The Relevance of Environmental Cost Classification and Financial Reporting: A Review of Standards

Oil prospecting companies and host communities in Nigeria has been having series of conflicts in the past decade. The complaint is always firms not meeting up with their environmental responsibilities generated through the negative production externalities. This study takes a critical evaluation of some aspects of IAS and selected companies’ financial statement to see the level of companies’ response to such responsibilities as reflected in the financial statements. Using a content analysis, the researchers discovered that firms report their environmental cost with no specific classification of to enable them report in the either the income statement or the statement of financial position. The result is that firms only give a descriptive disclosure of environmental cost with no monetary value in the chairman’s or director’s report. The researchers recommended that cost should be reported in the income statement if it is not intensive, otherwise it should be reported in the statement of financial position. Keywords: Relevance, Environment, Cost, Classification, Financial Reporting and Standards.

Audit Rotation; Creative Accounting, Audit Independence And Objectivity

The debate for audit firms and audit team rotation had been on the increase since the collapse of major multi-national firms in recent years, most scholars and industrialist/ government agents and officials had laid hold on the negligence of auditors to minor acts of creative accounting by managements of such firms, which cumulate into world class frauds leading to economic melt-downs. This study evaluates this claim by using empirical means to determine the effect of audit rotation on creative accounting. Believing that a long relationship between auditors and staff/management of auditee firms will possibly result to auditors compromising standards on minor but intentional acts of fraud and violation of internal control guidelines. It also examine the relationship between audit rotation and independence, objectivity and financial discipline of management. Using the statistical package for social sciences, the researchers used spearman correlation coefficient to test proposed hypotheses of the relationships of the variables. A questionnaire was designed to collect primary data from one hundred and eighty respondents drawn from audit firms and companies in the Niger Delta Region of Nigeria. The result of the analysis shows that audit rotation has a positive effect on creative accounting, audit objectivity, independence and financial discipline. The researchers therefore recommended that audit rotation should be seen by shareholders, relevant regulatory authorities, investors, corporate providers of interest capital and intervention fund along with the Governments as a means of guaranteeing corporate survival in this desperate get rich quick laden economy. KEY WORDS: Audit, Rotation, Creative, Accounting, Independence and Objectivit

Forensic Accounting and Economic Development in Nigeria

The need to upend the abysmal level of economic development in Nigeria and reverse the ugly indices of economic development has been of great interest to the government of Nigeria. In the descriptive nature of our study, we explored the role of forensic accounting in promoting economic development in Nigeria. The population of our research includes accountants and senior staff of Ministries, Departments and Agencies (MDAs). A sample size of 360 was estimated using the Yamane formula, but 349 copies of questionnaire were usable. In this study, we used frequencies and percentages in our descriptive analysis and our proposed hypotheses were tested using the Pearson correlation method. From our analysis, we observed forensic accounting as an important factor in promoting economic development. Forensic accounting in the three dimensions used facilitate employment generation and standard of living, while there is reduction in poverty on account of adopting forensic accounting. These impressive discoveries led us to recommend that, government should regulate the activities of the forensic accounting profession to ensure members conduct themselves properly, enhance competency and standard and ensure members of the public are protected from being misled

Creative accounting methods and corporate failure in Nigeria

This study examined the relationship between Creative Accounting Methods and Corporate Failure in the Nigeria, specifically Aviation Industry. To carry out this study, Income smoothing, Accounting policy choice and Artificial transactions were used as proxies of creative accounting and Corporate failure as our endogenous variable, the motivation for this research was born out of observed incessant liquidation of air transport firms, some dead almost on arrival and public outcry against the poor management of the industry. the study design adopted was a blend of exploratory and explanatory survey. The study sourced its data from primary sources using structured questionnaire, and the data analysis was done using multiple regression analysis with the aid of SPSS version 25 to test the hypotheses formulated for this study. The results showed that creative accounting has a positive effect on corporate failure, specifically income smoothing and artificial transactions revealed the presence of creative accounting techniques in the industry. However, accounting policy choice showed a contrary result, though this did not invalidate the fact that there is the presence of creative accounting practices in the industry, given the cumulative coefficients of the proxies of independent variable. Based on the research findings, this study concluded that creative accounting techniques has significant effect on corporate failure. And recommended amongst others: the need to discourage the practices of creative accounting in the industry. Keywords: Creative, Accounting, Methods, Corporate, Failur