Board Monitoring Mechanisms and Earnings Management of Listed Non-Finance Firms in Nigeria (Published)
Management opportunistic behavior has led to manipulations of earnings and thus loss of investments by misguided investors. The board of directors through their supervisory roles tend to monitor and control some of these unbecoming acts of managements. This study therefore examined the effect of board monitoring mechanisms on earnings managements of non-finance firms listed on the floor of the Nigeria Exchange Group from 2012-2021. The independent variable of the study being board monitoring mechanism was proxied by board size (BODS), board independence (BODI) and board gender diversity (BGDV) while the dependent variable being earnings management was proxied by Modified Jones Model (MJON). Furthermore, in line with related extant literature, the study controlled the model goodness of fit by employing the variable of cash flow return from operations (CFOA) The research design adopted for this study was ex post facto, purposive sampling technique was employed and secondary source of data used was obtained from the studied companies’ annual report and Nigeria Exchange Group fact book. Least square variable regression was adopted to analyze and test the three hypotheses formulated for the study. The study revealed that board size, board independence, board gender diversity has significant negative effect on earnings management of non-finance firms listed on the floor of the Nigeria Exchange Group. It was thus concluded that board monitoring mechanisms have significant effect on earnings management of listed non-finance firms in Nigeria. Based on these findings, it was recommended that board size should not be less than ten members, non-executive directors should constitute 80% of total board members and female members should constitute half of the board size as this composition tends to reduce earnings management of the sampled firms.
Keywords: Board independence, Board monitoring mechanism, Board size, Earnings Management
Effect of Audit Committee, Board of Commissioners Size on Social Responsibility Disclosure with CEO Tenure as Moderating Variable (Published)
Its capacity is to demonstrate the effect of the Review Council , the Leading group of Chiefs on the revelation of Corporate Social Duty with President Residency as the directing variable. The populace in this investigation are organizations recorded on the Indonesia Stock Trade (IDX). The examining procedure utilized is purposive inspecting. The sort of information utilized in this examination is optional information. The consequences of the investigation show that the impact of the Review Advisory group and the Size of the Leading body of Chiefs affects Divulgence of Corporate Social Obligation, yet President Residency doesn’t reinforce this impact.
Keywords: Audit Committee, Audit Quality, Board size, CEO tenure, ROA, firms’ size