Effect of Assets Profile on Earnings and Shareholders Fund Performance of Leading Manufacturing Company in Nigeria

The study examined the earnings, shareholders fund and assets profiles of Guinness Nigeria plc. A leading manufacturing company in Nigeria, from 1992 to 2008 and assessed the effect of Assets Profile on Earnings and Shareholders fund performance using Ratio Analysis. Secondary data sought from the published accounts of the company for the stated periods were used for the study. The mean scores, the maximum and the minimum values, the standard deviation of the gross earnings, deposits, and total assets, net profit before and after tax together with that of shareholders’ funds were computed. Paired samples correlation analysis was used to ascertain the relationship between gross earnings and cash deposits as well as deposits and total asset, net profits and shareholders fund. The paired two tailed sample t test was used to determine the significance of coefficient of independent variable. Findings indicate that the total assets and total deposits paired sample correlation was 0.965 and that of total assets and gross earnings was 0.991and total deposit with gross earnings was 0.972 respectively for the period under consideration which implies a significant relationship over the considered years. The calculated paired sample t difference of means and standard deviation of total assets and shareholders fund of 2.69 and 3.16 was greater than that of total deposits and shareholders fund of 1.56 and 1.50 at 95% confidence level. This implies that total assets contributed more significantly to shareholders fund of Guinness Nigeria plc during the period under consideration. The study concludes that the sustenance of the profit position is dependent on the asset profile and the adequacy of the cash component of the asset to maintain profitability, liquidity and to boost the shareholders fund respectively.     Keywords: Effects, Assets Earnings, Shareholders fund performance

Impact of Forensic Accounting in the Profitability of Quoted Banks in Nigeria, Case Study of GTBank and TAJ Bank

This paper examines the impact of forensic accounting on bank profitability in Nigeria using GTBank and TAJ Bank as case studies. A quantitative correlation analysis was conducted on financial data from 2018-2022 to analyze the relationship between spending on forensic accounting initiatives and net income after taxes. The results showed no statistically significant correlation between forensic accounting practices and profitability, suggesting it may not directly impact bottom line financial performance. Potential reasons include costs outweighing benefits, corporate fraud being too low-impact to affect profits, and many other macroeconomic and industry factors playing a bigger role. While counterintuitive, the lack of linear association indicates investments in fraud audits, investigations, and litigation support do not correlate with higher or lower profit levels. Explanations include forensic accounting costs offsetting gains, fraud being too rare to move profits, and interest rates, regulations, leadership decisions, and competition having greater impact. The paper provides an initial analysis but more research is needed using mixed methods on larger samples over longer timeframes to develop a nuanced understanding. Statistical analysis has limitations for these complex business relationships. Further investigation with comparative cases and qualitative insights can advance knowledge on the drivers of bank profitability beyond purely quantitative data