This study investigated the relationship between corporate governance and earnings quality of listed banks in Rivers State. It examined the relationship between Board size and accrual quality; Audit committee independence and value relevance; and directors’ independence and accrual quality of listed banks in Rivers State. It adopted the quantitative approach in investigating the assumed relationships. Using regression analysis and Pearson product moment correlation coefficient, the result indicated a positive relationship between corporate governance and earnings quality. It revealed positive association between board size, independent directors and accrual quality. No relationship was established between independent audit committee and accrual quality. It is recommended that the existing board size should be maintained to sustain bank performance. In addition, quality and independent directors should be hired for earnings and accrual management. Finally, further study is recommended for other sectors using different research to correct the limitation of the research method and tools
The Implication of Corporate Governance on Financial Institution’s Performanc...Waqas Tariq
Application of business ethics is sine qua non to the concept of corporate governance. Corporate governance on it own has a very significant relationship with corporate performance. This is the thrust of this paper. The Central Bank of Nigeria (CBN) bulletin of (2006) had asserted that disagreement between the board and management of financial institutions usually gives rise to board squabbles and ineffective board oversight functions. This is why the objective of this article is to determine the extent to which corporate governance practices impacts on financial institutions performance. To validate this assertion, a sample of thirty three financial institution listed on the Nigerian stock Exchange from 2004 to 2008 was used for this study. Multiple regressions Analysis and ordinary least square (OLS) method of estimation were applied. The results showed that there is a positive correlation between corporate governance practices and firms” performance. The other two performance proxies that is, Return on Equity and two corporate governance practices namely; the firms’ board size and audit committee also showed positive relationship. However, there was a negative relationship between the net profit margin, the firms’ board size and audit committee. The study could not establish a relationship between the two performance variables, namely; Return on Equity and Net profit Margin, and the executive officers’ status. In conclusion, the findings in this study are consistent with the findings of studies conducted in other countries that business ethics and good governance practices are the bed rock of optimum. It is recommended that corporate governance mechanisms be objectively structured to enhance optimal performance of corporate institutions in Nigeria.
The Impact of Corporate Governance on Firms’ Profitability in Nigeriainventionjournals
The purpose of this paper is to investigate the impact of corporate governance on firms’ profitability in Nigeria. This research has been performed using a sample of 60 companies listed on the Nigeria Stock Exchange (NSE) from 2004 to 2014. The relationship between corporate governance mechanisms (board characteristics, audit committee, board independence, size, growth and profit variability) and firms’ profitability was observed. The results of the multiple regression analysis were statistically significant at 0.05 level. The F Statistics of 1.036 also shows that the result typically explained the model. The findings of the study confirmed that corporate governance mechanisms enhance firms’ profitability in Nigeria.
NEW GLOBAL OPEN WEB E BANKING MARKET HANDLING INTERNATIONAL GREEK CHARGES GR0112005674 Name und Anschrift des Leistenden Name/Unternehmen E.D.GOUTOS SA Postleitzahl 21300 Ort PORTOCHELI GREECE Staat Vereinigte Staaten von Amerika Steuernummer/USt-IdNr. 93172860596 Sitz des Geldinstitutes GREECE Bankleitzahl (Sortcode) 20122262 Bank Identification Code (BIC) HRB68648
Using panel data from firms listed on the Nairobi Securities Exchange during the period
2004-2014, this paper examines the effect of board diversity and firm performance. Specifically the study investigates the effect of independent directors, board size, gender and financial expertise of directors and firm performance. The study finds, steadily with trends in most countries, the representation of women on the corporate board remains low. Regression results indicate that board independence has a negative and significant relationship on firm performance. The study also finds that gender diverse boards perform better as measured by Return on Assets (ROA).
The Implication of Corporate Governance on Financial Institution’s Performanc...Waqas Tariq
Application of business ethics is sine qua non to the concept of corporate governance. Corporate governance on it own has a very significant relationship with corporate performance. This is the thrust of this paper. The Central Bank of Nigeria (CBN) bulletin of (2006) had asserted that disagreement between the board and management of financial institutions usually gives rise to board squabbles and ineffective board oversight functions. This is why the objective of this article is to determine the extent to which corporate governance practices impacts on financial institutions performance. To validate this assertion, a sample of thirty three financial institution listed on the Nigerian stock Exchange from 2004 to 2008 was used for this study. Multiple regressions Analysis and ordinary least square (OLS) method of estimation were applied. The results showed that there is a positive correlation between corporate governance practices and firms” performance. The other two performance proxies that is, Return on Equity and two corporate governance practices namely; the firms’ board size and audit committee also showed positive relationship. However, there was a negative relationship between the net profit margin, the firms’ board size and audit committee. The study could not establish a relationship between the two performance variables, namely; Return on Equity and Net profit Margin, and the executive officers’ status. In conclusion, the findings in this study are consistent with the findings of studies conducted in other countries that business ethics and good governance practices are the bed rock of optimum. It is recommended that corporate governance mechanisms be objectively structured to enhance optimal performance of corporate institutions in Nigeria.
The Impact of Corporate Governance on Firms’ Profitability in Nigeriainventionjournals
The purpose of this paper is to investigate the impact of corporate governance on firms’ profitability in Nigeria. This research has been performed using a sample of 60 companies listed on the Nigeria Stock Exchange (NSE) from 2004 to 2014. The relationship between corporate governance mechanisms (board characteristics, audit committee, board independence, size, growth and profit variability) and firms’ profitability was observed. The results of the multiple regression analysis were statistically significant at 0.05 level. The F Statistics of 1.036 also shows that the result typically explained the model. The findings of the study confirmed that corporate governance mechanisms enhance firms’ profitability in Nigeria.
NEW GLOBAL OPEN WEB E BANKING MARKET HANDLING INTERNATIONAL GREEK CHARGES GR0112005674 Name und Anschrift des Leistenden Name/Unternehmen E.D.GOUTOS SA Postleitzahl 21300 Ort PORTOCHELI GREECE Staat Vereinigte Staaten von Amerika Steuernummer/USt-IdNr. 93172860596 Sitz des Geldinstitutes GREECE Bankleitzahl (Sortcode) 20122262 Bank Identification Code (BIC) HRB68648
Using panel data from firms listed on the Nairobi Securities Exchange during the period
2004-2014, this paper examines the effect of board diversity and firm performance. Specifically the study investigates the effect of independent directors, board size, gender and financial expertise of directors and firm performance. The study finds, steadily with trends in most countries, the representation of women on the corporate board remains low. Regression results indicate that board independence has a negative and significant relationship on firm performance. The study also finds that gender diverse boards perform better as measured by Return on Assets (ROA).
Corporate governance and bank performance: Empirical evidence from Nepalese f...Rajesh Gupta
This paper examines the effects of corporate governance on bank performance in the context of Nepal. Return on assets (ROA) and return on equity (ROE) are dependent variables for bank performance, and board size, female board members, financial institutions, CEO duality, independent directors, firm size, firm age, earnings per share, and the capital adequacy ratio are independent variables for corporate governance.
Corporate Governance and Its Impact on Financial Performance in Nepalese Comm...IJMREMJournal
Corporate governance is about building credibility, ensuring transparency and accountability as well as
maintaining aneffective channel of information disclosure that would foster good corporate performance.
Corporate governance is the extent to which companies are run in an open and honest manner is important for
overall market confidence. Corporate governance describes all of the devices, institutions, and mechanisms by
which corporations are governed. The basic objective of the study is to analyze the level and structure of
corporate governance in Nepal and determine its effects on financial performance in commercial banks of
Nepal. Descriptive research design has been followed and multistage sampling method is used. Both primary as
well as secondary data have been used to collect the information. It is found that corporate governance has
played the significant role to keep the corporate governance in Nepalese commercial Banks
Boards of Directors are not only expected to monitor a company management; they are also held
responsible for an organization’s failure to attain organizational performance goals.The purpose of this study
was to establish the relationship between board of directors’ composition, strategic leadership and performance
of commercial banks in Kenya. The specific objectives were to establish the relationship betweenboard size,
non-executive directors, and board diversityand performance of commercial banks in Kenya and the extent to
which strategic leadership moderates such relationships
Corporate Governance and Corporate Profitability Empirical Study of Listed La...ijtsrd
Corporate governance is concerned with ways in which all parties interested in the well- being of the organization attempt to ensure that mangers and other insiders take measures or adopt mechanisms that safeguard the interests of the stakeholders.. The purpose of the study is to find out the impact of corporate governance on profitability of listed Land and Property companies in Sri Lanka. Return of Assets is used as dependent variable. To measure the corporate governance, Board size, Board composition and independent directors of Remuneration committee. number of auditors are considered in this study. Firm size was considered as control variable in this study. The data were collected from firms annual financial reports and Data Stream over the period of 2011to 2016, from the CSE website. Descriptive statistics, correlation analysis, multiple linear regression analysis were used to analyse the data and examine the hypotheses by using the E-views 10 version, in this study. The findings revealed that there is a positive and significant relationship between ROA with auditors, board composition. Independent directors of Remuneration committee and board size are insignificantly correlated with ROA. Furthermore, it was found that the control variable firm size was insignificant in influencing firm performance ROA ..This study provides useful information for policy makers, regulators in improving the corporate governance policies in the future and also helps in increasing and understanding the relationship between corporate governance and firms performance. S. Anandasayanan | H. Thavarasasingam "Corporate Governance and Corporate Profitability: Empirical Study of Listed Land and Property Companies in Sri Lanka" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-2 , February 2019, URL: https://www.ijtsrd.com/papers/ijtsrd20309.pdf
Paper URL: https://www.ijtsrd.com/management/accounting-and-finance/20309/corporate-governance-and-corporate-profitability-empirical-study-of-listed-land-and-property-companies-in-sri-lanka/s-anandasayanan
Corporate governance is of great importance for financial performance. Corporate governance issues have attracted public interest in the financial sector both locally and internationally after waves of corporate rip-offs and failures that almost led to loss of confidence in the finance sector. The general objective of this study was to determine the effect of corporate governance on financial performance of Savings and Credit Co-operatives in Kenya. The study adopted a descriptive research design. The study targeted a population of 65 active Savings and credit Co-operatives operating in Embu County. A sample size of 57 Savings and Credit Co-operatives was used in this study. Stratified sampling technique was used to select the sample. Primary data was collected using self-administered semi-structured questionnaires while secondary data was obtained from financial statements and periodicals using a record survey sheet. Pre-testing of research tool was conducted before the actual data collection was carried, to determine the reliability of the questionnaire by use of a Cronbach‘s alpha, statistical coefficient, while the validity was tested to ensure that the questions in the questionnaire provides adequate coverage to the investigative questions. Correlation and multiple regression analysis was used to establish the relationship between independent and dependent variables. The study findings indicated that corporate governance positively affected the financial performance. In specific the board composition and corporate risk management for SACCOs had a positive effect on the financial performances of the SACCOs. The study is beneficial to SACCOs management in improving the performance of Savings and Credit Co-operatives and enabling them to compete globally. The study recommends gender parity consideration and balanced mix of skilled board members during appointments of the board members. The recommendations are important to the government, especially the department of cooperatives in strengthening policies regarding cooperative societies.
International Journal of Business and Management Invention (IJBMI)inventionjournals
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online
Corporate governance and bank performance: Empirical evidence from Nepalese f...Rajesh Gupta
This paper examines the effects of corporate governance on bank performance in the context of Nepal. Return on assets (ROA) and return on equity (ROE) are dependent variables for bank performance, and board size, female board members, financial institutions, CEO duality, independent directors, firm size, firm age, earnings per share, and the capital adequacy ratio are independent variables for corporate governance.
Corporate Governance and Its Impact on Financial Performance in Nepalese Comm...IJMREMJournal
Corporate governance is about building credibility, ensuring transparency and accountability as well as
maintaining aneffective channel of information disclosure that would foster good corporate performance.
Corporate governance is the extent to which companies are run in an open and honest manner is important for
overall market confidence. Corporate governance describes all of the devices, institutions, and mechanisms by
which corporations are governed. The basic objective of the study is to analyze the level and structure of
corporate governance in Nepal and determine its effects on financial performance in commercial banks of
Nepal. Descriptive research design has been followed and multistage sampling method is used. Both primary as
well as secondary data have been used to collect the information. It is found that corporate governance has
played the significant role to keep the corporate governance in Nepalese commercial Banks
Boards of Directors are not only expected to monitor a company management; they are also held
responsible for an organization’s failure to attain organizational performance goals.The purpose of this study
was to establish the relationship between board of directors’ composition, strategic leadership and performance
of commercial banks in Kenya. The specific objectives were to establish the relationship betweenboard size,
non-executive directors, and board diversityand performance of commercial banks in Kenya and the extent to
which strategic leadership moderates such relationships
Corporate Governance and Corporate Profitability Empirical Study of Listed La...ijtsrd
Corporate governance is concerned with ways in which all parties interested in the well- being of the organization attempt to ensure that mangers and other insiders take measures or adopt mechanisms that safeguard the interests of the stakeholders.. The purpose of the study is to find out the impact of corporate governance on profitability of listed Land and Property companies in Sri Lanka. Return of Assets is used as dependent variable. To measure the corporate governance, Board size, Board composition and independent directors of Remuneration committee. number of auditors are considered in this study. Firm size was considered as control variable in this study. The data were collected from firms annual financial reports and Data Stream over the period of 2011to 2016, from the CSE website. Descriptive statistics, correlation analysis, multiple linear regression analysis were used to analyse the data and examine the hypotheses by using the E-views 10 version, in this study. The findings revealed that there is a positive and significant relationship between ROA with auditors, board composition. Independent directors of Remuneration committee and board size are insignificantly correlated with ROA. Furthermore, it was found that the control variable firm size was insignificant in influencing firm performance ROA ..This study provides useful information for policy makers, regulators in improving the corporate governance policies in the future and also helps in increasing and understanding the relationship between corporate governance and firms performance. S. Anandasayanan | H. Thavarasasingam "Corporate Governance and Corporate Profitability: Empirical Study of Listed Land and Property Companies in Sri Lanka" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-2 , February 2019, URL: https://www.ijtsrd.com/papers/ijtsrd20309.pdf
Paper URL: https://www.ijtsrd.com/management/accounting-and-finance/20309/corporate-governance-and-corporate-profitability-empirical-study-of-listed-land-and-property-companies-in-sri-lanka/s-anandasayanan
Corporate governance is of great importance for financial performance. Corporate governance issues have attracted public interest in the financial sector both locally and internationally after waves of corporate rip-offs and failures that almost led to loss of confidence in the finance sector. The general objective of this study was to determine the effect of corporate governance on financial performance of Savings and Credit Co-operatives in Kenya. The study adopted a descriptive research design. The study targeted a population of 65 active Savings and credit Co-operatives operating in Embu County. A sample size of 57 Savings and Credit Co-operatives was used in this study. Stratified sampling technique was used to select the sample. Primary data was collected using self-administered semi-structured questionnaires while secondary data was obtained from financial statements and periodicals using a record survey sheet. Pre-testing of research tool was conducted before the actual data collection was carried, to determine the reliability of the questionnaire by use of a Cronbach‘s alpha, statistical coefficient, while the validity was tested to ensure that the questions in the questionnaire provides adequate coverage to the investigative questions. Correlation and multiple regression analysis was used to establish the relationship between independent and dependent variables. The study findings indicated that corporate governance positively affected the financial performance. In specific the board composition and corporate risk management for SACCOs had a positive effect on the financial performances of the SACCOs. The study is beneficial to SACCOs management in improving the performance of Savings and Credit Co-operatives and enabling them to compete globally. The study recommends gender parity consideration and balanced mix of skilled board members during appointments of the board members. The recommendations are important to the government, especially the department of cooperatives in strengthening policies regarding cooperative societies.
International Journal of Business and Management Invention (IJBMI)inventionjournals
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online
Factors Affecting the Sustainability of Sino-American Educational Ventures in...inventionjournals
The scope of this study is to identify the main factors that influence the sustainability of SinoAmerican Educational Ventures (SAEV) in Mainland China. SAEV ventures have been a new global trend since the Chinese open door policy in the late 70’s. These ventures are comprised of Chinese and American institution forming degree programs in mainland China. Sustainability for this study meant creating world-class institutions with a Chinese educational mantra known as sine qua non, meaning education for security, sustenance, and economic expansion. The study attempts to examine factors such as perceived external prestige, discordant educational rating systems, government policies, and intercultural communication. In addition, the analysis includes the review of institutions that have succeeded and failed in these ventures and the sustainability efforts employed by these institutions. Finally, the paper provides an insight into ways of mitigating these factors, thereby the sustainability of Sino- American Educational Ventures.
Analysis of Occurrence of Digit 1 in First 10 Billion Digits of π after Decim...inventionjournals
πis well-known irrational number that is also transcendental. The infinite non-zero non-recurring digits after decimal point in decimal representation of π deserve detail analysis. This work analyzes the occurrence of digit 1 in first 10 billion digits of π after decimal Point in decimal representation covering successive as well as non-successive occurrences.
tecnologies de comunicació, informació i gestió. De webs, xarxes socials, comerç electrònic, màrqueting on line; per a empreses, comerços, emprenedors.
An Investigation into the Application of Marketing Tools to Religious Organis...inventionjournals
Application of marketing tools to the activities of religious organisations is gaining prominence in the world today. The churches especially the number of ‘mega’ and ‘giga’ churches in Nigeria have risen exponentially with presence beyond the country. Likewise, in the global context churches play a very important role as agent of change, individualization, critics of traditional cultures and religions. The objective of this paper was to examine the success of religious organizations in Nigeria from a marketing perspective. In addition to the review of literature, primary data were obtained from a total of 101 respondents to validate the two hypotheses formulated in the study. It was revealed that marketing has helped religious organizations in improving, increasing, satisfying and achieving their goals in the face of intense market pressure due to increase in their members and competitions. The paper concluded that churches, whether consciously or otherwise, have embraced sophisticated marketing logics, tools, techniques and strategies, specifically the customer-driven orientation just like the commercial organizations. It was recommended that churches should pay closer attention to church management and marketing for the benefits of enhancing growth in modern day church service deliveries.
Analysis of the effects of economic corporate social responsibility on financ...inventionjournals
The purpose of this study was to analyze the effect economic corporate social responsibility on Financial performance. The study was guided by the following objectives: To analyze the effect of innovational CSR cost on financial performance, to examine the effect of social quality practices spending on financial performance ,to find out the effect of corporate entrepreneurship spending on financial performance and to examine the effect of financial literacy expenditure CSR on financial The study was guided by Stakeholders theory, Shareholder theory and Shareholder-Based Financial Performance theory. This study used quantitative research approaches. Quantitative research is generally associated. Collecting and converting data into numerical form so that statistical calculations can be made and conclusions drawn. This study will employ descriptive research design. The target population used was 100 and sampling procedure used was stratified. The study used primary (collected using questionnaires) and secondary data (trend analysis). To test the validity of the research instruments the questionnaires prepared and submitted to the supervisor and other research experts. In order to test the reliability of the instrument used in this study, the researcher used test retest method. Descriptive and inferential statistics method was used for data analysis and interpretation regression model was used to analyze the effect between variables. The study recommended that companies should ensure effective sustainability programs which include social responsibility, They should also ensure effective social programs are accomplished through cause-related marketing and corporate philanthropy, they should also create initiative which has beneficial relationship between the corporation and society, they should also should ensure corporate governance which is the framework of rules and practices by which a board of directors and embrace accountability, fairness, and transparency in a company's relationship with its stakeholders. For further research the study suggests that more studies should be done on economic social responsibility and corporate governance, economic social responsibility and financial literacy.
Evaluación comparativa de la escorrentía en diferentes situaciones hidrogeomo...CPIC
Trabajo presentado en el Primer Congreso de Ingeniería Urbana (CIU) por la Ing. Susana V. Viñes y el Ing. Ignacio M. Arzuaga, y con colaboración del Ing. Gonzalo Navarro y el Ing.Guillermo Cabral.
Corporate Governance and Firm Performance: The Role of Transparency & Disclos...Muhammad Arslan
Purpose: This purpose of this paper is to empirically examine the relationship between transparency and disclosure and firm performance. Highlighting the importance of corporate governance in banking sector, the paper has focused in depth over its role, level and its impact on performance in banking industry of Pakistan. Design/methodology/approach: The paper access this purpose by constructing transparency and disclosure index for the past five year 2007-2011, using proxies for three sub-categories which are board and management structure disclosure, ownership structure disclosure and financial transparency disclosure. The paper also investigated structural changes of T&D Index and its effect on bank financial performance over the sample of 30 banks operating in Pakistan. Findings: Empirical analysis results by using ordinary least square regression model, reveals that financial performance is positively related to the transparency and disclosure and their sub levels except ownership structure disclosure which has negative relation with both ROA and ROE. Furthermore the average T&D level in Pakistani banking sector is above average. Practical implications: The current research paper aims for important policy implementation to reduce information asymmetry and improve corporate governance and firm performance in banking sector of Pakistan.
This study examined the influence of the characteristics of the audit committee on Palestinian firms’ value. The research explores precisely the effect on the Audit Committee characteristics’ efficiency, namely, independence, expertise, evaluating the relationship among dependent and independent variables. Secondary data collected from a list of companies were registered in the Palestine Stock Exchange from 2011 to 2018. Individual variables considered are the independence & expertise of the audit committee, whereas the ROA is employed as the dependent variable as an indicator of a firm’s value. The results showed that the Audit Committee’s independence & expertise substantially positive with ROA. The study concluded that the audit committee’s characteristics are enhancing firm performance. The implications of this study’s findings can be used by decisions and policymakers, the firm’s management, and other stockholders’ interests to create reliable ties between agents and the principals.
Effect of Audit Quality on the Financial Performance of Deposit Money Banks i...ijtsrd
This study investigated the effect of audit quality on the financial performance of deposit money banks in Nigeria. The Ex-post Facto research design was adopted. The Judgmental sampling was adopted to selected 14 from the 22 listed Deposit Money Banks on the Nigerian Stock Exchange. The data collected from annual reports and accounts of deposit money banks were analyzed using the simple regression and correlation analyses. Findings f revealed that Audit Committee Size ACSIZ has a positive but insignificant effect on the financial performance of deposit money banks in Nigeria. Audit Committee Independence ACIND and Audit Committee Meetings ACM both have a negative and insignificant effect on the financial performance of quoted deposit money banks in Nigeria while Auditors Size BIG4A has a positive and statistically significant effect on the financial performance of quoted banks in Nigeria. Based on this, the study recommended among others that the management of the deposit money banks in Nigeria should employ the services of one of the big audit firms and where this is not possible, go for an audit firm whose character and integrity is beyond question. Muotolu, Peace Chikwemma | E. O. Nwadialor "Effect of Audit Quality on the Financial Performance of Deposit Money Banks in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-2 , February 2019, URL: https://www.ijtsrd.com/papers/ijtsrd21557.pdf
Paper URL: https://www.ijtsrd.com/management/accounting-and-finance/21557/effect-of-audit-quality-on-the-financial-performance-of-deposit-money-banks-in-nigeria/muotolu-peace-chikwemma
Article: Influence of Corporate Board Characteristics on Firm Performance of ...McRey Banderlipe II
Using disclosure information from 29 listed property companies in the Philippines, the results revealed that managerial ownership positively influences firm performance. Moreover, firm size, leverage, and age influence the accounting-based measures of performance to a great extent than the market-based measures. Further research should focus on the overall impact of corporate governance using different measures of performance to better assist the decision making of the company’s stakeholders.
THE IMPACT OF THE AUDIT QUALITY ON THAT OF THE ACCOUNTING PROFITS: THE CASE O...ijmvsc
The purpose of this article is to examine the impact of the audit quality on that of the accounting profits. We chose the accrual quality, the accounting conservatism and the profit relevance as a measure of the quality of the accounting profits. The empirical study, which was carried out in this article on a sample of Tunisian firms listed on the TSE for the period (2005-2009), confirms the significant impact of the audit quality on that of the accounting profits. The study results also show that the variables: size of the audit firm, sector-based specialization of the audit firm, the co-commissioner and the size of the audit committee, improve the quality of the accounting profits.
Article: The Impact of Selected Corporate Governance Variables in Mitigating ...McRey Banderlipe II
This study attempts to explain the role of selected corporate governance variables related to a company's board of directors in mitigating earnings management in the country. The findings revealed that the holding of multiple directorial positions by the independent directors, and the managerial ownership of the board are significant enough to limit the incentives for earnings management.
Corporate Governance, Firm Size, and Earning Management: Evidence in Indonesi...IOSR Journals
Purpose –Thepurpose of this paper is to evaluate the impact of the corporate governance regulationsimplementation and firm size onthe earning management for food and beverages companies in Indonesian Stock Exchange. Design/methodology/approach –The multiple regression is utilized to test this relationship at 95% confidence.Corporate governance was proxied by board of director, audit quality, and board independence. Firm size was represented by natural logarithm of total assets. Earning management was measured by Jones model withdiscretionary accruals. Findings – Using data from the year 2005 annual reports of 51 food and beverages listed companies,including the composite index, the results showed that twoof the corporate governance variables, namely board of director and audit quality, as well as firm size are statistically significant in explaining earning management measured bydiscretionary accruals. Research limitations/implications – The regulations on corporate governance were implementedin 2005, but not all of food and beverages listed companies implemented the regulations in 2005. Practical implications – An implication of this finding is that regulatory efforts initiated after the1997 financial crisis to enhance corporate transparency and accountability did not appear to result on better corporate performance. Originality/value – This is one of the few studies which investigates the impact of regulatory actionson corporate governance on earning management immediately after its implementation.
Effect of Auditor Independence on Audit Quality: A Review of Literatureinventionjournals
Auditor independence and audit quality are two concepts that work inseparably. Many have argued that auditor independence begets audit quality and as such audit quality cannot be different from the system that produces it. This paper reviews literature related to auditor independence and audit quality in order to determine the effect of the former on the latter. The ex post facto research design is employed. Information for this study was obtained from secondary sources to include journals, text books and other internet materials. Based on the review, findings show that there is a strong relationship between auditor independence and audit quality. The review also revealed four threats to auditor independence, which are client importance, non-audit services (NAS), audit tenure, and client’s affiliation with CPA firms. However, some studies indicated a positive relationship while others showed contrary due to the type of study design employed, sample size, data collection instruments and analysis techniques used. Most of the studies on auditor independence and audit quality were centered on one or two of the threats and majorly done outside Nigeria. Even the ones done in Nigeria were focused on the banking sector. This review therefore, recommends that more investigations should be conducted in Nigeria taking into consideration the four major threats revealed and extend to other sectors like manufacturing, transport, media, education etc.
Forensic Accounting and Integrated Financial Reporting of Banks using HausmanIJAEMSJORNAL
This study examined forensic accounting and integrated financial reporting of listed banks in Ghana. The study aimed to examine forensic accounting effects on the integrated financial reporting of the listed banks. Its specific objectives determined the impact Litigations, Claims, Fraud cases reported, Cost of forensic investigation and Non-performing loans (LCFCN) have on integrated financial reporting variables such as corporate social responsibility – CSR. Integrated financial reporting (IFR) is the dependent variable while forensic accounting (FA) is the independent variable. In line with these stated objectives, five research questions and five hypotheses were formulated and it adopted the ex-post facto research design. The population of study constitutes 24 listed banks in Ghana, only 8 listed banks was selected through a purposive sampling. The data for the study was purely secondary and sourced from related books of the banks via Central Banks bulletin (Ghana), African financials and banks reports for a period of 16years from 2004-2020. Moreover, data were analyzed using the descriptive statistics, the Shapiro -Wilk test for a diagnostic check for normality and a combination of the panel regression analysis with the Hausman test which aided appropriately specification whether the analysis should be done with a fixed effect or random effect model of which the fixed effect was used for the interpretation at (P 0.050 < 0.10). In nations analyzed, the results among others demonstrated that forensic accounting and integrated financial reporting were statistically significant at 1%, 5%, and 10% as claims is positive and have significant effect on CSR (β = 64687.53, P<0.10); Non-performing loans is statistically significant and had a negative effect on CSR (β = -2.934, P= 0.054 @ 0.10). The study hence concludes that the effective implementation of forensic accounting had a constructive and significant effect on the integrated financial reporting of listed banks in Ghana. The study recommends among others that the apex banks should mandate banks to incorporate forensic accounting when reassessing their employability skill set, report production, debt administration and management, and portray fairness virtue in their reporting system so as to attract more investment and positive public image.
Effect of Corporate Governance Committees and Financial Performance of Health...ijtsrd
This study examined empirically corporate governance committees and financial performance of healthcare companies. The independent variables are remuneration committees and nomination committees and independent variable was proxied with return on equity. The study used Ex Post Facto research design. Regression analysis was employed to test the hypotheses. The result showed that remuneration committee has a negative effect on return on assets, and this effect was not statistically significant at 5 level of significance. While nomination committee has a positive effect on return on assets, and this effect was statistically significant at 5 level of significance. It was suggested that the remuneration committee ensure that the appointed board members have an appropriate balance of skills to successfully discharge their duties. Unamma, Amaka Nkiru | Nwachukwu Raphael "Effect of Corporate Governance Committees and Financial Performance of Healthcare Companies in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-7 | Issue-4, August 2023, URL: https://www.ijtsrd.com/papers/ijtsrd59782.pdf Paper Url:https://www.ijtsrd.com/management/accounting-and-finance/59782/effect-of-corporate-governance-committees-and-financial-performance-of-healthcare-companies-in-nigeria/unamma-amaka-nkiru
Student information management system project report ii.pdfKamal Acharya
Our project explains about the student management. This project mainly explains the various actions related to student details. This project shows some ease in adding, editing and deleting the student details. It also provides a less time consuming process for viewing, adding, editing and deleting the marks of the students.
About
Indigenized remote control interface card suitable for MAFI system CCR equipment. Compatible for IDM8000 CCR. Backplane mounted serial and TCP/Ethernet communication module for CCR remote access. IDM 8000 CCR remote control on serial and TCP protocol.
• Remote control: Parallel or serial interface.
• Compatible with MAFI CCR system.
• Compatible with IDM8000 CCR.
• Compatible with Backplane mount serial communication.
• Compatible with commercial and Defence aviation CCR system.
• Remote control system for accessing CCR and allied system over serial or TCP.
• Indigenized local Support/presence in India.
• Easy in configuration using DIP switches.
Technical Specifications
Indigenized remote control interface card suitable for MAFI system CCR equipment. Compatible for IDM8000 CCR. Backplane mounted serial and TCP/Ethernet communication module for CCR remote access. IDM 8000 CCR remote control on serial and TCP protocol.
Key Features
Indigenized remote control interface card suitable for MAFI system CCR equipment. Compatible for IDM8000 CCR. Backplane mounted serial and TCP/Ethernet communication module for CCR remote access. IDM 8000 CCR remote control on serial and TCP protocol.
• Remote control: Parallel or serial interface
• Compatible with MAFI CCR system
• Copatiable with IDM8000 CCR
• Compatible with Backplane mount serial communication.
• Compatible with commercial and Defence aviation CCR system.
• Remote control system for accessing CCR and allied system over serial or TCP.
• Indigenized local Support/presence in India.
Application
• Remote control: Parallel or serial interface.
• Compatible with MAFI CCR system.
• Compatible with IDM8000 CCR.
• Compatible with Backplane mount serial communication.
• Compatible with commercial and Defence aviation CCR system.
• Remote control system for accessing CCR and allied system over serial or TCP.
• Indigenized local Support/presence in India.
• Easy in configuration using DIP switches.
Final project report on grocery store management system..pdfKamal Acharya
In today’s fast-changing business environment, it’s extremely important to be able to respond to client needs in the most effective and timely manner. If your customers wish to see your business online and have instant access to your products or services.
Online Grocery Store is an e-commerce website, which retails various grocery products. This project allows viewing various products available enables registered users to purchase desired products instantly using Paytm, UPI payment processor (Instant Pay) and also can place order by using Cash on Delivery (Pay Later) option. This project provides an easy access to Administrators and Managers to view orders placed using Pay Later and Instant Pay options.
In order to develop an e-commerce website, a number of Technologies must be studied and understood. These include multi-tiered architecture, server and client-side scripting techniques, implementation technologies, programming language (such as PHP, HTML, CSS, JavaScript) and MySQL relational databases. This is a project with the objective to develop a basic website where a consumer is provided with a shopping cart website and also to know about the technologies used to develop such a website.
This document will discuss each of the underlying technologies to create and implement an e- commerce website.
Quality defects in TMT Bars, Possible causes and Potential Solutions.PrashantGoswami42
Maintaining high-quality standards in the production of TMT bars is crucial for ensuring structural integrity in construction. Addressing common defects through careful monitoring, standardized processes, and advanced technology can significantly improve the quality of TMT bars. Continuous training and adherence to quality control measures will also play a pivotal role in minimizing these defects.
Immunizing Image Classifiers Against Localized Adversary Attacksgerogepatton
This paper addresses the vulnerability of deep learning models, particularly convolutional neural networks
(CNN)s, to adversarial attacks and presents a proactive training technique designed to counter them. We
introduce a novel volumization algorithm, which transforms 2D images into 3D volumetric representations.
When combined with 3D convolution and deep curriculum learning optimization (CLO), itsignificantly improves
the immunity of models against localized universal attacks by up to 40%. We evaluate our proposed approach
using contemporary CNN architectures and the modified Canadian Institute for Advanced Research (CIFAR-10
and CIFAR-100) and ImageNet Large Scale Visual Recognition Challenge (ILSVRC12) datasets, showcasing
accuracy improvements over previous techniques. The results indicate that the combination of the volumetric
input and curriculum learning holds significant promise for mitigating adversarial attacks without necessitating
adversary training.
Welcome to WIPAC Monthly the magazine brought to you by the LinkedIn Group Water Industry Process Automation & Control.
In this month's edition, along with this month's industry news to celebrate the 13 years since the group was created we have articles including
A case study of the used of Advanced Process Control at the Wastewater Treatment works at Lleida in Spain
A look back on an article on smart wastewater networks in order to see how the industry has measured up in the interim around the adoption of Digital Transformation in the Water Industry.
Democratizing Fuzzing at Scale by Abhishek Aryaabh.arya
Presented at NUS: Fuzzing and Software Security Summer School 2024
This keynote talks about the democratization of fuzzing at scale, highlighting the collaboration between open source communities, academia, and industry to advance the field of fuzzing. It delves into the history of fuzzing, the development of scalable fuzzing platforms, and the empowerment of community-driven research. The talk will further discuss recent advancements leveraging AI/ML and offer insights into the future evolution of the fuzzing landscape.
Cosmetic shop management system project report.pdfKamal Acharya
Buying new cosmetic products is difficult. It can even be scary for those who have sensitive skin and are prone to skin trouble. The information needed to alleviate this problem is on the back of each product, but it's thought to interpret those ingredient lists unless you have a background in chemistry.
Instead of buying and hoping for the best, we can use data science to help us predict which products may be good fits for us. It includes various function programs to do the above mentioned tasks.
Data file handling has been effectively used in the program.
The automated cosmetic shop management system should deal with the automation of general workflow and administration process of the shop. The main processes of the system focus on customer's request where the system is able to search the most appropriate products and deliver it to the customers. It should help the employees to quickly identify the list of cosmetic product that have reached the minimum quantity and also keep a track of expired date for each cosmetic product. It should help the employees to find the rack number in which the product is placed.It is also Faster and more efficient way.
Automobile Management System Project Report.pdfKamal Acharya
The proposed project is developed to manage the automobile in the automobile dealer company. The main module in this project is login, automobile management, customer management, sales, complaints and reports. The first module is the login. The automobile showroom owner should login to the project for usage. The username and password are verified and if it is correct, next form opens. If the username and password are not correct, it shows the error message.
When a customer search for a automobile, if the automobile is available, they will be taken to a page that shows the details of the automobile including automobile name, automobile ID, quantity, price etc. “Automobile Management System” is useful for maintaining automobiles, customers effectively and hence helps for establishing good relation between customer and automobile organization. It contains various customized modules for effectively maintaining automobiles and stock information accurately and safely.
When the automobile is sold to the customer, stock will be reduced automatically. When a new purchase is made, stock will be increased automatically. While selecting automobiles for sale, the proposed software will automatically check for total number of available stock of that particular item, if the total stock of that particular item is less than 5, software will notify the user to purchase the particular item.
Also when the user tries to sale items which are not in stock, the system will prompt the user that the stock is not enough. Customers of this system can search for a automobile; can purchase a automobile easily by selecting fast. On the other hand the stock of automobiles can be maintained perfectly by the automobile shop manager overcoming the drawbacks of existing system.
Explore the innovative world of trenchless pipe repair with our comprehensive guide, "The Benefits and Techniques of Trenchless Pipe Repair." This document delves into the modern methods of repairing underground pipes without the need for extensive excavation, highlighting the numerous advantages and the latest techniques used in the industry.
Learn about the cost savings, reduced environmental impact, and minimal disruption associated with trenchless technology. Discover detailed explanations of popular techniques such as pipe bursting, cured-in-place pipe (CIPP) lining, and directional drilling. Understand how these methods can be applied to various types of infrastructure, from residential plumbing to large-scale municipal systems.
Ideal for homeowners, contractors, engineers, and anyone interested in modern plumbing solutions, this guide provides valuable insights into why trenchless pipe repair is becoming the preferred choice for pipe rehabilitation. Stay informed about the latest advancements and best practices in the field.
Corporate Governance and Earnings Quality of Listed Banks in Rivers State
1. International Journal of Business and Management Invention
ISSN (Online): 2319 – 8028, ISSN (Print): 2319 – 801X
www.ijbmi.org || Volume 5 Issue 7 || July. 2016 || PP—29-33
www.ijbmi.org 29 | Page
Corporate Governance and Earnings Quality of Listed Banks in
Rivers State
Lilian O Nkanbia-Davies (MBA, FCA, ACTI) 1
, Ferry B Gberegbe (MSC,
MBA, FCA, ACTI) 2
, Prof. Clifford O Ofurum (ACA) 3
, Solomon Egbe (Phd) 4
1
Department of Accounting, University Of Port Harcourt
2
Department of Accountancy, Kenule Beesor Wiwa Polytechnic, Bori
3
Department of Accounting, University Of Port Harcourt
4
Department of Accounting, University Of Port Harcourt
ABSTRACT: This study investigated the relationship between corporate governance and earnings quality of
listed banks in Rivers State. It examined the relationship between Board size and accrual quality; Audit
committee independence and value relevance; and directors’ independence and accrual quality of listed banks
in Rivers State. It adopted the quantitative approach in investigating the assumed relationships. Using
regression analysis and Pearson product moment correlation coefficient, the result indicated a positive
relationship between corporate governance and earnings quality. It revealed positive association between board
size, independent directors and accrual quality. No relationship was established between independent audit
committee and accrual quality. It is recommended that the existing board size should be maintained to sustain
bank performance. In addition, quality and independent directors should be hired for earnings and accrual
management. Finally, further study is recommended for other sectors using different research to correct the
limitation of the research method and tools.
I. INTRODUCTION
Earnings quality is premier form of the financial quality as earnings constitute a major source of firm-specific
information (Francis, La ford, Olsson and Schipper, 2004). High quality reporting will require well-structured
and implemented corporate governance mechanisms. The effectiveness of corporate governance in the financial
reporting process is a major source of confidence building in the capital market (Ebaid, 2013). Klein (2002)
revealed that managers act with a short-term self-interest motive and use weaknesses, for example, poor
corporate governance structures to manage earnings for short term benefit. Accordingly, considerable attention
given to corporate governance issues in recent years suggests that stronger governance mechanisms are likely to
reduce opportunistic management behaviour, thereby enhancing the quality and reliability of financial reporting.
IMF identifies weak corporate governance as one of the factors that influence financial crisis. It increases
investor’s confidence by encouraging more accurate financial reporting and, transparent accounting and
disclosure practices by management. When there is reliable and transparent financial reporting practices,
investors will be able to make more informed financial decisions (Machuba and Teitel, 2007).
Lin and Hwang (2010) claim that corporate governance positively influences the quality of reported earnings.
However, prior literature on earnings has developed evidence that indicate that there are large cross-sectional
differences across countries. These differences may be due to the use of different research design and empirical
setting.
The relationship corporate governance and earnings quality has been investigated in the developed economies
such as USA and Europe, much is not known about this relationship in developing economies. Liu and Lu
(2009) indicated that Chinese listed firms with higher corporate governance levels have lower levels of earnings
management. Similarly, Muchuga and Teitel (2007) reported that the quality of earnings increased after the
implementation of the corporate governance code in Mexico. Also, Sarka, Sarka and Sen (2008) show that
boards that have directors with multiple appointments indicate higher earnings management in India. However,
Abdul Rahman and Ali (2006) argue that earnings management is positively associated with board size in
Malaysia. In Pakistan, Ali Shan, Butt and Hassan (2009) show that corporate governance is positively
associated with earnings management among the listed firms. Ali-Abbas (2009) did not find any relationship
between board size, value relevance and accrual with earnings management in the Saudi economy. Finally, the
result from Chalevas and Tzovas (2010) indicate that mandatory corporate governance mechanisms do not
positively influence earnings quality in Greece. These studies provide mixed and inconclusive findings justify
the need to investigate this relationship in Rivers State, Nigeria.
In Nigeria, the banking sector has witnessed several reforms that are attributable to reducing earnings
manipulation. Despite the number of governance codes and regulations, many banks collapsed between 2006
2. Corporate Governance And Earnings Quality Of Listed Banks In Rivers State
www.ijbmi.org 30 | Page
and 2007 after Recapitalization and Consolidation exercise. The cases of the defunct Oceanic Bank,
Intercontinental Bank, and First Inland Bank (Finbank) in 2009 raised questions on the effectiveness of
corporate governance of banks in Nigeria. Abdul Rahman and Ali (2006) assert that the high level of reliance
placed on financial reports poses the risk of manipulation of earnings by managers to their own advantage and
may be responsible for bank failure. The demand for high return on investment by shareholders put management
under pressure and lures them into involving themselves in unethical practices in financial reporting and
disclosures (Dalhat, 2014).
This study provides empirical evidence on the relationship between corporate governance and earnings quality
of listed banks in Rivers State. It extends the scope of corporate governance research to earnings quality and
assist in broadening the limited international and Nigeria literature on corporate governance.
The next part of this article is organized as: empirical review, methodology and discussion of findings,
conclusion and limitation/recommendation.
II. EMPIRICAL REVIEW
For the purpose of this article, we will discuss previous studies under the following sub-heads:
The size and independence of Board of Director
One of the most important factors that influence the integrity of financial accounting process involves the board
of directors (Niu, 2006). There are claims that strong independent directors are positively related with the
effective monitoring of managers and significantly influence corporate governance. According to Dezoort and
Salterio (2001), boards exist to protect the interest of those that are not involved in the day to day running of a
company. With its responsibility of monitoring and control, the board is assumed to assure the shareholder of
the quality of financial reporting. Klein (2002) asserts that the board of directors mitigates the manipulation of
accounting information through its monitoring process.
Previous research suggests that the effectiveness of board of directors’ oversight role may be influenced by
factors such as board size, board members independence, members’ expertise and meeting. A board with large
number of people with varied expertise may increase the synergetic monitoring of the board in minimizing the
level of earnings manipulation. Peasnell, Pope and Young (2005) reported that large board size is related to a
reduced level of discretionary accruals. Similarly, Beasley (1996) revealed that the proportion of independent
directors was negatively associated with financially reported frauds. Klein (2002) found that board size and
independence does not positively influence abnormal accruals. However, Anderson, Mansi and Reeb (2004)
indicated that board size and independence are positively associated with the integrity of financial reporting.
The mixed findings suggest that these relationships are inconclusive.
Audit Committee
Gendron and Bedard (2006) assert that the role of audit committees in monitoring the processes of financial
reporting has received significant attention since the beginning of the 1990s in corporate governance literature.
In Nigeria, section 359 of CAMA 1990 compels all publicly owned companies to establish an audit committee
of 12 members, six representing the directors and shareholders respectively. Further, the Security and Exchange
Commission provides that at least one member of the audit committee must be financially literate such that his
knowledge and expertise will enable him take appropriate decision.
An audit committee is responsible for the soundness and quality of internal accounting practices and control,
making recommendations for the selection of an external auditor, and the monitoring of the activities of the
auditor. Mc Mullen (1996) asserts that audit committee is positively associated with a lower incidence of
management fraud, quarterly earnings restatement, SEC enforcement actions as well as auditor’s turnover.
In addition, there are claims that the effectiveness of the audit committee oversight function may be influenced
by some qualities such as the independence of audit committee members, financial literacy and expertise. De
Zoort and Salterio (2001) reported that the financial expertise of audit committee increases the likelihood that
the detected material misstatements will be communicated and corrected on time. Klein (2002) found a negative
association between audit committee independence and abnormal accruals. Persons (2005) revealed that audit
committee independence is positively associated with the reduced level of fraud. These results are mixed and
will require further investigation.
Earnings Quality
There is increased pressure on companies to provide timely and precise information about their organisation’s
earnings. The completeness of a company’s financial information will support the dividend expectation of
shareholders in a particular situation.
3. Corporate Governance And Earnings Quality Of Listed Banks In Rivers State
www.ijbmi.org 31 | Page
Kamarudan and Ismail (2014) claim that the potential of a company’s performance realized from enhanced
business activities in the current trading year is capable of revealing anticipated level of success in future
returns. The current state of financial position may significantly influence the actual worth of the entity.
Further, the standard of earnings may not depend on financial inclination to the existing regulations. Income is
not observable, thus may not represent true earnings. According to Yee (2006), there is fundamental earnings
and reported earnings. Fundamental earnings represent the company’s financial potential of the company. On
the other hand, reported earnings represent a defector estimation of core inflows than reported to shareholders.
A company may use existing opportunities to change reported earnings. The earnings ability of a company
should represent its performance. According to Povolotskaya (2014), the corporate income generated is
conceived as the concise measurement of a company performance. However, Dechow and Dichev (2002) argue
that accruals should be used to adjust the earnings to indicate improved reflection of a company’s performance.
That is, reported earnings should have lesser level of uncertainty but reflect value relevance.
Value Relevance
Value relevance is a measure of the applicability of financial report in the perspective of shareholders and the
quality of a value relevant accounting report resides in the association between accounting numbers and current
company value (Hung, 2001). Similarly, Beishland (2009) assert that value relevance refers to the ability of
financial statement information to capture and summarize information that determines a company’s value. There
must be a mutual interaction linking corporate financial result and company value. Thus , financial statement is
value-relevant when “it is able to recapitulate relevant information that has direct bearing on the firm’s quality.
III. JUSTIFICATION FOR THE STUDY
Nigeria is a unique and interesting environment in which to test the sensitivity of the association between
corporate governance and the integrity of the financial reporting process to new governance initiatives. First
Nigeria regulations are not the same with other countries. Second, Nigeria adopts flexible measures to address
matters of corporate governance. Finally, many Nigerian banks have limited capacity to attract large number of
independent directors, thus, for these banks to comply with a strict set of corporate governance codes may be
result to financial and administrative burden.
In addition, this study provides support to the argument that high quality financial reporting requires well-
balanced corporate governance structures in the banking industry. Moreso, high quality financial reporting is
achieved through those that prepares the report not supply by the governance codes.
Further, it provides evidence on how the involvement of outside directors on board and audit committee may
enhance earnings quality when implemented. The code of corporate governance released by securities and
change Commission in 2009 defines the Scope of Board Size and Composition, Independent Directors, Multiple
Directorships, Family Interlocking Directorships, Board Committees, Frequency of Board Meetings,
Shareholders meeting, Audit Committee, Internal Audit Function, Rotation of External Auditors and code of
Ethics.
Lastly, Leuz, Dhananjay and Wysocki, (2003) revealed that earnings quality has developed considerable
evidence that there are cross-sectional differences across economies. Accordingly, it is assumed that earnings
quality is homogeneous across sectors in an economy. However, these studies indicate that the earnings quality
in the banking sector in Nigeria is different from other sectors and countries.
IV. METHODOLOGY
This is an empirical study that adopts quantitative method. Descriptive statistical tools such as percentages,
mean, and standard deviation were used for the computation of variables and measures. Regression analysis was
used to evaluate the formulated hypotheses, while Pearson Moment correlation efficient analysis was conducted
to make inference necessary for reaching valid conclusion for the study.
Population/Sample Size
The study population and sample size consists of all listed banks in Nigeria Stock Exchange available for the
five year period – 2010 – 2014 that does business in Rivers State. We focused on the five year window – 2010 –
2014, which represents the period of mandatory application of the corporate governance code for all listed banks
in Nigeria. This period represents the years in which corporate governance practices were subjected to increased
scrutiny from regulators, the media and investors.
Rivers State has one of the largest cities in Nigeria after Lagos State.
Model Specification
The following models were stated to guide the test of hypotheses;
AQ = 0 + 1BS + 2ID + t …………………………….(1)
4. Corporate Governance And Earnings Quality Of Listed Banks In Rivers State
www.ijbmi.org 32 | Page
VR = 0 + 1ACI + t ……………………………………(2)
Where:
AQ = Accrual Quality
BS = Board Size
ID = Independent Directors
VR = Value Relevance
ACI = Audit Committee Independence
= Error term
t = Time period
0 = Constant
1 - 2 = Coefficient of independent variables
Findings
The result revealed that accrual quality, board size, audit committee independence and directors’ independence
indicated mean of .0397, 14.20, .507 and 1.80 respectively and standard deviation of .27052, 2.020, .0251 and
.658 respectively.
Correlations
AQ BS ACI ID
AQ 1.000 -.304 .044 .581
BS -.304 1.000 .240 -.224
Pearson Correlation ACI .044 .240 1.000 .082
ID .581 -.224 .082 1.000
AQ . .004 .354 .000
BS .004 . .019 .027
Sig. (1 – tailed) ACI .354 .019 . .243
ID .000 .027 .243 .
AQ 75 75 75 75
BS 75 75 75 75
N
ACI
75 75 75 75
ID 75 75 75 75
The result of multiple regression analysis showed a relationship between corporate governance and earnings
quality. R2
indicated that 37% of the variation in the criterion variable of earnings quality using accrual quality
as proxy is explained in the variation of the predictor variables of board size, audit committee independence and
directors’ independence. The adjusted R2
is 0.345, F-statistics, showing the validity of the model was 14.008
with a significant probability (P-statistic) value of 0.000.
V. CONCLUSION
The foregoing results indicate positive relationship between earnings quality and corporate governance of listed
banks doing business in Rivers State. Also, board size, independence of the directors and accrual quality are
positively correlated. However, the result did not show any relationship between independent audit committee
and accrual quality. Based on the findings It is concluded that corporate governance is important for banks’
earnings quality and improved performance.
VI. LIMITATION AND RECOMMENDATION
This study has limitations, in particular, because of its research method. The correlated data do not allow causal
interpretation of the results. In addition, despite the benefits of convenience sampling technique, this work is
limited in scope.
Therefore, it is recommended that further study should be conducted to address the limitations of scope,
methodology, causality and other aspect of corporate governance.
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