Kashere Journal of Management Sciences

MODERATING EFFECT OF AUDIT QUALITY ON AUDIT COMMITTEE CHARACTERISTICS, OWNERSHIP STRUCTURE AND PERFORMANCE OF LISTED CONSUMER GOODS COMPANIES IN NIGERIA

2024-11-24T15:06:26+00:00

This study examines the moderating effect of audit quality on the relationship between audit committee characteristics, ownership structure and performance of listed consumer goods companies in Nigeria. The study adopted ex-post facto and correlational research design and collected data using secondary method from published annual reports of the selected companies and the Nigerian Exchange Group. The population of this study was 21 listed consumer goods companies in Nigeria where 11 were considered as the sample size. The data gathered were analyzed using descriptive and inferential statistics such as multiple regression with the help of STATA version 14. The study found that audit committee meetings and audit committee size have a negative relationship with performance of consumer goods companies while block holders and institutional ownership have a positive relationship with performance. Whereas, the result of the moderating relationship revealed that audit quality moderate the relationship between audit committee meeting, audit committee size and block holders’ ownership while no moderation was found on institutional ownership. It was recommended that additional shares should be allotted to institutional investors since they tend to guard against their investment. The study also recommends that regulatory bodies in Nigeria must put more effort on improving the effectiveness of corporate governance mechanisms with specific focus on the effect of concentrated ownership structure and audit quality.

EFFECT OF FORENSIC ACCOUNTING SKILLS ON FINANCIAL REPORTING QUALITY OF NIGERIAN DEPOSIT MONEY BANKS

2024-11-24T15:20:16+00:00

The main objective of this study is to empirically examine the application of forensic accounting skills in improving financial reporting quality of Nigerian Deposit Money Banks. The study employed a survey research design and the population of the study consists of all the Nigerian deposit money Banks listed on the floor of the Nigerian Exchange Group as at 31^st December, 2020. The study used primary sources of data collection through survey instrument in which ninety-eight (98) copies of questionnaire were administered to respondents drawn from Nigerian deposit money banks. The study variables consist of financial reporting quality as dependent variable and forensic accounting skills proxied by fraud prevention detection and deterrence skills, forensic audit, investigation and interviewing skills, litigation mediation and arbitration skills, and computer assisted review and audit review represent the independent variables. The data was analyzed using PATH analysis via Smart-PLS software. The result of the analysis revealed that all forensic accounting skills but one - fraud prevention, detection and deterrence skills, forensic audit investigation and interviewing skills, litigation mediation and arbitration skills have positive and significant influence on financial reporting quality. Lastly computer assisted review and audit review has no significant effect on financial reporting quality. Therefore, it is recommended that internal audit staff should regularly undergo training and development programs to acquaint them with relevant knowledge and skills for effective forensic auditing

THE NEXUS BETWEEN AUDIT COMMITTEE ATTRIBUTES AND KEY AUDIT MATTERS: EVIDENCE FROM INSURANCE INDUSTRY

2024-12-09T14:30:26+00:00

Key audit matters (KAMs) are important for financial statement users as they provide clarity and in-depth understanding of financial statement audits. Empirical research on KAMs remains at an early stage particularly in Nigeria. Therefore, this study aims to investigate the effect of audit committee attributes on KAMs of the listed insurance companies in Nigeria. The study sample consists of 24 insurance companies from 2016-2022. The data for the study which was generated from annual reports and accounts of the insurance companies was analyzed using random effect regression. The findings show that audit committee independence and audit committee financial expertise have a negative and positive relationship with the number of KAMs respectively. Consequently, the result provides support on the agency problem between manager and shareholders. Based on result, the study recommends that regulatory bodies such as the National Insurance Commission (NAICOM) should continue to engage the insurance companies in the area of good corporate governance practices. This will go a long way in mitigating non-disclosure of vital information in the financial statements. Furthermore, the implication of this issue is that the financial statements cannot be relied for informed decision making