Firm Size and Revenue Reserve of Agricultural Firms in Nigeria (Published)
The study evaluated the effect of firm size on the revenue reserve of agricultural firms in Nigeria. The objectives of the study were to ascertain the effect of total assets, turnover, and the number of employees on revenue reserve of agricultural firms in Nigeria. The study adopted an ex-post-facto research design, covering the period between 2012 and 2021. Secondary data were extracted from the annual reports and accounts of the sampled agricultural firms in Nigeria. A multiple regression technique was used for the data analysis. From the analysis of the study, it was revealed that total asset has a statistically nonsignificant negative effect on retained earnings of agricultural firms in Nigeria with a regression coefficient of -1.153966 and a P-value of 0.7517. However, turnover has a statistically significant positive effect on retained earnings of agricultural firms in Nigeria with a regression coefficient of 4.772568 and a P-value of 0.0002. In line with the findings on turnover, number of employees has a statistically significant positive effect on retained earnings of agricultural firms in Nigeria with a regression coefficient of 8.693119 and a P-value of 0.0440. This implies that firm size has a significant effect on retained earnings of agricultural firms in Nigeria. It was recommended therefore that agricultural firms in Nigeria should manage the trade-off between acquiring assets with the profit for the year and retaining for investment in other operations of the business such as wages and salaries and other overheads. They should engage in promotions and other programmes that will encourage customers to buy their products. This will increase their turnover and subsequently increase their Retained Earnings. Agricultural businesses require manpower, hence they should ensure that they have enough staff to enable them to carry out their business activities effectively which will guarantee profitability and maximum retained earnings.
Keywords: Agricultural Firms, Number of Employees, Revenue Reserve, Total Assets, Turnover, firm size, retained earnings
Corporate Financial Attributes and Waste Disposal Cost Disclosure of Listed Industrial Goods Companies in Nigeria (Published)
This study examines the impact of corporate financial attributes on waste disposal cost disclosure (WDCD) of listed industrial goods companies in Nigeria from 2013-2020. A sample of ten (10) companies listed as industrial goods using census sampling technique was drawn from the population of thirteen (13) companies. Audited annual reports and accounts were used for data extraction. The analysis was done using descriptive statistics and multiple regressions. Explanatory research design was adopted in the study to find out the impact of corporate financial attributes on WDCD. Variables used include firm size, leverage, ROA and sales growth and WDCD measured using ordinal coding scheme based on GRI guidelines (G4). Robustness tests such as multicollinearity test, heteroscedasticity test, normality test and Hausman specification test were conducted to validate the results. The study revealed that there is negative significant relationship between FSIZE, LEV, SGWRT and WDCD while negative insignificant relationship between ROA and WDCD of listed industrial goods companies. The study therefore, recommends that the federal government of Nigeria should make WDCD mandatory especially among industrial good companies considering the nature of their activities polluting the environment. This can be done by making environmental reporting as part of the requirements for listing companies on the floor of Nigerian stock exchange.
Keywords: Leverage, ROA, WDCD, firm size, sales growth
Responsiveness of Biological Assets to Board size, Firm size, and Firms’ age of Agricultural Firms in Nigeria (Published)
This study examined the responsiveness of biological assets to board size, firm size and firm age of quoted Agricultural firms in Nigeria. The specific objectives were to examine the effect of board size, firm size, and firm age on the biological assets of quoted Agricultural firms in Nigeria. An ex-post facto research design was used which made use of secondary panel data drawn from annual reports and accounts of the sampled firms for a period of ten (10) years, 2011-2020. Panel least squares were applied in the test of hypotheses. The result of the analysis showed that board size, firm size and firm age have an insignificant effect on biological assets. The implication is that none of the three variables can predict the increase or decrease in biological assets of agricultural firms in Nigeria. The study recommends that agricultural firms should maintain a robust board size so that they can continue to reap the benefits of the two good heads theory. Efforts should be made to ensure continuous firm growth because of the positive link it has with biological assets. Firms are encouraged to continuously effect changes in both assets and other activities that may be affected by the age of the firm. Management should maintain current innovations in the industry to attract new investors, boost productivity and enhance shareholders’ funds.
Citation: Nnajieze E.I., Igwe A.O., Nwabuisi A.O. (2022) Responsiveness of Biological Assets to Board size, Firm size, and Firms’ age of Agricultural Firms in Nigeria, European Journal of Accounting, Auditing and Finance Research, Vol.10, No. 11, pp.36-51
Keywords: Board size, Leverage, Liquidity, Profitability, biological assets, firm age, firm size, nigeria agricultural sector
Audit Committee Characteristics and Financial Performance: A study of Listed Non-Financial Companies in Nigeria (Published)
This study examines the impact of audit committee characteristics (AC) on financial performance of listed non-financial companies in Nigeria from 2013-2020. A sample of seventy-six (76) companies listed as non-financial was drawn from the population of one hundred and thirteen (113) companies. Audited annual reports and accounts were used for data extraction. The analysis was done using descriptive statistics and multiple regressions. Explanatory research designed was adopted in the study to find out the impact of AC on financial performance. Variables used include AC proxy by ACIND, ACS and ACM as the proxies for independent variable and financial performances’ accounting and market based measures proxy by EPS and Tobin’s Q was used as the dependent variable. Robustness tests such as multicollonearity test, heteroscedasticity test, normality test and hausman specification test were conducted to validate the results. The study revealed that there is negative significant relationship ACIND and EPS, TQ and ACS has a significant relationship with EPS positively while a negative with TQ and lastly, ACM reported a positive significant relationship with EPS and a positive but not significant with TQ of listed Non-financial companies in Nigeria during the study period. Based the on the findings of the study, the study recommends that the management of the listed non-financial companies in Nigeria should ensure that AC should be made more effective by ensuring that members are made up of independent non-executive directors and the size of the AC should be optimal and lastly ensure that AC meetings are to be tailored towards relevant issues that enhance financial performance of the firm.
Keywords: Audit Committee, Board size, EPS, Tobin's Q, firm leverage, firm size
Environmental Disclosure and Financial Performance of Listed Non-Financial Companies in Nigeria (Published)
Citation: Junaidu Muhammad Kurawa and Kabiru Shuaibu (2022)Environmental Disclosure and Financial Performance of Listed Non-Financial Companies in Nigeria, European Journal of Accounting, Auditing and Finance Research, Vol.10, No. 2, pp.31-51
This study examines the influence of environmental disclosure (ED) on financial performance of listed non-financial companies in Nigeria from 2013-2020. A sample of seventy-six (76) companies listed as non-financial was drawn from the population of one hundred and thirteen (113) companies. Audited annual reports and accounts were used for data extraction. The analysis was done using descriptive statistics and multiple regressions. Explanatory research designed was adopted in the study to find out the influence of ED on financial performance. Variables used include the ED measured using ordinal coding scheme based on GRI guidelines (G4) focusing on environmental prevention expenditure disclosure(EN40), Waste disposal, emission treatment and remediation cost disclosure (EN41), Prevention and environmental management cost disclosure (EN 41) used as proxies for independent variable and financial performances’ accounting and market based measures proxy by earnings per share and Tobin’s Q was used as the dependent variable. Robustness tests such as multicollonearity test, heteroscedasticity test, normality test and Hausman specification test were conducted to validate the results. The study revealed that there is positive significant relationship between EPED, WDCD, PMCD and EPS while negative with TQ of listed Nigerian non-financial companies. The study therefore, recommends that the management of listed non-financial companies in Nigeria should create awareness on the importance of EPED, WDCD, PMCD and the other benefit that can be derived by a company and investors as a result of engaging in environmental activities as this may create good relationship between the company and the environment and consequently will improve financial performance. And also professional accounting bodies in Nigeria like the ICAN and the ANAN should key into introducing environmental and sustainability reporting into their mandatory professional education programs as this is a contemporary issue in accounting development this will help accountants to be trained on environmental accounting and reporting.
Keywords: Board size, EPS, Environmental Disclosure, Tobin's Q, firm leverage, firm size
Impact of Social Costs on Financial Performance of Listed Firms in Nigeria (Published)
To succeed in the business world, organisations need to provide reliable and credible efforts to their stakeholders, to ensure that their business activities would not harm the safety of stakeholders in the area where they are operating. The operation of business conducts in recent time, changes drastically due to the emergence of an increasing number of external factors which impose on corporate performance. Hence, this study examined the impact of social costs on the financial performance of listed firms in Nigeria. The study adopted ex-post facto research designs. Secondary data sourced from the published annual reports of 52 firms, purposively selected for a period of 11 years (2008 to 2018), giving 572 firm-year observations. Data analysed by panel data regression of pooled OLS, random effects, fixed effects models and the Feasible General Least Squares (FGLS) regression for the objectives. Findings revealed that Social Costs (SOCO) had significant and positive effect on ROA (R2 = 0.42, β = 0.202, t(570) = 4.869, p < 0.05). In addition there is evidence that SOCO, firm age, firm size and leverage jointly exerted significant effect on ROA (Adj.R2 = 0.608, F(6, 565) = 5904.01, p < 0.05). The study concluded that social costs have a significant impact on the financial performance of listed firms in Nigeria. It recommended that the practice of elimination of social costs should be intensified by corporate firms to improve on their business reputation.
Keywords: Leverage, Return on Assets, business reputation, firm age, firm size, social costs
Firm Size, Social Capital and Firm Profitability: An Empirical Study on Vietnamese Listed Companies (Published)
The research study is focusing on firm-specific determinants of firm profitability for Vietnamese listed companies over the 2010-2016 period with the theoretical framework of firm profitability. The results demonstrate that social capital is significantly correlated with a positive profitability of a firm. A larger firm can exactly have a lower cost of bankruptcy and a higher level of growth rate related to a higher level of performance. In addition, the firm growth can positively generate financial performance. An older firm is more profitable than a younger firm. A higher level of educational degree of managers has a higher level of firm profitability.
Keywords: Education, Social Capital, firm profitability, firm size, hose