APPRAISAL OF INVENTORY MANAGEMENT AND VALUATION IN THE COMPANY (A STUDY OF NIGERIAN BREWERIES PLC 9TH MILE CORNER ENUGU)
ABSTRACT
This study captioned an appraisal of Inventory Management and Valuation in manufacturing companies in Nigeria. A Study of Nigeria Breweries Plc 9th Mile Corner embarked upon with the view to critically appraising the efficiency of inventory management and valuation in demerits as it concerns manufacturing companies. Reliably, manufacturing companies cannot exist without stocks. Therefore, it is good for every meaningful manufacturing company to take record of its stock. This is because a little deviation form the appropriate way of stock valuation and management will lead to material wastes, reduction in profit and loss of goodwill. Specifically, the aims of this study are; (i) to appraise the management of inventories in terms of merits and demerits as it concerns manufacturing companies and Nigeria Breweries in particular (ii) to ascertain the extent of application of stock valuation methods in manufacturing companies (iii) to ascertain the effect of various stock valuation methods on the reliability of the financial statement (iv) to determine the effects of poor storage spaces, under or over-stocking and non-store record keeping. It is also the objective of this study to make suggestions in a view to helping to solve the problems.
TABLE OF CONTENTS
Title Page i
Certification ii
Dedication iii
Acknowledgement iv
Table of Contents v
List of Tables viii
Abstract x
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study 1
1.2 Statement of the Problem 3
1.3 Objective of the Study 4
1.4 Relevant Research Questions 5
1.5 Research Hypotheses 5
1.6 Significant of the Study 6
1.7 Scope and Limitations of the Study 6
1.8 Definition of Terms 7
References 8
CHAPTER TWO: REVIEW OF RELATED LITERATURE
2.1 Background Information of Nigerian
Breweries Plc 9
2.2 Meaning and Classification of Inventories 11
2.2.1 Raw Material Inventory 12
2.2.2 The Work-in-Progress Inventories 12
2.2.3 Finished Goods Inventory 13
2.2.4 Supplies Inventory 13
2.3 Inventory Management 14
2.3.1 Stock Purchasing 14
2.3.2 Inventory Holding/Storage 16
2.4 Stock Utilization 20
2.4.1 Stock Insurance 20
2.4.2 Stock Coding 21
2.4.3 Stock Taking 22
2.4.4 Periodic Stocktaking 22
2.5 Stock Valuation 23
2.5.1 First-in-First-Out (FIFO) 24
2.5.2 Last-in-First-Out 25
2.5.3 Weighted Average Cost 26
2.5.4 Standard Price/Cost 27
2.5.5 Lower of Costs/Market Value 28
References 29
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Sources of Data 30
3.2 Research Design 31
3.3 Population/Sample Techniques 31
3.4 Administration of Research Instrument 34
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
4.1 Data Presentation 35
4.2 Test of Hypotheses 46
4.2.1 Test of Hypothesis One 46
4.2.2 Test of Hypothesis Two 49
4.2.3 Test of Hypothesis Three 52
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1 Summary of Findings 56
5.2 Conclusion 58
5.3 Area for Further Study 60
Bibliography 61
Appendix 62