Effect of Environmental Accounting On The Profitability Of Firms In Nigeria: A Study Of Listed Firms In The Nigerian Stock Exchange:- Nduka Florence O.

ABSTRACT

This study examines the effect of environmental accounting on the profitcihility of firms in Nigeria. This study adopts ex-post research design. A purposive/convenience sampling method was used to select 4 companies from 5 sectors within the oil and manufacturing industry that are listed on the Nigerian stock exchange covering the period of 2010-2015 (6 years). This study uses secondary data in obtaining the annual financial report ofthe firms and al! data neededfor the study. The keyfindings ofstudy shows that environmental protection cost has no significant effect on the profitability oflistedfirms in line yvith the first specific objectives which is to examine the effect ofenvironmental protection cost has no significant effect on the profitability of listed firms in line with the first specific objective which is to examine the effect ofenvironmental protection on the probability of firms. Therefore, further findings reveal that sustainable development cost has a significant effect on the prqfltabiliW oflistedfirms in line -with the second specific objective which is to ascertain the effect ofsustainable development cost on the profitability offirms. Based on the /hidings ofthis study from the test oftwo hypothesis earlierformulated the study concluded in respect to the hypothesis that environmental protection cost has no effect on the profitability of firms and sustainable development cost has a significant effect on the profitability offirms. Based on this, it was recommended that there should b。a high level of awareness of environmental issues and a positive attitude towards liability and cost.