Effects Of Audit Quality On Earnings Management Of Listed Oil Marketing Companies In Nigeria

📄 Project Abstract

This study examined the effect of audit quality proxied by audit firm size, auditor industry specialization, auditor tenure, client importance and audit committee financial expertise on earnings management represented by discretionary accruals of listed oil marketing companies in Nigeria. The study also examined the effect of the interaction between audit committee financial expertise and auditor industry specialization on earnings management of sampled firms. To achieve these objectives, the study used nine listed oil marketing companies that had consistently published their audited annual financial reports from 2009 to 2014, and analyzed the data using multiple regression technique. The dataset was first analyzed using pooled-OLS regression technique. However, in view of the panel nature of the dataset, it was further analyzed using fixed and random effects regression models while Hausman specification test was conducted to choose the preferred result among the two regression results...