Department of Accounting
Permanent URI for this communityhttp://itsupport.cu.edu.ng:4000/handle/123456789/28762
Welcome to the page of the Department of Accounting
Browse
9 results
Search Results
Item MODERATING EFFECT OF GOVERNANCE QUALITY ON THE RELATIONSHIP BETWEEN CFOs’ NARCISSISM AND CORPORATE EARNINGS MANAGEMENT IN NIGERIA(Journal of Management Information and Decision Sciences, 2020) Taleatu, Taofiki Akinwumi; Adetula, Dorcas; Iyoha, Francis OdianonsenUpper echelons in an organization such as chief financial officers (CFOs) have been implicated in corporate fraudulent earnings management. Their narcissistic traits have also been linked with unethical accounting practices while little is known on the moderating effect of corporate governance quality on this relationship. Hence, this study investigated the moderating effect of corporate governance quality on the relationship between CFOs' narcissistic trait and earnings management in troubled, non-listed companies in Nigeria. The primary data for the study was obtained from the survey of 80 non-listed companies indebted to the Asset Management Corporation of Nigeria (AMCON). The survey involved the distribution of copies of a structured questionnaire to two hundred and forty (240) CFOs and other financial officers in the sampled companies. Two hundred and four (204) copies of the questionnaire, which represents a response rate of 85%, were found suitable for data analysis. Descriptive statistics involves the computation of means and standard deviations. Moderated regression analysis was employed to test the hypothesis of the study. Our findings revealed high CFOs' narcissism (Mean = 3.6961, SD = 1.03428, Min = 1, Max = 5), upward earnings management (Mean = 3.8137, SD = 1.00472, Min = 1, Max = 5) and moderate corporate governance quality (Mean = 3.2353, SD = 1.25299, Min = 1, Max = 5). The study also revealed a significant positive relationship between earnings management and CFOs' narcissistic trait (beta = 0.636, t-value = 21.628, P<.05, Sig. = 0.000). A significant negative relationship was observed between corporate governance quality and earnings management (beta = -.360, t value = -12.251, P<0.05, Sig. = 0.000). However, further finding revealed that corporate governance quality has a significant moderating effect on the relationship between CFOs' narcissistic trait and corporate earnings management (beta = 0.145, t-value = 9.582, P<0.05, Sig. = 0.000). The policy implications of these outcomes include the need to strengthen corporate governance quality in non-listed companies in Nigeria. Consequently, the study recommends sensitization of the stakeholders of non-listed companies in Nigeria on the implementation of the Nigerian Code of Corporate Governance 2018 to reduce unethical accounting practices and promote corporate financial reporting quality in the country.Item IFRS, Foreign Investment, and Prevailing Institutional Structure in Africa(African Studies: Breakthroughs in Research and Practice, 2024) Efobi, Uchenna; Iyoha, Francis OdianonsenWe revisit the effectiveness of IFRS adoption for FDI attractiveness by considering the adopting country's institutional structure. Attention was on the extent of corruption control (as a measure of institutional structure). Data was tested on 42 African countries for the period 2001-2012. Using the Panel Corrected Standard Error (PSCE) estimation technique, our result suggest that the effect of IFRS adoption on foreign investment differs based on the level of corruption control instituted in the sample countries. When the variable – IFRS adoption, was tested for the sample with corruption control below the median value, the coefficient was either negative or insignificant. However, the opposite was seen for the category of countries with corruption control above the median value. This result was robust to the inclusion of alternative measures of corruption, foreign investment, and control of global financial crisis and legal origin of the country.Item Effects of Unclaimed Dividends with In House and Non-Inhouse Registrars: Evidence from the Nigerian Stock Market(African Journal of Business and Economic Research, 2021) Eriki, Emoarehi; Iyoha, Francis Odianonsen; Fagboyede, SamuelThe study aims to examine the effects of unclaimed dividends with in-house and non-in house registrars in Nigeria. The study employed the use of sampled mean T-test and stochastic dominance to examine the effect of unclaimed dividends on in-house and non-in-house registrars from 2012-2019. The results revealed that in-house registrars set up by large companies in the Nigerian capital market have first-order stochastic dominance over the non-in-house registrars. This implies that in-house registrars can compromise the dividend policies of supervising authorities to create more unclaimed dividends in the system. The study recommends that the Securities and Exchange Commission should ensure stringent compliance with dividend-paying procedures by in house registrars to reduce investors’ pains and ensure transparency and accountability in the market.Item CORPORATE GOVERNANCE AND CREATIVE ACCOUNTING PRACTICES IN THE LISTED COMPANIES IN NIGERIA(Academy of Accounting and Financial Studies Journal, 2020) Olojede, Paul; Iyoha, Francis Odianonsen; Ben-Caleb, EgbideThe idea that firms should be ‘governed’ as opposed to just being ‘managed’ is a recent phenomenon that has caught the attention of the stakeholders because of the global financial crisis of 2008. Despite the various governance reforms, the managers take undue advantage of imperfections in the market to manage earnings to the detriment of other stakeholders. This paper empirically studied the impact of corporate governance mechanisms on creative accounting practices in the listed companies in Nigeria. We used a longitudinal design for the study because repeated observation of the same variables are involved (corporate governance mechanisms and creative accounting practices) over a 13-year period (2005 -2017). The study population was 166 listed companies on the Nigerian Stock Exchange as at 31st December, 2017 and 70 companies were selected as a sample, using multi sampling technique. We collected data for the variables from the companies’ annual reports and accounts sourced from African Financials, Nigerian Stock Exchange and individual company websites. The study used descriptive statistics, correlation, OLS regression, panel fixed effects model (FEM) and panel random effects model (REM) for the analysis and hypothesis testing. The outcome of the study revealed that corporate governance mechanisms jointly have a great significant impact on creative accounting practices (CAP) in Nigeria, but the level of impact differs among individual corporate governance mechanisms. Audit committee and gender diversity have negative and significant relationship with creative accounting practices, showing that increase in either of them reduces unethical practices and manipulation of accounting numbers. The ownership concentration has a positive and significant impact on creative accounting practices. However, board size, board independence, managerial ownership and CEO duality are positive and do not have any significant impact on creative accounting practices. The study recommends for the use of both sanctions and moral suasion in compelling compliance with relevant laws, accounting standards and corporate governance codes. In addition, more women participation on the board and audit committee independence should be encouraged.Item Corporate environmental reputation management and financial performance of environmentally sensitive companies in Nigeria(Cogent Social Science, 2020) Oluseyi-Sowunmi, Sharon O.; Iyoha, Francis Odianonsen; Owolabi, Akintola A.Business activities have direct and indirect effects on their immediate environment. The degree of impact a business venture would have on the envir onment depends on the nature of business. This work examines the impact of environmental reputation management on the financial performance of environ mentally sensitive companies in Nigeria. This work includes an extensive review of relevant literature, hinging this research on stakeholder theory. Data were gathered from corporate annual reports and sustainability reports sourced on-line. The ana lytical research design was utilised in undertaking the study. A sample of 46 companies was selected from public limited liability companies listed on the Nigerian stock exchange and operating in environmentally sensitive sectors. The corporate reports were analysed from 2008 to 2017 financial years. Linear Regression analysis was employed to test the hypothesis. Findings revealed a significant positive relationship between corporate environmental reporting quality and financial performance; reputation risk management and financial per formance of environmentally sensitive companies in Nigeria. The level of environ mental reporting quality by environmentally sensitive companies in Nigeria causes 13.1% change in the financial performance of the reporting company. Corporate reputation risk management of environmentally sensitive companies in Nigeria causes 11.4% change in the company’s financial performance. It is hereby, recom mended that environmentally sensitive companies should ensure high-quality environmental reputation management to achieve their profit maximisation aim. This high-level environmental management contributes to the achievement of the fifteenth sustainable development goal (life on land), set to attain sustainable management of forests, freshwater and ecosystem.Item Agricultural Revamping via Major Capital Outlay the Antidote to Food Insecurity Challenges in Nigeria(Academy of Entrepreneurship Journal, 2020) Omodero, Cordelia Onyinyechi; Adetula, Dorcas; Iyoha, Francis OdianonsenFood insecurity in Nigeria has necessitated this study which emphasizes agricultural revamping as the antidote to the prevailing circumstance of food crisis in the country. This study draws the attention of the present administration to the urgent need for significant capital investment in agriculture as a means to proffer a permanent solution to food insecurity in Nigeria. This study employs literature review approach and discovers that the factors impeding food safety in Nigeria include farmers' lack of access to the credit facility, insufficient farmlands, security threat on farmers and farmers’ lack of education. However, relevant econometric techniques and statistical tools are specifically applied to examine the impact of government expenditure and agricultural output on food safety using a secondary source of data spanning from 2008 -2019. From the findings of this study, agricultural output has a considerable influence on food safety, but government expenditure on agriculture is yet to gain momentum in affecting adequate food production in the country. Thus, this study concludes that there is an urgent need for the government to invest significantly in agriculture which serves as an antidote to food security challenges in Nigeria.Item Incidence of Unclaimed Dividends: A Panel Data Analysis of the Role of Quoted Companies in Nigeria(WSEAS TRANSACTIONS on BUSINESS and ECONOMICS, 2023) Eriki, Emoarehi; Iyoha, Francis Odianonsen; Adetula, Dorcas- The objective of this paper is to examine the incidence of unclaimed dividends and the role of quoted companies in Nigeria. The rising trend of unclaimed dividends has been a serious concern to government, stakeholders, and supervisory authorities like the Securities and Exchange Commission, (SEC), and Nigerian Stock Exchange (NSE). There has been some policies put in place to reduce unclaimed dividends over the years. Some of the policies and measures include Companies and Allied Matters Act (CAMA), Investment and Securities Act (ISA), Central Securities and Clearing System (CSCS), Bank Verification Number (BVN), and e-dividend payment system respectively. Despite, these measures, unclaimed dividend figures have risen from 30 billion Naira in 1996 to 130 billion Naira in 2017. Studies done to address unclaimed dividends attributed various factors, some of which are: investors not giving their correct addresses, non-delivery of dividend warrants to investors, and Registrar not doing their work. However, one area that has not been addressed is the role of quoted companies in the rising trend of unclaimed dividends in Nigeria. Some large quoted companies have set up registrars but are really departments, with no separate boards from the mother firm. In Nigeria, registrars are statutorily charged with the processing of dividends from the time a quoted firm declared dividends and when the dividends fund is finally transferred to the registrars in Nigeria. But an emerging trend that has not been addressed is that quoted companies are now warehousing unclaimed dividends as reported by the reports of Securities and Exchange Commission (SEC). In other words, the dividends that have been declared and paid are still held and managed by the same quoted companies that paid the dividend. It is this trend that has prompted SEC to make proposal to the National Assembly for the review of CAMA law, to prevent quoted companies from exploiting the law. The quoted firms hitherto took advantage of the loop hole in CAMA to manage their already declared and paid dividends, months after payment through their owned established registrars. Though, about six shareholders associations have rejected the intervention of SEC in unclaimed dividend issues. But one of the principal functions of the SEC is to ensure is investor’s protection. It is against this background that the study investigate the quoted companies as a contributory factor in the rising trend of unclaimed dividends in Nigeria. The study used panel data analysis to run the quarterly data of unclaimed dividends amount with the quoted companies, the unclaimed dividend amounts with the registrars responsible for managing dividends, and the aggregate unclaimed dividends amount from 2012 to 2019. The study found that there was no difference between the role of quoted companies and the registrars in terms of managing unclaimed dividends in Nigeria. The study recommends a review of government policy that will continuously audit and sanction quoted companies that manage the unclaimed dividends through their subsidiaries or registrars and use it as working capital.Item Integrating Sustainability Reporting Education into the Accounting and Finance Curriculum: A Review of Literature(Innovation, 2024) Mbakbuin, Capntan Philemon; Iyoha, Francis Odianonsen; Ekwe, Michael Chidiebele; Queenta, Siliya Pedikuna; Ogaba, Moses; Ayanate, Igodo WinnerItem Effect of upper echelons’ demographic characteristics on earnings management in troubled non-listed companies in Nigeria(Cogent Arts & Humanities, 2020) Taleatu, Taofiki Akinwumi; Adetula, Dorcas; Iyoha, Francis OdianonsenResearch has shown that companies in a financial crisis are usually successful in hiding their poor performance through aggressive earnings manage ment at the detriment of stakeholders like investors and loan providers. The wave of current bank loan defaulters rocking the Nigerian banking system afforded a unique opportunity to study earnings management in troubled, non-listed companies in Nigeria to contribute to the attainment of the sustainability goal 9 on industriali zation in developing countries. This study aimed at investigating the influence of top management’s demographic characteristics on corporate earnings management. Using Slovin’s 1960 sampling size formula, 80 non-listed companies were selected for the study from the list of 98 non-listed companies among the debtors of Assets Management Corporation of Nigeria (AMCON). Copies of a questionnaire were administered on 240 financial officers (3 participants per company). Descriptive statistics involved computation of percentages, means and standard deviations while hypotheses were tested with structural equation modelling using AMOS SPSS. Findings revealed a relatively high level of earnings management with significant positive relationships with age, tenure, educational level and gender of the CFOs. Lower earnings management was observed among middle-aged, female, more educated and short-tenure CFOs. The study concludes that there is a positive sig nificant relationship between upper echelons’ demographic characteristics and earnings management in troubled, non-listed companies in Nigeria. The study recommends the appointment of more middle-aged, female and financially literate individuals into the upper echelons’ positions with a moderate tenure of five to ten years to promote corporate sustainable development in Nigeria.