Cost Volume Profit Analysis As A Management Tool For Decision Making

Cost Volume Profit Analysis As A Management Tool For Decision Making


This research investigation is focused on the use of Cost-Volume-Profit analysis as a Management tool for decision making using Nigerian Breweries Plc as a case study. Cost-Volume-Profit (CVP) analysis narrowly called break-even analysis, is the application of marginal costing and seeks to study the relationship between costs, volume and profits at differing activity levels and can be a useful guide for short-term planning and decision making. There are series of relationship between costs, volume of production and profit. An understanding of these relationship are useful to management. Cost-volume-profit relationship as a decision making device that considers the inherent relationship between cost, volume of production and the profit that is made. This research study is divided into five chapters. Chapter one is introduction which includes background of the study, statement of the problem, objectives of the study, significance of the study, research questions, hypothesis, scope and limitation of the study and definition of terms. Chapter two deals with review of related literatures on cost-volume-profit analysis as a management tool for decision making. Chapter three deals with research design and methodology. Chapter four involves presentation, analysis and interpretation of data. Finally chapter five is summary of findings, conclusion and recommendations.



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