Audit Committee Independence, Size and Financial Reporting Quality of Listed Deposit Money Banks In Nigeria
Journal Title: IOSR journal of Business and Management - Year 2018, Vol 20, Issue 2
Abstract
This study examines the effect of audit committee independence and size on financial reporting quality of listed deposit money banks (DMB) in Nigeria. Cross sectional data was obtained from the Nigerian Stock Exchange fact books and the financial statements of fifteen (15) listed deposit money banks over a period of ten years (2007-2016). The modified Jones (1991) model was adopted to measure financial reporting quality. The data was analyzed using STATA 13. The study reveals that audit committee independence has a negative but significant effect on financial reporting quality of listed deposit money banks in Nigeria. Also, audit committee size has no significant effect on the financial reporting quality of listed deposit money banks in Nigeria. The study concludes that audit committee independence has a negative and significant effect while audit committee size is positive and has an insignificant effect on financial reporting quality of listed deposit money banks in Nigeria. Based on the conclusion, the study recommends that (i) Deposit money banks in Nigeria should ensure that their boards are independent as this is likely to enhance financial reporting quality; and (ii) Management of deposit money banks in Nigeria should consider the provisions of the Nigerian code of corporate governance in audit committee composition. This will improve the financial reporting quality of DMB’s.
Authors and Affiliations
Onyabe Joseph Majiyebo, Dr Joshua Okpanachi, Dr Terzengwe Nyor, Dr Onipe Adabenege Yahaya, Ahmed Mohammed
Keywords
Related Articles
- EP ID EP409634
- DOI 10.9790/487X-2002044047.
- Views 81
- Downloads 0
Cost-Effective Stores Management
Distribution activities that are involved in store keeping, stock control and stock handling are carried out efficiently and economically by those employed in the stores. Efficient stores management can have a significan...
Leadership: the Role of the Leader in the Making of High Performance Teams
The objective of this research was to identify how the leaders influence their teams to form a high performance team, identify the most common shortcomings on the matter and how the actions taken affect the case’s result...
Employee Performance and Their Organizational Commitment In Relation To HRM Practices: A Literature Review
In today’s competitive and rapidly changing business world, organizations especially in the service industry need to ensure maximum utilization of their resources to their own advantage; a necessity for organizational su...
Impact of EPZ on National Economy of Bangladesh
Export Processing Zone (EPZ) is the special industrial park developed in response to international market of cheaper goods. Eight EPZs of Bangladesh are managed and authorized by Bangladesh Export Processing Zone Authori...
The Influence Of Transformational Leadership Style And Job Satisfaction Towards Organizational Performance Moderated By Years Of Service (Case Study At Public Hospital In Indonesia)
Organizational performance is the value achieved by each organization depending on how the organization is managed by its leaders. Aligned with this, the study aims to determine the factors that affect the performance of...