THE IMPACT OF CORPORATE GOVERNANCE ON EARNINGS MANAGEMENT OF LISTED CONSUMER GOODS FIRMS IN NIGERIA

This study examines the impact of corporate governance on earnings management in 16 out of 21 listed consumer goods firms on the Nigerian Exchange Group from 2014 to 2023. Census sampling technique and filtering were applied to select the sample. The study employed correlational and descriptive designs, and multiple linear regressions were employed to analyse the data. The results reveal that board financial expertise (BFE) and board gender diversity were insignificantly negative and positive on earnings management respectively. In addition, board composition and audit committee effectiveness (ACE) were significantly positive and negative on earnings management respectively. Therefore, the study recommends that Nigeria Security Exchange Commission (SEC) should revise the requirements for board financial expertise to include more members with professional qualifications, enhance the independence of board, strengthen the enforcement of corporate governance principles, and promote the inclusion of more female members to board and committees.