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Compliance with International Financial Reporting Standards (IFRS) – Required of an Entrepreneur

The need for convergence and adoption of International Financial Reporting Standards (IFRS) according to Owoeye (2012) requires every entrepreneur to prepare accounts in line with dictates of IFRS. Financial analysts over the years have observed with dismay that most financial statements prepared under different local Generally Accepted Accounting Principles (GAAPS) had witnessed series of problems…

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Stewardship Accounting

Financial accounting renders report on the stewardship of any enterprise. Hardly, can any enterprise do without knowing how far it has fared over the period. This is the stewardship accounting which is historical in nature and very necessary for the survival and progress of the entrepreneurial business. Stewardship accounting is a traditional approach to accounting…

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Essential Accounting Records

The following essential accounting records usually called the subsidiary books must be maintained according to Ogbonna (2010): Cash Book; Petty Cash Book; Sales Day Book; Purchases Day Book: Return Inwards Book; Return Outwards Book; Journal and Different types of ledgers. There may be other memorandum records, depending on the nature and size of the business,…

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Basic Accounting Principle

The fundamental accounting principle is the: Double Entry Principle:This is a method of recording business transaction that ensures the dual effect of every transaction by posting the debit entry of a transaction to one account and the corresponding credit entry to another account (s). The principle requires the following: Debit the receiver of any monetary…

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Types of Accounting Information the Entrepreneur Needs

The following type of information according to (2010) is provided for entrepreneurial decision making: – The amount of earnings/sales – The amount of expenses (actual or notional) – The amount of profit or loss – The nature and value of assets owned by the business – The nature and value of liabilities owing by the…

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The Need for Accounting Information

Many small and medium enterprises in Nigeria are either having survival challenges or have even folded due to neglect in the use of accounting information which is supposed to be a vital tool for determining the enterprise performance and management decision-making. No enterprise or organization can maintain going concern concept without making proper use of…

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Accounting and Business Growth for Small and Medium Enterprises

Accounting is an information service of a special kind to any organisation, especially the entrepreneurs. It began as an information aid to the owner; operators of small business enterprise, but with time accounting expanded into a complex instrument of providing information for decision making. Like a navigator’s chart, accounting is an aid to accomplishing the…

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Mergers and Acquisitions

Essentially, merger is designed to unlock the potentials and maximize the value of a company’s stock or shares, especially where the intrinsic economic value of the target company is higher than the prevailing market price. A firm becomes a prime acquisition target according to Weston and Weaver (2002:225) when the value of its shares does…

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What is Budget?

Budget has been defined in several ways by several scholars. According to the Chartered Institute of Management Accountants (CIMA), “budget is defined as a plan quantified in monetary terms, prepared and approved prior to a defined time, usually showing planned income to be generated and/or expenditure to be measured during that period and the capital…

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Strategies of Growth and Measures of Business

i. Increased topline-gross earnings ii. Revenue iii. Greater product sales iv. Service income v. Increased bottom line-net earnings vi. Profitability of operation vii. Minimising costs Viii. Increase in customer profile ix. Increase in customer patronage x. Credit worthiness It should be recalled that business growth does not just occur. It requires planning. A deliberate planning…

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Challenge of Growth of Business Growth

The Word growth can be interpreted to mean incremental increase in size. In business context, growth represents a situation of business success. While it is important to note that business success is not the same as business growth, surprisingly, the factors that account for business success inevitable also account considerably for business growth. From recent,…

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Business Growth – An Overview

The different historical views of economists offers a broad perspective on the theories of Business growth as well as on the intermediate variables that form the connection between entrepreneurship and theories of business growth, the theoretical evidence of business growth is somewhat mixed, owing to the simultaneous presence of both the positive incentive and alignment…

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The Marketing Research Process

The marketing research process consists of four key steps: 1. Defining the problem (or opportunity) and determining the present situation. 2. Collecting data. 3. Analyzing the research data. 4. Choosing the best solutions. Let’s look at each of these steps. DEFINING THE PROBLEM AND DETERMINING THE PRESENT SITUATION It is important to know what an…

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Adoption of Marketing Research in SMEs

Marketing research is one of the marketing tools essential for SMEs’ promotion. However, most SMEs avoid research for cost reasons. The way out is to focus on basic low cost research, according to Ayeni (2005), by carrying out simple but inexpensive consumer-oriented research. This could be done in the following ways, among others: 1. Identify…

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The “Most Research is not Read” Myth – Marketing Research

In practice, researchers in Nigeria go through an agonizing ordeal in their research efforts. These difficulties arise from diverse sources. The would-be researchers have to understand them if they are to make a success of their research project. These difficulties, according to Ezejelue et al., (2008), include: i. A culture of anti-intellectualism ii. Difficulties in…

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The “Sophisticated Research” Myth – Marketing Research

Just as marketing research needs not involved complex sampling and elaborate designs, and indeed often purposely lacks randomization, so a high level of sophistication in sampling techniques, statistics, and computer analysis are not essential. Of course, executives of small businesses planning to undertake programmes of research should acquaint themselves with at least the rudimentary principles…

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The “Big Bucks” Myth – Marketing Research

Marketing research is much more diverse than the inexperienced observer would think. There are many inexpensive alternatives to surveys: SYSTEMATIC OBSERVATION Managers can obtain many kinds of marketing data simply by carefully observing behaviour. Retailers have found pedestrian and vehicle traffic counts to be invaluable in assessing the success of competitor’s new products or services…

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The “Survey Myopia” Myth – Marketing Research

Any reliable information that improves marketing decision can be considered marketing research. If you take this view, many alternatives to formal survey research come to mind. Consider the entrepreneur thinking of introducing a new service but having no idea whether the target market will accept the service or, even with acceptance, how quickly it can…

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The “Big Decision” Myth – Marketing Research

Too often, marketing research is deemed necessary only for decisions involving large financial stakes and in such cases should always be carried out. But research should be viewed from a cost — benefit perspective. Its costs, according to Andreason (1983), are usually of two types – the expenses for the research itself and – the…

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Misconceptions about Marketing Research by SMEs

Many small businesses assiduously avoid more than a cursory flirtation with marketing research because they misunderstand what it is and what it can accomplish. Five misconceptions, according to Andreasen (1983), often dominate managers’ thinking about marketing research. 1. The “big decision” myth. You turn to marketing research only when you have a major decision to…

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