The Impact of Financial Literacy and Frequency of Meetings of Members of Audit Committe on Financial Reporting Quality in Nigerian Quoted Companies

The main objective of this study was to evaluate the impact of Financial Literacy (FL) and Frequency of Meetings(FM) of members of Audit Committee on financial reporting quality in Nigerian quoted companies. Data for the study were derived from annual reports of one hundred and thirty one (131) companies quoted on the Nigerian Stock Exchange over the period of 2006 to 2012. The data were analyzed using descriptive, correlation and Ordinary Least Square (OLS). The multivariate regression technique was utilized to estimate our model. The findings showed that audit committee financial literacy and audit committee frequency of meetings had a positive significant influence on financial reporting quality. Based on these findings, some recommendations were made, prominent amongst them, was that, in order to strengthen the impact of financial literacy on financial reporting quality, regulatory authorities such as SEC, CBN and NDIC, should give special attention to audit committee members with high status with a view to making it mandatory for all companies to comply with it. Status, in this context, implies an aspect of personal power reflecting the ability to influence outcomes based on perceived skills, qualities and personal attribute

The Impact of Financial Literacy and Frequency of Meetings of Members of Audit Committe on Financial Reporting Quality in Nigerian Quoted Companies

The main objective of this study was to evaluate the impact of Financial Literacy (FL) and Frequency of Meetings(FM) of members of Audit Committee on financial reporting quality in Nigerian quoted companies. Data for the study were derived from annual reports of one hundred and thirty one (131) companies quoted on the Nigerian Stock Exchange over the period of 2006 to 2012. The data were analyzed using descriptive, correlation and Ordinary Least Square(OLS). The multivariate regression technique was utilized to estimate our model. The findings showed that audit committee financial literacy and audit committee frequency of meetings had a positive significant influence on financial reporting quality. Based on these findings, some recommendations were made, prominent amongst them, was that, in order to strengthen the impact of financial literacy on fina ncial reporting quality, regulatory authorities such as SEC, CBN and NDIC, should give special attention to audit committee members with high status with a view to making it mandatory for all companies to comply with it. Status, in this context, implies an aspect of personal power reflecting the ability to influence outcomes based on perceived skills, qualities and personal attributes

The Ethical Reasoning Process of Auditors in a Client's Confidential Matter:

The Code of professional conduct issued by Accountancy bodies prohibits Accountants/ Auditors from breaching the rule of confidentiality. Auditors who are · members of the accountancy profession in Nigeria are not allowed to disclose any confidential information concerning their clients without the due permission of the client. However, there are certain exceptions to the rule. Auditors may disclose information of his client without permission in response to a legitimately issued and enforceable subpoena. This study was conducted to investigate the reasoning process of auditors in Nigeria when faced with an ethical dilemma involving sensitive client information. The survey approach, involving three scenarios was used. The findings show that auditors usually adhere to the code of professional conduct in taking decisions. The study also shows that decisions taken in line with the code are not always in accord with good ethical reasoning. It is therefore recommended that the · accountancy profession needs to emphasize the greatest 'good criterion' in drawing up codes of ethics for members

A Perception Based Analysis of the Mandatory Adoption of International Financial Reporting Standards (IFRS) in Nigeria

__________________________________________________________________________________________ Abstract Since the international financial reporting standards (IFRS) have been developed and accepted internationally, the decision of a country to embrace IFRS becomes a vitally important topic for researchers and standard setters

Financial Structure and the Profitability of Manufacturing Companies in Nigeria

Finance mix is a major factor that affects the liquidity and the going concern of a business enterprise. After an idea has been conceived by an entrepreneur, there is need to also analyse the capital required for startup and means of financing the project. A good combination of sources of finance is expected to boost the profitability of an organization, but if not properly mixed, could have a negative effect on the profitability of the organization. The main objective of the study is to evaluate the effects of financial structure on the profitability of manufacturing companies in Nigeria. This study employed the use of secondary data. The Spearman’s Rank correlation and regression techniques were used for analysis, using the STATA Package for a sample of 25 manufacturing companies quoted on the Nigerian Stock Exchange for the period 2008-2012. The study showed that equity has a significant positive relationship with the profitability of manufacturing companies in Nigeria. The study recommends that managers should place greater emphasis on the facilitation of equity capital and policy makers should encourage manufacturing companies by reducing the cost of debt

MANDATORY ADOPTION OF INTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS) BY NIGERIAN LISTED BANKS: ANY IMPLICATION FOR VALUE RELEVANCE?

In January 2012 Nigeria adopted IFRS. Sequel to that adoption, the pressing question agitating the minds of researchers as well as other stakeholders in financial reporting is whether the mandatory adoption of IFRS has given rise to an enhanced value relevance (or quality) of financial information in Nigerian banks. To address this, we relied on the fundamental Ohlson (1995) model which has also been severally employed in prior researches. By means of criterion based sampling technique, we selected 13 out of the 21 listed commercial banks in Nigeria for our study. Our findings revealed that Book Value of Equity (BVE) and Earnings per Share (EPS) are positively associated with share price. We also observed that BVE is less associated with share price than EPS. We recommended inter alia that sustainable development of Nigerian Stock Exchange (NSE) can be boosted through credible financial information. When the integrity of the Financial Report is being threatened, investors (both local and international) are likely to shun or shrink from investing adequately in Nigerian Capital Marke

Assessing the Connectedness between Corporate Governance Mechanisms and Financial Performance of Listed Oil and Gas Companies in Nigeria

This research examines the nature of relationships that exist between corporate governance mechanisms (board composition, audit committee, board size and corporate governance disclosure) and financial performance (return on equity, profit margin and return on asset) in the Nigerian oil and gas industry. Secondary data from the audited financial statements of the fifteen listed oil and gas companies in Nigeria were employed. The test of hypotheses and other analysis of data were done using Pearson Correlation and regression analysis generated from SPSS, version 17. Findings from the study revealed that insignificant but positive relationship does exist between board composition and the performance of oil and gas companies in Nigeria. Evidence also exist that corporate governance disclosure level has a positive and significant impact on the ROE. This study therefore suggests that board of directors and stakeholders of oil and gas companies in Nigeria should pay more attention towards enhancing the independence of their audit committees and the extent of their corporate governance disclosure in order to enhance their level of profitability

An Assessment of Sustainability Disclosures in Oil and Gas Listed Companies in Nigeria

The paper aims to evaluate the extent of sustainability disclosure in the annual report’s oil and gas industries. The study retrieves secondary data on sustainability disclosure for 10 years (2010 - 2019) from eight oil and gas industries listed in the Nigerian stock exchange through a desktop approach and content analysis methodology. Content analysis of the sustainability disclosure is to identify items of sustainability disclosed in the annual reports. The paper assesses the extent of disclosure by adopting the global reporting initiative’s scoring index. Findings from the analysis indicate a very lowlevel climate change and environmental pollution disclosure. Only 13.8% of the companies disclosed their impact on climate change and environmental pollution. On the contrary, all the companies revealed their community investment, which this paper regards as legitimizing smokescreen ecological pollution. The paper contributes to the literature by connecting the legitimacy theory to the decoying sustainability disclosure of oil and gas companies in Nigeria. In conclusion, the study recommends more stringent sustainability disclosure policies for the oil and gas to provide more information for environmental and climate change advocates and investors in censuring the companies, which might instill improved environmental compliance