Board Composition and Earnings Management in Listed Industrial Goods Firms in Nigeria
DOI:
https://doi.org/10.61143/umyu-jafr.7(1)2024.005Keywords:
Auditor’s Independence, Audit Fee, Audit Firm Rotation, Audit Firm Tenure, Audit QualityAbstract
This study examined the impact of board composition on earnings management in listed industrial goods firms in Nigeria from 2014-2023.The study’s aim and objective were to examine the impact of board composition on earnings management in listed industrial goods firms in Nigeria so as to validate or invalidate previous literatures. The research used secondary data from annual reports and analyzed it using descriptive statistics and multiple regression analysis. The scope of the study is ten (10) years and the companies selected were based on being listed on the stock exchange group of Nigeria. The findings stated that, Board independence had a positive but non-significant impact on earnings management. Board size and board meetings both had negative but non-significant impacts. Board gender mix also had a negative but non-significant impact. Which provide insights for policymakers and stakeholders regarding the role of board composition in constraining earnings management practices in this sector. The recommendation states that an increase in board independence is associated with an increase in earnings management should be regulated.
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References
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