CONSUMER GOODS

This study analyses the effect of audit committee characteristics on the financial reporting quality of quoted consumer goods companies in Nigeria. The purpose of this research is to examine the relationship between the dependent variable, financial reporting quality and the independent variables, audit committee independence, audit committee size, audit committee financial expertise and audit committee meeting frequency. Secondary data was used in this study and the sample size for the study was
derived using Taro Yamane formula. Data were obtained from annual reports of the 21 consumer goods companies listed on the Nigerian Exchange Group from 2018 to 2022. Descriptive statistics, correlation, and Ordinary Least Squares (OLS) regression were used to analyze the data. The study finds that audit committee independence and audit committee financial expertise have a positive and significant effect on financial reporting quality while audit committee frequency of meeting and audit committee size have positive but insignificant effect on financial reporting quality. The study recommends that training and seminars be organised for audit committee members in order to keep them up to date on their roles and responsibilities, allowing them to be more effective and efficient in their assignments. Furthermore, this study recommends that the independent directors of the audit committee should make up the larger number than the shareholder’s representative.