THE EFFECTIVENESS OF COST-VOLUME-PROFIT ANALYSIS IN MANAGERIAL DECISION-MAKING IN YOLA SOUTH LGA
- Project Research
- 1-5 Chapters
- Abstract : Available
- Table of Content: Available
- Reference Style:
- Recommended for :
- NGN 5000
Background of the Study
Cost-Volume-Profit (CVP) analysis is a financial tool used to determine how changes in costs and volume affect a company's operating profit. It is widely used by managers to make informed decisions regarding pricing, production, and budgeting. In Yola South LGA, businesses face varying levels of uncertainty due to fluctuating costs, market conditions, and consumer preferences. This study aims to evaluate the effectiveness of CVP analysis in aiding managerial decision-making in the region, focusing on how this tool helps managers optimize costs, profits, and overall business performance.
Statement of the Problem
Despite the widespread use of CVP analysis in large corporations, its application in smaller businesses in Yola South LGA is not well-documented. Many managers may lack the knowledge or skills to effectively use CVP analysis in their decision-making processes. This study seeks to examine the impact of CVP analysis on managerial decisions in the region, identifying its strengths and limitations and providing recommendations for improvement.
Aim and Objectives of the Study
Aim: To evaluate the effectiveness of Cost-Volume-Profit analysis in managerial decision-making in Yola South LGA.
Objectives:
- To assess the knowledge and application of CVP analysis among managers in Yola South LGA.
- To determine the effectiveness of CVP analysis in making cost-related decisions and maximizing profitability.
- To explore the challenges faced by managers in implementing CVP analysis in their decision-making processes.
Research Questions
- How do managers in Yola South LGA use Cost-Volume-Profit analysis in their decision-making processes?
- How effective is CVP analysis in helping managers optimize costs and profitability?
- What challenges do managers face in applying CVP analysis in Yola South LGA?
Research Hypothesis
- H₀: Cost-Volume-Profit analysis is not significantly used in managerial decision-making in Yola South LGA.
- H₀: CVP analysis does not significantly affect managerial decisions regarding costs and profitability.
- H₀: Managers in Yola South LGA do not face significant challenges in implementing CVP analysis.
Significance of the Study
The findings will provide valuable insights into the application and effectiveness of CVP analysis in small and medium enterprises in Yola South LGA. This will help business managers understand the benefits and limitations of using CVP analysis, ultimately improving their decision-making processes.
Scope and Limitation of the Study
The study will focus on SMEs in Yola South LGA. Limitations include the reliance on managers' self-reporting of their use of CVP analysis, which may introduce bias or inaccuracies.
Definition of Terms
- Cost-Volume-Profit (CVP) Analysis: A financial analysis tool used to determine how changes in cost and volume affect a company's profit.
- Managerial Decision-Making: The process by which managers make choices that affect the performance and direction of an organization.
- Profitability: The ability of a business to generate more revenue than its expenses, resulting in profits.
Related Project Materials
An examination of traditional healing and its integration into modern healthcare systems: Evidence from Cross River State
Background of the study
Traditional healing practices have long been an integral part of the healthcare landscape in Cross River State. T...
The Impact of Political Instability on Grassroots Economic Development: A Study of Kano Municipal Local Government, Kano State
Chapter One: Introduction
1.1 Background of the Study
Political instability is a major obstacle...
Assessing Development Communication Strategies for Fighting Electoral Violence in Jos South Local Government Area, Plateau State
Background of the Study
Electoral violence poses a significant challenge to democratic development in Nigeria, particula...
ARTHRITIS AND THE HEALTH OF THE AGED
ABSRACT
Work disability—a common outcome of rheumatoid arthritis (RA)—is a societal (for example, financial...
An Assessment of Zinc Deficiency and Its Effect on Immune Function Among Children in Sokoto State
Background of the Study
Zinc is an essential micronutrient required for immune function, growth, and development. A deficiency in zinc we...
The Impact of Nurse-led Educational Interventions on Medication Adherence Among Hypertensive Patients in Lagos State University Teaching Hospital, Nigeria
Background of the Study
Hypertension, often referred to as the “silent killer,” is a prevalent and critical...
RADIATIONS FROM DAPPLING TELECOMMUNICATION MASTS- ASSESSMENT OF RISK PERCEPTION AMONG RESIDENTS WITHIN RANGE OF TELECOMMUNICATION MASTS IN SOUTH-SOUTH NIGERIA
Background to the Study
According to Akintowa et al. (2009), more than 100 years ago, scientists discovered that many elements commonly f...
Enhancing Computational Biology-Based Drug Repurposing Approaches for Tuberculosis Treatment: A Case Study of Federal University, Lokoja, Kogi State
Background of the Study
Tuberculosis (TB) remains one of the most prevalent and deadly infectious diseases worldwide, with...
A review of digital political marketing on voter engagement: A case study of a youth-led campaign in Kaduna, Nigeria
Background of the study
Digital political marketing has transformed electoral campaigns, especially in mobilizing youth...
The effect of cultural context on semantic interpretation in Igbo proverbs in Enugu
Background of the study
Igbo proverbs are integral to cultural expression, encapsulating moral lessons and societal values....
