AUDIT DELAY ON CORPORATE GOVERNANCE

Abstract

The study examined audit delay on corporate governance in selected listed companies in Nigeria. The objectives of the study were to examine the impact of audit delay on corporate governance in selected companies in Nigeria, its impact on board size, composition, composition of audit committee and company size. To achieve these objectives, secondary data was sourced from Nigeria’s stock exchange, central bank statistical bulletin and published financial statements from selected firms. Data was analysed using Ordinary Least Square Method Eviews 9. It was observed that there is no significant relationship between Board size and Audit delay of firms in Nigeria, there is no significant relationship between board composition and audit delay of firms in Nigeria. There is a significant relationship between Audit committee size and Audit delay of firms in Nigeria. It was further reviewed that there is a significant relationship between Company size and Audit delay of firms in Nigeria. The study recommends that the management of Nigerian listed companies should increase the number of shareholders in audit committees to reduce the level of audit delays encountered. Firms should ensure that the audit committee has sufficient number of auditors so as to reduce time lag. The Board should be well structured to give room for gender diversity to enhance the quality of report. It was further recommended that the board of directors should be composed of both executive and non-executives who are knowledgeable in corporate financing.