EFFECT CORPORATE GOVERNANCE ON EARNING MANAGEMENT OF LISTED INDUSTRIAL GOODS FIRMS IN NIGERIA
Yusuf Mohammed Aliyu and Yusuf Ruth Nguavese
Volume 10 Issue 1
Abstract
The Study investigates the effect of corporate governance on the earnings management of listed industrial goods firms in Nigeria spanning the period 2013 – 2022. The thirteen (13) listed industrial goods firms in Nigeria constituted the population of the study and a sample of ten (10) was selected using a purposive sampling technique. The study adopted the Panel Corrected Standard Error (PCSE) model to test the hypotheses. The study findings revealed that Board independence, Audit committee independence, Audit committee size, and Board gender diversity have no significant effect on earnings management of listed industrial goods firms in Nigeria. The study recommends that the firms should periodically evaluate the composition and functioning of the board, actively pursue gender diversity on boards and ensure that audit committee members are truly independent from management and have the necessary expertise and experience to effectively review financial statements and assess internal controls. Keywords: Audit Committee Independence, Audit Committee Size, Board Gender Diversity Board Independence, and Earnings Management
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