Factors Affecting Budget Effectiveness in Yeka Sub City Office of Finance & Economic Development

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Date

2022-02-10

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A.A.U

Abstract

The main purpose of this study was to investigate the factors that affect budget effectiveness in the Yeka sub-city finances and economic development office. The study use explanatory styles of research design with a quantitative research approach. From the total population of 58, censes method was applied to determine sample of 58 respondents from management teams, the internal and external auditors, budget experts, finance officers, tax and planning experts of the selected public organization were the sources for the required data to the researcher through the structured questionnaires. The SPSS version 24.0 was used to analyze the data using descriptive statistics, including mean, standard deviation and multi variable regression used to analyze inferential output. For this study, four independent variables are identify including budgeting planning, budget preparation, budget implementation, and budget monitoring. The dependent variable is budget effectiveness should be measured under multi variable regression. According to the multi variable regression output, Budget planning, Budget preparation, Budget implementation and Budget monitoring and evaluation have a significant effect (positive relationship) on Budget effectiveness. The study concluded that, Budget planning, Budget preparation, Budget implementation and Budget monitoring and evaluation should be embraced since they demonstrated a significant positive relationship with the dependent variable. Furthermore the study recommend, since the effective implementation of budget is not simple matter, it is advisable to exist clear and open budget transparency, communication among managers, workers and departments for better performance and to achieve the goal of the office.

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