ABSTRACT
The project topic is "THE USE OF ACCOUNTING RATIOS AS A
TOOL FOR EVALUATING CORPORATE FINANCIAL PERFORMA NCE' There has always been
these arguments, disagreement and mistrust between the owners and the managers
of business ventures over the credibility of the financial statement reported.
The fears of the investors stem from the fact that the reports could contain:
Frauds, Errors and Mistake; could deliberately be misleading just to misinform
and deceive. And it may not reveal mismanagement, fraud or loss. This problem
was what gave rise for the search and adoption of techniques that will be more
acceptable to all in the evaluation of corporate performance. By way of
literature review, the need for stewardship accounting and the use of generally
accepted techniques for evaluating and interpreting financial statement by different
users were traced as well as definitions of basic accounting concepts, formulae
were xrayed. Various authors' views on the subject were also reviewed and
stated holistically. The study used both primary data — which were in the form
of structured questionnaires, personal interviews & observations, and
secondary data gotten from textbooks, Journals Magazines and unpublished
materials. The population size was 252 drawn out of which the sample size of
155 was drawn using: TARO YAMEN'S formula. Researcher's findings showed that
most firms use accounting ratios extensively in evaluating operational
efficiency. It revealed also that business concerns made use of accounting
extensively ratios for management decision making process and comparison. It is
recommended that business unit in a particular industry should adopt a common
set of parameters for assessing that particular industry e.g. banking industry,
manufacturing etc for ease of common interpretation as no one ratio tells it
all. Further research work should be conducted on inter-company comparison
ratio as a means of harmonizing and identifying operational opportunities open
and common to all the participating firms.
OGBONNA, N (2021). The Use Of Accounting Ratios As A Tool For Evaluating Corporate Financial Performance (A Case Study Of Berger Paints Nig Plc). Mouau.afribary.org: Retrieved Nov 01, 2024, from https://repository.mouau.edu.ng/work/view/the-use-of-accounting-ratios-as-a-tool-for-evaluating-corporate-financial-performance-a-case-study-of-berger-paints-nig-plc-7-2
NDUBUISI, OGBONNA. "The Use Of Accounting Ratios As A Tool For Evaluating Corporate Financial Performance (A Case Study Of Berger Paints Nig Plc)" Mouau.afribary.org. Mouau.afribary.org, 22 Sep. 2021, https://repository.mouau.edu.ng/work/view/the-use-of-accounting-ratios-as-a-tool-for-evaluating-corporate-financial-performance-a-case-study-of-berger-paints-nig-plc-7-2. Accessed 01 Nov. 2024.
NDUBUISI, OGBONNA. "The Use Of Accounting Ratios As A Tool For Evaluating Corporate Financial Performance (A Case Study Of Berger Paints Nig Plc)". Mouau.afribary.org, Mouau.afribary.org, 22 Sep. 2021. Web. 01 Nov. 2024. < https://repository.mouau.edu.ng/work/view/the-use-of-accounting-ratios-as-a-tool-for-evaluating-corporate-financial-performance-a-case-study-of-berger-paints-nig-plc-7-2 >.
NDUBUISI, OGBONNA. "The Use Of Accounting Ratios As A Tool For Evaluating Corporate Financial Performance (A Case Study Of Berger Paints Nig Plc)" Mouau.afribary.org (2021). Accessed 01 Nov. 2024. https://repository.mouau.edu.ng/work/view/the-use-of-accounting-ratios-as-a-tool-for-evaluating-corporate-financial-performance-a-case-study-of-berger-paints-nig-plc-7-2