Accounting is the primary tool for fiscal transparency and the IFAC, IMF and EU are strongly supporting the move to Accruals Accounting based on commercial principles joining the UK, Australia and New Zealand who were at the forefront of moving to adopt accruals based accounting for central government. The move has been opposed in many quarters you are to choose any Sub Saharan African or transitional country of your choice other than South Africa to examine the (potential) benefits, risks and drawbacks associated with a move to accruals accounting. Specifically you are to critically discuss the following issues: 1. Commercial Accounting has no place in central government as it is primarily a tool for measuring company profits. (25%) 2. Critically examine the argument that Accruals Accounting is a crucial element in assisting fiscal sustainability. (25%) 3. Discuss how accruals accounting links with NPM, MTEFs and performance budgeting (assessed in the term 1) to improve policy based budgeting. (50%) Guidelines As this is an Accounting and Finance final year module, your discussions should take place at that level of understanding and critical debate. The assignment requires an understanding of a number of issues including accrual and cash accounting, accountability and policy based Public Financial Management. It is the understanding of these concepts and their relationships and the technical application of them that will achieve the highest marks. For section 3 you have been tested already on the theories of NPM, MTEF and budgeting so do not repeat any definitions of those terms. Use your words to show clearly how accruals accounting is linked to those areas and is part of an overall system. There are numerous arguments relating to a multitude of benefits and drawbacks you need to discuss each individually. As they sometimes appear contradictory you must be clear about the area of Accruals accounting you are discussing. Maximum word count for this assignment is 1875 words.