Abstract

The purpose of this study is to examine the mediating role of an internal control system in adopting acomputerized accounting system and SMEs performance. Data were collected by sending structuredfive points Likert scale online questionnaires to the Accounting Professionals of SMEs from the Textileindustry of Pakistan. The data was analysed by using Smart PLS 3.2.8 software. The findings of theresearch show that the Internal Control system partially mediates between computerized accountingsystems and organizational performance. Results also indicate that computerized accounting systemand internal control system has a significant role to improve organizational performance. The findingssupport the positive relationship of computerized accounting systems and internal control systems inSMEs of the Textile Industry of Pakistan. Limited research is available on Computerized AccountingSystems in SMEs with mediating role of internal control in emerging economies Managerial Implication,limitations, and future research directions are also discussed.

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