THE IMPACT OF INFORMATION TECHNOLOGY ON CORPORATE FINANCIAL REPORTING IN NIGERIA

Abstract

This study has been carried out to examine the impact of information technology on corporate financial reporting in Nigeria. Information Technology (IT) plays a critical role in modern business especially regarding the accounting function. IT has radically transformed the nature of business and accounting practice. Information Technology (IT) plays a critical role in modern business and in ensuring the credibility of corporate financial reports. The objective of this study is to review extant literature on IT and corporate financial reporting in Nigeria. The methodology adopted for this study is library approach which focuses on content review of extant literature. We concluded based on the extant literature reviewed that IT has a significant relationship with corporate financial reporting and that there is a positive relationship between information technology and credibility of financial reports. We recommended that management of corporate entities should invest in modern information technology considering the enormous benefits to the organizations and the various stakeholders. Also, regulatory authorities should stipulate minimum standards of IT infrastructure for corporate entities in ensuring the credibility of corporate financial reporting.