Appraisal of Environmental Accounting Information In The Financial Statements of Consumer Goods Manufacturing Companies In Nigeria
The main objective of this study is to appraise environmental accounting information in the financial statements of consumer goods manufacturing companies in Nigeria. The study shall specifically, determine if there is a significant difference in the environmental disclosure themes of the firms; and, the effect of environmental disclosure theme on total asset turnover, cash flow ratio, current ratio, return on equity, and return on assets of consumer goods manufacturing companies in Nigeria. The study made use of descriptive research design. The study was centered on Consumer Goods Companies, a total of 28 companies were identified in that category. However, the study only made use of twenty-two companies whose annual report were readily available as at the time of this research. The study finds that there is a significant difference in the environmental disclosure themes of consumer goods manufacturing firms. Also, there is a significant effect of environmental disclosure on total asset turnover and returns on equity, however no significant effect was found for cash flow ratio, current ratio, and returns on assets of the manufacturing companies. The study recommends a detailed and well spelt out environmental
disclosure theme and evidence must be established to provide firm foundation for corporate social and environmental disclosures among companies. Also there is need for standard setting bodies to set up guidelines or principles or accounting standards in other to improve the financial and non-financial environmental disclosures of companies in Nigeria. The study also calls for more efforts to be taken on the part of government to encourage managers on the need to embrace environmentally friendly practices in order to restore and guarantee a conflict free corporate atmosphere needed by managers and workers for maximum productivity. More so, funds expended in settling disputes could be applied to enhance corporate liquidity while management is able to plan better and make decisions when it is not engrossed in disputes.