Environmental Protection and Sustainability Reporting:Extensible Business Reporting Language(XBRL)Interactive Data to the Rescue

A company‟s environmental performance is important to the financial markets because improved environmental performance generally leads to higher, more sustainable, financial values. Challenges that arise in environmental financial accounting border on proper accountability of environmental costs and liabilities, meaningful disclosure of enterprise environmental performance, and development/usage of appropriate management accounting procedures (e.g. costing out pollution controls; comparing alternative materials that can be used in manufacturing; and investigating recycling alternatives). The need for standardized environmental performance indicators (EPIs) which link financial and environmental performance in order to support the quality of decision making of stakeholders cannot be overemphasized. In spite of the existence or underway development of a number of guidelines for measuring and disclosing environmental performance, many environmental indicators are of a limited benefit due to the lack of standardization of environmental information. Most information today moves in a digital format and people often go to the internet for information. Sustainability information, however, has largely remained in print, but report preparers and users have much to gain by moving environmental and social performance information into the wider digital flow of information. This paper therefore, while showcasing the importance of and need for environmental accounting and reporting, provides a recipe underscored by information standardization through the engagement of the twenty-first century corporate reporting language known as eXtensible Business Reporting Language (XBRL). XBRL enables an electronic “tag” on numbers or other qualitative information in the report so that computers can recognize the information, select it, analyze it, store it, exchange it with other computers and present it automatically in different ways. It concludes that the assurance about a company‟s financial projections and nonfinancial information (customer satisfaction, employee retention, or environmental reporting) and the integrity of the information itself through XBRL would enhance the effectiveness and efficiency of resource allocation, increase income and welfare, as well as achieve the objective of an environmentally sound management which encompasses increasing eco-efficiency, reducing environmental impact, and increasing company value added. It thus recommends that Nigeria and the developing countries should embrace the XBRL technology as they cannot afford to be left behind by the fast spreading current worldwide future reporting standard

FUNDING OF UNIVERSITY EDUCATION IN NIGERIA: CHALLENGES AND PROSPECTS

Higher education is the instrument par excellence for development and there is the ultimate need to make it relevant and responsive to the needs of the society. A reliable and sufficient funding platform is a necessity for achieving access to and excellence in university education in Africa. Sources and systems of funding for Nigerian Universities have proven inadequate and innovative or alternative funding mechanisms have become very important more than ever before. This paper examines the funding debacle in Public and Private Universities in Nigeria. It presents the case study of Nigeria Higher Education Foundation (NHEF). Using the secondary data research methodology, it finds that private higher education is the fastest growing segment of higher education worldwide and African universities can as well be more active in getting funds from local institutions and global philanthropic support sources. It recommends, amongst others, the putting in place of a National University educational budget reform which gives unflinching priority to allocation of more funds and that actualizing the realization of suggested intensified creative financing strategies should be the responsibility of all major stakeholders of University education in Nigeria

Tax Expenditure in Sub Saharan Africa: The Nigerian Experience

The Nigerian government established the National Economic Empowerment and Development Strategies (NEEDS) in 2003 to achieve its trade policy of which the reform of Nigeria Custom Services is one of the major functions. Over the years, custom and excise duties have been major sources of revenue apart from crude oil. However, the problems of corruption, fraud and malpractices together with inefficiencies and ineffectiveness in operations have hindered the desire to contribute maximally to the economic development of the nation. The central objective of trade policy was to provide protection for domestic industries and reduce the perceived dependence on imports; reduce level of unemployment and generate more revenues from the non-oil sector, hence tariffs on raw materials and intermediate capital goods were scaled down. Duty exemptions and concessions remain some of the quantitative policy instruments for attracting investment and boost domestic production. This paper will review; discuss Tax Expenditure and the Nigerian experience, especially on loss of revenue from customs. Keywords: Custom duties, Revenue, Duty exemptions, Domestic production, Development

Financial Statement Insurance: Restoring Investor Confidence in Nigerian Banks

Nigerian banks are the driving force of the economy and are important players in the financial market. Their healthy existence is very key to the survival of all other industries while their failure or lack of liquidity will lead to a drastic decline in economic activities. Over the past few years, The Nigerian banking industry has experienced a massive wave of failures, which has led to the continued lack of confidence in the banking system. The problem identified was the auditors' lack of independence as shown in the provision of false or misleading financial statements to investors. In order to provide investors with the assurances that they can rely on financial statements issued to them, this research aims at identifying a mechanism that can restore investors' confidence in Nigerian banks. It posits that, to depict the true and fair view of the affairs of the banks, auditors must be removed from the employment of the corporation. The study expatiates on how Financial Statement Insurance (FSI) concept is effective in eliminating the problem of auditor's independence and the inherent conflict of interest between the management and auditor. The underlining idea is that audits of corporate financial statements must be completed and paid for by an outside third-party entity which may be an insurance company that can manage and control entire audit process and protect shareholders, customers and investors in the event that they suffer a loss as a result of misrepresentation in the financial statements. Hence, FSI is a process whereby a company, instead of appointing and paying auditors, purchases fmancial statement insurance that provides coverage to investors against losses suffered as a result of misrepresentation in financial reports. Both the insurance coverage that the companies obtain and the premiums paid for the coverage are made public. The insurance companies would then appoint and pay the auditors who ascertain and testify to the accuracy of the financial statements of the companies (insurance clients) :-! This study finds ~ that the benefits of FSI outweigh its inherent limitations and that the adoption of Financial Statement Insurance will eliminate the problem of auditors' lack of independence and give reasonable assurance that financial statements have been prepared fairly, therefore restoring investor's confidence in Nigerian banks. Thus, it concludes that there is a need to introduce a market-based financial statement insurance scheme designed to eliminate conflicts of interest that are inherent in the auditor-client relationship and, at the same time, credibly signal the quality of financial statements. It therefore recommends that Nigerian banks and all concerned stakeholders should promote their level of awareness and application of Financial Statement Insurance as this would help engender not only better communication with stakeholders but also greater investor confidence and trust

Financial Reporting Using Xbril: A Readmap to Vision 2020

Nigeria desires to be in the league of top 20 world economies by year 2020 through her vision 2020 plan. For this to be a reality, the nation must live up to development expectations in the face of increasing size and complexity of business organizations, increasing government role, and the need for vital information which is the driver of modern knowledge economies. Financial reporting information is at the center of providing quantitative and qualitative information about business/economic institutions useful for making growth/essential economic decisions. The eXtensible Business Reporting Language (XBRL) is a new standard in financial reporting which is poised to take the business world by storm. It will not only streamline how financial information is updated, but make it more readily available to those who need it. XBRL is an open source financial reporting system designed to accommodate the electronic preparation and exchange of business reports around the world. The basic concept behind it is an ID tag used to identify financial documents, much like an ISBN tag on books, or a bar code on retail products. The paper, using secondary data empirical evidence, argues that the realization of the vision 2020 hinges on a capital formation process which can only be enabled by the XBRL digital reporting system. It recommends that individuals, governments, companies, development stakeholders, and the Nigerian public should join effort to move forward and make use of the XBRL language as it can no longer be ignored in gaining global economic relevance

Measuring Changes in Financial Through Ration Analysis

The paper presents a critical examination of the performance of the traditional ratios, followed by a description of the development and testing of a model which measurers changes in the financial health of the companies. With the number of liquidations increasing, it is important to try to establish some method of measuring changes that takes place in the financial health of companies. Certainly, over the term, the success of share investment in companies depends to a large extent organization investments, which is return on investments. However, lenders, bankers, creditors and employees, must also be interested in the above factors for the health of the company in its ability to meet its obligations which is determined in part by how profitable it is and how well it is managed. Generally speaking, measures of liquidity involve comparisons of a company's relatively immediate liabilities with those assets available to meet them. The ratio is measured to assess the cover available to meet the existing current liabilities these being assumed to require repayment in the relatively near future. It is obvious that all such ratios are liable to window-dressing and valuation problem which could distort them and lead to misleading portrayal of liquidity. Findings show that 35% of tested companies revealed the key ratio producing a 20% return or more in the second year from failure when using profit/net operating assets while only 2% of companies showed a 20% or more return when using total asset. The model gave indications on early warnings and identifications of ratio score movements. Amongst others, it was recommended that the audit functions and the propriety of model can alleviate many of ratio-related potential problems, but the analysis must understand the trailities of the data and, particularly, the problems of comparison over time and between companies. Further, the use of total assets is strongly recommended as the key profitability ratio gives misleading results to jailing companies when net operating assets are used as the denominator

The Role of Forensic Accountants in Fraud Detection And National Security in Nigeria

This study aims at exploring the relevance of forensic accounting in curbing crime and corruption in public sector. The objective of the research work seeks to explore the role a forensic accountant can play in the fight against corruption by applying his investigative skills, providing litigation support service and documentation and reporting. The population used in the research was the Federal Inland Revenue Service (FIRS). The research design employed was the survey research. Data were majorly collected from primary sources. The hypothesis testing in this research work was done using regression analysis. The results of the empirical findings show that forensic accountants are relevant in investigating crime and corruption in the public sector. Forensic accountants play a role in litigation support services in the public sector, and forensic accountants are relevant in documentation and reporting. It was observed that the forensic accountants play a significant role in curbing crime and corrupt practices in any public sector since they provide a mechanism to hold people accountable, such that those who manage resources in a fiduciary capacity do not easily abuse that trust without detection. Amongst other proferred solutions, it was recommended that accounting professionals should always act proactively such that the members of the profession in Nigeria are kept abreast of emerging technologies, especially in the area of forensic accounting. The legislature should also see to it that the executive grants full autonomy to the agents of government that are charged with enforcing accountability. Office of the Auditor-General of the Federation, the Economic and Financial Crimes Commission, Independent Corrupt Practices Commission, and Code of Conduct Bureau, should be fully independent entities free to do their jobs without undue meddling and interference. Key words: FIRS, Forensic Accounting, Regression Analysis, Crimes, Corruptio