IIARD International Institute of Academic Research and Development

Journal of Accounting and Financial Management (JAFM )

E-ISSN 2504-8856
P-ISSN 2695-2211
VOL. 10 NO. 12 2024
DOI: 10.56201/jafm.v10.no12.2024.pg369.382

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Effect of Forensic Accounting in the Financial Accountability: Evidences from Manufacturing Firms in Nigeria

Yakubu Adamu PhD, Alhaji Kawugana PhD, Tahir Abubakar Adamu

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Abstract

This study investigates the effect of forensic accounting on financial accountability in the context of manufacturing firms in Nigeria. The manufacturing sector, characterized by complex financial transactions, has seen increased incidences of financial irregularities, necessitating the need for advanced accounting methods such as forensic accounting to ensure transparency and accountability. The main objective of this study is to examine the effect of forensic accounting on financial accountability in manufacturing firms in Nigeria. Using a combination of qualitative and quantitative research approaches, data were collected through surveys and interviews with forensic accountants, auditors, and financial managers in selected manufacturing firms. The study reveals that forensic accounting significantly improves the detection and prevention of fraud, strengthens internal control mechanisms, and enhances compliance with regulatory standards. It also finds that the implementation of forensic accounting practices boosts stakeholder confidence by ensuring accurate and reliable financial reporting. The research further highlights challenges faced by manufacturing firms, such as the high cost of forensic accounting services and the need for more specialized personnel. The study concludes that forensic accounting is a vital tool for enhancing financial accountability in Nigeria’s manufacturing sector. It recommends that firms adopt forensic accounting practices as a proactive approach to safeguarding financial integrity and promoting sustainable business operations

keywords:

Forensic Accounting, Financial Accountability, Manufacturing Firms

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