Profit And Loss Statement On Marketing Budget In The Fast Food Industry In Nigeria

ABSTRACT

This study examined profit and loss statement and marketing Budget in the fast food industry in Nigeria. The specific objectives were to ascertain the effect of profit and loss statement on the marketing budget, to examine the effectiveness, the relationship that exit components of marketing budget based on the use of profit and loss as control, to determine the effect of marketing budget on the performance of companies with profit and loss as actual performance basis and to ident5.' factors affecting the comparism of actual performance of companies with profit and loss as actual performance basis. The study was conducted in fast food industry in umuahia, Abia State. Primary data obtained from administration of questionnaire was analyzed using descriptive statistic such frequency/percentage, correlation coefficient and simple regression. The finding revealed that there is negative relationship between variables as components of marketing budget and profit and loss statement, linear correlation between the component of marketing budget and profit and loss statement as basis of control, marketing budget has significant impact on corporate performance and no significant difference exists between monthly budget and actual corporate performance and that corporate statement of profit and loss for a current year reasonably influence the provisions of organizations budget projection based on accruals and prepayment hence budget preparation provides for flexibility. It was recommended that there is need for fast food industry to prepare a financial statement at the end of the financial year to determine f the organization is indeed making profit or incurring losses based on the marketing budget