The Role of Accounting Information Systems In Rationalizing Pricing Decisions Field Study in Iraqi Textile &Sewing Companies

Abstract

success unless an efficient, accurate,  and comprehensive accounting information system is available including  cost systems. However, cost accounting  information  systems  are  divers and vary depending on the  situation.  The  aim  of  this  study  is  to investigate the ability  of  the  textile  and  sewing  establishments  in  Iraq to  use more  efficient  accounting  methods  in forming the  pricing  policy. Currently, the  majority of  these  establishments  still  using  the  full cost  method  for this  purpose. The  study adopts the empirical method to approach  its  objectives by choosing  (30) organizations  to survey. Questionnaire forms  were  developed  according to the research requirements  and distributed on  officials  concerned  in the  selected companies with  pricing decisions. 

Data  collected  is  analyzed  using  the quantitative and statistical  techniques. The results indicated  that the use of other  methods of  pricing, i. e., the marginal cost method and the addition ratio method,  may offer  the organizations better  opportunities  to  utilize  from its benefits, evaluate the alternative, lowering the prices and thus attracts  more customers, face  the competition, and have good  market share. This paper contributes to the literature by providing valid  analyzes of  all  the  available accounting methods for pricing especially in the area of cost accounting and suggest  many valid  recommendations  for Iraqi textile and sewing organizations to follow