Influence of Ethical Compliance by Accountants on Quality Financial Reporting of Selected Manufacturing Companies in Enugu State, Nigeria

1Adeleye Olaide D, 1Nathaniel Edeh I, 3Ahmed Abubakar, 2Taiwo Grace W. F, 1Odunukwe Chiamaka M.

Authors

1Adeleye Olaide D, 1Nathaniel Edeh I, 3Ahmed Abubakar, 2Taiwo Grace W. F, 1Odunukwe Chiamaka M. 1Department of Business Education, University of Nigeria Nsukka 2Department of Social Science Education, Adekunle Ajasin University, Akungba- Akoko, Ondo 3Department of Arts & Social Science Education, Federal University of Kashere, Gombe State Author

Abstract

The study explored influence of ethical compliance by accountants on quality financial reporting of selected manufacturing companies in Enugu State, Nigeria. Specifically, the study determined ways four indicators of ethical compliance namely, objectivity, integrity, professional competence and confidentiality of information could influence quality financial reporting of manufacturing companies in Enugu state. The study adopted descriptive survey design. Population for the study was made up of 20 accountants from three selected manufacturing companies in the study area. Questionnaire was used for the data collection. Mean, standard deviation and t-test were used for data analysis. Findings revealed 10 indicators of ways objectivity could influence quality financial reporting (QFR) of manufacturing companies in Enugu State. These include, among others, normative judgment ( _g = 2.78), seven indicators of ways integrity could influence QFR of manufacturing companies. These include among others, fair dealing ( g = 3.96); seven indicators of ways professional competence could influence QFR of manufacturing companies. These include among others, education and experience appropriate to nature of professional work being performed ( g = 3.84) and others. There also three indicators of ways confidentiality could influence QFR of the companies, including that information acquired in the course of professional work must not be used for personal advantage ( _g = 3.79). t-test results show that there are no significant differences between the mean responses of senior and junior accountants on the ways indicators of objectivity influence QQFR at 0.05 level of significance. However, there are significant differences between the means of both groups for the other two indicators of ethical compliance. Based on the finding two recommendation were made.