This project work examines “A review of the accounting problems associated with the measurement of profit in a divisionalized organization”. It also examines profit as a measurement of performance, type of profit in a divisionalized organization and the other alternative ways of measuring performance, suggested solution was also made, that will help to reduce the accounting problems associated with the measurement of profit. The research method used for the data collection was the primary and secondary sources, which include interview, discussions questionnaire, library, Journals and textbooks. After analyzing the relevant data collected finding were made that the staff assistance and managerial tools needed to exercise general management functional in the divisional level. And also recommendation were made that the divisional manager should be well informed and supplied the necessary data to appreciate their relationship with one another and the need for mutual co-existence of divisions to achieve overall cooperate goals.
TABLE OF CONTENT
TITLE PAGE
CERTIFICATION
DEDICATION
ACKNOWLEDGEMENT
ABSTRACT
TABLE OF CONTENT
CHAPTER ONE
INTRODUCTION
1.1BACKGROUND TO THE STUDY
DEFINITION OF THIS RESEARCH
BRIEF INTRODUCTION OF A.G LEVENTIS AND CO. NIGERIA PLC
1.2 STATEMENT OF PROBLEMS
1.3THE PURPOSE OF THE STUDY
1.4HYPOTHESIS
1.5SIGNIFICANCE OF THE STUDY
1.7LIMITATION OF THE STUDY
1.8DEFINITION OF TERMS
CHAPTER TWO
LITERATURE REVIEW
2.1DECENTRALIZATION
AIM OF PERSONAL APPRAISAL
2.2THE FEATURES OF A DIVISIONALIZED ORGANIZATION
2.3AIMS OF DIVISIONALIZATION
2.4BENEFITS OF DIVISIONALIZATION
2.5GOALS OF DIVISIONALIZATION GOAL CONGRUENCE
2.7MEASUREMENT OF PERFORMANCE IN A DIVISIONALIZED ORGANIZATION
2.8PROFIT AS A MEASURE OF PERFORMANCE
2.9TYPES OF PROFIT
2.10TRANSFER PRICING PROBLEMS
2.11TYPES OF TRANSFER PRICING
2.12 PROBLEM IN USING DIVISION CONTROLLABLE PROFIT AS AN EVALUATION
2.13 RETURN ON CAPITAL EMPLOYED AS AN ALTERNATIVE METHOD OF PERFORMANCE EVALUATION
2.14PROBLEMS ASSOCIATED WITH THE SUE OF RETURN ON CAPITAL EMPLOYED AS PERFORMANCE EVALUATION
2.15RESIDUAL INCOME AS AN ALTERNATIVE
CHAPTER THREE
RESEARCH METHODOLOGY
3.1RESEARCH POPULATION
3.2SAMPLE AND SAMPLE SIZES
RESEARCH INSTRUMENT
3.3METHOD OF DATA COLLECTION
3.4SOURCES OF DATA
CHAPTER FOUR
4DATA PRESENTATION AND ANALYSIS
4.1ANALYSIS OF DATA
CHAPTER FIVE
5SUMMARY, CONCLUSION AND RECOMMENDATION
5.1SUMMARY OF FINDINGS
5.2 CONCLUSION
5.3 RECOMMENDATION
TABLE OF CONTENT
TITLE PAGE
CERTIFICATION
DEDICATION
ACKNOWLEDGEMENT
ABSTRACT
TABLE OF CONTENT
CHAPTER ONE
INTRODUCTION
1.1BACKGROUND TO THE STUDY
DEFINITION OF THIS RESEARCH
BRIEF INTRODUCTION OF A.G LEVENTIS AND CO. NIGERIA PLC
1.2 STATEMENT OF PROBLEMS
1.3THE PURPOSE OF THE STUDY
1.4HYPOTHESIS
1.5SIGNIFICANCE OF THE STUDY
1.7LIMITATION OF THE STUDY
1.8DEFINITION OF TERMS
CHAPTER TWO
LITERATURE REVIEW
2.1DECENTRALIZATION
AIM OF PERSONAL APPRAISAL
2.2THE FEATURES OF A DIVISIONALIZED ORGANIZATION
2.3AIMS OF DIVISIONALIZATION
2.4BENEFITS OF DIVISIONALIZATION
2.5GOALS OF DIVISIONALIZATION GOAL CONGRUENCE
2.7MEASUREMENT OF PERFORMANCE IN A DIVISIONALIZED ORGANIZATION
2.8PROFIT AS A MEASURE OF PERFORMANCE
2.9TYPES OF PROFIT
2.10TRANSFER PRICING PROBLEMS
2.11TYPES OF TRANSFER PRICING
2.12 PROBLEM IN USING DIVISION CONTROLLABLE PROFIT AS AN EVALUATION
2.13 RETURN ON CAPITAL EMPLOYED AS AN ALTERNATIVE METHOD OF PERFORMANCE EVALUATION
2.14PROBLEMS ASSOCIATED WITH THE SUE OF RETURN ON CAPITAL EMPLOYED AS PERFORMANCE EVALUATION
2.15RESIDUAL INCOME AS AN ALTERNATIVE
CHAPTER THREE
RESEARCH METHODOLOGY
3.1RESEARCH POPULATION
3.2SAMPLE AND SAMPLE SIZES
RESEARCH INSTRUMENT
3.3METHOD OF DATA COLLECTION
3.4SOURCES OF DATA
CHAPTER FOUR
4DATA PRESENTATION AND ANALYSIS
4.1ANALYSIS OF DATA
CHAPTER FIVE
5SUMMARY, CONCLUSION AND RECOMMENDATION
5.1SUMMARY OF FINDINGS
5.2 CONCLUSION
5.3 RECOMMENDATION