- OWNERSHIP STRUCTURE AND FINANCIAL REPORTING QUALITY OF LISTED OIL
COMPANIES IN NIGERIA
Amah Kalu Ogbonnaya*, Michael
Chidiebere Ekwe & John Uzoma
Ihendinihu
Accounting Department, College of Management Sciences, Michael Okpara
University of Agriculture, Umudike, Abia State Nigeria *kaluogbonnaya30@yahoo.com
ABSTRACT This paper assessed the effect of ownership structure on financial reporting quality of
listed oil companies in Nigeria. The ownership structure was proxy by the proportion of the
total number of common shares owned by the board of directors to the total number of
common share outstanding, while the
financial reporting was computed through the
1991 Jone’s model of financial reporting
quality. Data for the study was sourced from
the annual reports and accounts of the
sampled study oil companies. Time series
data from 2006-2019 was used. The
hypotheses were tested using regression
analysis technique. The result shows that
ownership structure has a significant effect
on quality of financial reports of listed oil
companies in
Nigeria. The study among others recommends
that shareholders and investors to reconsider
in the level of the ownerships in the
companies especially the institutions that
invest in other companies in other to increase
their supervisory role on the management
performance when preparing financial
statement, it also went further to say that
Accounting and Finance Research Association
with regard to structure of company’s share
ownerships that the government and the
institution should consider the influence of
shareholders control over the quality of the
financial reporting.
Keywords: Ownership Structure, Oil Company,
Shareholders, Financial Reporting Quality.