COSTING TECHNIQUES FOR DECISION-MAKING IN SERVICE INDUSTRIES
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- NGN 3000
Abstract: COSTING TECHNIQUES FOR DECISION-MAKING IN SERVICE INDUSTRIES
This research investigates the role of various costing techniques in decision-making within service industries in Abuja. The study's objectives are to identify the most effective costing techniques, assess their impact on financial performance, and evaluate the challenges faced during implementation. A survey design was employed, gathering data from 200 financial managers and cost accountants, derived using Taro Yamane's formula. A case study of a leading service company in Abuja provided comprehensive insights. The reliability coefficient score was 0.87. Findings indicate that accurate costing techniques, such as activity-based costing and time-driven activity-based costing, significantly enhance decision-making by providing detailed cost information and facilitating better resource allocation. However, challenges such as data collection difficulties and high implementation costs were noted. Recommendations include providing more training on costing techniques, simplifying data collection processes, and integrating costing techniques with overall financial management practices to enhance organizational performance.
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