EVALUATION ON STANDARD COSTING ANALYSIS AS AN AIDS TO MANAGEMENT DECISION MAKING (A CASE STUDY OF COCO-COLA BOTTLING COMPANY OF NIGERIA PLC, ILORIN)

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EVALUATION ON STANDARD COSTING ANALYSIS AS AN AIDS TO MANAGEMENT DECISION MAKING (A CASE STUDY OF COCO-COLA BOTTLING COMPANY OF NIGERIA PLC, ILORIN)

TABLE OF CONTENT

Title Page                                                                i             

Certification                                                           ii    

Dedication                                                              iii

Acknowledgement                                                  iv-vi

Table of Content                                                     vii-i

Proposal                                                                  ix           

CHAPTER ONE:

Introduction                                                     1-4

Statement of the Research Problems                       4-5

Objectives of the Study                                    5

Justification of the Study                                         6

Scope of the Study                                           6-7

Limitation of the Study                                    7-8

Definition of Related Terms                             8

Plan of the Study                                             8-10

CHAPTER TWO

2.0 Literature Review                                               10-17

2.1 Management Pyramid                                                17-19

2.2 Elements of Standard Costing                           19

2.3 Standard Costing Sheet                                     20

2.4 Variance Analysis                                              21

2.5 Importance of Standard Costing To Management 21-22

Decision

2.6 Limitation of Standard Costing                          22-23

2.7 Costing Techniques                                           23–25

2.8 Method of Costing                                             25-27

2.9 Significance of Costing To Management Personnel    28

CHAPTER THREE

3.0 Research Methodology                                       29

3.1 Sources of Data                                                 29-30

3.2 Sample Method                                                 30

3.3 Sample Size                                                       30

3.4 Questionnaire Design 2014                                       30-31

CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS

4.1 Analysis of Data                                                32

4.2 Data Presentation and Analysis                                 32-47

4.3 Testing of the Hypothesis                                  48

4.4 Research Findings                                             51-53

CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION

5.1 Summary of Findings                                                54-55

5.2 Conclusion                                                                55-56

5.3 Recommendation                                              56-58

        References                                                      59-60

        Questionnaire                                                 61-65

CHAPTER ONE

INTRODUCTION

The bottling industry is presently undergoing a revolution worldwide due to the twin impacts of deregulation and technological break through most company in Nigeria are quite relatively operating on differentiated cartel because of the trend and competitive environment. Under such conditions costing and management decision process strategy suddenly become more vital tools to booster services, it should be noted that such concepts of “Standard costing” and” management” all about? Standard costing is a technique which uses standard for costs and revenues for the purpose of control through variances analysis.

Management is an act that coordinates all group effort. It does not only concerned with profit oriented enterprise but an act of every human Endeavour’s be it product or service wise.

Managing is essential in all company as well as in all levels of organization in attainment of the group goals.

The coca-cola Bottling Company of Nigeria Plc can be traced briefly with that of united state of American which came in to being in Nigeria in the year 1953. When Nigeria bottling company set up it first plan in Lagos Precisely at Oyingbo but later move to Apapa, it has an additional development to the existing companies in the area, a contributed immersively to the socio- economic group of the country.

John Pembetion was the investor of coca-cola in May 1883 being a book keeper, he designs the following script that distinguishes the advertising and marketing activities, Robinson also had excellent pen man ship. It was he who first script “coca-cola in the following letters which has come the famous logo today. The soft drink was first sold to the public of the soda fountain in Jacobs Pharmacy in Atlanta.

In 1887 another pharmacist, a business man bought the formula for coca-cola from the investor and was one of the America. Most popular fountain drinks how at the helm the coca-cola company increased syrup sales by 4000% between 1890 and 1900. In April 23, 1985 the trade secret “new coke” formular was released, today products of coca-cola company are consumed at the rate of more than one billion drinks per day.

The success of coca-cola bottling company of Nigeria place gave birth to opening of some branches like Port-Harcourt, Kano, Ibadan, Enugu, Benin and Ilorin which is used as the case study. This success also brought the development of some sister industries like delta Glass Company which supplies million of bottles required to keep a large bottle company in operation. Also it help in the receding of broken bottles in Ijebu Ode and Kano state which manufactures as the Berum Plastic Company that makes the plastic creates for carrying bottles.

The coca-cola Nigeria bottling company produce drinks such as coke, crest, bitter lemon, Schweppes Fanta. Soda Water and Eva table water. The Nigeria coca-cola bottling company of Ilorin unity plant is sited along coca-cola at unity bus stop Ilorin Kwara State. The commission of that plant was in 1944 while production actually stated in 1995.

STATEMENT OF THE RESEARCH PROBLEM

The statements of the research problems facing standard costing as a tool for effective management decision making include the following;

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