1.0 INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Inventory control refers to the management function concerned with the acquisition, storage, handling and usage of inventory, so as to ensure availability of inventory when needed, provide adequate cushion for contingencies and denying maximum economic benefits and at the same time minimizing wastage and losses.
Independently, inventory purse can be defined as a quality of goods or maternal in the control of the enterprises and hold for a time in its relatively idle or unproductive state, awaiting its intended use or sale. It is equally identified as stock on hand at a given time.
Control is necessary so as to minimize cost and at the same time keep our services good enough so that an organization do not lose business. The control and maintenance of inventory is a problem that is common to organization in different sectors of the company. Inventory problems have proliferated as technological ability to produce good in greater quantities and at a factor rate. Cash invented in inventories could be used some where else for profit making, debt servicing on dividend distribution. Management is therefore becoming increasingly aware that the overall efficiency of company’s operation is directly related to inventory situation existing within the company. The real problem therefore has been in the determination of inventory level at which many invested in the inventory will produce a rate of return higher than it would if it had been invested in some other areas of business.
TABLE OF CONTENT
Title page - - - - - - - i
Certification - - - - - - - ii
Declaration - - - - - - - iii
Dedication - - - - - - - iv
Acknowledgement - - - - - - v
Table of contents - - - - - - vi
CHAPTER ONE:
1.0 Introduction - - - - - - 1
1.1 Background of the Study - - - - 1
1.2 Statement of Problem - - - - - 2
1.3 Formulation of Hypothesis - - - - 3
1.4 Objective of the Study - - - - - 5
1.5 Significance of the Study - - - - 6
1.7 Definitions of Terms - - - - - - 7
CHAPTER TWO
2.0 Review of Related Literature - - - 12
2.1 Introduction - - - - - - 12
2.2 Functions of Inventories - - - - 13
2.3 Costs Associated with Inventory - - - 16
2.4 Inventory Valuation Methods - - - 19
2.5 Nature of Inventory Control - - - - 21
2.6 Inventory control mechanisms/ Control - - 23
2.7 Inventory Flow Circle - - - - - 29
2.8 The Impact of Effective Inventory Control
on Profitability of Firms - - - - 31
CHAPTER THREE
3.0 Research Methodology - - - - 34
3.1 Introduction - - - - - - 34
3.2 Research Design - - - - - - 34
3.3 Instrumentation - - - - - - 35
3.4 Procedures for Data Collection - - - 36
3.5 Population of the Study - - - - 37
3.6 Determinations of Samples - - - - 38
3.7 Method of Statistical Analysis - - - 40
CHAPTER FOUR
4.0 Data Analysis and Design - - - - 44
4.1 Introduction - - - - - - 44
4.2 Analysis of Questionnaire Responses - - 45
4.3 Testing of Hypothesis - - - - - 45
CHAPTER FIVE
5.0 Summary, Conclusion and Recommendation - 65
5.1 Summary of Study - - - - - 65
5.2 Conclusion of Study - - - -- - 65
5.3 Recommendations - - - - - 67
Bibliography - - - - - - - 70
