MODERATING EFFECT OF AUDIT LIBERTY ON REPORTING TIMELINESS OF NON-BANK FINANCIAL FIRMS IN NIGERIA

Abstract

This study examined the impact of auditors' liberty on the timely submission of audit reports by financial institutions in Nigeria (2011-2020). For the study, two research hypotheses were developed, and tested based on the purview of ex-post facto research design. All financial firms quoted and trading on the Nigerian Exchange Group (NGX) as of December 31, 2021, were included in the study's population. Twenty-three (23) financial firms were chosen as a sample. The Nigerian Exchange Group (NGX) website and the annual reports provided by the sampled companies themselves served as the study's primary secondary sources of data. The hypotheses were validated using random effect least squares regression. The study found that audit fees have a significant negative impact on timely submission of audit reports, but that the gender diversity of the audit committee had no mitigating influence on this relationship. In light of the findings, the report suggests, among other things, that businesses hire audit firms with more experience who will prioritize professionalism and due diligence over any pressure brought on by large or low fees. In order to avoid spending more than is necessary without sacrificing audit quality and timely reporting, the study also advised organizations to budget an ideal amount for audit expenses. Other research can be done on additional particular elements that influence audit report latency in manufacturing firms and the oil and gas industry.
 Keywords: Audit Liberty, Audit Fee, Audit Committee Gender Diversity, Audit Report Timeliness.