Effect of Accounting Manipulations on Performance of Selected Listed Firms in Nigeria

  • Adekunle Adeniyi Ekiti State University, Ado-Ekiti, Nigeria
  • Oladipupo Festus Olaoye Ekiti State University, Ado-Ekiti, Nigeria
Keywords: Accounting Manipulation, creative accounting, firms’ performance, accounting regulatory bodies, firms value


This paper examined the effect of accounting manipulations on performance of selected listed firms in Nigeria. Specifically, the study examined the causes of accounting manipulations, evaluated the influence of accounting regulatory bodies and principles on accounting manipulations and investigates if there is a substantial impact of accounting manipulation on performance of corporate firms in Nigeria. The study adopted a descriptive research design using survey for collection of data. The target population comprised 21 listed industrial firms in South West, Nigeria and collected primary data using questionnaire from 150 respondents. Descriptive statistical tool of mean, standard (SD) and inferential statistics of Ordinary least Square were employed to analyse data gathered. Findings from the study revealed that there were causes of accounting manipulations in corporate firms; accounting regulations and principles have a great influence on accounting manipulations; accounting manipulations have a substantial impact on performance of firms. Based on the results of the study, it was concluded that accounting manipulations negatively influence performance of corporate firms sampled. That the use of accounting manipulations to patch up (as a cover up in the) books of accounts should be discouraged. It was recommended that regulatory bodies should put in place effective policies and stringent penalty for violators to reduce the incidence of accounting manipulations in Nigerian firms.


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