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/18069 en_ZA
dc.identifier.ris TY - Thesis / Dissertation AU - Macintosh, John Charles Cheyne AB - Local Authorities form the third or lowest tier of government in the Republic of South Africa and are responsible for urban development and control. Although they appear to enjoy considerable freedom of action and enjoy responsible government (except in the case of the smaller Local Authorities) they operate within a system of strict Provincial supervision and control. Provincial legislation regulating their operations differs among the Provinces and only that applying in the Province of Natal has been considered. The purpose of the Local Authority accounting system is to provide information on the economic activities of these units to interested parties. These activities involve the use of public resources and, consequently, the objectives of the accounting system are management control over, and accountability for, the use of these resources. However, neither of these objectives are fully met by current Local Authority accounting practices which are designed rather for legal compliance and stewardship accountability than providing information on their economic activities. Local Authority accounting practices differ in many respects from those of private enterprise accounting. Fund accounting is employed to segregate and control resources~ control over operating income and expenditures is through the statutory budget procedure and the use of capital finance is strictly controlled. Consequently, reporting is fragmented over the various funds, planning is usually on an annual basis and there is no proper fixed asset accounting. Financial reporting by Local Authorities is mainly designed to meet their internal needs and to discharge their responsibilities to the Provincial Councils, and the information needs of the communities they serve has been given little attention. The actual reporting is through the presentation of financial statements on a fund-by-fund basis and in aggregate form prefaced by the treasurer's report and the report of the auditor. Certain Local Authority annual reports also contain a statistical section. However, the financial statements do not provide suitable information on the results of operations and the financial position of the funds of the Local Authority as a whole. The treasurer's report and the statistical section are not required by law and their contents are purely at the discretion of the individual treasurers. The auditor's report is mainly an expression of opinion on the financial statements but may include additional information which is usually of a statistical nature. Considerable changes to the reporting system, including the use of popular reports and consolidated financial statements, have been suggested. If the Local Authority accounting system is to meet its present and future needs then it should undergo considerable change and follow many of the accounting practices presently used by private enterprises. However, such changes should be developed by Local Authorities and in this respect, the responsibility to effect change rests with the Local Authorities, the Institute of Municipal Treasurers and Accountants S A and the Provincial Councils. DA - 1978 DB - OpenUCT DP - University of Cape Town LK - https://open.uct.ac.za PB - University of Cape Town PY - 1978 T1 - Local authority accounting with special reference to Ordinance 25 of 1974 (Natal) TI - Local authority accounting with special reference to Ordinance 25 of 1974 (Natal) UR - http://hdl.handle.net/11427/18069 ER - en_ZA


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