Effect Of Human Capital Cost On Financial Performance Of Listed Manufacturing Companies In Nigeria:- Nwangwa, David O

ABSTRACT

This study examined the effect ofcapitalizing human capital cost onfinancial performance. The study employed ex post facto research design. Data for analysis was (gotten\from the published financialreports of8 listed manufacturing companiesspanning aperiod of8 years (2013 to 2020). Simple regression model was used to analyze the data generatedwith the aid ofE-view. Findingsfrom the study revealed that capitalizing human capital acquisition & development costs has a significant positive effect on ROE and EPS oflisted manufacturing companies in Nigeria and insignificant effect on ROA. Based on the findings the study recommends that manufacturing companies should capitalizing their human 'capital costs and attach information about the value ofhuman capital and the result oftheir performance during their accounting year so as to ensure that the cost ofacquiring and developing these personnel is recouped through amortizations. This will give room for more investment in human resource and be extension, enhance thefinancialperformance ofthe company