AUDIT COMMITTEE CHARACTERISTICS AND FINANCIAL REPORTING QUALITY OF LISTED DEPOSIT MONEY BANKS IN NIGERIA

Abstract

This study examined the relationship between audit committee characteristics and financial reporting quality of listed deposit money banks in Nigeria. The study dimensions of size of audit committee and independence of audit committee were used relevance are the measures. The targeted population of this study consists of fourteen (14) listed deposit money banks in the Nigerian Exchange Group (NGX) and the time frame considered for this study was 2013-2022 for the purpose of secondary data collection. The sample size of the study consists of seven (7) selected deposit money banks on the basis of purposive sampling technique adoption.  A total of two hundred and forty seven (247) respondents were sampled for the purpose of primary data of which two hundred and twenty five (225) were returned. The researcher employed the Pearson's Product Moment Correlation Coefficient (PPMC) in data analysis. Both the descriptive statistics (frequencies, percentages, means, and standard deviations) and inferential statistics (correlation) were used to analyze the data collected. The findings indicate that size of audit committee and independence of audit committee has a negative and insignificant relationship with relevance of listed deposit money banks in Nigeria. The study further showed that firm size has moderating influence over the relationship between audit committee characteristics and financial reporting quality. Based on the findings, the study concluded that audit committee characteristics has insignificant and negative relationship with financial reporting quality of listed deposit money banks in Nigeria. Hence, we recommend that size of audit committee should be managed to ensure that deliberations do not lead to untimely release of financial reports. And amongst others.