THE ROLE OF FIDUCIARY ACCOUNTING FOR NON-PROFIT ORGANIZATIONS
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THE ROLE OF FIDUCIARY ACCOUNTING FOR NON-PROFIT ORGANIZATIONS
The objectives of this study are to (1) identify the unique fiduciary accounting needs of non-profit organizations, (2) examine the effectiveness of fiduciary accounting practices in ensuring financial accountability, and (3) explore the challenges faced by fiduciary accountants in the non-profit sector. A survey design was employed to gather data from a wide range of non-profit organizations. The sample size of 135 fiduciary accountants, derived using Taro Yamane's formula from an estimated population of 220 in Lagos, provides a comprehensive understanding of the sector. A well-known non-profit organization in Lagos was chosen as the case study to highlight specific fiduciary practices. The survey instrument’s reliability coefficient score was 0.88, indicating high reliability. Findings indicate that fiduciary accounting plays a crucial role in maintaining financial accountability and transparency in non-profits, although challenges such as limited resources and complex regulatory requirements hinder optimal performance. The study recommends enhanced training and resource allocation to strengthen fiduciary accounting practices in the non-profit sector.
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