IMPACT OF AUDIT QUALITY ON FINANCIAL PERFORMANCE OF FOOD AND BEVERAGE COMPANIES IN NIGERIA

Abstract

This paper examined the impact of audit quality on financial performance of food and beverages industry in Nigeria. The population of the study comprised of fifteen (15) listed food and beverages companies in Nigeria. The scope covered a period of five (5) years 2018 to December 2022 and all fifteen (15) listed food and beverage companies on the Nigeria exchange (NGX) constituted the sample size. Data were collected from annual report and accounts of food and beverages companies. The design adopted was ex-post facto, where data was obtained from secondary source. While correlation and Regression were used to analyzing the data, The results found that audit committee meeting has positive and significant impact on financial performance, audit independence has no significant impact on financial performance; whereas i audit committee size shows significant and partial impact on financial performance of food and beverage companies in Nigeria. It is therefore, concluded that audit committee meeting in the food and beverage companies implied that there was reasonable performance, while independence implied that no significant impact for a unit increase on ROA with the food and beverage companies in Nigeria would decrease, while the size of audit committee shows patrial level of performance. It is recommended that to maintain and protect the department's interests and to ensure that all food and beverage companies uphold standards, it is also advised that adequate measures be taken to increase the size of audit committee by sending the employees on training and retraining sessions.