Contribution of Recording of Accounting Data on The Performance of the Selected Supermarkets in Moshi Municipality, Tanzania

This study aimed to assess the contribution of recording of accounting data on the performance of selected supermarkets in Moshi Municipality, Tanzania. This study was guided by the Records Continuum Theory, (1990s). The study used cross- sectional survey under quantitative approach method in assessing the accounting records in SMEs. It used a population of 150 small and medium businesses of supermarkets which are mainly registered to operate in Moshi Municipality area settings. The sample size was 100 small supermarkets, which was determined by using Slovin’s formula. A simple random sampling technique was used to get respondents who were the managers, accountants /cashiers and storekeepers using two instruments; which were interview schedule and questionnaires. The interview schedule was for the managers and the questionnaires for accountants/cashiers and storekeepers. In ensuring validity of the research instruments, the researcher presented the questionnaires and the interview schedule to university experts for scrutiny and suggestion on their validity, relevance, clarity and suitability of the information contained. To establish the reliability and internal consistency of the research instruments, pilot testing was done with the help of Cronbach Alpha. The result of the Cronbach Alpha test was 0.749 of the reliability value, which indicated, that the tool (questionnaires) were reliable for the study. The study collected only primary data, and the quantitative data generated were analyzed using descriptive statistics which included percentages, frequency counts, mean and standard deviation, and data were presented using tables. The findings of the study showed that, recording of accounting data contributes to business performance between businesses (supermarkets). Based on the findings, it was concluded that, business enterprises especially supermarkets’ performance is highly contributed by properly recording of accounting data, as indicated by the grand mean value of 4.20 which is above average of 3; and its standard deviation of 0.90. It was therefore recommended that SMEs should practice recording of accounting and maintain their financial records simple and consistent depending on the type of the businesses. Education background of the accountants and storekeepers should be taking into consideration as the more they are educated, the more they reduce recording errors of the transactions; which will help to maintain constant financial performance. Authorities should decide and put into force some rules and regulations for any business, regardless of its size to perform recording of accounting of its activities because through the keeping of records; the business will maintain and increase its revenues and consequently the profits. This is because the authorities collect its taxes from the profits of these business enterprises.