Quantitative Analysis of the Relationship Between IFRS and Social Responsibility Reporting in Nigeria
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Background of the Study
Social responsibility reporting has become increasingly important as companies are held accountable for their impacts on society and the environment. The adoption of International Financial Reporting Standards (IFRS) aims to improve the consistency and transparency of financial reporting, which could also influence social responsibility disclosures. This study will provide a quantitative analysis of the relationship between IFRS adoption and social responsibility reporting in Nigeria.
Statement of the Problem
While IFRS adoption is expected to improve the quality of financial reporting, its effect on social responsibility reporting remains unclear. Nigerian companies have been adopting IFRS for financial reporting purposes, but how this has influenced their commitment to social responsibility reporting needs further exploration. This study will assess the extent to which IFRS adoption affects social responsibility disclosures.
Aim and Objectives of the Study
The aim of this study is to quantitatively analyze the relationship between IFRS adoption and social responsibility reporting in Nigerian companies.
The objectives are:
- To assess the level of social responsibility reporting before and after the adoption of IFRS in Nigerian companies.
- To examine the impact of IFRS on the scope and content of social responsibility disclosures in Nigerian companies.
- To identify the challenges Nigerian companies face in integrating social responsibility reporting with IFRS compliance.
Research Questions
- How has IFRS adoption influenced the level of social responsibility reporting in Nigerian companies?
- What impact has IFRS had on the scope and content of social responsibility disclosures in Nigeria?
- What challenges do Nigerian companies face in integrating social responsibility reporting with IFRS?
Research Hypotheses
- IFRS adoption has led to an increase in the level of social responsibility reporting in Nigerian companies.
- IFRS adoption has expanded the scope and content of social responsibility disclosures in Nigerian companies.
- Challenges in adopting IFRS reduce the effectiveness of social responsibility reporting in Nigerian companies.
Significance of the Study
This study will provide valuable insights into how IFRS adoption impacts social responsibility reporting in Nigeria. The findings will be useful for policymakers, regulators, and companies in understanding the integration of social responsibility disclosures with financial reporting.
Scope and Limitation of the Study
The study will focus on Nigerian companies that have adopted IFRS. Limitations include challenges in obtaining data on social responsibility reports and variations in social responsibility reporting practices across industries.
Definition of Terms
- IFRS: International Financial Reporting Standards, global accounting standards for financial reporting.
- Social Responsibility Reporting: The disclosure of a company’s efforts to manage its social, environmental, and governance impacts.
- Quantitative Analysis: The use of statistical methods to measure and analyze data.
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