Abstract

This paper analyses the concept of governance structures/attributes and examines how firm-level governance structure affects the quality of accounting earnings of firms in an oil driven economy (Nigeria). Hypothesis was postulated and data from nine (9) firms listed in the oil and gas sector in Nigeria were obtained and subjected to analysis. The formulated hypothesis was tested based on the specified multiple regression model; and with the F-Statistics from the OLS regression output. The governance attributes analysed (CEO ownership, managerial ownership, board size, board independence, board meetings, gender diversity, audit committee size, independence and expertise) were found to have significant effect on earnings quality of the sampled listed oil and gas firms. Consequent on the findings, it was recommended among others that the pristine roles of governance attributes and internal controls through board committees should be activated by management, the board and their respective committees. Also, board committee members should be made to undergo compulsory training programmes/courses with a view to defining their responsibilities and respectively increase the level of integrity in financial reporting and investor protection.