期刊名称：International Journal of Finance and Accounting
印刷版ISSN：2168-4812
电子版ISSN：2168-4820
出版年度：2013
卷号：2
期号：5
页码：279-286
DOI：10.5923/j.ijfa.20130205.01
语种：English
出版社：Scientific & Academic Publishing Co.
摘要：This study investigates the effect of corporate governance mechanisms on reported earnings quality of listed Insurance companies in Nigeria. The Nigerian Insurance industry has over the years faced unique challenges precipitated by lack of clear operational guidance, high premium cutting, creative accounting and weak governance dynamics. However, with the introduction of the code of good corporate governance for the industry and adoption of the International Financial Reporting Standards, it is expected that these factors inhibiting the growth of the industry would be mitigated. This study is thus poised at presenting a model aimed at ascertaining the extent to which governance mechanisms associate with creative accounting practices in the industry. Using twenty five (25) quoted insurance firms during the period 2007-2010, the study regressed five governance mechanisms on reported earnings quality proxy. Multiple regressions were employed for the analysis using the software SPSS version 17.0. The study finds that board size, board independence and audit committee size are negatively and significantly associated with earnings management while audit committee independence and independent external audit have positive relationship with discretionary accruals. The study thus recommends that the NAICOM 2009 code of corporate governance regulation on board size and board independence be made stringent and sustained and that future research works investigate other governance dynamics such as ownership concentration, audit committee diligence and institutional investors amongst others in other sectors of the Nigerian economy.
