Publication Title Testing Financial Statement Fraud: Perspective of the M-Score Model in Nigeria and South Africa Download PDF
Publication Type journal
Publisher International Journal of Research and Innovation in Social Science (IJRISS)
Paper Link https://dx.doi.org/10.47772/IJRISS.2023.7801
Publication Authors Andrew A. Ugbah; Kingsley C. Kanene; Ofor, Nkechi T. (PhD); Anigbogu N. Gerald
Year Published 2023-08-23
Abstract In the past several years, financial statements fraud has cost market participants huge sum of loss and it has eroded market participants confidence in the audit financial report of organisations. This study therefore, examined the determinants of financial statement fraud in Nigeria and South Africa. The study specifically focus on firm size, leverage, board independence, institutional ownership, firm profitability and capital structure. The population of the study comprised 510 quoted non-financial companies in the Nigeria Stock Exchange and Johannesburg Stock Exchange for the periods 2012 to 2018. A sample size of 70 was selected using random sampling techniques. The data collected were analysed using descriptive statistics and robust least square regression analysis. It was observed from the descriptive statistics that there is presence of financial statement fraud reporting among the quoted non-financial companies in Nigeria and South Africa. The results revealed that firm size was statistically significant in Nigeria and South Africa, leverage was statistically insignificant in Nigeria and South Africa, board independence was statistically significant in Nigeria but insignificant in South Africa, institutional ownership was statistically significant in Nigeria and insignificant in South Africa, firm profitability was statistically significant in South Africa but insignificant in Nigeria while capital structure was statistically insignificant in Nigeria and South Africa. The study recommended that the results have direct implications for further improvement of firm size, board independence, institutional investors and capital structure.
Publication Title Empirical Relationship between Board Size, Board Tenure on Corporate Risk Management: Evidence from Nigerian Quoted Companies Download PDF
Publication Type journal
Publisher IIARD International Journal of Economics and Business Management
Paper Link 10.56201/ijebm.v9.no7.2023.pg28.38
Publication Authors Kingsley C. Kanene; Andrew A. Ugbah; Francis Orunkor
Year Published 2023-10-30
Abstract The fundamental goal of this article is to look into the link between board size, board tenure, and corporate risk management. amid the background of the modern portfolio theory. The study population consists of 328 companies listed on the Nigerian Stock Exchange as at December 2020. A sample of 30 firms was scientifically selected for the study. The analysis was carried out using dataset from 2014 to 2020, comprising of 210 observations. The panel data regression analysis is the technique for data analysis. The technique was chosen because of its ability to enhance data points while still controlling for individual variation. The research uncovers a positive and insignificant relationship between board size and corporate risk management. While board tenure had a positive and significant relationship on corporate risk management. Firm size, as a control variable, has a positive but insignificant connection with corporate risk management. In light of the findings of the study, we recommend that management work to strengthen the board of directors' traits in order to maximize the efficacy of their functions and to manage the risks involved to ensure more risk management that works and take advantage of the opportunities that arise.
Publication Title Firm Characteristics and Fraudulent Financial Reporting: An Application of the M-Score Model in Nigeria and Kenya Download PDF
Publication Type journal
Publisher IIARD International Journal of Economics and Business Management
Paper Link http://www.iiardjournals.org/.
Publication Authors Andrew A. Ugbah; Kingsley C. Kanene; Ofor, Nkechi T. (PhD)
Year Published 2023-10-30
Abstract The study examined the impact of firm characteristics on fraudulent financial reporting in Nigeria and Kenya. The objective of the study was to examine the impact of firm size, leverage, institutional ownership and firm profitability on fraudulent reporting. The population of the study comprised of quoted non-financial companies in the Stock Exchange and Nairobi Stock Exchange for the period of 2012 to 2018. The data collected were analysed using descriptive statistics, correlation and robust least square regression analysis. It was observed from the descriptive statistics that there is presence of fraudulent financial reporting among the quoted non-financial companies in Nigeria and Kenya. The regression results revealed that the firm size was statistically insignificant; leverage was statistically significant, institutional ownership was statistically insignificant in Nigeria and firm profitability was statistically. The study recommended that shareholders and investors in Nigeria and Kenya should invest in lowly leverage firms because it high leverage firm increases the level of fraudulent financial reporting.
Publication Title AUDITOR ATTRIBUTES AND THE QUALITY OF FINANCIAL REPORTING OF FIRMS IN FINANCIAL SERVICE SECTOR Download PDF
Publication Type conferenceproceeding
Publisher International Journal of Contemporary Accounting (IJCAI)
Paper Link www.icanacademicjournal.org
Publication Authors Augustine Chukwujekwu Odubuasi , Fidelis U. Amahi , and Kingsley C. Kanene
Year Published 2022-04-21
Abstract This study investigated the effect of auditor attribute on the financial reporting quality of financial service firms listed on the Nigerian Exchange Group from 2011 to 2020 financial years. Four objectives were established, to investigate the effect of audit type, audit tenure, audit fee and joint audit on the financial reporting quality. Cause effect research design was employed, that enabled the determination of effect of independent variable on the dependent variable. The study used secondary data which were collected from annual reports of the thirtyfive firms sampled. Descriptive statistics, correlation and panel regression analysis were applied for data analysis and the results there from indicate that joint audit and audit tenure have negative and no significant effect on financial reporting quality. Again, audit type and audit fee have negative effect but only audit fee has significant association with financial reporting quality of firms in financial service sector of Nigerian economy. The study recommends that, intensified usage of professional benchmark for audit fee computation be pursued by audit firms and should be enforced by regulators.
Publication Title Effect of CEO Demographic Characteristics on Timeliness of Financial Reporting: Evidence from Money Deposit Banks in Nigeria Download PDF
Publication Type journal
Publisher UNIDELJOURNALOFMANAGEMENTSCIENCES(UJOMS)
Publication Authors Andrew A. UGBAH, Kingsley C. KANENE & Francis O. ORUNKO
Year Published 2024-09-24
Abstract The primary objective of this scholarly article is to rigorously investigate the influence that various demographic characteristics of the Chief Executive Officer(CEO) exert on the timeliness of financial reporting (FRT) within the context of money deposit banks operating in Nigeria. In a more focused manner, this research specifically tested the hypothesis regarding the relationship between certain CEO characteristics—namely, the duration of their tenure in the role, their expertise in financial accounting,and their sociability—and the associated levels of Financial Reporting Timeliness. The empirical sample employed for this study comprises a total of 16 money deposit banks in Nigeria, spanning a longitudinal time frame of ten years, specifically from 2013 to 2022. The analytical approach adopted for this study involved the application of panel regression model to derive meaningful insights from the data. The results of the analysis indicated that organizations led by a CEO with a prolonged tenure tend to experience a reduction in the time required to prepare and disclose their financial reports; furthermore, it was found that the financial accounting expertise possessed by the CEO is significantly correlated with the timely nature of financial reporting. Additionally, the sociability of the CEO was also found to have a significant positive association with the promptness of financial reporting. In summation, the findings suggest that a longer tenure of the CEO, combined with their financial accounting proficiency and sociable nature, collectively contributes to the alleviation of delays in the financial reporting process. The study puts forth several recommendations, urging money deposit banks in Nigeria to actively seek out and appoint CEOs who exhibit dynamic and contextual leadership qualities, as these attributes enable them to adapt effectively to the ever-evolving demands of both the organization and the broader market environment, irrespective of the duration of their tenure, since prolonged periods in office may lead to complacency or risk aversion; it is also advisable to prioritize the appointment of CEOs who possess high levels of financial accounting competence, as this will significantly enhance the accuracy and credibility of the financial statements produced, thereby promoting greater investor confidence and fostering long-term financial stability; finally, it is recommended that money deposit banks allocate resources toward investing in social media platforms, as such initiatives could substantially enhance the market value of their banking institutions.
Publication Title Audit Firm Mechanism And Accounting Conservatism In Nigeria Download PDF
Publication Type journal
Publisher UNIDEL JOURNAL OF MANAGEMENT SCIENCES (UJOMS), University of Delta, Agbor, Delta State
Publication Authors Ugbah, A. Andrew, PhD, Kanene, Kingsley C
Year Published 2024-09-24
Abstract The aim of the study was to examine the e?ect of audit firm mechanism on accounting conservatism in Nigeria. The study made use of ex-post facto research design for the collection of secondary data. The population for the study consisted of listed health and pharmaceutical firms in Nigerian Exchange Group (NSG) as at 31stDecember, 2022. The sampled firms must fulfill the responsibility of disclosing their financial statements for eleven consecutive years for the period 2012- 2022. The filtering method of sample selection was used to select six (6) health and pharmaceutical firms. The study adopted the use of least square regression technique in the analysis of data. The regression results show that audit fees have a significant positive e?ect on accounting conservatism at 1% level of significance, audit quality has no significant and negative e?ect on accounting conservatism, and audit committee existence has a significant and positive e?ect on accounting conservatism. The study recommends that the policymakers of health and pharmaceutical companies in Nigeria should motivate the external auditor in terms of audit incentives for purpose of enhancing accounting conservatism.