Department of Accounting and Finance

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ACCOUNTING INFORMATION SYSTEMS, INTERNAL CONTROL MECHANISMS AND PERFORMANCE OF GOVERNMENT AGENCIES IN KWARA STATE, NIGERIA
(POLAC MANAGEMENT REVIEW (PMR) DEPARTMENT OF MANAGEMENT SCIENCE NIGERIA POLICE ACADEMY, WUDIL-KANO, 2024-09) Olumoh, Yusuf Alabi
Abstract Over the years, government agencies in Nigeria have struggled with implementing Accounting Information Systems (AIS) and Internal Control Mechanisms (INTCON) due to technological limitations, inadequate staff training, resistance to change, and insufficient funding. These challenges hinder accurate reporting, accountability, and efficiency, crucial for optimal performance and service delivery. Given this, the study investigates how AIS and INTCON can enhance the overall performance of these agencies. A cross-sectional survey research design and quantitative paradigm were adopted, targeting stakeholders from 20 ministries. A purposive sample of 250 staff from various ministries in Kwara State, Nigeria, was surveyed using a structured questionnaire. The study used Partial Least Squares Structural Equation Modeling for data analysis. Findings revealed significant positive relationships between AIS and INTCON with performance, supported by coefficients of 0.329 and 0.402, and p-values of 0.000 at a 5% significance level. The study concludes that the strategic use of AIS and INTCON can enhance organizational performance. It recommends that government agencies in Nigeria prioritize investments in AIS and INTCON to improve performance. By enhancing the quality and effectiveness of their accounting information systems, organizations can ensure more accurate financial reporting and better decision-making processes. Similarly, strengthening internal control mechanisms can help organizations mitigate risks, prevent fraud, and improve operational efficiency.
ACCOUNTING INFORMATION SYSTEMS, INTERNAL CONTROL MECHANISMS AND PERFORMANCE OF GOVERNMENT AGENCIES IN KWARA STATE, NIGERIA
(POLAC MANAGEMENT REVIEW (PMR) DEPARTMENT OF MANAGEMENT SCIENCE NIGERIA POLICE ACADEMY, WUDIL-KANO, 2024-09) Olumoh, Yusuf Alabi
Abstract Over the years, government agencies in Nigeria have struggled with implementing Accounting Information Systems (AIS) and Internal Control Mechanisms (INTCON) due to technological limitations, inadequate staff training, resistance to change, and insufficient funding. These challenges hinder accurate reporting, accountability, and efficiency, crucial for optimal performance and service delivery. Given this, the study investigates how AIS and INTCON can enhance the overall performance of these agencies. A cross-sectional survey research design and quantitative paradigm were adopted, targeting stakeholders from 20 ministries. A purposive sample of 250 staff from various ministries in Kwara State, Nigeria, was surveyed using a structured questionnaire. The study used Partial Least Squares Structural Equation Modeling for data analysis. Findings revealed significant positive relationships between AIS and INTCON with performance, supported by coefficients of 0.329 and 0.402, and p-values of 0.000 at a 5% significance level. The study concludes that the strategic use of AIS and INTCON can enhance organizational performance. It recommends that government agencies in Nigeria prioritize investments in AIS and INTCON to improve performance. By enhancing the quality and effectiveness of their accounting information systems, organizations can ensure more accurate financial reporting and better decision-making processes. Similarly, strengthening internal control mechanisms can help organizations mitigate risks, prevent fraud, and improve operational efficiency.
ACCOUNTING SYSTEM AND FINANCIAL REPORTING QUALITY OF MICROFINANCE BANKS IN KWARA STATE, NIGERIA
(Nigerian Journal of Accounting and Finance, 2021-06-14) Alabi Fatai Zakariyau; Abdulrasaq Mustapha
The continuous reported cases of closure of microfinance banks in various States of Nigeria by the regulatory authority has raised serious concerns on the quality of information in the financial reports of microfinance institutions. This may not be unconnected to the nature of accounting system put in place to track the economic reality that constitutes the content of financial reports. Expectedly, optimal accounting system is to guarantee the quality of financial reports but going by the rate of scandal among microfinance banks which should have been revealed in their financial reports, the level at which optimal accounting system is been deployed among microfinance banks need to be empirically investigated. Therefore, this study examined the effect of accounting system on the quality of financial reports of microfinance banks in Kwara State, Nigeria. The study employed a cross-sectional survey research design. The primary data collected through the questionnaire administered to four hundred and seven (407) respondents from all micro-finance banks in Kwara State were analysed using ordinary least square (OLS) regression. The study found that accounting staff competence, Information Technology and internal control system have positive and significant effect on the quality of financial reports of microfinance banks in Kwara state. These findings imply that the extent to which management of microfinance banks deploy competent accounting staff, maintain effective internal control and information technology utilization explain variations in their financial reports. In view of these findings, this study recommends that management of microfinance banks should pay attention to the level of investment deployed to various components of accounting system in order to be consistently producing reliable and relevant financial reports.
Agent Banking, Mobile Money Operation and Financial Inclusion in Nigeria: Supply Side Perspective
(The International Journal of Applied Business, 2024-04-01) Yusuf Olamilekan Quadri; Kudirat Mopelola Malik-Abdulmajeed; Ayorinde Olutimi Akinwumi; Ifedolapo Oluwasolape Omotosho
Background: The inability to achieve optimum financial inclusion in Nigeria has necessitated the review of various policies and instruments meant to reduce the level of financial exclusion. Objective: Hence this study investigates the impact of agent banking and mobile money operation on financial inclusion in Nigeria, focusing on the supply side. Method: Descriptive research design was adopted and secondary data ranging from 2013 to 2021 were obtained from the World Bank Global Financial database and e-payment statistics of the Central Bank of Nigeria. Ordinary least squares repression was used to analyse the data. Results: Findings revealed that at 5% significance level, point-of-sale and mobile money operations have a positive impact on financial inclusion while web/internet banking plays a limited role in achieving financial inclusion. Conclusion: The study concluded that both agent banking and mobile money operations impact on financial inclusion in Nigeria; the study, therefore, recommends that more off-site automated teller machine and licensed agents should be encouraged to cater for the rural residents and ultimately improve financial inclusion.
An Empirical Analysis of Corporate Capital Structure and Financial Performance of Listed Conglomerates in Nigeria
(Copernican Journal of Finance & Accounting, 2019-10-19) Lukman Adebayo Oke, Daud Saheed Omotosho and Yusuf Olamilekan Quadri
The relationship between capital structure and firms’ financial performance has attracted the attention of many researchers both locally and globally. The paucity of empirical evidence from Nigeria in this regard, especially on Nigerian conglomerate firms, portends the need for further research. Against this backdrop, the study investigated the impact of capital structure on the financial performance of listed conglomerates in Nigerian using descriptive statistics, pairwise correlation and panel data regression technique to analyze the secondary data extracted from the annual reports and accounts of the six (6) selected conglomerates for the period 2008 to 2017. The study found that financial leverage proxy by total debt ratio, long-term debt ratio and short-term debt ratio have significant impact on the selected firms’ financial performance proxy by return on assets, except debt to equity ratio that reveals an insignificant impact on return assets (ROA). Firm size and growth also reported a significant effect on the financial performance of the selected firms. The findings is in tandem with the proposition of the agency cost theory in the Nigeria settings but with caution considering the facts that firms in Nigeria were largely finance through short term debt obligation as against long term debt funding that was presumed in the agency cost theoretical proposition. It is therefore recommended that managers of companies should be guided when seeking credit advances from the financial market as it is important when considering the appropriate capital mix that optimize firm value.
An Islamic principle-based integrated solution for China's housing affordability issues
(Emerald, 2023) Ma, Y; Taib, FM; Gold, N O
Purpose: This study aims to merge the world’s proven ways of housing finance, including musharakah mutanaqisah, housing cooperatives and real estate crowdfunding, to present an alternative housing unaffordability solution based on the Islamic finance principle. It is intended to reduce the burden of funding for both sides (consumers and developers) and create win–win chances for all stakeholders, including intermediaries. By moving away from debt financing and merging the features of crowdfunding and cooperative, it is hopeful that the burden of home ownership will no longer be the case. Design/methodology/approach: This paper presents the opinions of potential Chinese homebuyers (minority Muslims and most non-Muslims) and a few industry experts toward the proposed model via a mixed research method. Findings: According to the findings, the majority of respondents agreed with the proposed paradigm. Just concerned that China’s lack of community culture and trust could pose a major threat to implementation. However, this paper argues that Chinese local governments may perform pilot testing in places where Islamic culture is prevalent. Their unique community culture and fundamental understanding of Shariah law may affect the viability of the proposed model. Originality/value: The proposed model would increase the applicability of Islamic finance as a way of protecting the social order of communities in the spirit of upholding justice and fairness. A new type of housing loan based on musharakah mutanaqisah may squeeze out the real estate bubble and provide stakeholders with a multidimensional investment channel. In particular, the study identifies the impact of Chinese Islamic financing on government and cultural needs. It presents possible challenges for implementing the proposed model in reality and helps bridge the gap between theory and practice.
Audit Committee Effectiveness and Audit Fee among Listed Deposit Money Banks in Nigeria
(Asian Journal of Economics, Business and Accounting, 2020-12-21) Abdulrasaq Mustapha; Abdulrauf O. Isiaka; Kudirat A. Babatunde
The persistent cases of corporate accounting scandals which have rocked the Nigerian banking sector in spite of auditor certification of financial statements as free from material error have raised concern not only on the effectiveness of audit committees but also on audit services despite the huge amount charged on their clients. Hence, this study examined the effect of audit committee effectiveness on audit fee of listed deposit money banks in Nigeria. Using an ex-post facto research design, the data sourced through the annual reports of twelve (12) banks for the period between 2012 and 2018 were analysed using random-effect regression analysis. The result of the study revealed that audit committee effectiveness proxy with audit committee audit committee expertise (t-value =3.22 & p-value = 0.000), audit committee diligence (t-value = 3.57, & p-value = 0.000) and audit committee gender diversity (t-value = 3.85 & p-value =0.000) has significant positive effect on audit fee of listed deposit money banks in Nigeria. This implies that an effective audit committee would demand for high audit quality service from the auditor, thereby increasing the audit efforts and time which subsequently result to higher audit fee. The study concluded that an effective audit committee would demand high audit service from the external auditor thereby ensuring that the financial statement published is relevant and of faithful representation.
BANKING SERVICE INNOVATIONS AND CUSTOMER SATISFACTION IN ILORIN METROPOLIS OF NIGERIA
(Malete Journal of Accounting and Finance, 2022-06-30) Lukman Adebayo Oke Abdulrauf, Emmanuel Semilore Tinuoye, Yusuf Olamilekan Quadri & Fatai Akosile
The increasing stiff competition in the banking industry has placed customer satisfaction at the centre of banks’ product and service decisions. The study examines the impact of banking service innovations on customer satisfaction in Ilorin metropolis. The study employed survey research design and the population consist of bank customers in Ilorin metropolis from which four hundred and twenty five (425) customers were drawn as sample. Descriptive statistics and Partial Least Square Structural Equation Model (PLS-SEM) were employed in the analysis of data collected through structured questionnaire. The findings revealed that, cardless ATM service (t-value = 5.650, p-value = 0.000) and phygital banking (t-value = 6.175 and p-value = 0.000) have significant impact on customers satisfaction at 5% level of significance whereas envelop deposit service had no significant effect. The study concluded that banking service innovations such as cardless ATM and phygital banking are the service innovations that influence customer satisfaction in Ilorin metropolis. The study therefore recommended that managements of DMBs should provide more ATMs with cardless operation options at bank premises or other commercial points in the metropolis. Also, DMBs’ management should design more user friendly, personalised and less costly digital bank applications which can enable customers to efficiently access virtually all bank services even without visiting any branch.
Board Characteristics, Asset Quality and Financial Performance of Deposit Money Bank
(Copernican Journal of Finance & Accounting, 2023-12-22) Yusuf Olamilekan Quadri; Ifedolapo Oluwasolape Omotosho; Daud Omotosho Saheed; Babatunde Abdullah Adio
This study evaluates how the board composition and asset quality of Nigerian deposit money banks affected their financial performance. The study used a sample size of 20 out of 33 deposit money banks and an ex-post facto research design. Panel least square regression techniques were then used to assess the secondary data gathered from the audited financial records of the participating deposit financial institutions for the years 2014 to 2021. The study found that while asset quality has a negative impact on the performance of Nigerian banks, the size of the board and the makeup of the credit committee have a beneficial impact. As a result, the study came to the conclusion that board qualities and asset quality are two further elements that affect deposit money bank performance in Nigeria. In order to ensure that its members are appropriately diverse and in compliance with the Corporate Governance Code, the study proposed that the size of deposit money institutions’ boards be rationalized. In order to guarantee that banks are not exposed to excessive risk, it was also advised that the Central Bank of Nigeria should keep an eye on the operations of the credit committee.
Board Cognitive Diversity and Firm Performance Nexus : Evidence From Nigeria
(Prayagraj: Maya Global Education Society, 2020) Aifuwa, H O; Musa, S; Gold, N O; Usman, M K
Purpose of the study: This study examined the influence of board cognitive diversity on firm performance in Nigeria. The researchers investigated consumer goods firms listed in the Nigeria Stock Exchange from 2013 to 2018. Methodology: This research is hinged on the positivist research philosophy; and the deductive research approach. The study adopted the multi-method quantitative research design. Data was hand-collected from the annual financial statements and firms’ websites of consumer goods firms. The researchers measured board cognitive diversity by educational level diversity, education background diversity, and professional member diversity; while performance was measured via financial performance (ROA) and market performance (Tobin's Q). Panel least squares were used to estimate the model of the study. Main Findings: Results from the panel least squares regression revealed mixed findings on the nexus between the proxies of board cognitive diversity and firm performance in Nigeria. Specifically, we found that education level diversity and professional member diversity of board members positively and significantly affects market performance. In contrast, the educational background diversity of the board negatively and significantly affects the market performance of consumer goods firms in Nigeria. Furthermore, we found no evidence on the nexus between educational level diversity; educational background diversity; professional membership diversity of board members, and financial performance of firms investigated. Implications/Applications: The researchers concluded that board cognitive diversity partially influences firm performance in Nigeria. The study recommended that firms in Nigeria, specifically consumer goods firms, should encourage more representation of board directors with a postgraduate degree. This is because they have advanced knowledge and expertise to improve the firm's performance. Novelty/Originality of this study: This is pioneer research to investigate the influence of board cognitive diversity on firm performance in Nigeria
Board Diversity and Intellectual Capital Performance of Listed Non-Financial Service Firms in Nigeria
(Universitas Negeri Semarang, Indonesia, 2023-01-26) Lawal Tajudeen; Daniya Adeiza AbdulAzeez; Musa Saidu
Purpose : This study examines the effect of board diversity on the intellectual capital performance of listed non-financial service firms in Nigeria. This is due to the paucity of studies in this area especially within the context of Nigeria even at the instance of the gradual and steady shift from the industrial to information/knowledge based economy. Method : The study employs correlational research design to examine the 44 sampled firms for a period of ten years (2011-2020). Quantitative data extracted from the annual reports of the firms were analysed using descriptive statistics, correlation and Fixed Effects regressions. Findings : The regression results revealed that board composition and board size have significant positive effect on intellectual capital performance. However, board ownership has insignificant effect on intellectual capital performance. Consequently, the study failed to reject the second null hypothesis. Novelty : Previous Nigerian studies concentrated on the use of traditional Value Added Intellectual Coefficients (VAIC) which is currently considered inappropriate. Given the previous studies, this study is novel because it uses the Modified Value Added Intellec tual Coefficient (MVAIC).
BOARD HETEROGENEITY, AUDIT COMMITTEE GENDER AND CORPORATE TAX AGGRESSIVENESS OF LISTED CONSUMER GOODS FIRMS IN NIGERIA
(Kashere Journal of Management Sciences, 2023-09-27) Lukman Ojedele Lawal; Tajudeen Lawal; Daniya Adeiza AbdulAzeez
Aggressive tax planning are activities generally designed to reduce tax liability that includes tax evasion and legitimate saving of taxes. This study therefore aims to examine the impact of board heterogeneity on the tax aggressiveness, as well as the moderating effect of audit committee gender on the relationship between board heterogeneity and tax aggressiveness of listed consumer goods firms in Nigeria. Data were collected from one hundred and seventy financial years of firms in Nigeria from 2013-2022. The study analysed the data by means of descriptive statistics and correlation techniques. The regression results revealed that board nationality and board education have significant impact on tax aggressiveness. The finding of the study however, revealed that board composition has significant negative impact on tax aggressiveness. Similarly, the result from moderating model revealed that audit committee gender influenced the relationship between board heterogeneity and tax aggressiveness of the firms. The study therefore concludes that board heterogeneity is important in tax planning activities. The study recommends that the firms should maintain the number of foreign directors as well as maintaining the number of directors with training in accounting, finance and economics in order to continue to improving their tax planning activities. Similarly, the role of AC gender should be given ultimate attention when nominating AC members, since it improved the relationship between board heterogeneity and tax planning of consumer goods firms in Nigeria
Board Meeting and Sustainability Reporting of Banks in Nigeria
(Uniwersytet Mikołaja Kopernika w Toruniu, 2022) Gold, N O; Osayantin Aifuwa, Hope
A board meeting is an avenue for directors of an organization to carry out their oversight and monitoring functions as well as discuss and meet the request and needs of the stakeholders. Corporate strategies of an organization are taken and implemented when board members meet. Leaning on this fact, this study examined the impact of board meetings on sustainability reporting in listed deposit money banks in Nigeria. A sample of ten (10) listed deposit money banks from 2014 to 2020 was conveniently selected. Descriptive and inferential statistics (panel least squares and logistic regression) was employed to summarize the data and to draw an inference on the population studied. Results from both the panel least squares regression and the binary logit regression revealed that board meetings have no significant impact on sustainability reporting of listed deposit money banks in Nigeria after controlling corporate administration and firm-level attributes. The study concluded that board meetings do not have an impact on sustainability reporting influences sustainability reporting of listed deposit money banks in Nigeria. The study recommends that issues on sustainability should be discussed in the board meeting frequently.
Board Members' Education Diversity and Sustainability Reporting
(Editura Fundatiei Romania de Maine, 2021) Gold, N.O.; Aifuwa, H.O.; Usman, M.K.; Subair, M.L.; Osazevbaru, A.; Oloyede, B.M.
The objective of this study is to investigate the influence of an educationally diverse board on sustainability reporting of listed consumer goods in Nigeria 109 for the period 2014-2019. We developed a sustainability disclosure index using the Global Reporting Initiative (GRI) guidelines to score the information content of annual reports relating to sustainability performance. Board members’ education level and background were used to proxy education diversity in the boardroom. We employed descriptive and inferential statistics to summarize the data and to draw an inference on the population studied. Results from the panel least squares regression revealed that board educational background diversity positively and significantly affects the sustainability reporting of consumer goods firms in Nigeria. However, we found no evidence on the nexus between diversity in the level of education of board members and sustainability reporting. The study concluded that board education diversity influences sustainability reporting in Nigeria. Consumer goods firms should frequently conduct workshops and symposiums on environmental and social reporting issues for their board members and employ directors from a diverse educational background into the board.
CAPITAL STRUCTURE AND FINANCIAL PERFORMANCE: EVIDENCE FROM NIGERIAN LISTED INDIGENOUS OIL AND GAS FIRMS
(MALETE JOURNAL OF ACCOUNTING AND FINANCE, 2019-12-23) ARIKEWUYO, Abubakar Ajide; Babatunde Abdullahi Adio; Yusuf Olamilekan Quadri
The combination of equity capital and debt capital forms the capital structure of an enterprise which in achieving firms’ objective is the utmost aspect of managerial and financial decisions. It has the ability of manipulating the operating, non-financial and financial performances of a firm as well as risk exposure due to returns payable to the provider of capital in the form of interest and dividend. Hence, this study takes a look at how the capital structure impacts on the financial performance of listedindigenous oil and gas firms in Nigeria. The study adopted an ex-post facto research design and data was extracted from annual reports of the eight (8) sampled firms for periods of 2009 to 2018. The data was analyzed using panel data regression technique to examine the extent of the impact of the independent variables on the dependent variables. The study revealed that at 0.05 significant level, Short-term Debt (STD) and Equity (EQ) have a positive and significant impact on the financial performance of listed oil and gas firms in Nigeria in terms of Return on Assets (ROA) and Return on Equity (ROE) while Long-term Debt (LTD) had a negative significant impact on the financial performance in terms of Return on Assets (ROA) and Return on Equity (ROE) of listedindigenous oil and gas firms in Nigeria. Thus, the study concluded that capital structure has a positive impact on the financial performance of listed indigenous oil and gas firms in Nigeria. Therefore the study recommended that indigenous oil and gas firms in Nigeria should adopt a short term capital for short term financing to avoid the problem of over-capitalization, which will, in turn, lead to drop in the financial performance and a long term debt should be used to implement the capital projects to avoid the problem of over-trading by oil and gas firms in Nigeria because long term debt contribute less to financial performance.
Capitol Structure and Deposit Money Bonks Financial Health: Evidence from in Nigeria
(lnternational Journal of Technology and Management, 2020-06-21) ABDULRASAQ Mustapha; BABATUN DE, Abdullohi Adio; TAOFEEQ, Abdulozeez
Financial sector plays a crucial role in the growth and development of the Nigerian economy but a constant focus of regulatory activities has been on the system of capitalization. The relationship between equity, and debt ratio has been identified as a common cause of imbalance in the capital structure. The population of the study comprised of the 15 quoted commercial banks. The study employed secondary data obtained from audited financial reports of 15 quoted deposit money banks in Nigeria as rated by, Fitch 2017. Data collected from annual reports of quoted commercial banks were analyzed using Fixed Effect, Random Effect and panel regression model. Findings revealed that debt-equity ratio (DER) has significant negative impact on financial health of commercial banks in Nigeria at 5%o level of significant. Also, debt-asset ratio has significant negative impact on financial health of commercial bank in Nigeria. Based on the findings of this study, the study recommends that financial managers should try to finance their activities from retain earnings rather than relying heavily on debt capital in their capital structure. Financial manager should also make an effort to attain an optimal level of capital structure and endeavor to uphold it as much as possible
COMPREHENSIVE PERFORMANCE MEASUREMENT SYSTEMS: TOOLS FOR EFFECTIVE ECONOMIC MANAGEMENT
(MALETE JOURNAL OF ACCOUNTING AND FINANCE, 2019) Abdulrasaq Mustapha; Mubaraq Sanni
Performance measurement is all-endearing given its various roles identified in literatures. In spite of its shortcomings accounting performance measures have been traditionally and largely used by organisations to manage strategies to the advantage of stakeholders.. On this note, this paper critically evaluates accounting-based performance measures purposely to give insight on the need to embrace comprehensive performance measures as contemporary measurement tools for effective economic management. This is achieved through conceptual clarification of performance and performance measurement; evaluation of accounting-based performance measurement using Merchant and Van der Stede (2007) evaluation criteria; detailed discourse on various comprehensive performance measurement models that have evolved over the past two decades, with emphasis on their strengths and weakness; and, concluding remarks with advise that CIMA’s suggested steps to develop an effective performance measurements be followed to derive maximum benefit from any chosen performance measurement model.
CONTINGENCY FACTORS AND MANAGEMENT ACCOUNTING PRACTICES OF LISTED MANUFACTURING FIRMS IN LAGOS STATE
(MALETE JOURNAL OF ACCOUNTING AND FINANCE, 2022-12-23) Mustapha Abdulrasaq; Abdullahi Adio Babatunde; Isaac Biodun Ogunshola
Given the critical roles of management accounting information in supporting managerial functions, its usage, to optimize organizations values, must be aligned with firm’s characteristics or contingencies. The extent to which firms’ contingency factors are being considered in the choice of management accounting practices is the focus of this study. Specifically, this research investigated the variation in management accounting practice as explained by Perceived Environmental Uncertainty (PEU), firms age, discipline of management. Cross-sectional research design was employed to collect surveyed data from randomly selected 327 senior management staff of manufacturing companies in Lagos. The obtained data through closed-ended questionnaire was analyzed using descriptive statistics (proportion and measure of central tendency) and inferential statistics (multiple regression analysis) to estimate predictors. The results revealed findings that PEU (β = 0.387 ˂ 0.05), discipline of management (β = 0.257 ˂ 0.05) and firms’ age (β = 0.431 ˂ 0.05) significantly influence the level of at which management accounting techniques are put to use in generation information to perform various functions. On the basis of reported findings, the conclusions were: firms that are perceiving high level of environmental uncertainty make use of management accounting technique more often as well firms that have spent longer years in the business. Similarly, top management that have qualifications in management-related courses extensively make use of management accounting techniques. Given this conclusion, the study recommends that as level of uncertainty in environment increase firms should generate more accounting information to monitor the environment. It is important for management that as firms are growing older, extensive use of management accounting should be encouraged to effectively manage complexity inherent in firm’s expansion and finally, management should try to acquired more managerial skills to improve the optimum use of management accounting techniques
Corporate Attributes and Value of Listed Manufacturing Firms in Nigeria: A Comparative Analysis
(FUDMA JOURNAL OF ACCOUNTING AND FINANCE RESEARCH, 2024-05-14) AbdulAzeez Adeiza Daniya; , Tajudeen Lawal; Kabiru Shuaibu; Mohammed Yabagi Ibrahim
Firms are increasingly striving to improve their value through various corporate strategies as well as exploiting their unique attributes to stimulate value. The extent to which firms create value given their attributes remains a subject of discuss among scholars with mix conclusions. This study therefore investigates the comparative effect of corporate attributes (Firm size, leverage, Institutional ownership, multi-nationality and Research and development) on the value (Tobin’s Q and Market value of equity) of 24 listed Consumer and Industrial goods firms for a period of 14 years (2009-2022). The study utilized a positivist research philosophy and employed correlational research design. Data for the study were quantitatively retrieved from the annual reports and accounts of the firms. Variables were described using descriptive statistics and relationships were ascertained via correlation analysis. Both random effect (FE) and OLS robust regressions were used to analyze the data having carried out some robustness and diagnostic tests. Results from the study revealed firm size, multi-nationality and research and development have significant positive effects on firm value. However, while leverage has significant negative effect on firm value, institutional shareholding effect on firm value was found to be negative and insignificant. Also, consumer goods sub-sector firms have significant positive effect on value which indicates that the sub-sector strongly drives value better that the consumer goods firms through the use of corporate attribute
Corporate governance and extent of corporate sustainability practice: the role of investor activism
(Emerald Insight, 2022) Gold, Nusirat Ojuolape; Taib, Fauziah Md
Purpose: Following the unceasing pressure on companies to adopt sustainable business practices to mitigate climate effect, this study aims to examine corporate governance (CG) attributes and role of activist investors in influencing extensive sustainability practice for firms in the developed and emerging climes. Design/methodology/approach: Using a panel ordered probit regression analysis for 368 companies over 2016 to 2019, the study examined CG attributes that drive extensive corporate sustainability practice. The study addressed endogeneity bias using STATA Extended panel ordered probit regression model with endogenous covariates. Findings: The result showed CG attributes is critical for firms, and activist investors play a critical role in driving extensive sustainability practice. Findings further reveal the extent of adoption is relatively low in the emerging climes but showed sign of improvement over the years examined. Research limitations/implications: The study focused mainly on larger firms operating in different sectors globally. Hence, findings cannot be generalized for small sized entities. Practical implications: The study provides an insightful explanation regarding the extensive sustainability practices and the vital role assumed by activist investors. Social implications: The increasing number of companies responding to Carbon Disclosure Project and consequent improvement in scores indicates a corporate commitment to ensuring a sustainable future. Originality/value: This research offers significant insights to the extent discussion on attributes of CG critical for sustainability practice. The findings ascertain useful tools to aid the continued adoption of sound sustainability practices around the globe.

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