ADOPTION OF INTERNATIONAL FINANCIAL REPORTING STANDARD: IMPACT ON QUALITY OF INVESTMENT DECISION MAKING (A CASE STUDY OF FIRST BANK PLC)
ABSTRACT
This study seeks to investigate whether the International Financial Reporting Standards (IFRS) in Nigeria has improved the quality of investment decision making in Nigerian Banks. It is phenomenon for every organization (including banks) to adopt (IFRS) as it ensures transparency, accounting quality and reduced cost of capital. Thus, the desire to examine the impact of IFRS on quality of investment decision making in First Bank of Nigeria Plc, Uyo ignited this study. To achieve this objective, five research questions and three research hypotheses were formulated to guide this study. A well structured questionnaire was used as the major instrument to gather data from the 50 staff and personnel First Bank of Nigeria, Plc, Uyo and a sample size of 38 was randomly selected. The data collected from the respondents were analyzed using simple percentage and Chi-square statistical tool was employ for testing the hypotheses. The study concluded with some recommendations that steps should be taken to ensure a successful adoption and implementation of IFRS in Nigeria, Government and the regulators should ensure that there is availability of training facilities and materials for professional accountants on the concept of IFRS and issues relating to its implementation and conversion. Finally, top management, external auditors and regulators being the key players in standards, need to work together and tighten compliance so that impact of IFRS could be felt more.
