EFFECT OF AUDIT CHARACTERISTICS ON FINANCIAL REPORTING LAG OF SOME SELECTED LISTED MEDIUM COMPANIES IN NIGERIA
Maarufah Abdulmalik Mohammed and Luka Mailafia, PhD
Volume 3 Issue 2
Abstract
The study examines the effect of Audit characteristics on the financial reporting lag of Some Selected Listed Medium Companies in Nigeria. Financial reporting lag is represented by the difference between the financial end to the date on which the auditor signs the financial statements, while Audit characteristics are represented by audit firm size, audit tenure, and audit committee. Using 42 firm-year longitudinal panels of 420 observations, a Descriptive and correlational research design is used. Based on the data's availability at the time of the inquiry, the study used a convenient sampling strategy to gather secondary data. These data cover the years 2012 through 2021 and were compiled from the annual financial reports of these selected companies. Descriptive statistics and panel regression analysis were used to analyze the data. The analysis findings show that audit firm size, audit tenure and audit committee all have a positive and statistically significant effect on the financial reporting lag of some listed companies in Nigeria. According to the findings, managers should keep in mind that larger audit firms tend to have more resources, expertise, and experience that will contribute to efficient and timely financial reporting. Similarly, longer audit tenure enhances familiarity, knowledge, and the ability to streamline the audit process, resulting in timelier reporting. Lastly, the committee should comprise individuals with diverse expertise and knowledge, providing them with the necessary resources and support to fulfil their responsibilities effectively. Keywords: Financial Reporting Lag, Audit Characteristics & Selected Listed Medium Companies
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