Application of Budget and Budgetary Control Measure in Non Profit Organization (Case Study of Apostolic Church Delta)
Chapter One
OBJECTIVE OF THE STUDY
- To ascertain the effect of budget and budgetary control in nonprofit organization
- To examine whether lack of experience contributed to the committee inefficiency in terms of budgetary control
- To ascertain the important of budget and budgetary control measure in non profit organization
CHAPTER TWO
REVIEW OF RELATED LITERATURE
CONCEPTUAL FRAMEWORK
A budget is defined by the Institute of Cost and management Accountants as planned outcome to be generated and for the expenditure to ensure during that period and the capital to be employed to attain a given objective.
Ezeugwu (1999), defined a budget as a quantitative plan of action of how to carry out an operation/process by a business/establishment.
Osisioma (1989), defined a budget as a different phases of business operation aimed at helping management towards the attainment of organizational objectives.
Horngren and Foster (1987), see a budget as a quantitative expression of a plan of action and an aid to coÂordination and implementation. Matz and Ivory described a budget simply as a plan expressed in a financial and other quantitative terms and stressed that the terms “Budgeting, Profit and Planning” are synonymous. Pogues opined that a budget is a plan or target I the form of a quantitative statement for a specified time-span. He stated that a budget for the future time-span attempts to look over the hill into the future t where the business hopes to be in a future period of time and how it intends to get there. The budget, therefore, attempt to look at tomorrow’s business world (in a short time frame) and management is forced to think a tomorrow’s opportunities. Budget was also described as comprehensive and co-ordinated plan, expressed in financial terms, for the operations and resources of an enterprise for some specifies period in future. A budget involves every level of activity integrating revenue plans, expense plans, asset requirements and financing needs. To Pandey (1985) a budget is a plan of the organization’s manipulation of relevant variables (controllable and uncontrollable) and reduces the impact of uncertainty. It activates the management into influencing the environment in the interest of the organization.
According to Osisioma (1989) a budget has a number of characteristics, namely.
- It is a plan of action
- The plan is stated in quantitative or financial terms or both.
- It is prepared prior to a defined period of time for the control of performance within the period.
- It states performance expectations over a defined period of time, in different phases of business operation – sales, production, marketing and so on.
CHAPTER THREE
RESEARCH METHODOLOGY
Research design
The researcher used descriptive research survey design in building up this project work the choice of this research design was considered appropriate because of its advantages of identifying attributes of a large population from a group of individuals. The design was suitable for the study as the study sought to application of budget and budgetary control measure in nonprofit organizations (case study of apostolic Church Delta)
Sources of data collection
Data were collected from two main sources namely:
(i)Primary source and
(ii)Secondary source
Primary source:
These are materials of statistical investigation which were collected by the research for a particular purpose. They can be obtained through a survey, observation questionnaire or as experiment; the researcher has adopted the questionnaire method for this study.
Secondary source:
These are data from textbook Journal handset etc. they arise as byproducts of the same other purposes. Example administration, various other unpublished works and write ups were also used.
CHAPTER FOUR
PRESENTATION ANALYSIS INTERPRETATION OF DATA
Introduction
Efforts will be made at this stage to present, analyze and interpret the data collected during the field survey. This presentation will be based on the responses from the completed questionnaires. The result of this exercise will be summarized in tabular forms for easy references and analysis. It will also show answers to questions relating to the research questions for this research study. The researcher employed simple percentage in the analysis.
DATA ANALYSIS
The data collected from the respondents were analyzed in tabular form with simple percentage for easy understanding.
A total of 133(one hundred and thirty three) questionnaires were distributed and 133 questionnaires were returned.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was on Application of budget and budgetary control measure in nonprofit organizations (case study of apostolic Church Delta). In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of Application of budget and budgetary control measure in nonprofit organizations
Summary
This study was on Application of budget and budgetary control measure in nonprofit organizations (case study of apostolic Church Delta). Three objectives were raised which included: To ascertain the effect of budget and budgetary control in nonprofit organization, to examine whether lack of experience contributed to the committee inefficiency in terms of budgetary control, to ascertain the important of budget and budgetary control measure in nonprofit organization. In line with these objectives, two research hypotheses were formulated and two null hypotheses were posited. The total population for the study is 200 members of selected apostolic Church, Delta. The researcher used questionnaires as the instrument for the data collection. Descriptive Survey research design was adopted for this study. A total of 133 respondents made pastors, elders, men and women were used for the study. The data collected were presented in tables and analyzed using simple percentages and frequencies.
REFERENCES
- Arora, M.N. (1995). Cost Accounting, Principles and Practice, 4th ed.
- Vikas Publishing Badu, D. (2011). An investigation of budgeting and budgetary Control at Ernest Chemist Laurea, Published BBA Degree, University of Applied Sciences
- Callahan, C. M., & Waymire, T. R. (2007). An Examination of the Effects of Budgetary Control on Performance: Evidence from the Cities. AAA 2008 MAS Meeting Paper, Available at SSRN: http://ssrn.com/abstract=1003930.
- Carolyne, M., Callahan, Waymire, T.R., & Renea, T. (2007). An Examination of the Effects of Budgetary Control on Performance: http://ssrn.com/abstract=1003930.
- Chemweno, C. (2009). Survey of operational budgetary process and challenges in the Mortgage Financing Institutions in Kenya, Unpublished MBA, University of Nairobi
- Cherington, D.J., & Cherington, J.O. (2003). Appropriate reinforcement contingencies in the budgeting Process. Journal of Accounting Research, 17(2), 225-253.
- Churchill, G.A. (2001). Marketing Research: Methodological Foundations. Fort Worth: The Dryden Press.
- Coates, J.B. (2005). Management Accounting in Practice (2nd ed). CIMA Publishing.
- Controllers report (2001). Best practice budgeting insights: how controllers promote faster and better decisions, 16, 16-18.
- DeVellis, R. B. (2003). Principles and practice of Structural Equation Modeling, 2nd ed. New York, NY: Guilford Press. 47
- Donald, R. C. (2008).Business Research Methods (6th ed).Boston Irwin. McGrawHill.
