IIARD International Institute of Academic Research and Development

WORLD JOURNAL OF INNOVATION AND MODERN TECHNOLOGY (WJIMT )

E-ISSN 2504-4766
P-ISSN 2682-5910
VOL. 8. NO. 2 2024
DOI: 10.56201/wjimt.v8.no2.2024.pg50.70

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Innovation Accounting and Frugal Innovation

Dr Ovharhe, Orugba Harry (Ph.D) and Dr Chibuike Camillus Ugo (Ph.D)

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Abstract

ABSTRACT This study investigated innovation accounting and frugal innovation in the manufacturing enterprise in Nigeria from 2011-2022 using Panel Data from annual financial statement of quoted companies. Data for the study were obtained from secondary sources and analysed using Eview10 statistical package namely: Unit Root Test, Cointegration Test; among others. Data for the work were drawn with purposive sampling techniques from samples of observations in Nigeria stock exchange statistical Bulletins. The co-integration .test revealed a long-term relationship among the explanatory variable (discretionary accruals and related party transaction) and response variable (return on equity). Therefore, overall we reject null hypothesis and alternate that there is significant (short-run and long-run) relationship between employed variables but in favour with innovation accounting and creative entrepreneurship strong correlates. It can be recommended that professional accountants should learn on specialization on costing low-cost product and process to sustain frugality. Accounting firms should delve into competitiveness in frugality of business in marketing positions of goods and services. Innovation accounting should adopt by the management of enterprise as measures to seize opportunities that world transform the enterprise to her dreams and visions.

keywords:

Innovation accounting, Return on Asset, Frugal Innovation, Discretionary Accruals, Related Party Transactions

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