Browsing by Author "Odediran, T.H."

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    Consumer Goods Companies in Nigeria
    (Department of Finance, University of Ilorin, 2018) Ajayi, Michael Adebayo; Daramola, I.E.; Odediran, T.H.
    This study examined the difference in the performance of Nigerian consumer goods companies by comparing financial ratios prepared under International Financial Reporting Standards (IFRS) period and Nigerian Generally Accepted Accounting Principles (Nigerian GAAP) period. Secondary data sourced from published annual reports and accounts of 12 , consumer goods companies quoted on the Nigerian Stock Exchange from 2010 to 2014 were' usedfor the study. The estimation technique used for analysis was Mann- Whitney U test. The study revealed that while there are differences in liquidity and profitability ratios for both Nigerian GM? and IFRS periods, the results are however not statistically significant except for current ratio that decreased in IFRS period with a p-value of 0.02. In conclusion, IFRS relies on fair value accounting which affects assets, liabilities and equity items in the Statement of Financial Position. Accounting for leases. impairment and employee benefits also affect expenses, liabilities and equity items. However. only current ratio showed a significant difference at 5. It was recommended that regulatory authorities should continue to monitor compliance with IFRS requirements in its totality by companies in Nigeria.
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    Impact of Working Capital Management on Financial Performance of Quoted Consumer Goods Manufacturing Firms in Nigeria
    (Published by College of Business and Social Sciences, Covenant University, Ota, Nigeria., 2017) Ajayi, M. A.; Abogun, S.; Odediran, T.H.
    Working capital management is indispensable in strengthening firms’ liquidity position. A weak liquidity position poses a threat to the solvency of the company and makes it unsafe as well as unsound. The persistent winding up of most Nigerian manufacturing firms and the recent decline in the world oil price which significantly affected all the oil producing countries in the world of which Nigeria is not an exception demand for effective and efficient management of resources to guarantee going concern. This study examined the impact of working capital management on financial performance of quoted consumer goods manufacturing firms in Nigeria by specifically examined the impact of working capital management on return on assets and gross operating profit. The secondary data used were obtained from annual financial statements over a period of ten (10) years from 2005 to 2014 of purposively sampled fifteen (15) firms. Descriptive statistics were used to measure variations, statistical inferences were drawn using correlation and panel regression analysis was applied on performance and working capital management indicators to test the formulated hypotheses. The findings revealed that efficient working capital management increases financial performance. In conclusion, a negative relationship exists between Cash Conversion Cycle (CCC) and financial performance while there is a positive relationship between Average Collection Period (ACP) and financial performance. The study recommended that firms within the industry may increase their average collection period above the present industry average collection period of 58 days and proper analysis of working capital components should be constantly carried out to ensure that those critical areas for decision making process as it related to each of the performance measurement variables are identified and properly examined.