THE IMPACT OF COST ACCOUNTING FOR NONPROFIT ORGANIZATIONS AND NGOS
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- NGN 5000
Abstract: THE IMPACT OF COST ACCOUNTING FOR NONPROFIT ORGANIZATIONS AND NGOS
This study examines the impact of cost accounting on the financial management of nonprofit organizations and NGOs in Lagos. The objectives are to analyze how cost accounting supports financial transparency and accountability, evaluate its role in budget management, and identify the challenges faced. A survey design was employed, with data collected from 250 financial managers and accountants in nonprofits and NGOs, derived using Taro Yamane's formula. A case study of a prominent NGO in Lagos provided comprehensive insights. The reliability coefficient score was 0.87. Findings indicate that cost accounting significantly enhances financial transparency and accountability by providing detailed cost information and facilitating better budget management. However, challenges such as limited resources and complex regulations were identified. Recommendations include providing more training for nonprofit accountants, simplifying regulatory requirements, and integrating cost accounting with overall financial management practices to improve organizational effectiveness.
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