Client Attributes and the Audit Report Lag in Nigeria

Abstract

This study examines the eff ect of client attributes on the audit report lag of listed firms in Nigeria during the period 2010 – 2015. We found that fi rm size, company age and profitability have a signifi cant impact on the audit report lag. However, auditor type remained signifi cant in our estimation. It is recommended that the government should enforce stringent policies and regulations to reduce the audit report lag of companies in Nigeria. In addition, the Nigeria Stock Exchange, Securities and Exchange Commission, Financial Reporting Council of Nigeria and the Central Bank of Nigeria should ensure strict compliance with fi nancial reporting rules and regulations. Professional accounting bodies should also encourage audit firms to complete the audit engagement within a reasonable time period. Keywords: Audit report lag, big4 firms; client age; client size; profi tability; Nigeria.