Understanding Adoption of Accounting Software in Business Sectors at Kathmandu Valley: Evidence From Structural Equation Modelling

Abstract

The aim of this study is to determine the influence of knowledge and use of accounting software (AS) among small business (SB), medium scale industry, cottage industry, entrepreneurship, and informal sectors in Kathmandu Valley. This study has used structured questionnaire with an interview. The data were evaluated quantitatively by using both descriptive and inferential statistics. Based on practical experience and basic knowledge in the field of accounting, a total of 210 members are selected as the sample size for the study. The findings revealed that the knowledge of AS has a significant effect on the use of AS, meaning that there is significant and positive relationship among the knowledge of generalized AS and the use of such customized AS by business in Kathmandu Valley. In addition, this study shows the empirical evidence of knowledge of AS effects on the adoption of AS among business sectors in Kathmandu Valley. The use of AS has resulted in a significant impact on business in developing countries like Nepal.