0704-883-0675     |      dataprojectng@gmail.com

ANALYSIS AND INTERPRETATION OF FINANCIAL STATEMENT AS A MANAGERIAL TOOL FOR DECISION MAKING

  • Project Research
  • 1-5 Chapters
  • Abstract : Available
  • Table of Content: Available
  • Reference Style: APA
  • Recommended for : Student Researchers
  • NGN 3000

Abstract

Financial Statement Analysis and Interpretation is a very vital instrument of good management decision-making in business enterprise. Good decisions ensure business survival, profitability and growth. Without financial statement analysis in investment decisions, an enterprise is likely to make decisions, which could spell its doom. Poor or lack of qualitative financial statement analysis could lead to investment returns, low profitability and even inability to identify viable investment opportunities. The main objective of this project is therefore, was to determine how firms could use financial statement analysis and interpretation to aid management decisions and to avert the problems highlighted above. Primary and secondary data are employed to broaden the scope of this study. Primary data are sourced from questionnaire responses. This provided data for the validation of the hypotheses tested with the use of chi-square (X2 ). The test revealed as follows: (1) Significant difference between the returns of the financial statement in Analysis and Interpretation based on management decision. (2) Organizational profitability has relationship with financial statement analysis and interpretation based management decision but not significantly. The project concludes that companies should pay great attention to the use of financial statement analysis so as to properly equip themselves with this invaluable tool. The researcher recommends the following: (a) Accountants or financial analysts should not be rushed in collection, preparation, analysis and interpretation off financial statements. (b) Financial statements should be made to reflect current cost accounting to eliminate or reduce the effects to historical cost principle and inflation risk element. (c) A combination of different ratios should be used in analyzing a company’s financial and/or operating performance. Proper use of financial statement analysis should be made not only in investment but also in other areas of decision making.





Related Project Materials

DESIGN AND IMPLEMENTATION OF INTELLIGENT TUTORING SYSTEM

ABSTRACT

Intelligent Tutoring Systems (ITS) is the interdisciplinary field that investigates how to devise educational s...

Read more
THE ROLE OF AUGMENTED REALITY IN VOCATIONAL SKILL DEVELOPMENT

Abstract: Augmented Reality (AR) technologies offer immersive experiences that enhance voca...

Read more
THE INFLUENCE OF STRATEGIC HUMAN RESOURCE MANAGEMENT ON ORGANIZATIONAL PERFORMANCE

Abstract:
The objectives of this research are to (1) explore the impact of strategic human resource manage...

Read more
DESIGN AND CONSTRUCTION OF AN AC/SOLAR RECHARGEABLE LANTERN

ABSTRACT

In this project, a portable cost effective AC/Solar rechargeable lantern was constructed. The dual-purpose rechargeable was de...

Read more
LAGOS RESIDENT'S ASSESSMENT OF COCA COLA AND PEPSI'S ENGAGEMENT OF PUBLIC RELATIONS AS A TOOL FOR ENHANCING THEIR COPERATE IMAGE

ABSTRACT

 

This study tried to identify the impact of public relations strategies of Coca-Cola and Pepsi...

Read more
KNOWLEDGE AWARENESS AND BENEFITS OF NATIONAL HEALTH INSURANCE SCHEME AMONG CIVIL SERVANT IN UYO LGA

BACKGROUND TO THE STUDY

Ever since Emperor Otto Von Bismarck of Germany enacted the mandatory legislation on the “...

Read more
ATTITUDE OF BUSINESS EDUCATION TEACHERS TOWARDS TECHING

Abstract

The primary objective of this study was to assess and describes the attitude of business education student&...

Read more
CHANGE IN POLITICAL ADMINISTRATION AND ITS IMPACT ON THE ECONOMY: AN APPRAISAL OF THE MUHAMMADU BUHARI’S ADMINISTRATION

Abstract

Change is a major part of our lives, whether it is change in industries, technologies or various sectors such...

Read more
EFFECT OF TWITTER BAN ON POLITICAL CAMPAIGN

 BACKGROUND OF THE STUDY 

Social Networking have already tr...

Read more
INNOVATIVE TECHNOLOGIES AS A CORRELATION OF LIBRARY SERVICE DELIVERY IN THE BELLS UNIVERSITY, OTA, OGUN STATE

BACKGROUND OF THE STUDY

Libraries are mainly entrusted with a host of predetermined tasks like acquiring, organizing, pr...

Read more
Share this page with your friends




whatsapp