Firm External Characteristics and Accounting Conservatism of Small Ownership Concentrated Companies in Nigeria
Abstract
The study examined the relationship between firm external characteristics and accounting conservatism of small ownership concentrated companies in in Nigeria. The aim of the study is to examine relationship between firm competition, debt governance, auditor’s quality, environmental responsibility and accounting conservatism. Ex-post facto research design and the One sample test was carried out to sample thirty-four (44) listed small ownership concentrated companies covering 2014 to 2023 and analysed using descriptive, and least square regressions. The regression result showed that debt governance had a negative and significant relationship with accounting conservatism while firm competition, auditor quality and environmental responsibility had no significant relationship with accounting conservatism. Based on this, it was recommended that management of small ownership concentrated companies in Nigeria should ensure that the effect of debt governance on accounting conservatism is carefully addressed.