Abstract
An Analysis of the importance of capital budgeting in business management, a case study of Nigerian Bottling Company Plc. The ultimate purpose of capital budgeting is to analysis the steps involved in assets management, utilization of the assets and stating the timing difference between accounting and depreciation.
In the study of capital budgeting in business management, chapter one introduces one into the study, defined the scope of and problems to be examined in the study. It also states the limitations of study.
Chapter two is devoted to the review of related literatures on the capital budgeting. Here capital assets appraisal, the nature of assets, depreciation, valuation and disposal of fixed asset are discussed in details. Also discussed in that chapter are system controls, and feedback for capital assets transactions; general approach to analysis of capital budget management; cost of capital approach in planning sources and uses of funds; controlling capital expenditure; and planning for capital expenditure.
Self administered questionnaire was used as research instrument. The reliability of the instrument was determined by the use of test-retest method and correlation text was used to test for significant difference between the two scores. A calculated value of 0.93 shows that there is a high degree of correlation between the two samples, the following hypothesis were formulated and tested using the chi-square test, the level of rejection was established at 0.05 alpha level.
Research hypothesis one states that; whether management official exercise that roles effectively in the capital budgeting. Research hypothesis two state that: whether adequate accounting systems are maintained for capital project. The conclusions reached on this study are:
Management staff exercise their roles effectively in capital budgeting Adequate accounting systems are not maintained for capital projects.
Table of Content
Chapter One: Introduction
1.1 Background Information
1.2 Statement of Problem
1.3 Objective of the Study
1.4 Research Question
1.5 Significance of the Study
1.6 Scope of the Study
1.7 Delimitation
1.8 Limitation of Study
1.9 A Brief History of Nigerian Bottling Company Plc
Chapter Two: Review of Literature
2.1 The Nature of Capital Budget
2.2 Tangible and Intangible Fixed Assets
2.3 Depreciation of Fixed Assets
2.4 Valuation, Disposal and Sales of Plant and Machinery
2.5 Systems Controls for Capital Budgeting
2.6 System Feedback for Capital Assets Transactions
2.7 General Approach to Analysis of Capital Expenditure Decision
2.8 Cost of Capital Approach in Planning Sources and Uses of Funds
2.9 Controlling Capital Expenditure
2.10 Planning for Capital Expenditure
2.11 Planning for Major Expansion and Development Capital Expenditure
2.12 Administration Procedure in Planning Capital Expenditure
Chapter Three: Research Methodology and Questionnaire Design
3.1 Introduction
3.2 Determination of Survey Population
3.3 Determination of Sample Size
3.4 Instrument of Study
3.5 Administrating the Questionnaires
3.6 Statistical Test
3.7 Questionnaire Assumption
3.8 Questionnaire Design
3.9 Reliability and Validity of the Questions
Chapter Four: Data Presentation and Analysis and Interpretation
4.1 Data Presentation Analysis
4.2 Return of Questionnaires
4.3 Data Presentation
4.4 Discussion and Interpretation of Result
Chapter Five: Summary, Conclusion and Recommendation
5.1 Summary
5.2 Conclusion
5.3 Recommendations
Appendix
Questionnaire
Reference
