Audit Quality and Financial Reporting Transparency in Listed Consumer Goods Firms in Ogun State

This study examines the relationship between audit quality and financial reporting transparency in listed consumer goods companies in Ogun State, Nigeria. Audit quality, encompassing auditor independence, competence, and reporting rigour, is fundamental to the credibility of financial information used by investors and regulators. Despite mandatory external audit requirements under the Companies and Allied Matters Act, concerns about auditor-client relationships and non-audit service provision continue to shadow audit quality in Nigeria. This study adopts an ex-post facto design using secondary data from annual reports of fifteen listed consumer goods firms with operations in Ogun State over four years. Audit quality proxies include auditor type (Big Four versus non-Big Four), audit fee ratio, and auditor tenure. Financial reporting transparency is assessed using a disclosure quality index derived from IFRS compliance requirements. Panel regression analysis controls for firm size, profitability, and leverage. The study anticipates that engagement of Big Four auditors and shorter auditor tenure are positively associated with higher financial reporting transparency. Findings will assist regulators, audit committees, and investors in evaluating audit selection decisions as a governance tool. This research contributes to the South West governance and auditing literature, with implications for audit policy reform in Nigeria. Keywords: audit quality, financial reporting, transparency, consumer goods firms, Ogun State.