IMPACT OF BUDGETING CONTROL ON PROFITABILITY OF AN ORGANIZATION.

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IMPACT OF BUDGETING CONTROL ON PROFITABILITY OF AN ORGANIZATION.

ABSTRACT

This study examined the impact of budgeting control on profitability of an organization. Thus, the importance of budgetary cannot be emphasized in business organization, as management needs to embark on budget to effect proper planning and control. In this vein, budgeting can be seen as a process of planning and control. Proper budgeting can never affect efficient plans of organization without control. Thus, the desire to examine whether budgetary control is practicable in Samsung Electronics Nigeria Plc ignited this study. To achieve this objective, four research questions and two research hypotheses were formulated to guide this study. A well structured questionnaire was used as the major instrument to gather data from the 70 staff and management of Samsung Electronics Nigeria Plc and a sample size of 60 were randomly selected. The data collected from the respondents were analyzed using simple percentage and Chi-square statistical tool was employ for testing the hypotheses. The study concluded with some recommendations that the management of Samsung Electronics Nigeria Plc should make use of budgetary control to avoid failure in business.

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