Do Audit Committee Attributes Impact Firm Performance: Evidence from the Nigerian Stock Exchange
Do Audit Committee Attributes Impact Firm Performance: Evidence from the Nigerian Stock Exchange

Summary/Abstract: The financial failures of Oando Plc, Cadbury Nigeria Plc, Enron and World Com have raised interest in audit committees, which review audited and unaudited financial accounts to ensure accuracy and prevent management from engaging in unethical or abusive accounting practices. Consequently, this research analyses how audit committee characteristics affect corporate performance. The study focused on Nigeria's publicly traded companies spanning from 2019 to 2021. Furthermore, 98 companies' public annual reports served as the data source for this investigation. Consequently, the research included a total of 294 firm-year observations, and the data was evaluated using Multiple Regression analysis. The findings revealed a significant positive effect of the independence of audit committees and frequent audit committee meetings on firm performance. However, the study's findings indicate an insignificant positive correlation between the size of the audit committee and the firm performance of Nigerian listed companies. The study's findings contribute to the current body of research by offering fresh perspectives on the function of the audit committee in corporate governance and its impact on financial performance, as measured by Tobin's Q, as well as the return on equity and return on assets.

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