IJEBMR
ISSN: 2456-7760

Title:
FINANCIAL LITERACY AND PERFORMANCE OF SMALL AND MEDIUM SCALE ENTERPRISES IN BENUE STATE, NIGERIA

Authors:
Umogbaimonica Esiebugie, Agwa Tewase Richard, Asenge Lupem Emmanuel, Nigeria

Abstract:
This study the effect of financial knowledge on the performance of Small and Medium Scale Enterprises (SMEs) in Benue State, Nigeria. The study was anchored on the Dual -Process Theory.The researcher used both primary and secondary sources from a sample of 154 respondents obtained by the use of a well structured questionnaire. The data collected were analyzed using descriptive statistics such as frequency, simple percentage and the relationship between the variables of the model was tested using multiple linear regression analysis. The result of the regression analysis indicates that the probability value of the regression analysis was used to test the first hypothesis at 5 % level of significance and the p-value (0.002) was lower than the significance level this means that the null hypothesis was rejected and the alternative accepted. This result can be statistically given as p-value 0.002< ? = 0.05. The second hypothesis was tested at 5 % level of significance and the p-value (0.328) was greater than the significance level, tis means that the second null hypothesis was accepted. This result can be statistically given as p-value 0.328 > ? = 0.05. The probability value of the regression analysis was used to test the third hypothesis at 5 % level of significance and the p-value (0.000) was lower than the significance level meaning that the null hypothesis was rejected and the alternative accepted. This can be statistically given as p-value 0.000 < ? = 0.05. It was concluded that financial knowledge and attitudes influences SMEs performance. It was recommended among others that there is a need for training programs on budgeting and planning, debt management, record keeping; saving and retirement plans in schools and other institutions that seek to promote financial literacy and practice.

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