Tag Archives: earning quality

Corporate Governance and Reported Earning Quality in Deposit Money Banks in Nigeria (Published)

This study examined the effect of Corporate Governance on Reported Earnings Quality in Nigerian deposit money banks. Cross sectional data were obtained from Ten (10) listed deposit money banks in Nigerian Stock Exchange for over a period of ten years (2008-2017). The data were analyzed using both descriptive and inferential statistics. Earnings predictability was adopted as a proxy for reported earnings quality, while board size, board independence, foreign directorship and firm size were used as proxies for corporate governance. The study found board size having a positive and insignificant relationship with earnings quality; a negative and insignificant relationship between board independence and earnings quality; a positive and significant relationship between foreign directors on board and earnings quality; and also a negative and insignificant relationship between firm size and earnings quality. It was therefore recommended that deposit money banks should increase both their board size and number of foreign directors on board as these will enhance their reported earnings quality.

Keywords: Board independence, Board size, Corporate Governance, earning quality, foreign directors