THE IMPACT OF BUDGETING ON COST CONTROL
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THE IMPACT OF BUDGETING ON COST CONTROL
This study aims to: (1) investigate the impact of budgeting on cost control, (2) identify key budgeting practices that enhance cost control, and (3) evaluate the benefits and challenges of effective cost control through budgeting. A survey design was employed to gather data from financial managers and cost accountants. Using Taro Yamane's formula, a sample size of 379 participants from manufacturing firms in Kaduna was determined, ensuring comprehensive insights. The manufacturing sector was chosen for its significant cost management needs and potential for budgeting impact. The reliability coefficient score of the survey was 0.88. Findings indicate that effective budgeting significantly enhances cost control by providing financial guidelines for expense management, reducing unnecessary expenditures, and optimizing resource use. Recommendations include adopting comprehensive budgeting practices, providing training on effective cost control techniques, and continuously monitoring and adjusting budgets to ensure optimal cost management.
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