A COMPARATIVE ANALYSIS OF THE IMPACT OF INVENTORY VALUATION METHODS ON FINANCIAL REPORT STATEMENT IN SOME MANUFACTURING COMPANIES IN ENUGU STATE

This research work was conducted on with special reference to the impact
inventoryvaluation methods has on financial report statements of manufacturing
companies. For a longtime now the Accounting profession has not been able to
come up with any particular technique or method to be used uniformly in valuing
inventory. This research work examined if the method used was as a result ofthe
prevailing economic circumstances. A survey research design was adopted for the
study; data collected weregotten from both the primary and secondary sources.
An infinite population of over 3000 was used and a finite population of 220. Three
hypotheses were tested at 5 percent level of significance. Tables and percentages
were employed to answer the questionnaires while the statistical regression
coefficient analysis and Z- test were used to test the hypotheses. It was found
amongst others that the prevailing economic parameter influences the decision of
choice of inventory valuation method used. The Accounting professional bodies
should try as much as possible to adopt a particular method of inventory
valuation and the weighted average method was recommended as a method that
can withstand any economic challenges  

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TABLE OF CONTENTS
TITLE PAGE…………………………………………….…………………i
APPROVAL PAGE………………………………………………………..ii
DEDICATION…………………………………………………..…………iii
ACKNOWLEDGMENTS…………………………………………….……iv
ABSTRACT………………………………………………………………...v
TABLE OF CONTENTS…………………………………………………..vi
CHAPTER ONE: INTRODUCTION
1.1 BACKGROUND OF STUDY………………………………………1
1.2 STATEMENT OF THE PROBLEM……………………………..…4
1.3 OBJECTIVES OF STUDY……………………………………….....5
1.4 RESEARCH QUESTIONS………………………………………….5
1.5 HYPOTHESES……………………………………………………...6
1.6 SIGNIFICANCE OF THE STUDY………………………………...7
1.7 SCOPE OF THE STUDY……………………………………..........8
1.8 LIMITATION OF THE STUDY.....................................................9
1.9 DEFINITION OF TERMS……………………………………..…..10
CHAPTER TWO:LITERATURE REVIEW
2.1 HISTORY PERSPECTIVE………………………………..………..13
2.2 THE PROBLEM OF INVENTORY MANAGEMENT………..…..14
2.3 INVENTORY VALUATION………………………………………..16
2.4 INVENTORY VALUATION METHODS…………………….……20
REFERENCE……….......................................................................37 

CHAPTER THREE: RESEARCH METHODOLOGY
3.1 INTRODUCTION.……………………………………….……………39
3.3 AREA OF THE STUDY……………………………….……………...40
3.4 POULATION OF THE STUDY………………………………………41
3.5 SAMPLE SIZE AND SAMPLINGTECHNIQUES……………….…41
3.6INSTRUMENT OF DATA COLLECTION……………………….…44
3.7 VALIDITY OF THE INSTRUMENT …….………………………....45
3.8 RELIABILITY OF INSTRUMENT ……………………………...…..45
3.9 METHOD OF DATA COLLECTION………………………………..46
3.10 METHOD OF DATA ANALYSIS…………………………………...46
CHAPTER FOUR:DATA PRESENTATION, ANALYSIS AND
INTERPRETATION
4.1 DATA ANALYSIS………………………………..………………….....49
4.2 TESTING OF HYPOTHESES ……………………….………………...66
CHAPTER FIVE:SUMMARY
AND CONCLUSIONOF FINDINGS, RECOMMENDATIONS5.1 SUMMARY OF FINDINGS…………………………………………..82
5.2 RECOMMENDATIONS……………………………………………....84
5.3 CONCLUSION…………………………………………………...........86
BIBLIOGRAPHY………………………………………………………88
APPENDIX A…………………………………………………...……...90
APPENDIX B…………………………………………………………….9