Tag Archives: Expenditure

Effect of Goods and Services Tax on Capital Expenditure in Nigeria (Published)

This study is an empirical examination of the effect of goods and services tax on capital expenditure in Nigeria for the period 2005 – 2020. The specific objectives are to ascertain the effect of value added tax (VAT) on capital expenditure (CAPEX) and secondly to determine the effect of Customs and Excise Duties on capital expenditure (CAPEX) in Nigeria. The study is theoretically linked to Benefit Received Theory. The study was an ex-post-facto research which made use of secondary data obtained from the Central Bank Statistical Bulletin. The study employed descriptive statistics and graphical representation using E-Views 10 software to check for the trends, linearity or otherwise of the data. Regression model was applied in determining the extent of the effect exerted on capital expenditure (CAPEX) by value added tax (VAT) and custom and excise duties (CED). The result of the analysis revealed that the duo independent variables which are value added tax and custom duties had a significant and positive effect on capital expenditure. The implication of this finding is that the capital expenditure has been influenced significantly by value added tax and customs duties. The study concluded that a long-run relationship existed among VAT, CED and capital expenditure. It is therefore recommended that revenues generated from VAT and CED should be invested and allocated adequately in major domestic sectors of the economy of Nigeria so as to expand the revenue sources of the nation.

Citation: Iyidiobi F.C.,  Ugwuanyi U.B., and Ezugwu C.I. (2022) Effect of Goods and Services Tax on Capital Expenditure in Nigeria, European Journal of Accounting, Auditing and Finance Research, Vol.10, No. 10, pp.1-13

Keywords: CAPEX, CED, Expenditure, Service, Tax, VAT, goods

Analyzing the Link between Budgetary Control and Performance: A Case Study of Bayelsa State of Nigeria (Published)

Government at all levels prepares budget annually, however there are inconsistencies in budgetary implementation as government failure to stick to its appropriation bill is always clearly evident. This has resulted in the failure government to meet budgetary obligations as planned such as delay in payment of staff salaries, execution of capital projections to mention a few. This study examined the link between budgetary control and performance with a focus on Bayelsa State of Nigeria as a case study. The study adopted actual expenditure (AEX) representing performance as the dependent variable, while capital expenditure budget (CEB) and recurrent expenditure budget (REB) were used as the independent variables. Time series data on the variables were obtained from the Budget Department of the Ministry of Budget covering the period 2007 to 2016. The type of research design adopted in the study was ex-post facto research design. Data collected was analyzed using descriptive statistics and multiple regression analysis based the E-view version 10 computer software. Based on the findings the study concluded that the two independent variables have no statistical effect on actual budget performance. This means that there was no link between budgetary control and performance in Bayelsa State. The study recommended among others that government should encourage budgetary participation, consider resource availability in budgeting, strive to improve the state internally generated revenue, and employ qualified and highly skilled personnel in budget administration to ensure that budgetary control would bring about improved performance.

Keywords: Capital, Expenditure, Performance, actual, budgetary control, recurrent

Financial Regulation: Budget deficit management in post-independence Uzbekistan (Published)

The paper aims to study the important macroeconomic financial regulation problems such as budget deficit management in post-independence years of Uzbekistan.  The factors of budget deficit, the ways of its reduction and the financing mechanisms were studied using documenary analysis, economic and statistical methods of research. The research revealed that high level of centralized investments, negative effect of existed exchange regime, high subsidies for Pensions fund, compensation of agricultural losses due to bad wheather conditions and geopolitical situation required voluminous expenses. At the same time, change in tax rules, sharp decline of the income base of enterprises reduced budget revenies in the studied period. The results of research can be used as a basis for further fundamental researchs and to improving public policy and increase the efficiency of measures of budget deficit management in emerging markets.

Keywords: Budget, Expenditure, Regulation, Revenue, Uzbekistan, deficit

Cost Evaluation of Producing Different Aggregate Sizes in Selected Quarries in Ondo State Nigeria (Published)

This research centres on cost evaluation of producing aggregate sizes in selected quarries in Ondo State, Nigeria. In this study, two granite quarries out of the quarrying companies in Ondo State are used as case studies. In order to achieve the aim of this research physical properties of aggregate and stages involve in aggregate production were discussed. Also, structured questionnaires were distributed to the mangers and other management staff in the selected quarries to acquire the total cost implication of producing 1 ton of granite aggregate. The data acquired was subjected to basic economic evaluation. The results show that the monthly operation costfor Quarry A is N 30,618,000, while that of Quarry B is N10,164,000. The total production in volume value isN 67,242,000 for A and that of B is N32,625,000. Base on the above values the profit for A is N37,242,000 while that of B is N22,241,000. These translate to 122% profit for A and 219% profit for B. It is recommended that the cost price of granite aggregates in Nigeria can be reviewed to make it reachable for masses. This will eradicate the use of natural gravels that are not free from clays coating and other fine materials that could affect hydration and bond of cement paste which can lead to building or structure collapse.

Keywords: Aggregates, Cost Evaluation, Expenditure, Income, Quarry

Analytical Measures of Evaluating Auditors Quality Performance (Published)

This paper analyzes analytical procedures in auditing, including theoretical and practical aspects, as well as analytical procedures of income and expenses. The aim of this paper has been to determine the essence and the purpose of analytical procedures in auditing. The paper states that analytical procedures in auditing enable the auditor to understand specific features of activity of a business entity – the audit client, areas of potential risk, audit risk and materiality level; to detect the presence of distortions in financial reporting; to analyze the client’s financial condition; to estimate the probability of its continuous activities; to identify the need for additional audit procedures; and to develop recommendations on how to improve the client’s financial condition, which is important in contemporary circumstances of the development of the Iraqi economy. The paper also provides the conclusion that solving the problem of efficiency of analytical procedures can be enhanced by using modern information technologies and systems.

Keywords: Analytical Procedures, Audit, Audit Evidences, Audit of Revenue, Expenditure


This paper examines how internally generated revenue (IGR) is being used to finance tertiary institutions in Nigeria. Most tertiary institutions in Nigeria have set up internally generated revenue units to source for funds in order to use in assisting government to finance the institutions. Internally generated revenue unit in higher institution therefore is to serve as relief to government expenditure. This paper discusses financing higher education in Nigeria. Effect of adequate funding of tertiary institution/higher education in Nigeria. The paper also explains the need for business development as internally generated revenue in higher institution and the need for intra preneuning for internally generated revenue in tertiary institutions. The paper therefore concluded that all necessary logistics for adequate internally generated revenue must be put in place to minimize fraud.

Keywords: Expenditure, Financing, Internally, Revenue