EFFECT OF AUDIT QUALITY ON PERFORMANCE OF DEPOSIT MONEY BANKS IN NIGERIA

ABSTRACT This study examined the effects of audit quality on performance of banks using five (5) deposit money banks in Nigeria. The ex-post facto design was adopted Secondary data was the main source of data used for this study and were gathered from annual reports of selected deposit money banks in Nigeria. Audit tenure and Audit firm size were adopted as proxies for audit quality and complied for five years (2016-2020). Ordinary least square multiple linear regression model was used with the aid of Eviews 2023. The results of the empirical findings revealed that the audit tenure and audit firm size has a positive and insignificant impact on performance of banks (Equity and Debt) of commercial banks in Nigeria. Based on this, it was concluded that audit quality has significant impact on performance of banks of firms. It was recommended amongst other that audit quality should be improved to ensure reliable and relevant information of firms by enhancing the competence and independence of auditors, improving audit procedures, and ensuring compliance with auditing standards and regulation. (Word count: 173)