THE EFFECT OF POLITICAL FACTORS ON INTERNATIONAL ACCOUNTING STANDARDS
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THE EFFECT OF POLITICAL FACTORS ON INTERNATIONAL ACCOUNTING STANDARDS
ABSTRACT
This research aims to examine (1) the impact of political factors on the formulation and adoption of international accounting standards, (2) the challenges faced by accountants in politically volatile environments, and (3) the implications for financial reporting and compliance. A survey research design is employed to collect data from accountants working in regions affected by political instability. Using Taro Yamane's formula, a sample size of 330 respondents was selected to ensure a representative sample. The case study focuses on Lagos, Nigeria, a region with significant political influence on business practices. The reliability coefficient score of the survey instrument is 0.87, indicating high reliability. Findings reveal that political factors significantly influence the adoption and implementation of international accounting standards, creating challenges for compliance and financial reporting. Recommendations include the need for political stability to support consistent accounting practices and the development of adaptable accounting frameworks to mitigate the effects of political volatility.
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