Responsiveness of Operational Performance to Corporate Charges of Foods and Beverage Manufacturing Firms in Nigeria

Responsiveness of Operational Performance to Corporate Charges of Foods and Beverage Manufacturing Firms in Nigeria

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  • November 20, 2022
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ABSTRACT

This study examined the responsiveness of operational performance to corporate charges of food and beverage manufacturing firms in Nigeria. The specific objectives are; to ascertain the extent to which advertising costs respond to the return on assets, to determine the extent to which audit fees respond to the return on assets, and to evaluate the extent to which interest expense responds to the return on assets of foods and beverage manufacturing firms in Nigeria. The source of data for the study was a secondary source of data. The data was obtained from the financial statement of the firms that were used for the study. The data were analyzed using descriptive statistics, Hausman Specification Test, Panel Data Regression Analysis, and T-Statistics. The result revealed that the significant value of advertising cost in the regression model is 0.1003, which is not significant at a 5% level of significance (0.1003>0.05), the significant value of audit fee in the regression model is 0.3037, which is not significant at 5% level of significance (0.3037>0.05), and the significant value of interest expenses in the regression model is 0.3683, which is not significant at 5% level of significance (0.3683>0.05). We concluded that in line with the results of the analysis that advertising cost, and audit fees positively, but insignificantly respond to the return on assets of the foods and beverage manufacturing firms in Nigeria during the period. We recommended that Foods and beverage manufacturing firm managers in Nigeria should intensify their firm advertising effort so as to increase the corporate performance of their firms.

Keywords:  Corporate Charges; Operational Performance; Foods and Beverage Manufacturing Firms

Authorship
1Okoye, Stephen Ifeanyi, 2Prof. Ugwuanyi, B. U. and 3Ugwu, Kevin Okoh
FULL PDF | DOI:  https://doi.org/10.5281/zenodo.7338587I

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