ABSTRACT
This
research work was conducted on with special reference to the impact stock valuation
method has on financial report statements of manufacturing company with reference
to Seven up Bottling Company. For a longtime now the Accounting profession has
not been able to come up with any particular technique or method to be used
uniformly in valuing stock. This research work examined if the method used was
as a result of the prevailing economic circumstances. A survey research design
was adopted for the study; data collected were gotten from both the primary and
secondary sources. An infinite population of over 3000 was used and a finite
population of 220. Three hypotheses were tested at 5 percent level of
significance. Tables and percentages were employed to answer the questionnaires
while the statistical regression coefficient analysis and Z- test were used to
test the hypotheses. It was found amongst others that the prevailing economic
parameter influences the decision of choice of stocky valuation method used.
The study recommends that accounting professional bodies should try as much as possible
to adopt a particular method of inventory valuation and the weighted average
method was recommended as a method that can withstand any economic challenges
