Title:
EFFECT OF EARNINGS MANAGEMENT ON PERFORMANCE OF CORPORATE ORGANISATION IN NIGERIA

Authors:
Okafor, Tochukwu Gloria (Phd) And Ezeagba, Charles Emenike (Phd)

Abstract:
Infection Prevention (IP) and control is a programme which prevents cross infection between This study considers the effect of Earnings Management on Performance of Corporate Organisations in Nigeria. To achieve the objective of this study, a total of 17 firms quoted in the Nigerian stock exchange market under the consumer goods sector were selected and analyzed. The data for the study were extracted from corporate annual reports and accounts of selected firms for the period 2010-2014.T he study adopted Jones model ( ). Earnings management was measured by Non- discretionary accruals obtained from modified Jones model and firm’s performance estimated by return on shareholders’ fund (ROSF), return on capital employed (ROCE), net profit after tax (PAT) and return on assets (ROA). Four research hypotheses were formulated for the study. The study adopted simple regression techniques for analysis with the aid of Statistical Package for Social Sciences (SPSS) version 20. We found that earnings management has negative, but insignificant effect on the performance of corporate firms. Consequent upon this study, it was recommended that further research should be carried out on earnings management as it affects the performance of corporate firms in the entire sectors of the economy to ascertain the major areas where it significantly affect performance of firms. This will aid management by exception.