Kayo World

AN ASSESSMENT OF BUDGETING AND BUDGETARY CONTROL IN TERTIARY INSTITUTIONS

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

The idea of budgeting is one of Nigeria’s inheritances from Britain where it arose as a result of the struggle between the parliament and the sovereign of control the finance of the crown. The white heather bad or pouch that held the seal of the medieval court of the exchanger. Letter, the minister’s pouch contain his proposals for financing government expenditures likewise known as budget and the minister when presenting his proposals was said to open his budget.

Gradually, the word became to be used for the proposals themselves and hence for any statement of public bodies, commercial companies or private individuals, budget is now widely regarded not only as an effective mechanism for the establishment of priorities in relation to the available resources, but also an instrument for effective implementation of the national development plans. In fact, one of the most important objectives of the managers of the Nigerian economy is to ensure consistency in actual practice, among national objective, social economic development plans and budgetary support for the programme and project that comprises the ministry/department or agency operation.

The Nigerian constitution of 1999, like earlier constitution firmly established the fundamental requirement of the budgetary process. Budgetary process allowed the system to allocate resources to meet up priority objectives in an organization of non-profit organization such as government schools. This is often true for tertiary institution in Nigeria, meanwhile, they do not have legislatives mandate or parmitting deficit financing because this is not allowed.

A budget is a financial and a quantitative statement prepared prior to a defined period of time of the policy to be pursued for the purpose of attaining a given objectives. For an organization to achieve the laid down objectives, they must pay serious attention to budgetary process, budgets and budgetary control. In light of the various issues facing organizations as a result of poor/mismanaged budgetary control system/budget. The research come out with various recommendations and finding through questionnaire, to help curb the problem organization have with their various budgetary control systems.

All these contradiction motivate one interest to investigate the effectiveness of budgetary control system in non-profit organization such as the Federal Polytechnic, Kaura Namoda, Zamfara State.

1.2 Statement of the Problems

Budget and budgetary control system serves as road map, guideline for the operation of an entity whether profit or non-profit making organization. However, it is the thing for proper budgetary to be put in place and another for the proper budgetary implementation which can only be achieved through monitoring. In public sector, since they are mostly non-profit making oriented, the monitoring aspect is always neglected. Often, what has been budgeted for may not be carried out or such allocation used for a different purposes, hence, under achievement of budget.

The above is the major problem facing budget performance in the public sector.

1.3 Objectives of the Research

The addition of knowledge is basically the aims of every researcher, and this study seeks to achieve just that. However, below are the other objectives.

· To determine if budget is prepared by the organization.

· To determine the budget approach used by the Polytechnic.

· To determine when the budget was prepared

· To determine if any committee has been set up to monitor the budget activities.

· To determine the problem faced by the polytechnic in budget preparation.

· To determine if there is budgetary control procedure in the system.

· To determine how effective is such control system.

· To determine if there is proper implementation and monitoring committee in the system.

· To determine if the budget reflect both recurrent and capital expenditure.

1.4 Research Questions

· Is budget being prepared at all by the Federal Polytechnic?

· Which type of budget approach is used by the Federal Polytechnic?

· When is the Federal Polytechnic budget prepared?

· Is there any committee set up to monitor the budget activities?

· What are the problems faced by the Polytechnic in budget preparation and implementation?

· Is there budgetary control procedure in the system?

· Is there a proper implementation and monitoring committee in the system?

· Does the budget reflect both recurrent and capital expenditure?

1.5 Significance of the Study

Budget and budgetary control is an essential aspect of an organization. Its importance includes:

· It defines goals and objective that can serve as benchmark for evaluating subsequent performance.

· It provides a means of communicating management’s plans through the organization.

· It shed more light on the need for adequate control.

· The study will benefit the polytechnic in enhancing their budget and operation performance.

1.6 Scope of the Study

The aspect of budget, it has a very wide extensive area of study entirely. Therefore, to make research manageable, the research project focuses on the Federal Polytechnic, Kaura Namoda alone. Since almost all forms in respective of their nature have to do with budgeting in one area or the other, it will be impracticable to cover all type of organization. Hence, this research work is confirmed to Federal Polytechnic, Kaura Namoda. All dat will be obtained within the limit to this sector and generalization will be drawn. The research will restrict his study to Federal Polytechnic, Kaura Namoda, Zamfara State and it will cover budgeting period of 2 (two) years, that is between 2014 and 206.

1.7 Limitation of the Study

The research encountered some difficulties in the process of conducting this research and these difficulties include:

· The time available for the research work to undertake this study was very short. This was very compounded by intensive academic responsibilities.

· Response from the staff of the Bursary Department, through the questionnaire provided by the researchers was also a bit slow. This is because of reason so much work load on the part of the management and staff of the polytechnic.

· Information was another constraint most information or data were not readily available at the case study due to manual system adopted by the polytechnic. We were unable to access all the books and records. This limited to some information on research.

1.8 Historical Background of the Case Study

The Federal Polytechnic, Kaura Namoda is based in Kaura Namoda Local Government Area, Zamfara State, Nigeria. The institution was founded in June 1983 by the President Shehu Shagari and has over 500 (five hundred) students.

The Federal Polytechnic, Kaura Namoda came into existence in June 1983 and the edit formally establishing the Federal Polytechnic, Kaura Namoda, was the Decree No. 33 of 25^th July 1979 as amended in 1985.

The Federal Polytechnic, Kaura Namoda was established with the mission, which is to produce skill graduates for self reliance and national development.

The polytechnic principal officer includes:

· The Rector

· Deputy Rector

· Registrar

· Bursar

· Polytechnic Librarian

Motto: Skill for Technological Emancipation. In November 2009, the African youth international development foundation signed a memorandum of understanding to provide financial support to upgrade the facilities.

A well motivated result oriented unvented institution committed to producing qualitative human capital for self-reliance and national development as stated out in the vision statement of the Federal Polytechnic, Kaura Namoda. The polytechnic has clearly stipulated objectives which was first in producing skilled graduates for self-reliance and national development. And also to provide full time and part-time course of instruction and training in technology, applied science, commerce and management, leading to National Diploma and Higher National Diploma.

Lastly, to provide such other field of approved learning relevant to the need of the development of Nigeria in the areas of industrial and agricultural production and distribution.

There are six schools in Federal Polytechnic, Kaura Namoda namely:

· Business and Management Studies (SBMS)

· Engineering Technology (SET)

· Environmental Studies (SES)

· Science and Technology

· General Studies

There are also 19 departments under the schools mentioned above. These are:

1. School of Business and Management Studies

· Department of Accountancy

· Department of Banking and Finance

· Department of Business Administration and Management

· Department of Marketing

· Department of Public Administration

2. School of Engineering Technology

· Department of Civil engineering Technology

· Department of Electrical/Electronic Engineering Technology

· Department of Mechanical Engineering Technology

3. School of Environmental Studies

· Department of Architectural Technology

· Department of building Technology

· Department of Quantity Surveying

4. School of Information Communication Technology

· Department of Computer Science

· Department of Maths and Statistics

· Department of Office Technology and Management

6. School of Science and Technology

· Department of Hospitality Management

· Department of Food Technology

· Department of Science Laboratory

7. School of General Studies

· Department of Pre-ND Business Studies

· Department of Pre-ND Science and Technology

1.9 Definition of Terms

Budget: Can be defined as an estimation of the revenue and expenses over a specified future period of time. It can be made for a person, family, group of people, business, government, country, multination organization or just about anything else that makes and spends money.

Budgetary Control: This is a system of scientifically planning ahead, it means of control in which the actual state of affair is compared with that planned for, so that appropriate action may be taken with regards to any duration.

Budgeting: Any cost which is included in the budget

Controllable Cost: Are cost under the influence of a given manager of a particular department for given life span.

Variance: This states the difference between the actual performances with the standard performance of an organization.

Cost: This is a price paid or to be paid for a particular commodity.

Internal Audit: Auditing of the account of business by the internal staff rather than operational efficiency and profitability of the organization. Also detecting of error and fraud.

Internal Control: This means that the organization arrange or planed for its business to be conducted or-derly be safeguarding its financial records.

Administration Expenses: This is designed to change in accordance with the level of activities standard overhead to be measured.

Budget Centres: These are separate and identifiable units or area into which an organization planned activities is divided.

Budget Officer: The budget office controls the administration of the budget on a day to day basis.

Budget Period: This is the time to which the plan of action relates. Budget period covers a fixed period of time, mostly one year.

Budget Committee: This refers to the management saddled with the responsibilities for budget preparation and administration.

Feasibility Study: The analysis of a proposal project with reference to its technical, economy and financial features. This project potential of success before any course capital on them is made.

CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

For an organization to be successful in its operations whether profit or non-profit oriented but to achieve its objective effectively and efficiently, it must have an effective budget and budgetary control system.

Chartered Institute of Management Accounting (CIMA): Budget is a quantitative expression of a plan of action prepared in advance of the period to which it relates”. Budget may be prepared for the business as a whole, for departments for functions such as sales and production or for financial or resource items such as cash, capital expenditure and purchase, etc. It may include planned revenue, expenses, assets, liabilities and cash flow.

Adeniyi (2008), “Budget is a plan quantified in monetary terms prepared and approved prior to a defined period of time usually showing planned revenue to be generated and or expenditure to be incurred during that period and the capital to be employed to attain a given objective”. A budget is therefore, a detail commitant to a plan of an action and in this respect differs from a forecast which is merely an assessment of future event, which are likely to occur if no positive planning action is taken.

William (2004); Budget is the relationship between the anticipated revenue as well as expenditure usually it could be quarterly, biannual or annually. Budget give the plan of future of an individual, organization, ministries, parastatals, etc. Bank upon by the income of the organization, individual etc.

Oyinlola (2004); Budget is “a plan couched in monetary terms covering a specific period of time, usually a year. In the public sector, perspective budget is a short term plan of government that is expressed in monetary terms, showing as a major component, the estimates of revenue and expenditure arranged under recurrent and capital groupings, covering a specified period, usually a year.

Eddy (2000); Budget can also be viewed as the plan of the dominant individual in anorganization expressed in monetary terms and subject to the constraints imposed by other participants and the environment indicating how the available resources may be utilized to achieve whatever the dominant individuals agrees to the organization priorities.

Also, Institution of cost and Management Accounting (ICMA); “Budget is a plan couched in monetary terms it relates to a defined period of time and is drawn up and approved well before the period to which it refers. Usually, the plan will show the income which it is hoped to generate and the expenditure likely to be incurred. It may also show the capital o be employed in achieving a state objective.

Again, Adeniyi (2002) ; “Budget may be defined as a monetary statement, a financial statement or a quantitative course of action, prepared and approved prior to a defined period of time. It contains the goals and aspiration of a business outfit.

In any organization where budget is used as a means of profit planning many alternative plans have to be considered and the most profitable one will be adopted because where the plan chosen in great expectation, then the best use has been made of the available resources.

However, the focus of this chapter is on the use of the budget as a planning tool and for this purpose budgeting can be viewed as all the steps involved in putting together the budget of an organization into action.

2.2 Types of Expenditure

Oyinlola (2004) divided the various government budgets into recurrent and capital expenditure budget.

· Recurrent Expenditure: These are expenditure on goods and services consumed within the current year, which need to be made currently to sustain the production of educational services. Minor expenditure on items or equipment below a certain cost. These whole, is also reported as current spending. Current expenditure includes personnel cost, overhead, salaries and consolidated allowance.

· Capital expenditure: These are expenditure where the benefit continues over a long period, rather than being exhausted in a short period. Such expenditure is of a non-recurring nature and results in acquisition of permanent asset.

capital expenditure include money spent by government on building road, schools, bridges, hospitals, industries and other permanent investments.

Budgetary Control Mechanism

This is part of system of responsibility accounting within an organization. It is a system of accounting in which cost and revenue are analyzed in accordance with area of personal responsibilities so that the performance of the budget holders can be monitored in financial terms. Budgetary control consists of:

· Establishing budget for each of financial responsibilities. Identifying the performance required in that objective of the organization as a whole may be achieved.

· The regular comparison of actual budgeted results.

· Action resulting from this comparison, either to secure adherence to defined objectives or agree some modification of the original plan.

The aim of budgetary control is to provide a basis for monitoring the progress of organization as a whole and of its component parts towards the achievement of objectives specified to the planning budgets. It can be seen from the above overview, that budgeting and budgetary control is an important tool for financial planning and control in any organization (Adeniyi, 2008).

Budget Monitoring

In order for government to be sure that budget fund allocation are not being wasted, the following instruments are used;

· Virement: This refers to a transfer of savings on one or more sub-heads all within the dame vote. The authority for virement is usually conveyed by a virement warrant. However, virement approval will only be given on the condition that the applications are made in writing.

· Warrants: The statutory authority for necessary issues from government funds is given by the Appropriation Act passed by the National Assembly.

· Authorization and Control of Expenditure: The control of expenditure is a significant aspect of the financial management of any government exercise towards safeguarding the government funds and ensuring propriety of financial transaction. Financial regulations, Audit Act and other regulatory instruments is on control of expenditure (Oyinlola, 2004).

2.3 Budget and Budgetary Control

Budget could be defined as a future plan of action for the whole organization or a section which is expressed in monetary terms. Budget can also be defined as a financial statement that shows the expected revenue and expenditure of the government for the period of one year.

Budgetary control could be defined as the establishment of budget, relating the responsibilities of the executives to the requirement of the policy and the continuous comparison of actual performance with budgeted level so as to secure either by individual or collective action the objective of such policies or a revision thereof (Adams, 2006).

Features of Budgetary Control Technique

· Decision of corporate objective must be well defined.

· The support of top echelon management must be obtained and indicated other line and staff management.

· Design of a comprehensive code of account at cost center with name of the individual responsible for each cost center.

· Formation of the budget committee and the appointment of the budget officer (Adam, 2006).

Functions of the Budget Committee

· Establishment of the budget procedure and time table.

· Review, revision and the acceptance of budget

· Coordinating

· Review of performance report.

Budget in Public Sector

Budget is designed and prepared by the bursar as the Head of Bursary Department in the public sector such as Federal Polytechnic, Kaura Namoda. The budget committee still has to arrange meetings with the management team which involves the Rector, Deputy Rector, Bursar, Registrar and Librarian, clear area of doubt, increase or very rarely, decrease will be made. Whenever there is disagreement on the allocation, the committee consisting of the present membership will resolve the issue before the budget was finalized. After the budget has been approved, the Rector presents it to the Bursary Department at a joint session.

2.4 Approach to Budgeting in Public Sector

Approaches to budgeting in public sector are:

· Rolling or continuous budget

· Zero based budget

· Incremental budgeting

· Planning programme and budgeting system

· Traditional incremental budget

· According to Adams (2006), rolling budget can be defined as the continuous updating of short term budget by adding say, further month or quarter and deducting the earliest month or quarter so that the budget can reflect current conditions.

Thus, a rolling budget is a device which attempt to help an organization overcome the problems resulting from frequent unexpected or unforeseen changes in activities and on future costs.

Advantages of Rolling Budget

· At the time figure for the next 12 month are variable, management is made continuously aware of the budgetary process

· Whereas 12 month budget becomes outdated when there is a rapid inflation, a continuous budget system allows for more frequent re-assessment and revision in the light of inflationary trends.

· Management is able to concentrate on a suitable managerial time span, which it can visualized for which it be more fairly be held accountable.

· It reduces the element of uncertainty in budget because it is easier to predict what will happen in the short term.

· Realistic budget are likely to have a better motivational influence on managers

Disadvantages of Rolling Budget

· Higher cost and effort required as in each period, the whole procedure of preparing budget have to be undertaken.

· Frequent budgets might have an off putting effect on managers who doubt the valuation of preparing one budget after another at regular interval.

· Zero-Based Budget (ZBB): This implies starting the budget from a zero situation and justifying each segment of the budget rather than merely adding to historical budget or actual. For instance, the expenditure for an entire department or function may commence at zero and activities of that part of the business be closely evaluated to determine the benefit before expenditure may increase from zero to the desired level (Luccy, 2006).

Advantages of Zero Based Budgets

· Efficient allocation of scarce resources.

· It leads to cost reduction as focus or evaluation and justified

· Management cooperation and involvement is stipulated

Disadvantages of Zero Based Budgeting

· Extra paper work created by decision packages.

· Mostly application to only discretionary cost items.

· Completely ignoring the present state and past may induce assumption impossible to achieve.

· It encourages the false idea that all decision has to be made in budget.

· Incremental Budgeting: There are many approaches to budgeting e.g. incremental budgeting, planning programme and budgeting system and zero-based budgetary, but the traditional approach uses the current year estimate of expenditure and income as the starting point for determining the budget for the year. Attention is focused on the marginal or incremental differences between this year’s and last year’s budget, rather than on the whole budget and whether items on it are still required. In other words, put in crude terms, incremental budgeting is an approach which bases next year’s expenditure with an additional amount perhaps for inflation and with a reduction perhaps for planned cost-cutting economics.

Incremental budget in public sector is defended using the following arguments:

· Most activities are either fundamental or mandatory and so will continue year after year.

· Marginal changes each year are the only controllable part of the budget, unless major policy decisions are taken.

· A thorough analysis, each year of all policies programmes and activities would be impossible and politically unnecessary.

· Inter-departmental conflict is avoided by narrowing down the area open to dispute to the area incremental changes (William, 2004).

· Planning programme and budgeting system: The programme planning budgeting system shows a budgeting approach that is based on system theory output and objectives oriented with substantial emphasis on resources allocated based on economic analysis. System is based not on the traditional organization structure but on programme, which involve grouping of activities with common objectives.

· Information provides also help in assessment of effective management plan.

· It helps defining total system in details and the programme

· It allows application of responsibility accounting to be effective and efficient.

The principal advantage sen to investigate and integrae long range planning of organization activities and programming of specific activities with annual budgeting.

And the disadvantages includes;

· Traditional problem or introductory stages

· Shortage of staff.

· Traditional incremental budgeting: This takes the approach, specifying what we are spending this year. So what increase or decrease in resources and expenditure limited will appropriate for next year to do what organization is carrying out.

Traditional budgeting in public is concerned with input only.

· Public money is allocated to a variety of different activities also sub-allocation of money and resources to specific expenditure heading.

· Budgeting control is then concerned with making save that for each expenditure leading; actual spending does not exceed this budget authorized cash limit.

This type of approach has weakness as follows:

· A one year planning horizon is short term meaningful in many public sector or organization.

· Annual budget tend to be incremental in nature and the budget are built up by analysis expenditure in a line rather than according to the purpose for which the spending will be incurred (William, 2004).

2.5 Factors in Budgeting Process

Planning management and evaluation of the use of variable resources most especially the financial resources to enhance organization objectives. The introductions of budget specify programme limited to particular period of time usually one year. These signify expenditure and the proposed sources of financial support in any organization. The extent of introducing budget or a means of fiscal planning allows resources to be allocated to most priority objectives. The primary aim of budget is particular for educational institution in Nigeria. Since they do have legislative mandate permitting deficit because it is not allowed.

Alternatively, a variable resources show an elastic variable since the local people can be persuaded or forced to pass additional issue while legislative incur appropriation for education/federal level source or grant can provide support for specific program in our institution.

However, the exits of the short in shows that budgeting process take place within the premises and all expenditure must be within available income.

The traditional budgeting process used by an educational institution based on one year period also resemble supply as what is allocated to one purpose cannot be allocated to another. In a school system, the revenue for a given period is fixed level and institutional element competes with one another for the limited resources.

Programme Budgeting

Programme budgeting operate on the premises that both the individual programme and the output can quantifiable measure. Each of these programme alternatively is then evaluated in terms of resource required and the estimated benefit gained.

Therefore, the most optional alternative in terms of benefit cost ratio is then selected for implementation. This programme is money based on the years projection and more sketchy the further is projected into future.

The programme budgeting has implication for institutional changes not only in the educational organization but also across sate wide system

Participation in Budget Planning

Budget planning phase is the aspect of the budgeting process that should involve in largess participation of any organisation institution in Nigeria. This idea and proposal of faculty student and staff should be given maximum consideration of the stage.

Departmental, staff and students should have adequate right to financial data and to the critical assumption upon which ultimate budgeting decision are made. It is compulsory for single person to be responsible for preparing and planning budget in any institution. Many schools and colleges used budget planning committee to help coordinate this effort effectively. This include, the budget office, administrative representative from major organization element of vocational division, the general academic division, support service department and sometimes student. The responsibility or the chief administrator must decide how final planning budget is structured and recommended as a single compressive, integrated budget to his governing board for review and approval.

Budget Evaluation

The official financial record of any institution or school is its audited fiscal statement. This is vital that programmes heads have the opportunity to review the formal report of the financial audit. In case a mistake in accountability, an administrator must be held responsible for problem on financial position.

The evaluation function of the operational budget must be carried out co-jointly with the evaluation of programme results. Programmed which line with its allocated budget but fails to achieve its objective as hardly been a success. This programme is always or also applicable to educational institution.

2.6 Control and Budgeting

A well planned organization effective and efficient control is achieve when a budget is well planned and putting in place adequate machinery. This will enable or enhance good implementation

Management Control Planning through Budgeting

Therefore, budgeting and budgetary control are effective tool for proper planning and controlling the activities of an organization. This enable an organization to set out policy and also it objectives. This input data made for the budgetary preparation are collected from which budget are planned. The need arises for recowing and monitoring of actual with standard budget analysis of variance is made to reveal. Where the variance is favourable, an effort is then made on how to improve on it and where it is adverse, collective action were taken. The improvement on the favourable variance and corrective action in the adverse variance serve as input data for the preparation of budget for the next period. Effective control is thus exercise in activities of the organization.

2.7 Budget Administration

Budget must not only be prepared but it must be coordinated. The bursary department must be ready to receive student registration fees based on the number of students registry department planned to admit. Much time, must be taken devoted by top management to the administration must involve in budgetary putting in place, the effective budget control system in an organization such as:

· Installation of budget center

· Provision of appropriate accounting

· Preparation of organization chart

· Establishment of budget committee

· Preparation of budget manual

Odetayo (1998); A budget manual is a set of instruction on budget procedures. It comprises of

· Organization chart showing responsibilities for functional budgets and budget centre.

· Procedure for guidance of staff involved in budget preparation.

· Programme and timetable for budget preparation

· Format of budget report and recipients

· Coding structures for accounts products, materials and so on.

· Report statement and

· Budget period.

2.8 Benefit and Limitation of Budgetary Control

Odetayo (2009) as outline the benefit and limitation of budgetary control as follows:

· It serves as a foundation stone on which policies can be examined, revised and restated.

· It co-ordinates and correlates efforts.

· Provided there is proper participation by all, budgeting encourages goals congruence and increases motivation.

· It facilitates the use of exception principle in which attention are directed only to areas of most concern. By this, management’s time is saved.

· With budgeting, the control of current activities is facilitated by the regulation systematic monitoring and reporting activity.

Despite the numerous benefit of budgetary control, it also has some limitations such as;

· Budgeting may become bureaucratic in nature and difficult to adopt with changing circumstances

· The organization chart on which budgets are developed may be inappropriate for current condition.

· Budgeting involves forecast which is a guess work. Hence budget is not an exact science.

· A bad budgetary system with lack of regards to behavioural factors may lower morale and cause antagonism.

· It can encourage inter-departmental conflict.

2.9 Summary/Justification

This aspect of budgeting is the most well known and is the aspect most frequently encountered by the ordinary staff member. The process of comparing actual results with planned results and reporting on the variations, which is the principle of budgetary control, set a control framework which helps expenditure to be kept within agreed limits. Deviations are noted so that corrective actions can be taken. The review indicates that, for the achievement of organization objectives, effective budgeting and budgetary control is necessary.

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Introduction

Research is a process of arriving at dependable solution to problem through the planned and systematic collection, analysis and interpretation of data (Osuala, 2001). Research is a systematic gathering, recording and analysis of data pertaining to the research project in order to find way of solving that problem. The use of research method often arises in scientific discipline research are to be conducted in a particular field. In addition to the above definition, the importance of providing sufficient information on research will help the readers of such work or report to evaluate the validity of the conclusion drawn and thereby determine their relevance to the operation carried out.

3.2 Research Design

Research design means the structuring of investigation aimed at identifying variables and their relationships to one another. Research design works as a systematic plan outlining the study, the researcher’s method of compilation, details on how the study will be carried out, its conclusion and the limitations of the research. Research design is not limited to a particular type of research and may incorporate both quantitative and qualitative analysis.

For the purpose of this study, interview and questionnaires administered on some staff of the various unit of the Bursary Department.

The question was straight forward and designed in a way that the respondent could administer or understand and respond to the question adequately.

Therefore, the research depends solely on questionnaire and interview as a social method of research.

3.3 Population of the Sample

Best and Kahi (1989) defined population as any group of persons, objects or institutions that posses one or more common characteristics of interest to a researcher.

We need to distinguish among different types of population if target population is the group define by the researcher’s specific interest.

Individuals in a target population consisting of individuals is known as target population whom the researcher could access and recruited as participants in a given study or of whom the researcher could collect data from.

For the purpose of this study, the total population is 609, which comprises both academic and non-academic staff of Federal Polytechnic, Kaura Namoda.

Where the total number of senior staff both academic and non- academic staffs is 445 while the total number of junior staffs both academic and non-academic staff is 164.

3.4 Sample of the Study

A sample is a set of element selected from a population and usually is intended to represent the population research study. The sample is chosen when it is not possible to reach the entire population.

However, sample is only necessary if the population is large and cannot be easily accessed.

For the purpose of this study, the total sample is 47, staffs of the Bursary Department, Federal Polytechnic, Kaura Namoda.

3.4.1 Instrument Used for Data Collection

The data of this project comprises both primary and secondary sources. The primary source involved the use of questionnaire and interview to gather raw information, the source of this data involves collection of already analysed record information from library and documental records.

Primary methods of data collection include:

· Questionnaire: This is a form containing series of questions all related to a particular topic chosen; it was designed and administered to the correspondents of the Bursary Department, Federal Polytechnic, Kaura Namoda.

· Interviews: personal interview was conducted by the researcher in particular to get information. This was to confirm some points not clearly explained. It is also a face to face interactive situation in which one person (interviewer) asks another (the interviewee) questions which are responded to orally.

The secondary methods of data collection are information already in existence before the conduct of the research projects. Nevertheless, the secondary methods of data collection were materials in the textbooks, past project, journal and magazines to provide critical work.

3.4.2 Methods of Data Analysis

In analyzing the data collected for the study, the use of the simple percentage (%) ratio method because it was found to be easy and convenient to understand.

As a result, all information were collected from the respondents based on the questions that will be administered and this will be worked on percentage (%) basis to determine the condition per question used out of the whole questions. It also shows the degree of response to a particular question at a glance.

The formula for calculating simple percentage (%) ratio is as follow:

CHAPTER FOUR

PRESENTATION OF DATA

4.1 Introduction

During the course of this project work, the use of some research techniques in collecting data such as questionnaires and interview which were administered to the staffs of Bursary Department of Federal Polytechnic, Kaura Namoda. This enable to gather useful information and relevant data. All these points towards solving the stated problems contained in the statement of problem which have been given earlier on.

4.2 Data Presentation and Analysis

Question 1: Is budget being prepared at all by the Federal Polytechnic, Kaura Namoda?

Table 4.1: Budget Preparation

Respondents	Response	Percentage (%)
Yes	40	85
No	7	15
Total	47	100