CAPITAL BUDGETING: INVESTMENT APPRAISAL TECHNIQUES AND CAPITAL
INVESTMENT DECISIONS: EVIDENCE FROM CROSS RIVER STATE OF NIGERIA

William Smart Inyang, (M.Sc, ACA), 1 Department of Accounting, University of Calabar, P.M.B. 1115,
Calabar, Cross River State. Email: wismarti@gmail.com
2 John Ogenyi Oboh, Department of Accounting, University of Calabar, P.M.B. 1115, Calabar, Cross
River State. Email: johnobohogenyi@gmail.com
Dr. Okoi, Innocent Obeten (PhD, ACA), 3 Department of Banking of Finance, University of Calabar,
P.M.B. 1115, Calabar, Cross River State. Email: innobetokoi@gmail.com
Dr. Charles Effiong, (PhD, FIPMD), 4 Department of Business Management, University of Calabar,
P.M.B. 1115, Calabar, Cross River State. Email: charly4free@yahoo.com

ABSTRACT
This study was carried out to determine the appropriateness of the capital investment decisions of Cross
River State government of Nigeria for the chosen investment appraisal techniques. Use of investment
appraisal techniques (independent variable was measured by the perceptions of heads of finance, budget,
planning and research and statistics units of 20 selected MDAs on the choice of investment appraisal
techniques while capital investment decisions (dependent variable) was measured by investment appraisal
related factors that disclose the perceived appropriateness of the capital investment decisions. A field
survey from June to August, 2019 was conducted and self-administered questionnaire was used to collect
primary data from 20 selected MDAs in Cross River State of Nigeria. The study revealed that investment
appraisal methods are selected without taking cognizance of the capital projects that are suitable for them
and based on these findings, the study recommended among others that the nature of capital projects should
be used in determining the appropriateness of investment appraisal methods.

DOWNLOAD FULL TEXT HERE

https://afra.org.ng/wp-content/uploads/2022/03/pro2019027.pdf

Leave a Reply

Your email address will not be published.