Latest open access articles published in Journal of Accounting, Finance and Auditing Studies at https://www.acadlore.com/journals/JAFAS https://www.acadlore.com/journals/JAFAS Acadlore en Creative Commons Attribution(CC - BY) JAFAS support@acadlore.com https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120105 Advanced and developing countries are strengthening budgetary regulation to reduce economic vulnerabilities and control budget deficits and public debt. Additionally, public institutions are required to maintain financial sustainability and pursue good economic governance. This study evaluated isomorphic factors influencing Supreme Audit Institutions (SAIs) in developing countries to effectively drive government policies, including public finance sustainability. Using phenomenological qualitative methodology, the study conducted online exploratory focus groups with selected African SAIs. Three focus group discussions and validated interviews were employed. The research applied institutional theory to reveal how isomorphic pressures impact SAIs in developing countries. Key isomorphic factors identified by participants from the selected African countries include legislative requirements, outdated legal mandates, lack of independence, financial viability, effective audit recommendations, professional competency, and capacity constraints. Analysis revealed that the legislative mandate policy framework significantly impacts SAI effectiveness and public finance sustainability. The findings provide practical insights for governments and lawmakers to create institutional environments featuring regulatory mandates, SAI financial independence, and professional capacity for effective public sector audits and reporting. This exploratory study offers new theoretical and methodological perspectives on SAIs and public finance sustainability, providing opportunities for future research. It establishes a foundation for independently testing each identified factor regarding public sector audit efficacy. 03-14-2026 <![CDATA[ Advanced and developing countries are strengthening budgetary regulation to reduce economic vulnerabilities and control budget deficits and public debt. Additionally, public institutions are required to maintain financial sustainability and pursue good economic governance. This study evaluated isomorphic factors influencing Supreme Audit Institutions (SAIs) in developing countries to effectively drive government policies, including public finance sustainability. Using phenomenological qualitative methodology, the study conducted online exploratory focus groups with selected African SAIs. Three focus group discussions and validated interviews were employed. The research applied institutional theory to reveal how isomorphic pressures impact SAIs in developing countries. Key isomorphic factors identified by participants from the selected African countries include legislative requirements, outdated legal mandates, lack of independence, financial viability, effective audit recommendations, professional competency, and capacity constraints. Analysis revealed that the legislative mandate policy framework significantly impacts SAI effectiveness and public finance sustainability. The findings provide practical insights for governments and lawmakers to create institutional environments featuring regulatory mandates, SAI financial independence, and professional capacity for effective public sector audits and reporting. This exploratory study offers new theoretical and methodological perspectives on SAIs and public finance sustainability, providing opportunities for future research. It establishes a foundation for independently testing each identified factor regarding public sector audit efficacy. ]]> Determinants of Supreme Audit Institutions and Their Impact on Public Finance Sustainability in Developing Countries: An Overview of Isomorphic Influences benjamin kwakutsey azinogo lourens jacobus erasmus doi: 10.56578/jafas120105 Journal of Accounting, Finance and Auditing Studies 03-14-2026 Journal of Accounting, Finance and Auditing Studies 03-14-2026 2026 12 1 Article 58 10.56578/jafas120105 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120105 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120104 This study investigates the impact of financial soundness on the profitability of listed commercial banks in Nigeria, with a focus on the determinants of return on assets (ROA). Specifically, the influence of capital adequacy ratio (CAR), operational efficiency (OPE), and non-performing loan ratio (NPLR) on bank profitability was assessed. Additionally, the moderating effect of OPE on the relationship between capital adequacy and ROA was examined. An ex-post facto research design was adopted, utilising secondary data spanning a ten-year period from 2014 to 2023. Data were extracted from the annual reports of the sampled banks and subjected to rigorous descriptive and inferential analyses. Measures of central tendency and dispersion were employed to summarise the data, while hypotheses were tested using ordinary least squares (OLS) regression analysis. The results indicate that CAR exerts a significant positive effect on ROA, suggesting that banks with robust capital buffers are better positioned to absorb financial shocks and sustain income-generating activities. Conversely, OPE was found to have a significant negative effect on ROA, implying that efficiency gains may not automatically translate into higher profitability in the context of Nigerian commercial banks. Similarly, the NPLR exhibited a significant negative relationship with ROA, highlighting the detrimental effect of asset quality deterioration on profitability. The interaction between capital adequacy and OPE was also observed to negatively affect ROA, indicating that excessive OPE without commensurate capital support may undermine profitability. These findings underscore the necessity of a balanced approach to financial soundness, where adequate capitalisation is maintained alongside prudent operational management. It is therefore recommended that management of Nigerian commercial banks maintain capital levels above regulatory minima to reinforce resilience and income-generating capacity, while strategically enhancing OPE to optimise profitability. The study contributes to the literature by providing empirical evidence on the complex interplay between financial soundness indicators and bank profitability, offering actionable insights for policymakers, regulators, and banking executives seeking to strengthen the stability and performance of the sector. 02-28-2026 <![CDATA[ This study investigates the impact of financial soundness on the profitability of listed commercial banks in Nigeria, with a focus on the determinants of return on assets (ROA). Specifically, the influence of capital adequacy ratio (CAR), operational efficiency (OPE), and non-performing loan ratio (NPLR) on bank profitability was assessed. Additionally, the moderating effect of OPE on the relationship between capital adequacy and ROA was examined. An ex-post facto research design was adopted, utilising secondary data spanning a ten-year period from 2014 to 2023. Data were extracted from the annual reports of the sampled banks and subjected to rigorous descriptive and inferential analyses. Measures of central tendency and dispersion were employed to summarise the data, while hypotheses were tested using ordinary least squares (OLS) regression analysis. The results indicate that CAR exerts a significant positive effect on ROA, suggesting that banks with robust capital buffers are better positioned to absorb financial shocks and sustain income-generating activities. Conversely, OPE was found to have a significant negative effect on ROA, implying that efficiency gains may not automatically translate into higher profitability in the context of Nigerian commercial banks. Similarly, the NPLR exhibited a significant negative relationship with ROA, highlighting the detrimental effect of asset quality deterioration on profitability. The interaction between capital adequacy and OPE was also observed to negatively affect ROA, indicating that excessive OPE without commensurate capital support may undermine profitability. These findings underscore the necessity of a balanced approach to financial soundness, where adequate capitalisation is maintained alongside prudent operational management. It is therefore recommended that management of Nigerian commercial banks maintain capital levels above regulatory minima to reinforce resilience and income-generating capacity, while strategically enhancing OPE to optimise profitability. The study contributes to the literature by providing empirical evidence on the complex interplay between financial soundness indicators and bank profitability, offering actionable insights for policymakers, regulators, and banking executives seeking to strengthen the stability and performance of the sector. ]]> Driving Stability and Returns: An Empirical Analysis of Financial Soundness and Profitability in Nigeria’s Listed Commercial Banks chika dennis muomaife gilbert ogechukwu nworie ndidiamaka phina muomaife doi: 10.56578/jafas120104 Journal of Accounting, Finance and Auditing Studies 02-28-2026 Journal of Accounting, Finance and Auditing Studies 02-28-2026 2026 12 1 Article 45 10.56578/jafas120104 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120104 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120103 An integrated framework for combining normal costing with activity-based costing (ABC) is developed and demonstrated to address persistent limitations in conventional cost accounting practices. Although normal costing remains widely adopted due to its operational simplicity and alignment with financial reporting, its reliance on broad overhead allocation bases has been shown to impair cost accuracy in complex production environments. Conversely, ABC offers superior causal attribution of indirect costs but is often perceived as difficult to integrate into routine costing systems. To reconcile these approaches, a structured integration methodology is proposed and illustrated through an applied case based on the machining department of an automobile parts manufacturer. Using a controlled hypothetical dataset to ensure analytical transparency, unit product costs are first determined under the traditional costing system using both full costing and normal costing approaches. Subsequently, the same cost structures are recalculated within an ABC framework, again under both full costing and normal costing assumptions, allowing systematic comparison across costing logics. The results demonstrate that integrating ABC with normal costing enhances cost precision without sacrificing the operational advantages of normal costing, particularly in departments characterized by high overhead intensity and activity heterogeneity. It is further shown that the integrated approach mitigates cost distortion arising from volume-based allocation while preserving consistency with standard cost-setting practices. From a methodological perspective, the study advances existing literature by explicitly operationalizing the coexistence of ABC and normal costing rather than treating them as mutually exclusive systems. Practical implications are highlighted for manufacturing enterprises seeking incremental adoption of ABC principles within established accounting infrastructures. In addition, the necessity of enterprise resource planning (ERP) systems is emphasized, as reliable integration depends on high-resolution activity data and automated cost tracing capabilities. The proposed framework and application procedure are expected to provide accounting practitioners and researchers with a replicable pathway for implementing integrated costing systems that balance analytical accuracy with managerial feasibility. 02-09-2026 <![CDATA[ An integrated framework for combining normal costing with activity-based costing (ABC) is developed and demonstrated to address persistent limitations in conventional cost accounting practices. Although normal costing remains widely adopted due to its operational simplicity and alignment with financial reporting, its reliance on broad overhead allocation bases has been shown to impair cost accuracy in complex production environments. Conversely, ABC offers superior causal attribution of indirect costs but is often perceived as difficult to integrate into routine costing systems. To reconcile these approaches, a structured integration methodology is proposed and illustrated through an applied case based on the machining department of an automobile parts manufacturer. Using a controlled hypothetical dataset to ensure analytical transparency, unit product costs are first determined under the traditional costing system using both full costing and normal costing approaches. Subsequently, the same cost structures are recalculated within an ABC framework, again under both full costing and normal costing assumptions, allowing systematic comparison across costing logics. The results demonstrate that integrating ABC with normal costing enhances cost precision without sacrificing the operational advantages of normal costing, particularly in departments characterized by high overhead intensity and activity heterogeneity. It is further shown that the integrated approach mitigates cost distortion arising from volume-based allocation while preserving consistency with standard cost-setting practices. From a methodological perspective, the study advances existing literature by explicitly operationalizing the coexistence of ABC and normal costing rather than treating them as mutually exclusive systems. Practical implications are highlighted for manufacturing enterprises seeking incremental adoption of ABC principles within established accounting infrastructures. In addition, the necessity of enterprise resource planning (ERP) systems is emphasized, as reliable integration depends on high-resolution activity data and automated cost tracing capabilities. The proposed framework and application procedure are expected to provide accounting practitioners and researchers with a replicable pathway for implementing integrated costing systems that balance analytical accuracy with managerial feasibility. ]]> Integrating Normal Costing and Activity-Based Costing: A Structured Framework and Applied Evidence from Manufacturing Operations süleyman yükçü selda korga doi: 10.56578/jafas120103 Journal of Accounting, Finance and Auditing Studies 02-09-2026 Journal of Accounting, Finance and Auditing Studies 02-09-2026 2026 12 1 Article 33 10.56578/jafas120103 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120103 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120102 Islamic finance, grounded in Shariah principles derived from the Al-Quran and Sunnah, promotes risk sharing, ethical conduct, and financial stability, thereby shaping economic outcomes in countries where Islamic financial institutions are systemically important. Among the various components of Islamic finance, Islamic banking constitutes the dominant segment and plays a central role in channeling capital across borders. Given the increasing globalization of Islamic financial markets, the relationship between Islamic financial development and foreign direct investment (FDI) outflows warrants rigorous empirical examination. This study investigates the impact of Islamic banks and key Islamic financial instruments—namely Sukuk and Takaful—on foreign direct investment outflows (FDI-Out) in leading Islamic finance economies, including Oman, the United Arab Emirates, Qatar, Nigeria, Malaysia, Indonesia, Saudi Arabia, Bahrain, and Kuwait. Balanced panel data are analyzed using the ordinary least squares estimation technique implemented in Stata 18, with Islamic banks’ profitability incorporated as both an explanatory and moderating variable. The empirical findings reveal three robust results. First, a statistically significant negative association is observed between Islamic banks’ profitability and FDI-Out, suggesting that higher domestic profitability may incentivize capital retention rather than outward investment. Second, Sukuk issuance is found to exert a direct negative effect on FDI-Out, whereas Takaful penetration exhibits a positive relationship, indicating heterogeneous effects across Islamic financial instruments. Third, when Islamic banks’ profitability is introduced as a moderating factor, Sukuk demonstrates a positive and significant impact on FDI-Out, implying that profitable Islamic banking systems enhance the outward investment channel of Sukuk markets. These findings highlight the complementary roles of Islamic banking performance and capital market instruments in shaping cross-border investment behavior. Overall, the results suggest that a well-integrated Islamic financial system can influence the direction and scale of international capital flows, with important implications for policymakers seeking to balance domestic investment, financial stability, and outward economic expansion in Shariah-compliant financial environments. 01-11-2026 <![CDATA[ Islamic finance, grounded in Shariah principles derived from the Al-Quran and Sunnah, promotes risk sharing, ethical conduct, and financial stability, thereby shaping economic outcomes in countries where Islamic financial institutions are systemically important. Among the various components of Islamic finance, Islamic banking constitutes the dominant segment and plays a central role in channeling capital across borders. Given the increasing globalization of Islamic financial markets, the relationship between Islamic financial development and foreign direct investment (FDI) outflows warrants rigorous empirical examination. This study investigates the impact of Islamic banks and key Islamic financial instruments—namely Sukuk and Takaful—on foreign direct investment outflows (FDI-Out) in leading Islamic finance economies, including Oman, the United Arab Emirates, Qatar, Nigeria, Malaysia, Indonesia, Saudi Arabia, Bahrain, and Kuwait. Balanced panel data are analyzed using the ordinary least squares estimation technique implemented in Stata 18, with Islamic banks’ profitability incorporated as both an explanatory and moderating variable. The empirical findings reveal three robust results. First, a statistically significant negative association is observed between Islamic banks’ profitability and FDI-Out, suggesting that higher domestic profitability may incentivize capital retention rather than outward investment. Second, Sukuk issuance is found to exert a direct negative effect on FDI-Out, whereas Takaful penetration exhibits a positive relationship, indicating heterogeneous effects across Islamic financial instruments. Third, when Islamic banks’ profitability is introduced as a moderating factor, Sukuk demonstrates a positive and significant impact on FDI-Out, implying that profitable Islamic banking systems enhance the outward investment channel of Sukuk markets. These findings highlight the complementary roles of Islamic banking performance and capital market instruments in shaping cross-border investment behavior. Overall, the results suggest that a well-integrated Islamic financial system can influence the direction and scale of international capital flows, with important implications for policymakers seeking to balance domestic investment, financial stability, and outward economic expansion in Shariah-compliant financial environments. ]]> Islamic Banking, Sukuk, and Foreign Direct Investment Outflows: Evidence from Leading Islamic Finance Economies humayun humta i̇brahim erem şahin hamayoun ghafourzay doi: 10.56578/jafas120102 Journal of Accounting, Finance and Auditing Studies 01-11-2026 Journal of Accounting, Finance and Auditing Studies 01-11-2026 2026 12 1 Article 22 10.56578/jafas120102 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120102 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120101 This study aims (i) to assess the prevalence of Earnings Management among non-financial Maltese Listed Entities; (ii) to explore the underlying motivations and drivers that give rise to such practices; and (iii) to investigate the methods and techniques currently employed by the auditee or auditor to prevent or detect Earnings Management within Maltese Listed Entities. A sequential two-phase explanatory mixed-methods approach was employed: first, the accrual-based model was applied to assess the presence of Earnings Management, followed by 20 semi-structured interviews with Audit Partners and Chief Financial Officers. While Earnings Management sector-specific behaviours were observed, no statistically significant differences in the distribution of Earnings Management across sectors were found, suggesting overall consistency. Despite its presence, Earnings Management remains ambiguous, with diverse interpretations creating opportunities for exploitation. The principles-based nature of IFRS facilitates Earnings Management, allowing subjective judgment to serve managerial interests. Motivations for the practice include company-level capital pressures and contractual obligations, with auditors seen as key deterrents owing to their commitment to professional standards. While current preventative measures are effective, the study calls for stronger scrutiny of management and auditors. It also highlights opportunities for local regulatory bodies to enhance consistency and depth in their approach to addressing complex Earnings Management techniques. Lastly, External Auditors face challenges such as quality gaps between Big 4 and non-Big 4 firms, and client resistance during efforts to detect Earnings Management. The study has sought to understand the Earnings Management phenomenon within the Maltese context, given its negative implications on Financial Reporting. 01-04-2026 <![CDATA[ This study aims (i) to assess the prevalence of Earnings Management among non-financial Maltese Listed Entities; (ii) to explore the underlying motivations and drivers that give rise to such practices; and (iii) to investigate the methods and techniques currently employed by the auditee or auditor to prevent or detect Earnings Management within Maltese Listed Entities. A sequential two-phase explanatory mixed-methods approach was employed: first, the accrual-based model was applied to assess the presence of Earnings Management, followed by 20 semi-structured interviews with Audit Partners and Chief Financial Officers. While Earnings Management sector-specific behaviours were observed, no statistically significant differences in the distribution of Earnings Management across sectors were found, suggesting overall consistency. Despite its presence, Earnings Management remains ambiguous, with diverse interpretations creating opportunities for exploitation. The principles-based nature of IFRS facilitates Earnings Management, allowing subjective judgment to serve managerial interests. Motivations for the practice include company-level capital pressures and contractual obligations, with auditors seen as key deterrents owing to their commitment to professional standards. While current preventative measures are effective, the study calls for stronger scrutiny of management and auditors. It also highlights opportunities for local regulatory bodies to enhance consistency and depth in their approach to addressing complex Earnings Management techniques. Lastly, External Auditors face challenges such as quality gaps between Big 4 and non-Big 4 firms, and client resistance during efforts to detect Earnings Management. The study has sought to understand the Earnings Management phenomenon within the Maltese context, given its negative implications on Financial Reporting. ]]> Investigating Earnings Management Within Maltese Limited Companies michaela magro norbert tabone peter j. baldacchino lauren ellul simon grima doi: 10.56578/jafas120101 Journal of Accounting, Finance and Auditing Studies 01-04-2026 Journal of Accounting, Finance and Auditing Studies 01-04-2026 2026 12 1 Article 1 10.56578/jafas120101 https://www.acadlore.com/article/JAFAS/2026_12_1/jafas120101 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110405 This study investigated the impact of financial inclusion, driven by digital financial platforms, on economic growth in Ghana between 2000 and 2023. Using secondary data from the World Development Indicators, the analysis applied Nonlinear Autoregressive Distributed Lag (NARDL) and Quantile ARDL (QARDL) models to capture both asymmetric and distributional dynamics. Existing literature affirmed the positive role of financial inclusion in development, but it often assumed linear and homogeneous effects and overlooked potential asymmetries. Despite global advances, financial exclusion remains acute in sub-Saharan Africa, where weak infrastructure, institutional inefficiencies, and structural barriers constrain access to finance. The results revealed that improvements in financial inclusion significantly enhanced economic growth by expanding savings, credit access, and productive investments, while reductions in inclusion undermined growth by restricting capital mobilisation and weakening financial intermediation. These findings highlighted the dual role of financial inclusion as both a growth enabler and a potential constraint when exclusion persists. Policy recommendations include expanding digital financial infrastructure in rural and marginalised communities, strengthening regulatory frameworks to enhance consumer protection and trust, and broadening financial literacy programmes to ensure effective utilisation of financial services. By integrating nonlinear and quantile-specific estimations, this study contributes new evidence to the fragile yet transformative role of digital finance in the development trajectory of Ghana. 12-30-2025 <![CDATA[ This study investigated the impact of financial inclusion, driven by digital financial platforms, on economic growth in Ghana between 2000 and 2023. Using secondary data from the World Development Indicators, the analysis applied Nonlinear Autoregressive Distributed Lag (NARDL) and Quantile ARDL (QARDL) models to capture both asymmetric and distributional dynamics. Existing literature affirmed the positive role of financial inclusion in development, but it often assumed linear and homogeneous effects and overlooked potential asymmetries. Despite global advances, financial exclusion remains acute in sub-Saharan Africa, where weak infrastructure, institutional inefficiencies, and structural barriers constrain access to finance. The results revealed that improvements in financial inclusion significantly enhanced economic growth by expanding savings, credit access, and productive investments, while reductions in inclusion undermined growth by restricting capital mobilisation and weakening financial intermediation. These findings highlighted the dual role of financial inclusion as both a growth enabler and a potential constraint when exclusion persists. Policy recommendations include expanding digital financial infrastructure in rural and marginalised communities, strengthening regulatory frameworks to enhance consumer protection and trust, and broadening financial literacy programmes to ensure effective utilisation of financial services. By integrating nonlinear and quantile-specific estimations, this study contributes new evidence to the fragile yet transformative role of digital finance in the development trajectory of Ghana. ]]> Financial Inclusion Driven by Digital Financial Platforms: Impact on Economic Growth in Ghana kennedy oppong-fosu oloyede obagbuwa doi: 10.56578/jafas110405 Journal of Accounting, Finance and Auditing Studies 12-30-2025 Journal of Accounting, Finance and Auditing Studies 12-30-2025 2025 11 4 Article 244 10.56578/jafas110405 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110405 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110404 The incorporation of environmental, social and governance (ESG) activities into business strategies has become a predominant way to maintain business sustainability. The impact of ESG adoption on financial reporting outcomes has been a subject of interest to authors in recent years. Nevertheless, studies that discussed and synthesized relevant theories and concepts in this domain are lacking in the literature to date. To fill this gap, this study adopted a narrative review approach to examining ESG and financial reporting outcomes (FROs), with an aim to identify and synthetize FROs that have been proposed and associated with a firm’s ESG activities. In addition, this paper commented on the state and development of knowledge in the field of ESG and FRO as well as the limitations of prior research. Although the incorporation of ESG activities into business strategies produces positive FRO outcomes such as enhanced accounting quality, improved performance of a firm, and decreased cost of equity capital and debts, inconsistent propositions still remain. The findings presented in this study are unresolved, leading to ongoing inquiry and the need for further research. The review has implications for investors and policymakers to consider whether ESG could be used as a tool to potentially improve the credibility of financial reports and the outcomes of a firm’s operational activities. 12-30-2025 <![CDATA[ The incorporation of environmental, social and governance (ESG) activities into business strategies has become a predominant way to maintain business sustainability. The impact of ESG adoption on financial reporting outcomes has been a subject of interest to authors in recent years. Nevertheless, studies that discussed and synthesized relevant theories and concepts in this domain are lacking in the literature to date. To fill this gap, this study adopted a narrative review approach to examining ESG and financial reporting outcomes (FROs), with an aim to identify and synthetize FROs that have been proposed and associated with a firm’s ESG activities. In addition, this paper commented on the state and development of knowledge in the field of ESG and FRO as well as the limitations of prior research. Although the incorporation of ESG activities into business strategies produces positive FRO outcomes such as enhanced accounting quality, improved performance of a firm, and decreased cost of equity capital and debts, inconsistent propositions still remain. The findings presented in this study are unresolved, leading to ongoing inquiry and the need for further research. The review has implications for investors and policymakers to consider whether ESG could be used as a tool to potentially improve the credibility of financial reports and the outcomes of a firm’s operational activities. ]]> Business Sustainability Practices: A Literature Review of the Association Between ESG and Financial Reporting Outcomes nyanine chuele fonou-dombeu doi: 10.56578/jafas110404 Journal of Accounting, Finance and Auditing Studies 12-30-2025 Journal of Accounting, Finance and Auditing Studies 12-30-2025 2025 11 4 Article 231 10.56578/jafas110404 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110404 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110403 The digital transformation of professional sectors requires a systematic renewal of processes, and the accounting profession is no exception. In Sub-Saharan Africa (SSA), active engagement with digital transformation is critical for accounting professionals, who must adapt to meet emerging demands in a rapidly evolving digital landscape. This transformation entails not only technological upgrades but also a shift in the societal perception of the accounting profession, driven by enhanced operational efficiency, data security, and transparency facilitated by digital systems. However, significant challenges hinder the seamless integration of digital technologies in accounting practices across the region. These include concerns regarding ethics, inadequate digital infrastructure, high implementation costs, cybersecurity threats, and a skills gap among professionals, compounded by institutional resistance to change. Nevertheless, the digital transformation offers substantial opportunities to enhance efficiency, accountability, and transparency in accounting operations. AI technologies, for instance, can automate repetitive tasks, enabling accountants to focus on more strategic, advisory roles. The potential for digital innovation also extends to fostering collaboration among stakeholders, including government bodies, which could play a pivotal role in creating the necessary infrastructure and policy frameworks to support digital transformation. Furthermore, partnerships between industry and academia are essential for the development of curricula that address the evolving needs of the profession. In light of these considerations, it is essential that efforts are made to overcome existing barriers, while leveraging digital transformation to foster a more efficient, transparent, and resilient accounting profession across SSA. 12-29-2025 <![CDATA[ The digital transformation of professional sectors requires a systematic renewal of processes, and the accounting profession is no exception. In Sub-Saharan Africa (SSA), active engagement with digital transformation is critical for accounting professionals, who must adapt to meet emerging demands in a rapidly evolving digital landscape. This transformation entails not only technological upgrades but also a shift in the societal perception of the accounting profession, driven by enhanced operational efficiency, data security, and transparency facilitated by digital systems. However, significant challenges hinder the seamless integration of digital technologies in accounting practices across the region. These include concerns regarding ethics, inadequate digital infrastructure, high implementation costs, cybersecurity threats, and a skills gap among professionals, compounded by institutional resistance to change. Nevertheless, the digital transformation offers substantial opportunities to enhance efficiency, accountability, and transparency in accounting operations. AI technologies, for instance, can automate repetitive tasks, enabling accountants to focus on more strategic, advisory roles. The potential for digital innovation also extends to fostering collaboration among stakeholders, including government bodies, which could play a pivotal role in creating the necessary infrastructure and policy frameworks to support digital transformation. Furthermore, partnerships between industry and academia are essential for the development of curricula that address the evolving needs of the profession. In light of these considerations, it is essential that efforts are made to overcome existing barriers, while leveraging digital transformation to foster a more efficient, transparent, and resilient accounting profession across SSA. ]]> Digital Transformation in the Accounting Profession in Sub-Saharan Africa: Challenges, Opportunities, and Strategic Pathways queen mpofu doi: 10.56578/jafas110403 Journal of Accounting, Finance and Auditing Studies 12-29-2025 Journal of Accounting, Finance and Auditing Studies 12-29-2025 2025 11 4 Article 222 10.56578/jafas110403 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110403 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110402 State-Owned Enterprises (SOEs) are essential for economic development but frequently suffer from endemic corruption and financial mismanagement, particularly in developing economies where traditional auditing mechanisms fail to detect complex financial crimes. This study investigated the primary determinants of fraudulent financial reporting by empirically validating the Fraud Hexagon Theory within the distinct institutional context of Zimbabwe. Adopting a quantitative causal-comparative research design, the study utilized multiple linear regression to examine the influence of six governance indicators and analyzed data from 38 SOEs listed on the Zimbabwe Stock Exchange between 2015 and 2024. The results demonstrated that the model explained 67.5% of the variance in fraudulent reporting, hence confirming the holistic applicability of the Fraud Hexagon Theory. Crucially, external financial pressure stemming from unsustainable debt emerged as the strongest predictor of fraud, followed significantly by collusion in government projects and executive ego. Furthermore, the findings revealed that while frequent change of directors degraded institutional memory and increased the risk of fraud, mandatory rotation of auditors acted as a significant deterrent. It was concluded that financial fraud in Zimbabwean SOEs was not merely an individual behavioral issue but a systemic outcome of unfunded government mandates and state capture. These findings suggested that safeguarding public resources necessitated a strategic shift from routine compliance to targeted forensic auditing, alongside the strict enforcement of meritocratic board appointments and transparency in the procurement process. 12-21-2025 <![CDATA[ <p>State-Owned Enterprises (SOEs) are essential for economic development but frequently suffer from endemic corruption and financial mismanagement, particularly in developing economies where traditional auditing mechanisms fail to detect complex financial crimes. This study investigated the primary determinants of fraudulent financial reporting by empirically validating the Fraud Hexagon Theory within the distinct institutional context of Zimbabwe. Adopting a quantitative causal-comparative research design, the study utilized multiple linear regression to examine the influence of six governance indicators and analyzed data from 38 SOEs listed on the Zimbabwe Stock Exchange between 2015 and 2024. The results demonstrated that the model explained 67.5% of the variance in fraudulent reporting, hence confirming the holistic applicability of the Fraud Hexagon Theory. Crucially, external financial pressure stemming from unsustainable debt emerged as the strongest predictor of fraud, followed significantly by collusion in government projects and executive ego. Furthermore, the findings revealed that while frequent change of directors degraded institutional memory and increased the risk of fraud, mandatory rotation of auditors acted as a significant deterrent. It was concluded that financial fraud in Zimbabwean SOEs was not merely an individual behavioral issue but a systemic outcome of unfunded government mandates and state capture. These findings suggested that safeguarding public resources necessitated a strategic shift from routine compliance to targeted forensic auditing, alongside the strict enforcement of meritocratic board appointments and transparency in the procurement process.</p> ]]> Forensic Auditing as a Tool for Detecting and Prosecuting Financial Crimes in Zimbabwean State-Owned Enterprises tatenda marshal mutizira mcarthur fundira ngonidzashe chimwani charles mbohwa doi: 10.56578/jafas110402 Journal of Accounting, Finance and Auditing Studies 12-21-2025 Journal of Accounting, Finance and Auditing Studies 12-21-2025 2025 11 4 Article 213 10.56578/jafas110402 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110402 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110401 This study investigates the perceptions of internal auditors regarding the effectiveness of Artificial Intelligence (AI) in detecting fraudulent activities and strengthening internal control systems within public universities in Ghana. While AI is being increasingly integrated into audit practices globally, its application and perceived impact in public sector institutions, particularly in developing countries, remain underexplored. Ghanaian public universities, facing resource constraints, bureaucratic inefficiencies, and weaknesses in audit frameworks, present a compelling context for examining AI’s role in improving governance and transparency. A mixed-methods approach was employed, combining survey data from 176 internal auditors with qualitative insights from six audit leaders. The Technology Acceptance Model (TAM) and Agency Theory were applied to analyze the perceived usefulness (PU) of AI and its potential to mitigate information asymmetry. Results reveal that internal auditors generally regard AI as highly effective in enhancing fraud detection, particularly in terms of real-time anomaly identification, increasing accuracy, and reducing false positives. AI’s contribution to strengthening internal control mechanisms was also recognized, though challenges related to limited technical training, suboptimal integration of audit and IT systems, and underutilization of advanced AI tools were identified. The study highlights the need for focused auditor training, improved inter-departmental collaboration, and institutional policies that foster AI adoption. These findings contribute to the growing body of literature on the role of AI in public sector auditing, particularly in Sub-Saharan Africa. By integrating quantitative and qualitative data, the study offers a comprehensive analysis of AI’s perceived effectiveness in addressing governance challenges in Ghana’s higher education sector, filling a significant gap in existing research. 12-09-2025 <![CDATA[ This study investigates the perceptions of internal auditors regarding the effectiveness of Artificial Intelligence (AI) in detecting fraudulent activities and strengthening internal control systems within public universities in Ghana. While AI is being increasingly integrated into audit practices globally, its application and perceived impact in public sector institutions, particularly in developing countries, remain underexplored. Ghanaian public universities, facing resource constraints, bureaucratic inefficiencies, and weaknesses in audit frameworks, present a compelling context for examining AI’s role in improving governance and transparency. A mixed-methods approach was employed, combining survey data from 176 internal auditors with qualitative insights from six audit leaders. The Technology Acceptance Model (TAM) and Agency Theory were applied to analyze the perceived usefulness (PU) of AI and its potential to mitigate information asymmetry. Results reveal that internal auditors generally regard AI as highly effective in enhancing fraud detection, particularly in terms of real-time anomaly identification, increasing accuracy, and reducing false positives. AI’s contribution to strengthening internal control mechanisms was also recognized, though challenges related to limited technical training, suboptimal integration of audit and IT systems, and underutilization of advanced AI tools were identified. The study highlights the need for focused auditor training, improved inter-departmental collaboration, and institutional policies that foster AI adoption. These findings contribute to the growing body of literature on the role of AI in public sector auditing, particularly in Sub-Saharan Africa. By integrating quantitative and qualitative data, the study offers a comprehensive analysis of AI’s perceived effectiveness in addressing governance challenges in Ghana’s higher education sector, filling a significant gap in existing research. ]]> Perceptions of Artificial Intelligence in Enhancing Fraud Detection and Internal Controls in Public Universities in Ghana jonathan casely wiredu mishelle doorasamy kiran baldavoo doi: 10.56578/jafas110401 Journal of Accounting, Finance and Auditing Studies 12-09-2025 Journal of Accounting, Finance and Auditing Studies 12-09-2025 2025 11 4 Article 201 10.56578/jafas110401 https://www.acadlore.com/article/JAFAS/2025_11_4/jafas110401 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110305 A bibliometric analysis was conducted in this study covering the period between 2015 and 2024 to establish a roadmap for big data analytics in auditing. Excel, RStudio, and R software were employed to analyse the performance, co-occurrences, citations, and authorship of 91 articles selected from the Scopus database. According to the acquired results and pertinent observations, 2022 was the most productive year with 21 publications. The Journal of Emerging Technologies in Accounting was the most prolific journal, with ten publications. Besides, a total of 40 articles originated from the United States, significantly surpassing the number of publications issued by other countries. These findings indicated a growing attention on research related to audit quality and big data analytics in auditing. This thorough review provided insights into the historical background and current status of data analytics and auditing, while identifying gaps that necessitated further academic inquiry. The study provided a performance analysis and described the evolution of a profession, functioning as a vital resource for researchers and professionals who aim to understand emerging research trends in the pursuit of future studies. 09-29-2025 <![CDATA[ <p>A bibliometric analysis was conducted in this study covering the period between 2015 and 2024 to establish a roadmap for big data analytics in auditing. Excel, RStudio, and R software were employed to analyse the performance, co-occurrences, citations, and authorship of 91 articles selected from the Scopus database. According to the acquired results and pertinent observations, 2022 was the most productive year with 21 publications. The <em>Journal of Emerging Technologies in Accounting</em> was the most prolific journal, with ten publications. Besides, a total of 40 articles originated from the United States, significantly surpassing the number of publications issued by other countries. These findings indicated a growing attention on research related to audit quality and big data analytics in auditing. This thorough review provided insights into the historical background and current status of data analytics and auditing, while identifying gaps that necessitated further academic inquiry. The study provided a performance analysis and described the evolution of a profession, functioning as a vital resource for researchers and professionals who aim to understand emerging research trends in the pursuit of future studies.</p> ]]> Big Data Analytics in Auditing: A Review of Current Applications and Future Directions salsabeel hani almarafi noor afza amran mohd hadzrami harun rasit doi: 10.56578/jafas110305 Journal of Accounting, Finance and Auditing Studies 09-29-2025 Journal of Accounting, Finance and Auditing Studies 09-29-2025 2025 11 3 Article 186 10.56578/jafas110305 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110305 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110304 This study investigates the influence of lunar phases, behavioral indicators, and technical analysis on cryptocurrency returns, with a focus on Bitcoin (BTC) and Ethereum (ETH). Positioned within the context of behavioral finance and astrofinance, the research aims to explore the role of non-traditional factors in shaping market dynamics. The study employs a combination of event study methodology, regression analysis, and machine learning techniques, particularly XGBoost classification, to examine the impact of lunar phases (such as full and new moons), sentiment measures (derived from Google Trends (GT), the Fear &amp; Greed Index (FGI), and Natural Language Processing (NLP)-based sentiment scores), and technical indicators (such as Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD), and Exponential Moving Average (EMA)) on cryptocurrency price movements. Although no statistically significant direct correlation was found between lunar phases and daily returns, it was observed that these phases are associated with changes in investor sentiment and trading volume. Moreover, behavioral variables, including NLP-derived sentiment scores and the FGI, exhibited interaction effects with market returns, particularly during periods of heightened market sentiment. The XGBoost model demonstrated a predictive accuracy of up to 63% for Ethereum, indicating its effectiveness in capturing complex, non-linear relationships within the data. These findings suggest that integrating astrofinancial timing with behavioral signals can improve the predictive accuracy of short-term cryptocurrency market trends, especially during periods of increased sentiment. This research highlights the potential of incorporating alternative data sources, such as lunar events and sentiment indices, into cryptocurrency trading models. The results also emphasize the effectiveness of machine learning algorithms, like XGBoost, in leveraging such non-traditional indicators to optimize investment strategies. 09-29-2025 <![CDATA[ This study investigates the influence of lunar phases, behavioral indicators, and technical analysis on cryptocurrency returns, with a focus on Bitcoin (BTC) and Ethereum (ETH). Positioned within the context of behavioral finance and astrofinance, the research aims to explore the role of non-traditional factors in shaping market dynamics. The study employs a combination of event study methodology, regression analysis, and machine learning techniques, particularly XGBoost classification, to examine the impact of lunar phases (such as full and new moons), sentiment measures (derived from Google Trends (GT), the Fear &amp; Greed Index (FGI), and Natural Language Processing (NLP)-based sentiment scores), and technical indicators (such as Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD), and Exponential Moving Average (EMA)) on cryptocurrency price movements. Although no statistically significant direct correlation was found between lunar phases and daily returns, it was observed that these phases are associated with changes in investor sentiment and trading volume. Moreover, behavioral variables, including NLP-derived sentiment scores and the FGI, exhibited interaction effects with market returns, particularly during periods of heightened market sentiment. The XGBoost model demonstrated a predictive accuracy of up to 63% for Ethereum, indicating its effectiveness in capturing complex, non-linear relationships within the data. These findings suggest that integrating astrofinancial timing with behavioral signals can improve the predictive accuracy of short-term cryptocurrency market trends, especially during periods of increased sentiment. This research highlights the potential of incorporating alternative data sources, such as lunar events and sentiment indices, into cryptocurrency trading models. The results also emphasize the effectiveness of machine learning algorithms, like XGBoost, in leveraging such non-traditional indicators to optimize investment strategies. ]]> Astrofinance and Behavioral Drivers of Cryptocurrency Returns: Integrating Lunar Phases, Sentiment Indicators, and Machine Learning for Predictive Modeling saban onur viga doi: 10.56578/jafas110304 Journal of Accounting, Finance and Auditing Studies 09-29-2025 Journal of Accounting, Finance and Auditing Studies 09-29-2025 2025 11 3 Article 167 10.56578/jafas110304 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110304 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110303 The objectives of this study are to (i) ascertain the major quantitative and qualitative factors influencing the determination of materiality thresholds in the private sector external audits performed by large and medium-sized Maltese audit firms, (ii) assess the effectiveness of ISA 320 in the determination of such materiality thresholds, as well as the impact of introducing more prescriptive guidelines within the Standard, and (iii) assess the current level of professional judgement and its effectiveness in determining materiality thresholds, as well as ascertain the typical challenges involved in exercising such judgement. A predominantly qualitative mixed-methods approach was adopted. Semi-structured interviews were carried out with twelve audit partners from large and medium-sized Maltese audit firms. The findings indicated that the major quantitative factors influencing overall materiality were 5–10% of profit before tax and 1–3% of total revenue. The major quantitative factor influencing performance materiality and the clearly trivial threshold was 75% and 5% of overall materiality, respectively. Additionally, the major qualitative factors influencing materiality thresholds were fraud and litigation risk, quality of client internal controls, auditor critical thinking skills, client complexity, the client’s sector and a change in auditor. Furthermore, the findings indicated that ISA 320 provided sufficient guidance for determining materiality thresholds. Moreover, the most cited benefit of introducing more prescriptive guidelines within the Standard was greater consistency among auditors, while the most cited drawback was the limitation on professional judgement. The findings also revealed that professional judgement was crucial and generally effective in determining materiality thresholds. However, auditors typically faced a few challenges when exercising such judgement, of which time pressure and the setting of appropriate thresholds are particularly significant. 09-29-2025 <![CDATA[ <p>The objectives of this study are to (i) ascertain the major quantitative and qualitative factors influencing the determination of materiality thresholds in the private sector external audits performed by large and medium-sized Maltese audit firms, (ii) assess the effectiveness of ISA 320 in the determination of such materiality thresholds, as well as the impact of introducing more prescriptive guidelines within the Standard, and (iii) assess the current level of professional judgement and its effectiveness in determining materiality thresholds, as well as ascertain the typical challenges involved in exercising such judgement. A predominantly qualitative mixed-methods approach was adopted. Semi-structured interviews were carried out with twelve audit partners from large and medium-sized Maltese audit firms. The findings indicated that the major quantitative factors influencing overall materiality were 5–10% of profit before tax and 1–3% of total revenue. The major quantitative factor influencing performance materiality and the clearly trivial threshold was 75% and 5% of overall materiality, respectively. Additionally, the major qualitative factors influencing materiality thresholds were fraud and litigation risk, quality of client internal controls, auditor critical thinking skills, client complexity, the client’s sector and a change in auditor. Furthermore, the findings indicated that ISA 320 provided sufficient guidance for determining materiality thresholds. Moreover, the most cited benefit of introducing more prescriptive guidelines within the Standard was greater consistency among auditors, while the most cited drawback was the limitation on professional judgement. The findings also revealed that professional judgement was crucial and generally effective in determining materiality thresholds. However, auditors typically faced a few challenges when exercising such judgement, of which time pressure and the setting of appropriate thresholds are particularly significant.</p> ]]> Materiality Thresholds in Maltese External Auditing: An Analysis peter j. baldacchino matthew pisani lauren ellul norbert tabone simon grima doi: 10.56578/jafas110303 Journal of Accounting, Finance and Auditing Studies 09-29-2025 Journal of Accounting, Finance and Auditing Studies 09-29-2025 2025 11 3 Article 152 10.56578/jafas110303 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110303 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110302 This case study evaluated the effectiveness of performance measurement framework (PMF) in elevating operational efficiency, with a primary focus on Simbisa Brands, the largest chain in Zimbabwe. The research on the fast food industry in this developing country investigated how the Balanced Scorecard (BSC) could be integrated to monitor the key performance indicators (KPIs) of an organization, in respect of financial performance, customer satisfaction, internal processes, and employee training. Using a mixed method approach, structured questionnaires were distributed to employees, and interviews were conducted with key employees and stakeholders at Simbisa Brands. Results indicated that while the PMF of Simbisa aligned with its strategic objectives, significant challenges and obstacles to operational effectiveness existed in data quality, employee engagement, and customer satisfaction. Moreover, the unstable economic environment in Zimbabwe further complicated financial reporting and cost management. The BSC framework, which aligned KPIs with strategic goals, could effectively track financial performance and customer loyalty in the industry to boost operational excellence and support sustainable growth. Recommendations to stakeholders were proposed to continuously improve data quality, enhance employee involvement, and refine performance metrics to deliver the best purchasing experiences. For Simbisa Brands and other similar organizations, this research offered valuable insights to assist them in gaining competitive advantages and long-term success in the face of challenging business environments. 09-29-2025 <![CDATA[ <p>This case study evaluated the effectiveness of performance measurement framework (PMF) in elevating operational efficiency, with a primary focus on Simbisa Brands, the largest chain in Zimbabwe. The research on the fast food industry in this developing country investigated how the Balanced Scorecard (BSC) could be integrated to monitor the key performance indicators (KPIs) of an organization, in respect of financial performance, customer satisfaction, internal processes, and employee training. Using a mixed method approach, structured questionnaires were distributed to employees, and interviews were conducted with key employees and stakeholders at Simbisa Brands. Results indicated that while the PMF of Simbisa aligned with its strategic objectives, significant challenges and obstacles to operational effectiveness existed in data quality, employee engagement, and customer satisfaction. Moreover, the unstable economic environment in Zimbabwe further complicated financial reporting and cost management. The BSC framework, which aligned KPIs with strategic goals, could effectively track financial performance and customer loyalty in the industry to boost operational excellence and support sustainable growth. Recommendations to stakeholders were proposed to continuously improve data quality, enhance employee involvement, and refine performance metrics to deliver the best purchasing experiences. For Simbisa Brands and other similar organizations, this research offered valuable insights to assist them in gaining competitive advantages and long-term success in the face of challenging business environments.</p> ]]> Evaluating the Impact of Performance Measurement Frameworks on Financial Management and Operational Efficiency in Fast Food Enterprises tinashe denhere newman wadesango lovemore sitsha doi: 10.56578/jafas110302 Journal of Accounting, Finance and Auditing Studies 09-29-2025 Journal of Accounting, Finance and Auditing Studies 09-29-2025 2025 11 3 Article 140 10.56578/jafas110302 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110302 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110301 Savings and Credit Cooperative Organizations (SACCOs) play a pivotal role in promoting financial inclusion, reducing poverty, and supporting social welfare especially in rural and underserved areas. However, 21% of DT-SACCOs do not operate with prudent financing decisions exposing themselves to financial stress and economic shocks. Even among the SACCOs that met compliance requirements, a drop in the capital adequacy ratio from 16.4% in year 2022 to 16.1% in year 2023 signaled alarming financial strain posing a threat to the existing SACCOs. Alarmingly, 35% of DT-SACCOs have ceased operations attributable to improper financing decisions with three delicensed in January 2025, raising significant concerns over their long-term financial health. Thus, the current study aimed to assess the moderating effect of SACCO size on the relationship between financing decision practices and the financial sustainability of Deposit-Taking Savings and Credit Cooperative Organizations (DT-SACCOs) in Kenya. Anchored on the pecking order theory, the research adopted a positivist paradigm and a cross-sectional survey design. A total of 176 finance managers representing 176 licensed DT-SACCOs constituted the study population. Data were collected by structured questionnaires with a 98% response rate as a sample of 122 respondents was selected by Yamane’s formula. Results from a binary logistic regression indicated that introducing the moderator led to a slight increase in the Nagelkerke R², while the inclusion of the interaction terms further strengthened the relationship between predictor variables and financial sustainability. The findings confirmed that SACCO size had a statistically significant moderating effect on this relationship. This study recommends integrating scenario-based stress testing into financing decisions to assess their long-term impact on different funding structures, so as to facilitate their confrontation of different economic conditions. 09-15-2025 <![CDATA[ Savings and Credit Cooperative Organizations (SACCOs) play a pivotal role in promoting financial inclusion, reducing poverty, and supporting social welfare especially in rural and underserved areas. However, 21% of DT-SACCOs do not operate with prudent financing decisions exposing themselves to financial stress and economic shocks. Even among the SACCOs that met compliance requirements, a drop in the capital adequacy ratio from 16.4% in year 2022 to 16.1% in year 2023 signaled alarming financial strain posing a threat to the existing SACCOs. Alarmingly, 35% of DT-SACCOs have ceased operations attributable to improper financing decisions with three delicensed in January 2025, raising significant concerns over their long-term financial health. Thus, the current study aimed to assess the moderating effect of SACCO size on the relationship between financing decision practices and the financial sustainability of Deposit-Taking Savings and Credit Cooperative Organizations (DT-SACCOs) in Kenya. Anchored on the pecking order theory, the research adopted a positivist paradigm and a cross-sectional survey design. A total of 176 finance managers representing 176 licensed DT-SACCOs constituted the study population. Data were collected by structured questionnaires with a 98% response rate as a sample of 122 respondents was selected by Yamane’s formula. Results from a binary logistic regression indicated that introducing the moderator led to a slight increase in the Nagelkerke R², while the inclusion of the interaction terms further strengthened the relationship between predictor variables and financial sustainability. The findings confirmed that SACCO size had a statistically significant moderating effect on this relationship. This study recommends integrating scenario-based stress testing into financing decisions to assess their long-term impact on different funding structures, so as to facilitate their confrontation of different economic conditions. ]]> Financing Decision Practices, Size of Savings and Credit Cooperative Organization (SACCO) and Financial Sustainability of Deposit-Taking Savings and Credit Co-operative Societies in Kenya john gachenga denis kamau muthoni wilson kipkemboi metto doi: 10.56578/jafas110301 Journal of Accounting, Finance and Auditing Studies 09-15-2025 Journal of Accounting, Finance and Auditing Studies 09-15-2025 2025 11 3 Article 130 10.56578/jafas110301 https://www.acadlore.com/article/JAFAS/2025_11_3/jafas110301 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110205 The interdependence of emerging economies within the BRICS grouping—Brazil, Russia, India, China, and South Africa—has been analysed through a time-varying parameter vector autoregression (TVP-VAR) framework to quantify member-related spillovers affecting foreign financial flows and macroeconomic fundamentals. Using quarterly data spanning 1998 to 2023, obtained from the International Monetary Fund, World Bank, and Bloomberg Terminal, the analysis has focused on the dynamic interactions between foreign direct investment (FDI) and key domestic indicators, including inflation rates, real gross domestic product growth (RGDP), and central bank policy interest rates (IR). It has been observed that spillover effects are both time-dependent and asymmetric across member states. China and South Africa have consistently functioned as net transmitters of macro-financial shocks, whereas Brazil and Russia have primarily acted as net recipients. FDI flows have been found to be particularly sensitive to inflationary pressures and monetary policy adjustments within the bloc, with heightened responsiveness during periods of global economic volatility. The findings suggest that the internal propagation of macroeconomic disturbances within the BRICS network exerts a measurable influence on the direction and intensity of capital flows, thereby reinforcing the systemic importance of regional coordination. By identifying the nodes of shock origination and absorption, the study contributes to a more granular understanding of regional vulnerability and resilience. These insights hold significant implications for policymakers aiming to strengthen economic safeguards and for investors seeking to recalibrate risk exposure in emerging markets. Emphasis is placed on the need for synchronised macroeconomic policy frameworks to mitigate adverse contagion and enhance financial stability within the BRICS consortium. 06-29-2025 <![CDATA[ The interdependence of emerging economies within the BRICS grouping—Brazil, Russia, India, China, and South Africa—has been analysed through a time-varying parameter vector autoregression (TVP-VAR) framework to quantify member-related spillovers affecting foreign financial flows and macroeconomic fundamentals. Using quarterly data spanning 1998 to 2023, obtained from the International Monetary Fund, World Bank, and Bloomberg Terminal, the analysis has focused on the dynamic interactions between foreign direct investment (FDI) and key domestic indicators, including inflation rates, real gross domestic product growth (RGDP), and central bank policy interest rates (IR). It has been observed that spillover effects are both time-dependent and asymmetric across member states. China and South Africa have consistently functioned as net transmitters of macro-financial shocks, whereas Brazil and Russia have primarily acted as net recipients. FDI flows have been found to be particularly sensitive to inflationary pressures and monetary policy adjustments within the bloc, with heightened responsiveness during periods of global economic volatility. The findings suggest that the internal propagation of macroeconomic disturbances within the BRICS network exerts a measurable influence on the direction and intensity of capital flows, thereby reinforcing the systemic importance of regional coordination. By identifying the nodes of shock origination and absorption, the study contributes to a more granular understanding of regional vulnerability and resilience. These insights hold significant implications for policymakers aiming to strengthen economic safeguards and for investors seeking to recalibrate risk exposure in emerging markets. Emphasis is placed on the need for synchronised macroeconomic policy frameworks to mitigate adverse contagion and enhance financial stability within the BRICS consortium. ]]> Dynamic Spillover Effects of Member Economies on Foreign Financial Flows and Macroeconomic Indicators within the BRICS Bloc linah mutemeri damien kunjal nokukhanya kholeka khuzwayo nhlanhla mkhize zimele mkhabela siseko mtunzi merana buhlebuyeza manqoba ndaba nqobile vokwana doi: 10.56578/jafas110205 Journal of Accounting, Finance and Auditing Studies 06-29-2025 Journal of Accounting, Finance and Auditing Studies 06-29-2025 2025 11 2 Article 116 10.56578/jafas110205 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110205 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110204 Deposit-Taking Savings and Credit Cooperative Societies (DT-SACCOs) constitute a pivotal segment of Kenya’s financial system by fostering domestic savings, facilitating affordable credit access, and advancing financial inclusion, particularly among underserved populations. Despite this critical role, concerns have intensified over the sector’s financial resilience due to escalating levels of loan portfolio risk, persistent regulatory non-compliance, and eroding capital adequacy ratios (CAR). These vulnerabilities have been exacerbated by the absence of a lender of last resort, thereby exposing member deposits to elevated systemic risk and constraining the flow of credit to key productive sectors—including micro, small, and medium enterprises (MSMEs), agriculture, and affordable housing. Such constraints are increasingly viewed as impediments to the Bottom-Up Economic Transformation Agenda and to Kenya’s broader commitments under the Sustainable Development Goals, particularly those concerning poverty eradication, decent employment, and industrial development. To investigate the interplay between loan portfolio risk and capital adequacy, a positivist research philosophy and a descriptive cross-sectional design were employed. The target population comprised all 174 licensed DT-SACCOs in Kenya. A simple random sampling technique was used, and a 96.5% response rate was achieved. Data were extracted from audited financial statements through a structured collection instrument and analysed using linear regression techniques. Empirical results indicated a statistically significant positive association between loan portfolio risk and capital adequacy (β = 0.0569, p = 0.012), suggesting that increased risk exposure may prompt DT-SACCOs to strengthen capital buffers, either through regulatory compulsion or institutional prudence. It is recommended that DT-SACCOs adopt advanced credit risk mitigation strategies, including AI-enabled credit scoring systems, predictive early warning indicators, and operational automation via chatbots to enhance real-time monitoring and reduce manual error. Emphasis is also placed on the adoption of forward-looking metrics such as expected credit losses (ECL) and scenario-based stress testing under the IFRS 9 framework. Regulatory bodies are urged to enhance supervisory guidance and support financial literacy initiatives among members. Furthermore, capacity building, the promotion of digital loan syndication models, and collaborative risk-sharing frameworks are proposed to fortify capital adequacy, enhance institutional resilience, and ensure long-term sectoral stability. 06-29-2025 <![CDATA[ <p>Deposit-Taking Savings and Credit Cooperative Societies (DT-SACCOs) constitute a pivotal segment of Kenya’s financial system by fostering domestic savings, facilitating affordable credit access, and advancing financial inclusion, particularly among underserved populations. Despite this critical role, concerns have intensified over the sector’s financial resilience due to escalating levels of loan portfolio risk, persistent regulatory non-compliance, and eroding capital adequacy ratios (CAR). These vulnerabilities have been exacerbated by the absence of a lender of last resort, thereby exposing member deposits to elevated systemic risk and constraining the flow of credit to key productive sectors—including micro, small, and medium enterprises (MSMEs), agriculture, and affordable housing. Such constraints are increasingly viewed as impediments to the Bottom-Up Economic Transformation Agenda and to Kenya’s broader commitments under the Sustainable Development Goals, particularly those concerning poverty eradication, decent employment, and industrial development. To investigate the interplay between loan portfolio risk and capital adequacy, a positivist research philosophy and a descriptive cross-sectional design were employed. The target population comprised all 174 licensed DT-SACCOs in Kenya. A simple random sampling technique was used, and a 96.5% response rate was achieved. Data were extracted from audited financial statements through a structured collection instrument and analysed using linear regression techniques. Empirical results indicated a statistically significant positive association between loan portfolio risk and capital adequacy (β = 0.0569, p = 0.012), suggesting that increased risk exposure may prompt DT-SACCOs to strengthen capital buffers, either through regulatory compulsion or institutional prudence. It is recommended that DT-SACCOs adopt advanced credit risk mitigation strategies, including AI-enabled credit scoring systems, predictive early warning indicators, and operational automation via chatbots to enhance real-time monitoring and reduce manual error. Emphasis is also placed on the adoption of forward-looking metrics such as expected credit losses (ECL) and scenario-based stress testing under the IFRS 9 framework. Regulatory bodies are urged to enhance supervisory guidance and support financial literacy initiatives among members. Furthermore, capacity building, the promotion of digital loan syndication models, and collaborative risk-sharing frameworks are proposed to fortify capital adequacy, enhance institutional resilience, and ensure long-term sectoral stability.</p> ]]> Loan Portfolio Risk and Capital Adequacy in Kenya’s Deposit-Taking Savings and Credit Cooperative Societies: Implications for Financial Stability and Inclusive Growth justus nderitu maina mark waita gichaiya festus maina mburu ann njoki njururi doi: 10.56578/jafas110204 Journal of Accounting, Finance and Auditing Studies 06-29-2025 Journal of Accounting, Finance and Auditing Studies 06-29-2025 2025 11 2 Article 106 10.56578/jafas110204 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110204 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110203 A comprehensive reassessment of the financial trilemma’s applicability to the governance of banking systems in peripheral economies has been conducted through a mixed methods investigation focused on Zimbabwe between 2010 and 2024. Despite the trilemma’s prominence in international financial theory—emphasising the trade-off among financial integration, monetary policy autonomy, and financial stability—its limitations in structurally fragile, postcolonial contexts have remained underexplored. This gap has been addressed by integrating descriptive statistical analysis of 45 archival policy documents with narrative insights derived from 130 semi-structured interviews conducted with risk managers in commercial banking institutions. Analytical triangulation was achieved through the application of Marxist immanent critique, revealing the embedded ideological assumptions underpinning traditional trilemma theory. Findings indicate that when deployed in politically unstable and externally dependent contexts, the trilemma model inadvertently reinforces global financial dependency, entrenched class domination, and extractive policy frameworks. These dynamics have been shown to undermine domestic policy sovereignty and institutional resilience, thereby constraining effective financial governance. Moreover, technocratic framings of the trilemma have been found to obscure its alignment with neoliberal orthodoxies, including financialisation, commodification, elite resource capture, and the enclosure of domestic financial spaces. These processes have facilitated the appropriation of national resources under the guise of liberalisation, revealing the inadequacy of applying conventional trilemma logic in structurally asymmetrical settings. It is therefore proposed that financial governance in such contexts be reconceptualised through heterodox approaches grounded in regional solidarity, decolonisation of international finance, participatory governance mechanisms, and the strategic use of capital controls. The study contributes to the re-theorisation of financial governance in developing economies by challenging the ideological neutrality of mainstream economic models and proposing context-sensitive alternatives better suited to postcolonial realities. 06-29-2025 <![CDATA[ <p>A comprehensive reassessment of the financial trilemma’s applicability to the governance of banking systems in peripheral economies has been conducted through a mixed methods investigation focused on Zimbabwe between 2010 and 2024. Despite the trilemma’s prominence in international financial theory—emphasising the trade-off among financial integration, monetary policy autonomy, and financial stability—its limitations in structurally fragile, postcolonial contexts have remained underexplored. This gap has been addressed by integrating descriptive statistical analysis of 45 archival policy documents with narrative insights derived from 130 semi-structured interviews conducted with risk managers in commercial banking institutions. Analytical triangulation was achieved through the application of Marxist immanent critique, revealing the embedded ideological assumptions underpinning traditional trilemma theory. Findings indicate that when deployed in politically unstable and externally dependent contexts, the trilemma model inadvertently reinforces global financial dependency, entrenched class domination, and extractive policy frameworks. These dynamics have been shown to undermine domestic policy sovereignty and institutional resilience, thereby constraining effective financial governance. Moreover, technocratic framings of the trilemma have been found to obscure its alignment with neoliberal orthodoxies, including financialisation, commodification, elite resource capture, and the enclosure of domestic financial spaces. These processes have facilitated the appropriation of national resources under the guise of liberalisation, revealing the inadequacy of applying conventional trilemma logic in structurally asymmetrical settings. It is therefore proposed that financial governance in such contexts be reconceptualised through heterodox approaches grounded in regional solidarity, decolonisation of international finance, participatory governance mechanisms, and the strategic use of capital controls. The study contributes to the re-theorisation of financial governance in developing economies by challenging the ideological neutrality of mainstream economic models and proposing context-sensitive alternatives better suited to postcolonial realities.</p> ]]> Reassessing the Financial Trilemma: A Mixed Methods Analysis of Its Impact on Financial Governance in Zimbabwean Banks (2010-2024) gilbert tepetepe doi: 10.56578/jafas110203 Journal of Accounting, Finance and Auditing Studies 06-29-2025 Journal of Accounting, Finance and Auditing Studies 06-29-2025 2025 11 2 Article 93 10.56578/jafas110203 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110203 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110202 The Bandar tradition observed in Negeri Rutah represents a culturally embedded mechanism of informal economic exchange, whereby financial contributions are voluntarily extended by community members to support families with sons entering marriage. This study has revealed that such a system operates not only as a means of reducing the financial burden associated with wedding ceremonies but also as an instrument for reinforcing communal bonds, intergenerational solidarity, and the continuity of intangible cultural heritage. Despite the absence of formal financial records or institutional oversight, contributions are managed through a trust-based system underpinned by mutual reciprocity and collective memory. The persistence of the Bandar tradition in contemporary society has been examined through the lens of social accounting, with a particular focus on its potential alignment with modern principles of accountability, transparency, and cultural resilience. Through qualitative field research, it has been demonstrated that the practice continues to function effectively within the community, sustained by deep-rooted social norms and communal expectations. However, challenges such as urban migration, generational shifts in value systems, and external economic pressures have been identified as potential threats to its long-term sustainability. The integration of culturally sensitive social accounting frameworks has therefore been proposed as a viable strategy for safeguarding this tradition against socio-economic disruption while preserving its core values. The study contributes to a broader discourse on the intersection of indigenous cultural practices, informal economies, and contemporary accountability systems, offering a model through which traditional mechanisms can be adapted without compromising their cultural integrity. 06-29-2025 <![CDATA[ <p>The Bandar tradition observed in Negeri Rutah represents a culturally embedded mechanism of informal economic exchange, whereby financial contributions are voluntarily extended by community members to support families with sons entering marriage. This study has revealed that such a system operates not only as a means of reducing the financial burden associated with wedding ceremonies but also as an instrument for reinforcing communal bonds, intergenerational solidarity, and the continuity of intangible cultural heritage. Despite the absence of formal financial records or institutional oversight, contributions are managed through a trust-based system underpinned by mutual reciprocity and collective memory. The persistence of the Bandar tradition in contemporary society has been examined through the lens of social accounting, with a particular focus on its potential alignment with modern principles of accountability, transparency, and cultural resilience. Through qualitative field research, it has been demonstrated that the practice continues to function effectively within the community, sustained by deep-rooted social norms and communal expectations. However, challenges such as urban migration, generational shifts in value systems, and external economic pressures have been identified as potential threats to its long-term sustainability. The integration of culturally sensitive social accounting frameworks has therefore been proposed as a viable strategy for safeguarding this tradition against socio-economic disruption while preserving its core values. The study contributes to a broader discourse on the intersection of indigenous cultural practices, informal economies, and contemporary accountability systems, offering a model through which traditional mechanisms can be adapted without compromising their cultural integrity.</p> ]]> Social Accounting and Cultural Sustainability: Unveiling the Economic Functions of the Bandar Marriage Tradition in Negeri Rutah muhammad abarizan wattimena muhammad amzar haqeem bin azuan abin suarsa masniza binti supar doi: 10.56578/jafas110202 Journal of Accounting, Finance and Auditing Studies 06-29-2025 Journal of Accounting, Finance and Auditing Studies 06-29-2025 2025 11 2 Article 83 10.56578/jafas110202 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110202 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110201 Although human capital disclosures (HCDs) have been increasingly embedded within international sustainability reporting frameworks, such as the Global Reporting Initiative (GRI) and environmental, social and governance (ESG) standards, the extent to which these disclosures influence corporate market valuation (MV) remains inconclusive. Previous scholarship has underscored the value relevance of employee-related information in fostering investor confidence and reinforcing stakeholder trust. However, empirical observations continue to indicate that human capital (HC) information is frequently fragmented, inconsistently structured, and insufficiently detailed, thereby limiting its interpretive utility in financial markets. In this study, the influence of disclosed HC metrics within sustainability reports on MV was empirically investigated through a deductive, content analysis-based methodology. Employee-related indicators aligned with GRI standards were systematically categorised into a human capital disclosure index (HCDI), encompassing six dimensions: human capital availability (HCA), human capital wellbeing (HCW), human capital investment (HCI), human capital engagement (HCE), human capital risk (HCR), and human capital value (HCV). Internal consistency of the constructed index was validated using Cronbach’s alpha, with values exceeding the 0.60 threshold across all dimensions. An ex-post facto research design was applied to the top 100 listed entities on the Johannesburg Stock Exchange (JSE) to examine the relationship between the HCDI and MV. The results revealed no statistically significant association between the extent of HC disclosures in sustainability reporting and corporate market valuation. This outcome corroborates existing evidence that information asymmetry and the opaque integration of HC metrics into broader sustainability narratives may attenuate their perceived relevance by investors. Consequently, it is suggested that enhanced standardisation, disaggregation, and contextualisation of HC data are essential to improve its decision-usefulness in capital markets. The findings contribute to ongoing debates concerning the materiality of non-financial disclosures and underscore the imperative for clearer regulatory guidance and reporting uniformity regarding human capital within sustainability frameworks. 06-29-2025 <![CDATA[ <p>Although human capital disclosures (HCDs) have been increasingly embedded within international sustainability reporting frameworks, such as the Global Reporting Initiative (GRI) and environmental, social and governance (ESG) standards, the extent to which these disclosures influence corporate market valuation (MV) remains inconclusive. Previous scholarship has underscored the value relevance of employee-related information in fostering investor confidence and reinforcing stakeholder trust. However, empirical observations continue to indicate that human capital (HC) information is frequently fragmented, inconsistently structured, and insufficiently detailed, thereby limiting its interpretive utility in financial markets. In this study, the influence of disclosed HC metrics within sustainability reports on MV was empirically investigated through a deductive, content analysis-based methodology. Employee-related indicators aligned with GRI standards were systematically categorised into a human capital disclosure index (HCDI), encompassing six dimensions: human capital availability (HCA), human capital wellbeing (HCW), human capital investment (HCI), human capital engagement (HCE), human capital risk (HCR), and human capital value (HCV). Internal consistency of the constructed index was validated using Cronbach’s alpha, with values exceeding the 0.60 threshold across all dimensions. An ex-post facto research design was applied to the top 100 listed entities on the Johannesburg Stock Exchange (JSE) to examine the relationship between the HCDI and MV. The results revealed no statistically significant association between the extent of HC disclosures in sustainability reporting and corporate market valuation. This outcome corroborates existing evidence that information asymmetry and the opaque integration of HC metrics into broader sustainability narratives may attenuate their perceived relevance by investors. Consequently, it is suggested that enhanced standardisation, disaggregation, and contextualisation of HC data are essential to improve its decision-usefulness in capital markets. The findings contribute to ongoing debates concerning the materiality of non-financial disclosures and underscore the imperative for clearer regulatory guidance and reporting uniformity regarding human capital within sustainability frameworks.</p> ]]> The Impact of Human Capital Disclosures in Sustainability Reporting on Corporate Market Valuation: An Empirical Assessment from the Johannesburg Stock Exchange mpho d. magau doi: 10.56578/jafas110201 Journal of Accounting, Finance and Auditing Studies 06-29-2025 Journal of Accounting, Finance and Auditing Studies 06-29-2025 2025 11 2 Article 72 10.56578/jafas110201 https://www.acadlore.com/article/JAFAS/2025_11_2/jafas110201 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110105 The integration of artificial intelligence (AI) and big data analytics has revolutionized audit practices, offering unprecedented advancements in efficiency, transparency, and sustainability. This study critically examines the role of AI-powered auditing in risk detection, anomaly identification, and the development of sustainable audit frameworks. Through an extensive literature review, the adoption of machine learning (ML), natural language processing (NLP), and continuous auditing methodologies is explored, highlighting their impact on audit quality and assurance. It is demonstrated that AI-driven auditing significantly enhances error detection and risk assessment while expediting audit procedures and improving overall accuracy. However, critical challenges remain, including data security risks, algorithmic opacity, and ethical concerns related to decision-making autonomy. Addressing these issues necessitates the establishment of robust governance mechanisms, increased algorithmic transparency, and the implementation of continuous professional training programs to ensure auditors' proficiency in AI-based systems. Furthermore, AI-driven automation enables real-time monitoring and predictive analytics, fostering a proactive approach to auditing that mitigates financial and operational risks. By leveraging AI and data-driven methodologies, audit frameworks can be rendered more adaptive, resilient, and aligned with the evolving digital economy. These findings underscore the necessity for organizations to integrate AI-driven auditing as a strategic imperative while ensuring regulatory compliance and ethical oversight. 03-30-2025 <![CDATA[ <p>The integration of artificial intelligence (AI) and big data analytics has revolutionized audit practices, offering unprecedented advancements in efficiency, transparency, and sustainability. This study critically examines the role of AI-powered auditing in risk detection, anomaly identification, and the development of sustainable audit frameworks. Through an extensive literature review, the adoption of machine learning (ML), natural language processing (NLP), and continuous auditing methodologies is explored, highlighting their impact on audit quality and assurance. It is demonstrated that AI-driven auditing significantly enhances error detection and risk assessment while expediting audit procedures and improving overall accuracy. However, critical challenges remain, including data security risks, algorithmic opacity, and ethical concerns related to decision-making autonomy. Addressing these issues necessitates the establishment of robust governance mechanisms, increased algorithmic transparency, and the implementation of continuous professional training programs to ensure auditors' proficiency in AI-based systems. Furthermore, AI-driven automation enables real-time monitoring and predictive analytics, fostering a proactive approach to auditing that mitigates financial and operational risks. By leveraging AI and data-driven methodologies, audit frameworks can be rendered more adaptive, resilient, and aligned with the evolving digital economy. These findings underscore the necessity for organizations to integrate AI-driven auditing as a strategic imperative while ensuring regulatory compliance and ethical oversight.</p> ]]> AI-Driven and Data-Intensive Auditing: Enhancing Sustainability and Intelligent Assurance ozden senturk doi: 10.56578/jafas110105 Journal of Accounting, Finance and Auditing Studies 03-30-2025 Journal of Accounting, Finance and Auditing Studies 03-30-2025 2025 11 1 Article 61 10.56578/jafas110105 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110105 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110104 This study investigates the relationship between three prominent global stock market indices, Standard & Poor's 500 (S&P 500), Cotation Assistée en Continu 40 (CAC 40), and Nikkei 225 and the Gross Domestic Product (GDP) of the United States, France, and Japan, respectively, over the period from 2014 to 2023. This research uses empirical analysis where the correlation and regression analysis of these three investment market indices and the GDP of those three nations is done. Based on the results of this research, we can say that the S&P 500 index has a significant impact, explaining approximately 80% of the variation in the GDP of the United States, while the other two indices, Nikkei 225 and CAC 40 have shown a positive statistical relationship with the GDP of Japan and France, accounting for 42% and 51% of GDP variance, respectively. This research also examines some of the roles of factors, such as the power of financial markets as economic indicators, while acknowledging the role of other macroeconomic indicators, including unemployment and inflation. Adjustments for inflation and currency ensure consistency across datasets. These results can be used to create strategies that develop stability and economic growth, improving risk management and the development of investment strategies. This study also reflects the function of fiscal regulations in eliminating the negative influences of unstable markets on financial performance. It is recommended that future researchers use other macroeconomic indicators such as unemployment rates, inflation and research in other countries to obtain a more detailed picture about aspects which can impact economic growth. 03-30-2025 <![CDATA[ <p>This study investigates the relationship between three prominent global stock market indices, Standard & Poor's 500 (S&P 500), Cotation Assistée en Continu 40 (CAC 40), and Nikkei 225 and the Gross Domestic Product (GDP) of the United States, France, and Japan, respectively, over the period from 2014 to 2023. This research uses empirical analysis where the correlation and regression analysis of these three investment market indices and the GDP of those three nations is done. Based on the results of this research, we can say that the S&P 500 index has a significant impact, explaining approximately 80% of the variation in the GDP of the United States, while the other two indices, Nikkei 225 and CAC 40 have shown a positive statistical relationship with the GDP of Japan and France, accounting for 42% and 51% of GDP variance, respectively. This research also examines some of the roles of factors, such as the power of financial markets as economic indicators, while acknowledging the role of other macroeconomic indicators, including unemployment and inflation. Adjustments for inflation and currency ensure consistency across datasets. These results can be used to create strategies that develop stability and economic growth, improving risk management and the development of investment strategies. This study also reflects the function of fiscal regulations in eliminating the negative influences of unstable markets on financial performance. It is recommended that future researchers use other macroeconomic indicators such as unemployment rates, inflation and research in other countries to obtain a more detailed picture about aspects which can impact economic growth.</p> ]]> The Impact of Global Stock Market Indices on National GDP: An Empirical Analysis of the S&P 500, CAC 40, and Nikkei 225 (2014-2023) gjeni imami fanka risteska doi: 10.56578/jafas110104 Journal of Accounting, Finance and Auditing Studies 03-30-2025 Journal of Accounting, Finance and Auditing Studies 03-30-2025 2025 11 1 Article 51 10.56578/jafas110104 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110104 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110103 South Africa has been severely impacted by several high-profile corporate scandals, with significant financial manipulation involving both the content of financial statements and the tone set by top executives. Notably, CEOs such as Markus Jooste from Steinhoff have been accused of misleading investors through both earnings management and the use of an authoritative management tone. This study investigates the market's reaction to the interactive effect of top management tone and earnings management, employing a short-window event study methodology. The tones of two distinct management styles—autocratic and pragmatic—are examined by analysing CEO statements using the DICTION textual analysis software. The sample comprises 944 firm-year observations spanning from 2011 to 2018. The results indicate that the market did not respond to earnings management in isolation. However, a significant negative market reaction was observed when earnings management occurred in conjunction with an autocratic tone. This suggests that South African investors are particularly attuned to multiple signals of potential fraud and will adjust their valuations accordingly. The findings underline the importance of considering not only financial disclosures but also the behavioral cues given by top management in assessing firm performance and risk. Investors, regulators, and analysts must therefore remain vigilant to the combined risks posed by earnings manipulation and the tone of management communications. The study contributes to the limited literature on the stock market's response to the interplay of earnings management and management tone, particularly in the context of South Africa, and is the first to explore the combined effects of these two forms of manipulation. 03-30-2025 <![CDATA[ <p>South Africa has been severely impacted by several high-profile corporate scandals, with significant financial manipulation involving both the content of financial statements and the tone set by top executives. Notably, CEOs such as Markus Jooste from Steinhoff have been accused of misleading investors through both earnings management and the use of an authoritative management tone. This study investigates the market's reaction to the interactive effect of top management tone and earnings management, employing a short-window event study methodology. The tones of two distinct management styles—autocratic and pragmatic—are examined by analysing CEO statements using the DICTION textual analysis software. The sample comprises 944 firm-year observations spanning from 2011 to 2018. The results indicate that the market did not respond to earnings management in isolation. However, a significant negative market reaction was observed when earnings management occurred in conjunction with an autocratic tone. This suggests that South African investors are particularly attuned to multiple signals of potential fraud and will adjust their valuations accordingly. The findings underline the importance of considering not only financial disclosures but also the behavioral cues given by top management in assessing firm performance and risk. Investors, regulators, and analysts must therefore remain vigilant to the combined risks posed by earnings manipulation and the tone of management communications. The study contributes to the limited literature on the stock market's response to the interplay of earnings management and management tone, particularly in the context of South Africa, and is the first to explore the combined effects of these two forms of manipulation.</p> ]]> Market Reaction to the Interaction Between Top Management Tone and Earnings Management: Evidence from South Africa alastair marais doi: 10.56578/jafas110103 Journal of Accounting, Finance and Auditing Studies 03-30-2025 Journal of Accounting, Finance and Auditing Studies 03-30-2025 2025 11 1 Article 35 10.56578/jafas110103 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110103 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110102 This study investigates the industry-wide and regional spillover effects of penalties for noncompliance with information disclosure regulations, focusing on publicly listed firms in China. The analysis is based on panel data from Chinese listed companies, revealing that penalties imposed by the China Securities Regulatory Commission (CSRC) on noncompliant firms lead to significant improvements in the quality of information disclosure by other firms in the same industry or geographical region that were not subject to penalties. These spillover effects are found to be contingent on factors such as the competitive dynamics within the industry and the level of regional economic development. Furthermore, the results indicate that the impact of penalties on neighbouring firms is amplified when the publication cycle for penalty announcements is shorter, though the effect diminishes over time as the information becomes less salient. These findings contribute to the understanding of regulatory enforcement mechanisms and their broader influence on corporate transparency, highlighting the role of both industry and regional contexts in shaping compliance behaviour. 01-23-2025 <![CDATA[ This study investigates the industry-wide and regional spillover effects of penalties for noncompliance with information disclosure regulations, focusing on publicly listed firms in China. The analysis is based on panel data from Chinese listed companies, revealing that penalties imposed by the China Securities Regulatory Commission (CSRC) on noncompliant firms lead to significant improvements in the quality of information disclosure by other firms in the same industry or geographical region that were not subject to penalties. These spillover effects are found to be contingent on factors such as the competitive dynamics within the industry and the level of regional economic development. Furthermore, the results indicate that the impact of penalties on neighbouring firms is amplified when the publication cycle for penalty announcements is shorter, though the effect diminishes over time as the information becomes less salient. These findings contribute to the understanding of regulatory enforcement mechanisms and their broader influence on corporate transparency, highlighting the role of both industry and regional contexts in shaping compliance behaviour. ]]> Industry and Regional Spillover Effects of Penalties for Disclosure Noncompliance among Public Firms cheng wang weisen kong doi: 10.56578/jafas110102 Journal of Accounting, Finance and Auditing Studies 01-23-2025 Journal of Accounting, Finance and Auditing Studies 01-23-2025 2025 11 1 Article 15 10.56578/jafas110102 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110102 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110101 Corporate governance remains a fundamental issue for stakeholders in the oversight of organisations, particularly within the context of public sector auditing. Effective governance, coupled with robust auditing practices, is essential for ensuring transparency and accountability in governmental operations. However, in many African nations, corporate governance frameworks have been either inadequately implemented or have failed to achieve their intended outcomes. This study explores the challenges faced by auditees in relation to corporate governance and their subsequent impact on the efficacy of public sector auditing across Africa. Employing a phenomenological research approach, the study utilised an exploratory sequential qualitative design to gather insights from focus group discussions. A total of 33 key affinities and 153 sub-affinities, encompassing critical corporate governance issues, were identified by three focus groups from selected Supreme Audit Institutions (SAIs) in Africa. These identified affinities included audit execution and recommendations, audit acceptance, political interference, ineffective audit committees, inadequate collaboration and communication, and weaknesses in legislative oversight. Among the key themes emerging from the analysis, the auditee corporate governance policy framework was highlighted as a significant factor influencing auditing outcomes. The findings provide a detailed examination of the unique factors affecting the effectiveness of public sector audits in promoting accountability and transparency. The study proposes a comprehensive policy framework based on a resource-based theoretical perspective, designed to enhance the impact of public sector auditing in African nations. This framework is intended to guide executive governments, legislative bodies, SAIs, citizens, and other stakeholders towards improving governance and securing better public sector outcomes. The empirical evidence provided herein offers valuable insights into the complex interplay between corporate governance and auditing effectiveness, contributing to the ongoing discourse on accountability and transparency in the African public sector. 01-21-2025 <![CDATA[ Corporate governance remains a fundamental issue for stakeholders in the oversight of organisations, particularly within the context of public sector auditing. Effective governance, coupled with robust auditing practices, is essential for ensuring transparency and accountability in governmental operations. However, in many African nations, corporate governance frameworks have been either inadequately implemented or have failed to achieve their intended outcomes. This study explores the challenges faced by auditees in relation to corporate governance and their subsequent impact on the efficacy of public sector auditing across Africa. Employing a phenomenological research approach, the study utilised an exploratory sequential qualitative design to gather insights from focus group discussions. A total of 33 key affinities and 153 sub-affinities, encompassing critical corporate governance issues, were identified by three focus groups from selected Supreme Audit Institutions (SAIs) in Africa. These identified affinities included audit execution and recommendations, audit acceptance, political interference, ineffective audit committees, inadequate collaboration and communication, and weaknesses in legislative oversight. Among the key themes emerging from the analysis, the auditee corporate governance policy framework was highlighted as a significant factor influencing auditing outcomes. The findings provide a detailed examination of the unique factors affecting the effectiveness of public sector audits in promoting accountability and transparency. The study proposes a comprehensive policy framework based on a resource-based theoretical perspective, designed to enhance the impact of public sector auditing in African nations. This framework is intended to guide executive governments, legislative bodies, SAIs, citizens, and other stakeholders towards improving governance and securing better public sector outcomes. The empirical evidence provided herein offers valuable insights into the complex interplay between corporate governance and auditing effectiveness, contributing to the ongoing discourse on accountability and transparency in the African public sector. ]]> Corporate Governance Challenges and Their Impact on Public Sector Auditing in Africa: An Exploration of Effectiveness, Accountability, and Transparency benjamin kwakutsey azinogo lourens jacobus erasmus doi: 10.56578/jafas110101 Journal of Accounting, Finance and Auditing Studies 01-21-2025 Journal of Accounting, Finance and Auditing Studies 01-21-2025 2025 11 1 Article 1 10.56578/jafas110101 https://www.acadlore.com/article/JAFAS/2025_11_1/jafas110101 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100405 This study investigates the relationship between capital structure and financial performance at Robin Corporation Ltd, a leading beverage manufacturer in Zimbabwe. A quantitative research methodology was employed, with data collected from 31 employees through structured questionnaires. The study focuses on external and internal financing sources—debt, equity, retained earnings, and reserves—and their impact on the company’s financial outcomes. The analysis reveals a positive correlation between capital structure and financial performance, suggesting that both debt and equity financing play significant roles in shaping financial results. However, it was also observed that factors such as managerial efficiency, inflation, and broader economic conditions exert substantial influence on performance. While capital structure is a critical determinant, the results indicate that effective management of these other variables is equally essential for optimizing financial outcomes. The findings underscore the importance of strategic capital management in the Zimbabwean beverage sector, emphasizing that an appropriate balance between external and internal financing is pivotal for enhancing financial performance. The study contributes to the broader understanding of capital structure in emerging markets and provides valuable insights for companies seeking to navigate the complexities of financial decision-making in volatile economic environments. 12-29-2024 <![CDATA[ This study investigates the relationship between capital structure and financial performance at Robin Corporation Ltd, a leading beverage manufacturer in Zimbabwe. A quantitative research methodology was employed, with data collected from 31 employees through structured questionnaires. The study focuses on external and internal financing sources—debt, equity, retained earnings, and reserves—and their impact on the company’s financial outcomes. The analysis reveals a positive correlation between capital structure and financial performance, suggesting that both debt and equity financing play significant roles in shaping financial results. However, it was also observed that factors such as managerial efficiency, inflation, and broader economic conditions exert substantial influence on performance. While capital structure is a critical determinant, the results indicate that effective management of these other variables is equally essential for optimizing financial outcomes. The findings underscore the importance of strategic capital management in the Zimbabwean beverage sector, emphasizing that an appropriate balance between external and internal financing is pivotal for enhancing financial performance. The study contributes to the broader understanding of capital structure in emerging markets and provides valuable insights for companies seeking to navigate the complexities of financial decision-making in volatile economic environments. ]]> The Influence of Capital Structure on Financial Performance: A Statistical Analysis of Robin Corporation Ltd in Zimbabwe’s Beverage Industry gerard zvikomborero govere ongayi wadesango doi: 10.56578/jafas100405 Journal of Accounting, Finance and Auditing Studies 12-29-2024 Journal of Accounting, Finance and Auditing Studies 12-29-2024 2024 10 4 Article 238 10.56578/jafas100405 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100405 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100404 This study investigates the harmonising potential of complex systems theory in non-financial reporting of sustainable finance practices within Zimbabwean commercial banks. The increasing prominence of sustainable finance in Zimbabwe can be attributed to the adoption of international frameworks such as the United Nations’ 2030 Agenda and the Paris Agreement, which have led to its integration into banks' non-financial reporting. Sustainable finance, however, is recognised as a wicked problem—an issue characterised by its complexity, involving numerous interacting agents, emergent properties, and the need for a holistic approach. Such problems cannot be adequately addressed through conventional financial theories, which are often insufficient to capture their complexity. Despite the existence of various sustainability reporting standards, a unified framework to harmonise non-financial reporting and enable comparability across banks is still lacking. Using content analysis, this research examines annual reports from 17 Zimbabwean commercial banks, analysing 136 reports spanning from 2016 to 2023. The findings suggest that most banks have adopted a weak sustainability approach, guided by complex systems theory, which enables some degree of harmonisation in reporting standards but ultimately compromises long-term sustainability. This weak approach has been found to encourage greenwashing practices, with policies and strategies that, while aligned with sustainability rhetoric, may perpetuate environmental and social harm. The study makes several key contributions: it provides empirical evidence on the current state of sustainable finance reporting in Zimbabwean banks, offers a theoretical framework for harmonising non-financial reporting using complex systems theory, and proposes the adoption of a stronger sustainability-oriented framework to ensure genuine, long-term sustainability outcomes. 12-05-2024 <![CDATA[ <p>This study investigates the harmonising potential of complex systems theory in non-financial reporting of sustainable finance practices within Zimbabwean commercial banks. The increasing prominence of sustainable finance in Zimbabwe can be attributed to the adoption of international frameworks such as the United Nations’ 2030 Agenda and the Paris Agreement, which have led to its integration into banks' non-financial reporting. Sustainable finance, however, is recognised as a wicked problem—an issue characterised by its complexity, involving numerous interacting agents, emergent properties, and the need for a holistic approach. Such problems cannot be adequately addressed through conventional financial theories, which are often insufficient to capture their complexity. Despite the existence of various sustainability reporting standards, a unified framework to harmonise non-financial reporting and enable comparability across banks is still lacking. Using content analysis, this research examines annual reports from 17 Zimbabwean commercial banks, analysing 136 reports spanning from 2016 to 2023. The findings suggest that most banks have adopted a weak sustainability approach, guided by complex systems theory, which enables some degree of harmonisation in reporting standards but ultimately compromises long-term sustainability. This weak approach has been found to encourage greenwashing practices, with policies and strategies that, while aligned with sustainability rhetoric, may perpetuate environmental and social harm. The study makes several key contributions: it provides empirical evidence on the current state of sustainable finance reporting in Zimbabwean banks, offers a theoretical framework for harmonising non-financial reporting using complex systems theory, and proposes the adoption of a stronger sustainability-oriented framework to ensure genuine, long-term sustainability outcomes.</p> ]]> The Role of Complex Systems Theory in Harmonising Non-Financial Reporting for Sustainable Finance in Zimbabwean Commercial Banks gilbert tepetepe doi: 10.56578/jafas100404 Journal of Accounting, Finance and Auditing Studies 12-05-2024 Journal of Accounting, Finance and Auditing Studies 12-05-2024 2024 10 4 Article 226 10.56578/jafas100404 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100404 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100403 The prospectus, as the primary vehicle for issuers to disclose information to the public, plays a crucial role in protecting investors’ rights. Review inquiries serve as an important tool to ensure the quality of the prospectus, as the inquiry and feedback mechanism helps to identify potential risks and enhance the quality of information disclosure. This paper, based on the theory of responsive regulation and the attention-based view, takes companies applying for Initial Public Offering (IPO) on the Science and Technology Innovation Board (STAR) Market and ChiNext Board between 2019 and 2023 as the research samples. Using text analysis methods such as the Latent Dirichlet Allocation (LDA) topic model and dictionary-based methods, this study measures the intensity of review inquiries and the extent of information disclosure. It examines the impact of inquiry topics on the disclosure of corresponding information in the prospectus and explores the moderating effects of company ownership structure, sponsor reputation, and auditor reputation on these relationships. Empirical results indicate that: (1) an increase in the formality of review inquiries enhances the optimization of information disclosure in the prospectus; (2) the focus of review inquiries on specific topics has a significant positive impact on the update of relevant information disclosure in the prospectus; and (3) at the ownership structure level, state-owned enterprises dampen the positive influence of review inquiries on the textual features of the prospectus. 11-20-2024 <![CDATA[ The prospectus, as the primary vehicle for issuers to disclose information to the public, plays a crucial role in protecting investors’ rights. Review inquiries serve as an important tool to ensure the quality of the prospectus, as the inquiry and feedback mechanism helps to identify potential risks and enhance the quality of information disclosure. This paper, based on the theory of responsive regulation and the attention-based view, takes companies applying for Initial Public Offering (IPO) on the Science and Technology Innovation Board (STAR) Market and ChiNext Board between 2019 and 2023 as the research samples. Using text analysis methods such as the Latent Dirichlet Allocation (LDA) topic model and dictionary-based methods, this study measures the intensity of review inquiries and the extent of information disclosure. It examines the impact of inquiry topics on the disclosure of corresponding information in the prospectus and explores the moderating effects of company ownership structure, sponsor reputation, and auditor reputation on these relationships. Empirical results indicate that: (1) an increase in the formality of review inquiries enhances the optimization of information disclosure in the prospectus; (2) the focus of review inquiries on specific topics has a significant positive impact on the update of relevant information disclosure in the prospectus; and (3) at the ownership structure level, state-owned enterprises dampen the positive influence of review inquiries on the textual features of the prospectus. ]]> Impact of IPO Review Inquiry Intensity on Prospectus Information Disclosure Updates jing li ying li yanchun zhu wei zhang yuxia zhao doi: 10.56578/jafas100403 Journal of Accounting, Finance and Auditing Studies 11-20-2024 Journal of Accounting, Finance and Auditing Studies 11-20-2024 2024 10 4 Article 205 10.56578/jafas100403 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100403 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100402 Ghana has enacted various policies and programmes, often with support from international agencies, to strengthen public sector financial management. These efforts aim to mitigate mismanagement and misappropriation of public financial resources, yet many reform policies have yielded suboptimal outcomes. A critical examination of Ghana's financial reform initiatives reveals a notable oversight: none adequately recognize the role of audit committees (ACs) as a governance mechanism, which diverges from international standards and best practices in public sector financial management. This study aims to identify and analyze the determinants influencing the effectiveness of ACs within Ghana’s public institutions. The research was motivated by persistent financial infractions and irregularities documented in the Auditor-General’s annual reports. An Interactive Qualitative Analysis (IQA) approach was employed to facilitate a focus group session, through which data were gathered, analyzed, and interpreted. Key factors, or affinities, impacting AC effectiveness were identified, including AC member characteristics, inter-stakeholder coordination, funding allocation, meeting frequency and attendance, AC independence, internal audit function (IAF) autonomy, institutional management commitment, the nature of the audited institution, regulatory policies governing ACs, political influence, professional competence of internal auditors, and the quality of quality control processes and recommendations. These affinities were validated through participant interpretation and researcher refinement. The study contributes to the body of knowledge on public sector audit governance by addressing a critical gap concerning the role of ACs in Ghana. By establishing an effective governance mechanism, this research seeks to enhance the strategic oversight and accountability of public financial resources in Ghana’s public institutions. 11-07-2024 <![CDATA[ Ghana has enacted various policies and programmes, often with support from international agencies, to strengthen public sector financial management. These efforts aim to mitigate mismanagement and misappropriation of public financial resources, yet many reform policies have yielded suboptimal outcomes. A critical examination of Ghana's financial reform initiatives reveals a notable oversight: none adequately recognize the role of audit committees (ACs) as a governance mechanism, which diverges from international standards and best practices in public sector financial management. This study aims to identify and analyze the determinants influencing the effectiveness of ACs within Ghana’s public institutions. The research was motivated by persistent financial infractions and irregularities documented in the Auditor-General’s annual reports. An Interactive Qualitative Analysis (IQA) approach was employed to facilitate a focus group session, through which data were gathered, analyzed, and interpreted. Key factors, or affinities, impacting AC effectiveness were identified, including AC member characteristics, inter-stakeholder coordination, funding allocation, meeting frequency and attendance, AC independence, internal audit function (IAF) autonomy, institutional management commitment, the nature of the audited institution, regulatory policies governing ACs, political influence, professional competence of internal auditors, and the quality of quality control processes and recommendations. These affinities were validated through participant interpretation and researcher refinement. The study contributes to the body of knowledge on public sector audit governance by addressing a critical gap concerning the role of ACs in Ghana. By establishing an effective governance mechanism, this research seeks to enhance the strategic oversight and accountability of public financial resources in Ghana’s public institutions. ]]> Determinants of Audit Committee Effectiveness in Ghana's Public Sector: A Focus on Committee Membership Characteristics matthew brains kudo lourens j. erasmus doi: 10.56578/jafas100402 Journal of Accounting, Finance and Auditing Studies 11-07-2024 Journal of Accounting, Finance and Auditing Studies 11-07-2024 2024 10 4 Article 193 10.56578/jafas100402 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100402 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100401 This study examines the development and trends in financial inclusion research between 2004 and 2023, with a focus on the trajectory of publication growth, key contributors (including influential authors, journals, and institutions), and dominant themes within the field. A systematic review and bibliometric analysis were conducted following the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework. A total of 1,784 articles were identified from the Scopus database for inclusion. Analytical tools such as VOSviewer and Microsoft Excel were employed to explore publication patterns, citation networks, and thematic concentrations. The findings reveal a marked increase in financial inclusion research, with 2022 recording the highest output, contributing 473 publications. Among scholars, Ozili emerged as a leading author with significant influence in the domain. The Journal of Sustainability (Switzerland) was identified as the most prolific journal, publishing 173 relevant articles, while the University of International Business and Economics in Beijing, China, was found to be the most productive institution. Keyword analysis highlighted recurring themes and revealed underexplored areas, offering promising directions for future research. This comprehensive analysis not only provides insights into the past and current state of financial inclusion scholarship but also identifies gaps that warrant further academic investigation. By offering performance metrics and mapping the evolution of the field, the study serves as a valuable resource for scholars and practitioners seeking to understand emerging research trends and guide future inquiries. 10-29-2024 <![CDATA[ <p>This study examines the development and trends in financial inclusion research between 2004 and 2023, with a focus on the trajectory of publication growth, key contributors (including influential authors, journals, and institutions), and dominant themes within the field. A systematic review and bibliometric analysis were conducted following the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework. A total of 1,784 articles were identified from the Scopus database for inclusion. Analytical tools such as VOSviewer and Microsoft Excel were employed to explore publication patterns, citation networks, and thematic concentrations. The findings reveal a marked increase in financial inclusion research, with 2022 recording the highest output, contributing 473 publications. Among scholars, Ozili emerged as a leading author with significant influence in the domain. The <em>Journal of Sustainability </em>(Switzerland) was identified as the most prolific journal, publishing 173 relevant articles, while the University of International Business and Economics in Beijing, China, was found to be the most productive institution. Keyword analysis highlighted recurring themes and revealed underexplored areas, offering promising directions for future research. This comprehensive analysis not only provides insights into the past and current state of financial inclusion scholarship but also identifies gaps that warrant further academic investigation. By offering performance metrics and mapping the evolution of the field, the study serves as a valuable resource for scholars and practitioners seeking to understand emerging research trends and guide future inquiries.</p> ]]> Evolution and Trends in Financial Inclusion Research: A Systematic Literature Review and Bibliometric Analysis (2004–2023) veronica paul kundy kamini shah doi: 10.56578/jafas100401 Journal of Accounting, Finance and Auditing Studies 10-29-2024 Journal of Accounting, Finance and Auditing Studies 10-29-2024 2024 10 4 Article 179 10.56578/jafas100401 https://www.acadlore.com/article/JAFAS/2024_10_4/jafas100401 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100305 The mining sector plays a pivotal role in the economies of South Africa and Zimbabwe, yet limited attention has been given to the determinants of human capital disclosure within this industry. This study aims to address this gap by investigating the key factors influencing human capital reporting practices among the largest mining companies in these two countries. A quantitative approach was employed, utilising self-administered questionnaires to gather data from six major mining companies operating in both South Africa and Zimbabwe. Factor analysis was conducted to identify the primary determinants shaping human capital disclosure. The findings reveal that company structure, including audit committee characteristics, board size and composition, and assets, significantly influence disclosure practices. Performance-related factors, such as cost-effectiveness, return on training investments, liquidity, employee return on investments, and return on equity, also play a crucial role. Furthermore, market-related factors, including lobby pressure groups, media exposure, levels of debt, creditor pressure, and government regulations, were found to impact disclosure decisions. The results indicate that human capital disclosure mitigates information asymmetry, thereby strengthening relationships between company management and key stakeholders. It is also suggested that improved disclosure enhances corporate transparency, boosts investor confidence, and can positively influence a company’s perceived value. Given these findings, it is recommended that mining companies in South Africa and Zimbabwe adopt comprehensive reporting frameworks that incorporate human capital metrics. The adoption of such frameworks may align corporate practices with global reporting standards and enhance the sustainability and accountability of companies in the sector. 09-29-2024 <![CDATA[ The mining sector plays a pivotal role in the economies of South Africa and Zimbabwe, yet limited attention has been given to the determinants of human capital disclosure within this industry. This study aims to address this gap by investigating the key factors influencing human capital reporting practices among the largest mining companies in these two countries. A quantitative approach was employed, utilising self-administered questionnaires to gather data from six major mining companies operating in both South Africa and Zimbabwe. Factor analysis was conducted to identify the primary determinants shaping human capital disclosure. The findings reveal that company structure, including audit committee characteristics, board size and composition, and assets, significantly influence disclosure practices. Performance-related factors, such as cost-effectiveness, return on training investments, liquidity, employee return on investments, and return on equity, also play a crucial role. Furthermore, market-related factors, including lobby pressure groups, media exposure, levels of debt, creditor pressure, and government regulations, were found to impact disclosure decisions. The results indicate that human capital disclosure mitigates information asymmetry, thereby strengthening relationships between company management and key stakeholders. It is also suggested that improved disclosure enhances corporate transparency, boosts investor confidence, and can positively influence a company’s perceived value. Given these findings, it is recommended that mining companies in South Africa and Zimbabwe adopt comprehensive reporting frameworks that incorporate human capital metrics. The adoption of such frameworks may align corporate practices with global reporting standards and enhance the sustainability and accountability of companies in the sector. ]]> Determinants of Human Capital Disclosure in the Mining Industry: Comparative Analysis of South African and Zimbabwean Companies queen mpofu doi: 10.56578/jafas100305 Journal of Accounting, Finance and Auditing Studies 09-29-2024 Journal of Accounting, Finance and Auditing Studies 09-29-2024 2024 10 3 Article 168 10.56578/jafas100305 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100305 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100304 Internal audits serve as critical assurance services that support the enhancement of operational efficiency and financial performance within organizations. This study examines the role of internal auditing in improving these aspects in privatised financial institutions, specifically focusing on BLESSING Finance. Given the profit-driven orientation of management in such institutions, there is a pressing need to identify strategies that maximize profitability. Enhancing operational efficiency is pivotal, as it reduces operational costs while increasing productivity. Internal auditing contributes significantly by identifying deficiencies within internal controls and providing audit opinions that inform management in drafting appropriate policies and procedures. This research utilized a mixed-methods approach, combining qualitative data from interviews and quantitative data from questionnaires, to assess the impact of internal auditing on operational efficiency and financial performance. The findings demonstrate that internal audits have a positive and significant effect on both operational efficiency and financial performance, highlighting the value of internal audits as a strategic tool for financial institutions. It is recommended that BLESSING Finance’s management prioritize the recruitment of qualified auditors with the necessary skills and expertise to perform audits effectively and efficiently, thereby further enhancing the institution’s operational efficiency and financial outcomes. The study underscores the importance of robust internal audit functions as a key driver of strategic and financial success in financial institutions. 09-17-2024 <![CDATA[ Internal audits serve as critical assurance services that support the enhancement of operational efficiency and financial performance within organizations. This study examines the role of internal auditing in improving these aspects in privatised financial institutions, specifically focusing on BLESSING Finance. Given the profit-driven orientation of management in such institutions, there is a pressing need to identify strategies that maximize profitability. Enhancing operational efficiency is pivotal, as it reduces operational costs while increasing productivity. Internal auditing contributes significantly by identifying deficiencies within internal controls and providing audit opinions that inform management in drafting appropriate policies and procedures. This research utilized a mixed-methods approach, combining qualitative data from interviews and quantitative data from questionnaires, to assess the impact of internal auditing on operational efficiency and financial performance. The findings demonstrate that internal audits have a positive and significant effect on both operational efficiency and financial performance, highlighting the value of internal audits as a strategic tool for financial institutions. It is recommended that BLESSING Finance’s management prioritize the recruitment of qualified auditors with the necessary skills and expertise to perform audits effectively and efficiently, thereby further enhancing the institution’s operational efficiency and financial outcomes. The study underscores the importance of robust internal audit functions as a key driver of strategic and financial success in financial institutions. ]]> Enhancing Operational Efficiency and Financial Performance Through Internal Audit: A Case Study of BLESSING Finance newman wadesango gildard muwishi doi: 10.56578/jafas100304 Journal of Accounting, Finance and Auditing Studies 09-17-2024 Journal of Accounting, Finance and Auditing Studies 09-17-2024 2024 10 3 Article 157 10.56578/jafas100304 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100304 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100303 In the contemporary digital era, individuals are afforded the convenience of instantaneous transactions through electronic wallets (e-wallets) when engaging in online shopping. This study aims to investigate the extent to which the adoption of e-wallets influences impulsive purchasing behavior, with a particular focus on the moderating effects of low distribution costs (LDC) and short transit times. A descriptive quantitative methodology was employed, targeting users of Indonesian e-wallets. A non-probability research design was utilized, specifically employing snowball sampling techniques. Data were collected through a Google Forms questionnaire, yielding 297 responses. Partial Least Squares (PLS) analysis was conducted to evaluate the data. The results revealed that perceived risk, perceived usefulness, and perceived ease of use (PEOU) significantly and positively impacted the adoption of e-wallets. However, the adoption of e-wallets did not necessarily result in impulsive purchases driven by utilitarian needs. Moreover, LDC and short transit times did not moderate the relationship between e-wallet usage and impulsive buying (IB) behavior. This suggests that most respondents did not use e-wallets for purchases motivated solely by practical considerations, even when LDC and quick transit times were available. These findings contribute to the existing literature on digital money and e-wallets, offering insights for online merchants and digital wallet providers. It is recommended that digital wallet providers enhance accessibility, improve transparency regarding customer data protection, and disseminate information about the benefits and utility of e-wallets to foster wider adoption. Online retailers are encouraged to offer diverse payment options to attract customers. This study provides valuable implications for the optimization of customer service in the context of Indonesia. 08-28-2024 <![CDATA[ In the contemporary digital era, individuals are afforded the convenience of instantaneous transactions through electronic wallets (e-wallets) when engaging in online shopping. This study aims to investigate the extent to which the adoption of e-wallets influences impulsive purchasing behavior, with a particular focus on the moderating effects of low distribution costs (LDC) and short transit times. A descriptive quantitative methodology was employed, targeting users of Indonesian e-wallets. A non-probability research design was utilized, specifically employing snowball sampling techniques. Data were collected through a Google Forms questionnaire, yielding 297 responses. Partial Least Squares (PLS) analysis was conducted to evaluate the data. The results revealed that perceived risk, perceived usefulness, and perceived ease of use (PEOU) significantly and positively impacted the adoption of e-wallets. However, the adoption of e-wallets did not necessarily result in impulsive purchases driven by utilitarian needs. Moreover, LDC and short transit times did not moderate the relationship between e-wallet usage and impulsive buying (IB) behavior. This suggests that most respondents did not use e-wallets for purchases motivated solely by practical considerations, even when LDC and quick transit times were available. These findings contribute to the existing literature on digital money and e-wallets, offering insights for online merchants and digital wallet providers. It is recommended that digital wallet providers enhance accessibility, improve transparency regarding customer data protection, and disseminate information about the benefits and utility of e-wallets to foster wider adoption. Online retailers are encouraged to offer diverse payment options to attract customers. This study provides valuable implications for the optimization of customer service in the context of Indonesia. ]]> The Impact of Low Distribution Costs and Short Transit Times on Moderating the Correlation Between Digital Wallet Adoption and Impulse Purchases helin supriatin susilani susilani agung yulianto doi: 10.56578/jafas100303 Journal of Accounting, Finance and Auditing Studies 08-28-2024 Journal of Accounting, Finance and Auditing Studies 08-28-2024 2024 10 3 Article 144 10.56578/jafas100303 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100303 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100302 The evaluation of companies' sustainability performance in generating shareholder wealth is increasingly reliant on environmental, social, and governance (ESG) ratings. This study introduces a novel approach by applying data envelopment analysis (DEA) as an alternative to conventional linear regression methods. A conceptual framework has been developed to integrate E-, S-, and G-scores into DEA models, enabling a more nuanced interpretation of whether a company’s ESG efforts contribute to or undermine wealth creation. This approach also assesses the relative effectiveness of a company’s ESG initiatives compared to its peers, taking into account key wealth creation variables. An empirical analysis was conducted on a sample of 80 listed South African companies, calculating the technical efficiency of each company. The findings indicate that linear regression analysis falls short in benchmarking individual companies' ESG efforts in relation to shareholder wealth creation. In contrast, DEA effectively addresses this challenge by offering a robust benchmarking tool. The practical implications of this study are significant, as the concepts of 'fruitless' and 'fruitful' ESG efforts introduced here provide companies with a transferable framework for comparing their sustainability performance against peers. The empirical application underscores the value of DEA in distinguishing between productive and counterproductive ESG strategies, thereby enhancing the precision of sustainability assessments in the context of shareholder wealth. 08-19-2024 <![CDATA[ <p>The evaluation of companies' sustainability performance in generating shareholder wealth is increasingly reliant on environmental, social, and governance (ESG) ratings. This study introduces a novel approach by applying data envelopment analysis (DEA) as an alternative to conventional linear regression methods. A conceptual framework has been developed to integrate E-, S-, and G-scores into DEA models, enabling a more nuanced interpretation of whether a company’s ESG efforts contribute to or undermine wealth creation. This approach also assesses the relative effectiveness of a company’s ESG initiatives compared to its peers, taking into account key wealth creation variables. An empirical analysis was conducted on a sample of 80 listed South African companies, calculating the technical efficiency of each company. The findings indicate that linear regression analysis falls short in benchmarking individual companies' ESG efforts in relation to shareholder wealth creation. In contrast, DEA effectively addresses this challenge by offering a robust benchmarking tool. The practical implications of this study are significant, as the concepts of 'fruitless' and 'fruitful' ESG efforts introduced here provide companies with a transferable framework for comparing their sustainability performance against peers. The empirical application underscores the value of DEA in distinguishing between productive and counterproductive ESG strategies, thereby enhancing the precision of sustainability assessments in the context of shareholder wealth.</p> ]]> Benchmarking Sustainable Performance in Shareholder Wealth Creation: A Data Envelopment Analysis Approach merwe oberholzer monique meyer doi: 10.56578/jafas100302 Journal of Accounting, Finance and Auditing Studies 08-19-2024 Journal of Accounting, Finance and Auditing Studies 08-19-2024 2024 10 3 Article 129 10.56578/jafas100302 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100302 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100301 This study investigates the relationships between audit reputation, company size, audit fees, and auditor rotation within manufacturing companies listed on the Indonesia Stock Exchange (BEI) from 2018 to 2022. The aim is to analyze the impacts of these factors on auditor rotation decisions, which are hypothesized to enhance trust and transparency in financial reporting. Data from 84 manufacturing companies were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings indicate that larger companies and those with higher audit fees are more likely to change their auditors. However, audit reputation neither influences nor moderates the relationship between these factors and auditor turnover. These insights contribute to understanding the patterns of auditor turnover in Indonesia's manufacturing sector, suggesting that larger firms and those with higher audit fees are inclined to consider changing auditors regardless of the auditor's reputation. 08-04-2024 <![CDATA[ This study investigates the relationships between audit reputation, company size, audit fees, and auditor rotation within manufacturing companies listed on the Indonesia Stock Exchange (BEI) from 2018 to 2022. The aim is to analyze the impacts of these factors on auditor rotation decisions, which are hypothesized to enhance trust and transparency in financial reporting. Data from 84 manufacturing companies were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings indicate that larger companies and those with higher audit fees are more likely to change their auditors. However, audit reputation neither influences nor moderates the relationship between these factors and auditor turnover. These insights contribute to understanding the patterns of auditor turnover in Indonesia's manufacturing sector, suggesting that larger firms and those with higher audit fees are inclined to consider changing auditors regardless of the auditor's reputation. ]]> Examining Auditor Rotation: The Influence of Client Size, Audit Fees, and the Moderating Role of Audit Reputation rusli rusli nagian toni namira ufrida rahmi doi: 10.56578/jafas100301 Journal of Accounting, Finance and Auditing Studies 08-04-2024 Journal of Accounting, Finance and Auditing Studies 08-04-2024 2024 10 3 Article 119 10.56578/jafas100301 https://www.acadlore.com/article/JAFAS/2024_10_3/jafas100301 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100205 This study investigates the impact of economic policy uncertainty (EPU) on the performance of African banks, utilising a panel of 35 publicly listed commercial banks from seven African countries over the period from 2000 to 2022. A fixed-effect estimation model was employed to analyse the data, revealing that EPU has a detrimental effect on bank performance in Africa. Additionally, a significant increase in non-performing loans was observed during periods of heightened EPU. The findings also indicate that bank size negatively impacts performance, whereas adequate capital buffers enhance bank performance during stress periods. These results underscore the importance of management efficiency, risk assessment, and capital adequacy in ensuring the robust performance of African banks. It is recommended that policymakers and regulators bolster the capital levels of African banks to fortify the sector. Moreover, the formulation of stable and non-disruptive economic policies is crucial to mitigate the adverse effects of EPU on the African banking sector. 06-29-2024 <![CDATA[ This study investigates the impact of economic policy uncertainty (EPU) on the performance of African banks, utilising a panel of 35 publicly listed commercial banks from seven African countries over the period from 2000 to 2022. A fixed-effect estimation model was employed to analyse the data, revealing that EPU has a detrimental effect on bank performance in Africa. Additionally, a significant increase in non-performing loans was observed during periods of heightened EPU. The findings also indicate that bank size negatively impacts performance, whereas adequate capital buffers enhance bank performance during stress periods. These results underscore the importance of management efficiency, risk assessment, and capital adequacy in ensuring the robust performance of African banks. It is recommended that policymakers and regulators bolster the capital levels of African banks to fortify the sector. Moreover, the formulation of stable and non-disruptive economic policies is crucial to mitigate the adverse effects of EPU on the African banking sector. ]]> The Impact of Economic Policy Uncertainty on the Performance of African Banks damilola oyetade paul-francois muzindutsi doi: 10.56578/jafas100205 Journal of Accounting, Finance and Auditing Studies 06-29-2024 Journal of Accounting, Finance and Auditing Studies 06-29-2024 2024 10 2 Article 105 10.56578/jafas100205 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100205 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100204 To maintain competitiveness and ensure long-term sustainability in the automotive sector, understanding the determinants of profit growth is crucial. This study empirically examines the impact of the Current Ratio (CR) and Net Profit Margin (NPM) on profit growth from 2018 to 2022, focusing on ten automotive companies listed on the Indonesia Stock Exchange. A quantitative methodology, utilizing panel data regression analysis and specifically the Fixed Effects Model (FEM), was employed to uncover significant insights. It was found that the CR positively influences profit growth, whereas the NPM exhibits a negative effect. These empirical findings offer valuable insights into financial management practices within the automotive industry. By understanding the impact of key financial metrics on profitability, investors, managers, and policymakers are better equipped to make informed decisions to optimize financial strategies for profit growth. This study contributes to the existing literature by addressing the relationship between the CR and NPM within the context of the automotive sector, an area where comprehensive analysis has been lacking. These insights are vital for informing strategic financial decisions and supporting the long-term health of the industry in a fiercely competitive global market. 06-29-2024 <![CDATA[ To maintain competitiveness and ensure long-term sustainability in the automotive sector, understanding the determinants of profit growth is crucial. This study empirically examines the impact of the Current Ratio (CR) and Net Profit Margin (NPM) on profit growth from 2018 to 2022, focusing on ten automotive companies listed on the Indonesia Stock Exchange. A quantitative methodology, utilizing panel data regression analysis and specifically the Fixed Effects Model (FEM), was employed to uncover significant insights. It was found that the CR positively influences profit growth, whereas the NPM exhibits a negative effect. These empirical findings offer valuable insights into financial management practices within the automotive industry. By understanding the impact of key financial metrics on profitability, investors, managers, and policymakers are better equipped to make informed decisions to optimize financial strategies for profit growth. This study contributes to the existing literature by addressing the relationship between the CR and NPM within the context of the automotive sector, an area where comprehensive analysis has been lacking. These insights are vital for informing strategic financial decisions and supporting the long-term health of the industry in a fiercely competitive global market. ]]> The Influence of Current Ratio and Net Profit Margin on Profit Growth in the Automotive Industry: An Empirical Study from 2018 to 2022 apriliana putri edi purwanto doi: 10.56578/jafas100204 Journal of Accounting, Finance and Auditing Studies 06-29-2024 Journal of Accounting, Finance and Auditing Studies 06-29-2024 2024 10 2 Article 88 10.56578/jafas100204 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100204 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100203 This study critically evaluates Board Effectiveness (BE) within Maltese Public Sector Entities (MPSEs), with a focus on five key aspects: board selection and appointment, board role, board composition, board remuneration, and board performance evaluation. Semi-structured interviews were conducted with twenty-two participants, including eighteen MPSE board members (BMs), a representative from the Malta Institute of Directors, two corporate lawyers, and one corporate advisor. The findings indicate significant deficiencies in BE, particularly due to a lack of transparency in the selection and appointment process. This process is often influenced by political loyalties, which exclude new talent and discourage competent individuals. The identification of BMs as Politically Exposed Persons (PEPs) further restricts the inclusion of diverse talent, particularly among entrepreneurs. Additionally, insufficient training for BMs and persistent political pressures have been found to hinder the fulfilment of fiduciary duties. Female representation on MPSE boards is notably low, and foreign appointments are rare, thereby weakening the overall board composition. Moreover, the remuneration for MPSE BMs is significantly lower than that in the private sector, adversely impacting the quality of BMs. Resistance to implementing performance evaluations, which could potentially reduce political protection, has also been observed to impede BE. This study underscores the necessity of strengthening corporate governance (CG) practices to enhance BE in MPSEs, which is crucial for fostering a thriving economy and creating a positive legacy for future generations. 06-20-2024 <![CDATA[ This study critically evaluates Board Effectiveness (BE) within Maltese Public Sector Entities (MPSEs), with a focus on five key aspects: board selection and appointment, board role, board composition, board remuneration, and board performance evaluation. Semi-structured interviews were conducted with twenty-two participants, including eighteen MPSE board members (BMs), a representative from the Malta Institute of Directors, two corporate lawyers, and one corporate advisor. The findings indicate significant deficiencies in BE, particularly due to a lack of transparency in the selection and appointment process. This process is often influenced by political loyalties, which exclude new talent and discourage competent individuals. The identification of BMs as Politically Exposed Persons (PEPs) further restricts the inclusion of diverse talent, particularly among entrepreneurs. Additionally, insufficient training for BMs and persistent political pressures have been found to hinder the fulfilment of fiduciary duties. Female representation on MPSE boards is notably low, and foreign appointments are rare, thereby weakening the overall board composition. Moreover, the remuneration for MPSE BMs is significantly lower than that in the private sector, adversely impacting the quality of BMs. Resistance to implementing performance evaluations, which could potentially reduce political protection, has also been observed to impede BE. This study underscores the necessity of strengthening corporate governance (CG) practices to enhance BE in MPSEs, which is crucial for fostering a thriving economy and creating a positive legacy for future generations. ]]> Enhancing Board Effectiveness in Maltese Public Sector Entities: An Analytical Study lauren ellul marilyn scicluna peter j. baldacchino norbert tabone simon grima doi: 10.56578/jafas100203 Journal of Accounting, Finance and Auditing Studies 06-20-2024 Journal of Accounting, Finance and Auditing Studies 06-20-2024 2024 10 2 Article 74 10.56578/jafas100203 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100203 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100202 The study aims to examine the current state of property tax administration in Zimbabwean local authorities under the conditions of digitalization. Property taxes within the Zimbabwean local tax system are significantly under-collected, necessitating an urgent enhancement of their contribution to local authority budgets. A quantitative research approach was adopted, collecting data through questionnaires from a target population of 60 staff members within an urban local authority. Purposive sampling was employed to select Chief Executive Officers, Heads of Departments, and staff directly involved with Information and Communication Technology (ICT) and Property Tax Administration, including ICT departments, accounting and finance staff, and engineering departments. Additionally, residential and commercial property owners were conveniently sampled based on availability and willingness to participate, resulting in a total sample size of 46 respondents. The findings reveal a significant positive relationship between Information Technology and property tax administration, suggesting that policymakers should prioritize digitization to enhance effective tax administration. Furthermore, control variables such as population, trade, and GDP were found to have significant relationships with tax administration in Zimbabwe. The introduction of ICTs has been shown to improve the efficiency and effectiveness of property tax administration, underscoring its critical role in the fiscal decentralization of local governments. 06-18-2024 <![CDATA[ The study aims to examine the current state of property tax administration in Zimbabwean local authorities under the conditions of digitalization. Property taxes within the Zimbabwean local tax system are significantly under-collected, necessitating an urgent enhancement of their contribution to local authority budgets. A quantitative research approach was adopted, collecting data through questionnaires from a target population of 60 staff members within an urban local authority. Purposive sampling was employed to select Chief Executive Officers, Heads of Departments, and staff directly involved with Information and Communication Technology (ICT) and Property Tax Administration, including ICT departments, accounting and finance staff, and engineering departments. Additionally, residential and commercial property owners were conveniently sampled based on availability and willingness to participate, resulting in a total sample size of 46 respondents. The findings reveal a significant positive relationship between Information Technology and property tax administration, suggesting that policymakers should prioritize digitization to enhance effective tax administration. Furthermore, control variables such as population, trade, and GDP were found to have significant relationships with tax administration in Zimbabwe. The introduction of ICTs has been shown to improve the efficiency and effectiveness of property tax administration, underscoring its critical role in the fiscal decentralization of local governments. ]]> The Role of Information Technology in Enhancing Property Tax Administration in Decentralised Local Government: A Case Study of Zimbabwe newman wadesango nyika tatenda lovemore sitsha doi: 10.56578/jafas100202 Journal of Accounting, Finance and Auditing Studies 06-18-2024 Journal of Accounting, Finance and Auditing Studies 06-18-2024 2024 10 2 Article 65 10.56578/jafas100202 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100202 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100201 In Indonesian manufacturing, the evasion of tax obligations presents a formidable challenge, diminishing the potential tax revenues accruing to the state. Rooted in agency theory, this investigation seeks to empirically elucidate the interrelations between corporate social responsibility (CSR), profitability, leverage, capital intensity, and corporate tax aggressiveness, with an emphasis on the moderating influence of firm size. Through a causal design and quantitative analysis, this examination scrutinizes data from 66 manufacturing entities listed on the Indonesia Stock Exchange over the period 2018 to 2022. The analysis, employing panel data regression techniques, demonstrates that CSR exerts a negative influence on tax aggressiveness, whereas profitability and capital intensity are positively associated with such behavior. Leverage, however, is not found to significantly affect tax aggressiveness. Furthermore, firm size is observed to negatively moderate the relationship between CSR and tax aggressiveness while positively moderating the relationship between both profitability and capital intensity with tax aggressiveness. The moderating effect of firm size on the leverage-tax aggressiveness nexus, however, remains non-significant. These findings underscore the complex dynamics influencing tax aggressiveness and suggest a need for stringent regulatory oversight and enforcement against aggressive tax avoidance tactics deployed by manufacturing firms. Recommendations include the establishment of clearer definitions of unauthorized tax avoidance practices, the imposition of severe penalties for non-compliance, and the enhancement of international collaboration to combat tax avoidance. This study not only contributes to the scholarly discourse on tax aggressiveness but also offers pragmatic insights for policymakers aimed at curtailing practices that undermine state revenue. 04-09-2024 <![CDATA[ In Indonesian manufacturing, the evasion of tax obligations presents a formidable challenge, diminishing the potential tax revenues accruing to the state. Rooted in agency theory, this investigation seeks to empirically elucidate the interrelations between corporate social responsibility (CSR), profitability, leverage, capital intensity, and corporate tax aggressiveness, with an emphasis on the moderating influence of firm size. Through a causal design and quantitative analysis, this examination scrutinizes data from 66 manufacturing entities listed on the Indonesia Stock Exchange over the period 2018 to 2022. The analysis, employing panel data regression techniques, demonstrates that CSR exerts a negative influence on tax aggressiveness, whereas profitability and capital intensity are positively associated with such behavior. Leverage, however, is not found to significantly affect tax aggressiveness. Furthermore, firm size is observed to negatively moderate the relationship between CSR and tax aggressiveness while positively moderating the relationship between both profitability and capital intensity with tax aggressiveness. The moderating effect of firm size on the leverage-tax aggressiveness nexus, however, remains non-significant. These findings underscore the complex dynamics influencing tax aggressiveness and suggest a need for stringent regulatory oversight and enforcement against aggressive tax avoidance tactics deployed by manufacturing firms. Recommendations include the establishment of clearer definitions of unauthorized tax avoidance practices, the imposition of severe penalties for non-compliance, and the enhancement of international collaboration to combat tax avoidance. This study not only contributes to the scholarly discourse on tax aggressiveness but also offers pragmatic insights for policymakers aimed at curtailing practices that undermine state revenue. ]]> Impact of Corporate Social Responsibility, Profitability, Leverage, and Capital Intensity on Tax Aggressiveness: The Moderating Role of Firm Size in Indonesian Manufacturing Sector catlina zanita lailiyah amelia massela agung yulianto azam abdelhakeem khalid doi: 10.56578/jafas100201 Journal of Accounting, Finance and Auditing Studies 04-09-2024 Journal of Accounting, Finance and Auditing Studies 04-09-2024 2024 10 2 Article 51 10.56578/jafas100201 https://www.acadlore.com/article/JAFAS/2024_10_2/jafas100201 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100105 In recent years, many researchers have studied some complex phenomena in the world from a new angle, and the subject of complexity science was born. In the field of complexity research, the study of social economics is very common. Because of the characteristics of financial market and its position in social economy, it is very important in complexity research. Based on complex network theory and vector autoregressive model (VAR) study of the stock market fluctuation and discusses the conduction effect between stock volatility in the industry on the influence of the correlation of share price volatility, aims to better understand the operating mechanism of the stock market, the more effective controlling the market development direction, to promote the healthy development of China's financial markets. In this paper, the rise and fall of stocks in 11 industries in the CSI 300 industry index are selected as variables, and the data from January 1, 2024, to March 1, 2024, are selected as research samples. Granger test and vector autoregressive model are used to calculate the conduction benefits between different industries. The complex network is constructed with industry as node and stock conduction direction as edge. Based on the analysis, we can find that in the CSI 300 industry index, there are several industries as the influence center of volatility, and their stock price fluctuations will affect the market of related industries, thus affecting the whole body. Based on the market situation of related industries in recent years, the correlation of fluctuations of different stocks in the stock market can be explained, and the influence of industry factors on stock price fluctuations can be deeply explored. 03-30-2024 <![CDATA[ In recent years, many researchers have studied some complex phenomena in the world from a new angle, and the subject of complexity science was born. In the field of complexity research, the study of social economics is very common. Because of the characteristics of financial market and its position in social economy, it is very important in complexity research. Based on complex network theory and vector autoregressive model (VAR) study of the stock market fluctuation and discusses the conduction effect between stock volatility in the industry on the influence of the correlation of share price volatility, aims to better understand the operating mechanism of the stock market, the more effective controlling the market development direction, to promote the healthy development of China's financial markets. In this paper, the rise and fall of stocks in 11 industries in the CSI 300 industry index are selected as variables, and the data from January 1, 2024, to March 1, 2024, are selected as research samples. Granger test and vector autoregressive model are used to calculate the conduction benefits between different industries. The complex network is constructed with industry as node and stock conduction direction as edge. Based on the analysis, we can find that in the CSI 300 industry index, there are several industries as the influence center of volatility, and their stock price fluctuations will affect the market of related industries, thus affecting the whole body. Based on the market situation of related industries in recent years, the correlation of fluctuations of different stocks in the stock market can be explained, and the influence of industry factors on stock price fluctuations can be deeply explored. ]]> Transmission Risk of Stock Price Fluctuations Among Industries in Complex Financial Networks weishi wang junzhe ding yuechen zhou doi: 10.56578/jafas100105 Journal of Accounting, Finance and Auditing Studies 03-30-2024 Journal of Accounting, Finance and Auditing Studies 03-30-2024 2024 10 1 Article 37 10.56578/jafas100105 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100105 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100104 This study investigates the deployment of Robo-Advisors (RAs), a form of Artificial Intelligence (AI), in offering investment advice aimed at maximizing investor returns. As the prevalence of platform investments incorporating RAs grows, a critical analysis is undertaken to assess the legal safeguards for users of RAs in making investment choices and in navigating the risk landscape of mutual funds. The focus is particularly on the legal mechanisms in place to protect investors from the inherent risks associated with mutual fund investments advised by RAs. Employing a qualitative research methodology alongside an empirical juridical approach, this analysis is underpinned by descriptive analytical techniques. The investigation draws upon regulatory frameworks pertaining to AI, complemented by observations and interviews conducted on the Bibit investment platform. The findings reveal that the RA functionality on the Bibit Investment platform is limited to processing risk mappings based on user inputs. It lacks the capability to predict future price fluctuations. Consequently, investors bear the profits and losses of their investments, contingent on the risks outlined at the outset. The RA merely provides recommendations based on responses from users, leaving final investment decisions to the discretion of the investors. This underscores the necessity for investors to be well-informed about the legal statutes governing their rights and obligations. The paper argues for a comprehensive understanding among investors about the extent of legal protection against the risks of mutual fund investments advised by RAs, highlighting the importance of investor education in navigating these legal frameworks. 03-20-2024 <![CDATA[ This study investigates the deployment of Robo-Advisors (RAs), a form of Artificial Intelligence (AI), in offering investment advice aimed at maximizing investor returns. As the prevalence of platform investments incorporating RAs grows, a critical analysis is undertaken to assess the legal safeguards for users of RAs in making investment choices and in navigating the risk landscape of mutual funds. The focus is particularly on the legal mechanisms in place to protect investors from the inherent risks associated with mutual fund investments advised by RAs. Employing a qualitative research methodology alongside an empirical juridical approach, this analysis is underpinned by descriptive analytical techniques. The investigation draws upon regulatory frameworks pertaining to AI, complemented by observations and interviews conducted on the Bibit investment platform. The findings reveal that the RA functionality on the Bibit Investment platform is limited to processing risk mappings based on user inputs. It lacks the capability to predict future price fluctuations. Consequently, investors bear the profits and losses of their investments, contingent on the risks outlined at the outset. The RA merely provides recommendations based on responses from users, leaving final investment decisions to the discretion of the investors. This underscores the necessity for investors to be well-informed about the legal statutes governing their rights and obligations. The paper argues for a comprehensive understanding among investors about the extent of legal protection against the risks of mutual fund investments advised by RAs, highlighting the importance of investor education in navigating these legal frameworks. ]]> Risk Aversion in the Future of Financial Advisory: The Legal Protections for Robo-Advisor Users in Mutual Fund Investments wardah yuspin muhammad iksan doi: 10.56578/jafas100104 Journal of Accounting, Finance and Auditing Studies 03-20-2024 Journal of Accounting, Finance and Auditing Studies 03-20-2024 2024 10 1 Article 28 10.56578/jafas100104 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100104 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100103 This study investigates the effects of corporate governance (CG) and financial leverage (FL) on the valuation of firms listed in Vietnam. An analysis was conducted on a sample set containing 325 companies from the Ha Noi Stock Exchange over a three-year period (2018-2020), employing a correlational and non-experimental research design. It was found that an increase in board size negatively influences the value of these companies. In contrast, the phenomena of CEO duality, the presence of audit committees, larger firm size, greater FL, higher insider holdings, and improved return on assets were observed to positively affect firm valuation. Notably, the study delineates sector-specific impacts of CG and firm leverage, identifying divergent effects in the service and manufacturing sectors. For manufacturing firms, a larger board size adversely impacts value, whereas CEO duality, FL, the existence of audit committees, insider holdings, and firm size contribute positively. Within the service sector, a similar negative correlation was noted with board size, but FL and return on assets positively influenced firm value. The findings of this research provide valuable insights into the dynamics of firm valuation, offering guidance to investors, financial managers, and consultants. This investigation enriches the existing literature by highlighting the complex interplay between CG, FL, and firm valuation in the Vietnamese context. The discovery of the negative impact of larger board sizes on firm value challenges established beliefs and underscores the criticality of board composition for optimal firm performance. 03-12-2024 <![CDATA[ This study investigates the effects of corporate governance (CG) and financial leverage (FL) on the valuation of firms listed in Vietnam. An analysis was conducted on a sample set containing 325 companies from the Ha Noi Stock Exchange over a three-year period (2018-2020), employing a correlational and non-experimental research design. It was found that an increase in board size negatively influences the value of these companies. In contrast, the phenomena of CEO duality, the presence of audit committees, larger firm size, greater FL, higher insider holdings, and improved return on assets were observed to positively affect firm valuation. Notably, the study delineates sector-specific impacts of CG and firm leverage, identifying divergent effects in the service and manufacturing sectors. For manufacturing firms, a larger board size adversely impacts value, whereas CEO duality, FL, the existence of audit committees, insider holdings, and firm size contribute positively. Within the service sector, a similar negative correlation was noted with board size, but FL and return on assets positively influenced firm value. The findings of this research provide valuable insights into the dynamics of firm valuation, offering guidance to investors, financial managers, and consultants. This investigation enriches the existing literature by highlighting the complex interplay between CG, FL, and firm valuation in the Vietnamese context. The discovery of the negative impact of larger board sizes on firm value challenges established beliefs and underscores the criticality of board composition for optimal firm performance. ]]> Impact of Corporate Governance and Financial Leverage on the Valuation of Vietnamese Listed Companies nguyen thi dao hoang thi thanh doi: 10.56578/jafas100103 Journal of Accounting, Finance and Auditing Studies 03-12-2024 Journal of Accounting, Finance and Auditing Studies 03-12-2024 2024 10 1 Article 19 10.56578/jafas100103 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100103 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100102 The exploration of stakeholder perceptions concerning the elements and values underpinning the cooperative concept in Malta forms the core objective of this investigation. Employing semi-structured interviews, primary data was gathered from a diverse group of participants, including thirteen representatives from cooperatives, four from cooperative institutional bodies, and five experts within the cooperative field. The analysis reveals a notable deficiency among Maltese cooperative stakeholders in comprehending the foundational elements and values of the cooperative model. This lack of understanding is attributed to ongoing challenges such as persistent misconceptions regarding the adaptability of cooperatives to social objectives, gaps in pertinent education and training, and inadequate promotion of the cooperative paradigm. The findings suggest a critical need for stakeholders to accord greater priority to the socially relevant components of cooperatives—those designed to be integral to the concept—beyond the mere generation of annual financial surpluses. Such a shift in focus is posited as essential for fostering a deeper appreciation and application of cooperative values, benefiting not only individual entities but the broader cooperative movement. Moreover, the insights gleaned from the Maltese context offer valuable lessons for cooperative movements in other small European states, highlighting the universal applicability and potential of cooperative principles for economic development and social cohesion. This study contributes to the dialogue on cooperative development by elucidating the gaps in understanding and application of cooperative values among stakeholders, thereby offering a foundation for targeted educational and promotional strategies to enhance the cooperative model's implementation and perception. 02-03-2024 <![CDATA[ The exploration of stakeholder perceptions concerning the elements and values underpinning the cooperative concept in Malta forms the core objective of this investigation. Employing semi-structured interviews, primary data was gathered from a diverse group of participants, including thirteen representatives from cooperatives, four from cooperative institutional bodies, and five experts within the cooperative field. The analysis reveals a notable deficiency among Maltese cooperative stakeholders in comprehending the foundational elements and values of the cooperative model. This lack of understanding is attributed to ongoing challenges such as persistent misconceptions regarding the adaptability of cooperatives to social objectives, gaps in pertinent education and training, and inadequate promotion of the cooperative paradigm. The findings suggest a critical need for stakeholders to accord greater priority to the socially relevant components of cooperatives—those designed to be integral to the concept—beyond the mere generation of annual financial surpluses. Such a shift in focus is posited as essential for fostering a deeper appreciation and application of cooperative values, benefiting not only individual entities but the broader cooperative movement. Moreover, the insights gleaned from the Maltese context offer valuable lessons for cooperative movements in other small European states, highlighting the universal applicability and potential of cooperative principles for economic development and social cohesion. This study contributes to the dialogue on cooperative development by elucidating the gaps in understanding and application of cooperative values among stakeholders, thereby offering a foundation for targeted educational and promotional strategies to enhance the cooperative model's implementation and perception. ]]> Maltese Stakeholder Perceptions of the Elements and Values in the Cooperative Concept peter j. baldacchino melania apap norbert tabone lauren ellul simon grima doi: 10.56578/jafas100102 Journal of Accounting, Finance and Auditing Studies 02-03-2024 Journal of Accounting, Finance and Auditing Studies 02-03-2024 2024 10 1 Article 10 10.56578/jafas100102 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100102 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100101 This research explores the influence of enterprise resource planning (ERP) system implementation on the quality of accounting information in Vietnamese small and medium-sized enterprises (SMEs). ERP systems, designed to unify and streamline information across various business processes such as accounting, finance, supply chain, and human resources, are critical in integrating internal and cross-business information. Given their complexity and cost, the effective implementation of ERP systems necessitates proficient users. This study, employing the Ordinary least squares (OLS) method for analysis, gathered data through purposive sampling from 145 users across 117 Vietnamese SMEs. The analysis, based on regression and complemented by t-tests, examined the hypothesized relationship between ERP implementation and accounting information quality enhancement. The findings reveal a significant positive correlation between ERP system implementation and improved accounting information quality, underscoring the importance of ERP systems in elevating the standard of accounting practices in SMEs. These insights are crucial for understanding the broader implications of ERP systems in business management and financial reporting. 01-31-2024 <![CDATA[ This research explores the influence of enterprise resource planning (ERP) system implementation on the quality of accounting information in Vietnamese small and medium-sized enterprises (SMEs). ERP systems, designed to unify and streamline information across various business processes such as accounting, finance, supply chain, and human resources, are critical in integrating internal and cross-business information. Given their complexity and cost, the effective implementation of ERP systems necessitates proficient users. This study, employing the Ordinary least squares (OLS) method for analysis, gathered data through purposive sampling from 145 users across 117 Vietnamese SMEs. The analysis, based on regression and complemented by t-tests, examined the hypothesized relationship between ERP implementation and accounting information quality enhancement. The findings reveal a significant positive correlation between ERP system implementation and improved accounting information quality, underscoring the importance of ERP systems in elevating the standard of accounting practices in SMEs. These insights are crucial for understanding the broader implications of ERP systems in business management and financial reporting. ]]> Impact of ERP System Implementation on Accounting Information Quality in Vietnamese SMEs ho the tran nguyen thi hong nguyen doi: 10.56578/jafas100101 Journal of Accounting, Finance and Auditing Studies 01-31-2024 Journal of Accounting, Finance and Auditing Studies 01-31-2024 2024 10 1 Article 1 10.56578/jafas100101 https://www.acadlore.com/article/JAFAS/2024_10_1/jafas100101 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090405 The opening of the Suez Canal in 1869 brought the strategic position of Cyprus to the international stage. The geopolitical position of the Mediterranean for world trade remains important today. The administration of Cyprus was left to Britain in 1878 with the Cyprus Convention signed between Britain and the Ottoman Empire. With the outbreak of World War I, Britain annexed Cyprus in 1915. Cyprus was given the status of a Crown Colony in 1925. During the war period, between 1915 and 1922, foreign trade of Cyprus reached the highest figures in its history. Cyprus was used as a military and commercial safe haven for British trade and allies. The post-war economic crises, especially the onset of the Great Depression in 1929, shook the world economy. The purpose of this study is to examine the impact of the economic crises of the period 1923-1938 on foreign trade of Cyprus and whether the wartime development continued or not. The share of the UK and other countries in foreign trade and the status of Cyprus in international foreign trade will be determined. In the study, first of all, the commercial data of Cyprus foreign trade for the period 1923-1938 will be organized and interpreted using statistical methods (tables and graphs). As a result of the study, it was determined that the period of 1923-1938 in Cyprus was a fluctuating period of decline and rise in foreign trade due to economic crises. In 1938, exports increased by 176% and imports by 110% compared to 1923. Despite the crisis, the geography of foreign trade of Cyprus expanded and the number of traded countries increased. The share of European countries in foreign trade increased. While Cyprus exports mineral products and food to Europe, it also became one of the new markets for products produced in Europe. It was also a transit island in international trade. 12-30-2023 <![CDATA[ <p>The opening of the Suez Canal in 1869 brought the strategic position of Cyprus to the international stage. The geopolitical position of the Mediterranean for world trade remains important today. The administration of Cyprus was left to Britain in 1878 with the Cyprus Convention signed between Britain and the Ottoman Empire. With the outbreak of World War I, Britain annexed Cyprus in 1915. Cyprus was given the status of a Crown Colony in 1925. During the war period, between 1915 and 1922, foreign trade of Cyprus reached the highest figures in its history. Cyprus was used as a military and commercial safe haven for British trade and allies. The post-war economic crises, especially the onset of the Great Depression in 1929, shook the world economy. The purpose of this study is to examine the impact of the economic crises of the period 1923-1938 on foreign trade of Cyprus and whether the wartime development continued or not. The share of the UK and other countries in foreign trade and the status of Cyprus in international foreign trade will be determined. In the study, first of all, the commercial data of Cyprus foreign trade for the period 1923-1938 will be organized and interpreted using statistical methods (tables and graphs). As a result of the study, it was determined that the period of 1923-1938 in Cyprus was a fluctuating period of decline and rise in foreign trade due to economic crises. In 1938, exports increased by 176% and imports by 110% compared to 1923. Despite the crisis, the geography of foreign trade of Cyprus expanded and the number of traded countries increased. The share of European countries in foreign trade increased. While Cyprus exports mineral products and food to Europe, it also became one of the new markets for products produced in Europe. It was also a transit island in international trade.</p> ]]> A Historical Background of Foreign Trade in Cyprus (1923-1938) sevgi korkmaz sadiye tutsak doi: 10.56578/jafas090405 Journal of Accounting, Finance and Auditing Studies 12-30-2023 Journal of Accounting, Finance and Auditing Studies 12-30-2023 2023 9 4 Article 449 10.56578/jafas090405 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090405 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090404 Since Nigeria's independence, concerted efforts have been made to fortify the healthcare system, aiming to safeguard millions of lives through enhanced primary, secondary, and tertiary healthcare services, and to progress towards universal healthcare coverage, as envisaged by the National Health Act (NHA). Despite the successful adoption of numerous initiatives, they have encountered substantial challenges in implementation and sustainability, influenced by factors such as importation dynamics, price fluctuations from both private and public sources, the impact of subsidy removal, and taxation policies. This study investigates the macroeconomic consequences of potential healthcare financing reforms in Nigeria, particularly focusing on aspects of pricing, taxation, and the import-export balance. Utilizing a Computable general equilibrium (CGE) approach, this analysis draws upon the 2011 Nigeria Input-Output Table to construct a Social Accounting Matrix (SAM). The data is subsequently integrated into the GAMS software, as detailed in the appendix. Findings indicate a disparity between domestic healthcare demand and supply, potentially inciting increased healthcare importation. Crucially, it is observed that escalated taxation on corporations and households exacerbates healthcare accessibility challenges, primarily due to diminished affordability. This research underscores the imperative of recalibrating healthcare financing strategies to mitigate inequalities and enhance service availability, thereby fostering a more robust healthcare system in Nigeria. 12-30-2023 <![CDATA[ Since Nigeria's independence, concerted efforts have been made to fortify the healthcare system, aiming to safeguard millions of lives through enhanced primary, secondary, and tertiary healthcare services, and to progress towards universal healthcare coverage, as envisaged by the National Health Act (NHA). Despite the successful adoption of numerous initiatives, they have encountered substantial challenges in implementation and sustainability, influenced by factors such as importation dynamics, price fluctuations from both private and public sources, the impact of subsidy removal, and taxation policies. This study investigates the macroeconomic consequences of potential healthcare financing reforms in Nigeria, particularly focusing on aspects of pricing, taxation, and the import-export balance. Utilizing a Computable general equilibrium (CGE) approach, this analysis draws upon the 2011 Nigeria Input-Output Table to construct a Social Accounting Matrix (SAM). The data is subsequently integrated into the GAMS software, as detailed in the appendix. Findings indicate a disparity between domestic healthcare demand and supply, potentially inciting increased healthcare importation. Crucially, it is observed that escalated taxation on corporations and households exacerbates healthcare accessibility challenges, primarily due to diminished affordability. This research underscores the imperative of recalibrating healthcare financing strategies to mitigate inequalities and enhance service availability, thereby fostering a more robust healthcare system in Nigeria. ]]> Macroeconomic Outcomes of Healthcare Financing Reforms in Nigeria: A Computable General Equilibrium Analysis anafi jafar umar faruq quadri doi: 10.56578/jafas090404 Journal of Accounting, Finance and Auditing Studies 12-30-2023 Journal of Accounting, Finance and Auditing Studies 12-30-2023 2023 9 4 Article 420 10.56578/jafas090404 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090404 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090403 This investigation evaluates the effectiveness of budgeting as a mechanism for internal controls within manufacturing firms, with a specific focus on Pepukai Plastics Industries. The impetus for this research derived from the observed inability of Pepukai Plastics Industries to meet its organizational objectives and goals in recent years, particularly in terms of revenue generation and profit maximization. The study utilized a descriptive research design, employing a mixed-method approach to cater to the qualitative and quantitative nature of the research. The research encompassed a target population of 28, utilizing a census methodology. Data collection was executed through questionnaires and one-on-one interviews, with the results presented via tables and graphs. Key findings indicate that Pepukai Plastics Industries lacks the implementation of variance analysis, forecasting, and coordinated planning in its production processes, adversely affecting profit control. The study reveals that the firm's budgeting practices are predominantly based on estimates, proving to be time-consuming and costly. Furthermore, these practices primarily focus on financial outcomes, overlooking other critical aspects of organizational performance. Notably, the firm does not employ incremental budgeting techniques, a factor that could potentially enhance the efficacy of its budgeting process and, by extension, its internal controls. The study concludes that the absence of comprehensive budgeting strategies, including incremental budgeting, impairs the overall effectiveness of internal controls within Pepukai Plastics Industries. This conclusion underscores the vital role that a robust budgeting system plays in reinforcing internal controls, thereby contributing to the attainment of organizational objectives within the manufacturing sector. 12-30-2023 <![CDATA[ This investigation evaluates the effectiveness of budgeting as a mechanism for internal controls within manufacturing firms, with a specific focus on Pepukai Plastics Industries. The impetus for this research derived from the observed inability of Pepukai Plastics Industries to meet its organizational objectives and goals in recent years, particularly in terms of revenue generation and profit maximization. The study utilized a descriptive research design, employing a mixed-method approach to cater to the qualitative and quantitative nature of the research. The research encompassed a target population of 28, utilizing a census methodology. Data collection was executed through questionnaires and one-on-one interviews, with the results presented via tables and graphs. Key findings indicate that Pepukai Plastics Industries lacks the implementation of variance analysis, forecasting, and coordinated planning in its production processes, adversely affecting profit control. The study reveals that the firm's budgeting practices are predominantly based on estimates, proving to be time-consuming and costly. Furthermore, these practices primarily focus on financial outcomes, overlooking other critical aspects of organizational performance. Notably, the firm does not employ incremental budgeting techniques, a factor that could potentially enhance the efficacy of its budgeting process and, by extension, its internal controls. The study concludes that the absence of comprehensive budgeting strategies, including incremental budgeting, impairs the overall effectiveness of internal controls within Pepukai Plastics Industries. This conclusion underscores the vital role that a robust budgeting system plays in reinforcing internal controls, thereby contributing to the attainment of organizational objectives within the manufacturing sector. ]]> Assessing the Role of Budgeting in Internal Control Efficacy Within Manufacturing Firms: A Case Study of Pepukai Plastics Industries johannes takunda thole lovemore sitsha newman wadesango doi: 10.56578/jafas090403 Journal of Accounting, Finance and Auditing Studies 12-30-2023 Journal of Accounting, Finance and Auditing Studies 12-30-2023 2023 9 4 Article 410 10.56578/jafas090403 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090403 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090402 This research delves into the impact of Information technology systems (ITS) on the effectiveness of internal controls, using Norman Ranch Limited, a subsidiary of Development Trust in Zimbabwe, as a case study. A mixed-methods research approach, incorporating a descriptive design and a cross-sectional study, was employed. Data were gathered through close-ended questionnaires distributed to 44 employees, offering a comprehensive view of internal control processes within the organization. Analysis involved Linear Regression to establish correlations, supported by data presentation through tables, pie charts, and graphs. Findings indicate a significant, positive relationship between ITS investment and internal control efficacy, particularly evident when senior management participates actively in the installation and continuous upgrading of IT infrastructure. This includes the review of IT system packages from other organizations. A key revelation is the enhanced efficiency of internal monitoring, a critical component of internal control, through strategic IT implementation. The study concludes that judicious investment in ITS markedly improves the effectiveness of internal controls. Furthermore, it posits that a synergy between IT systems, business processes, and human resources is pivotal in fortifying internal control mechanisms. 12-30-2023 <![CDATA[ This research delves into the impact of Information technology systems (ITS) on the effectiveness of internal controls, using Norman Ranch Limited, a subsidiary of Development Trust in Zimbabwe, as a case study. A mixed-methods research approach, incorporating a descriptive design and a cross-sectional study, was employed. Data were gathered through close-ended questionnaires distributed to 44 employees, offering a comprehensive view of internal control processes within the organization. Analysis involved Linear Regression to establish correlations, supported by data presentation through tables, pie charts, and graphs. Findings indicate a significant, positive relationship between ITS investment and internal control efficacy, particularly evident when senior management participates actively in the installation and continuous upgrading of IT infrastructure. This includes the review of IT system packages from other organizations. A key revelation is the enhanced efficiency of internal monitoring, a critical component of internal control, through strategic IT implementation. The study concludes that judicious investment in ITS markedly improves the effectiveness of internal controls. Furthermore, it posits that a synergy between IT systems, business processes, and human resources is pivotal in fortifying internal control mechanisms. ]]> The Impact of Information Technology Systems on Internal Control Effectiveness: A Case Study of Norman Ranch Limited yolanda sandu newman wadesango lovemore sitsha doi: 10.56578/jafas090402 Journal of Accounting, Finance and Auditing Studies 12-30-2023 Journal of Accounting, Finance and Auditing Studies 12-30-2023 2023 9 4 Article 398 10.56578/jafas090402 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090402 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090401 This study investigates the impact of the high turnover rate of articled clerks on audit quality within BDO Zimbabwe Chartered Accountants. The departure of these professionals from the firm has raised significant concerns, prompting a comprehensive analysis. The research adopts a mixed-method approach, combining qualitative and quantitative elements, to provide a holistic understanding of the phenomenon. The sample, drawn from a population of 56 BDO Chartered Accountants members through stratified simple random sampling, consisted of 30 individuals. The findings reveal a notable negative correlation between the turnover of articled clerks and the overall quality of audits. This correlation suggests that frequent departures of these clerks adversely affect the firm's audit standards. It was determined that BDO Zimbabwe lacks adequate capacity management strategies, leading to increased staff turnover. To mitigate this issue, the study recommends the implementation of a mandatory tenure system for articled clerks. This system would ensure the retention of expertise and skills essential for maintaining high audit quality. Such a measure could prove instrumental in stabilizing the workforce and preserving the integrity of audit processes. This research contributes to the understanding of staff turnover's impact on audit quality, offering valuable insights for firms in similar contexts. 12-30-2023 <![CDATA[ This study investigates the impact of the high turnover rate of articled clerks on audit quality within BDO Zimbabwe Chartered Accountants. The departure of these professionals from the firm has raised significant concerns, prompting a comprehensive analysis. The research adopts a mixed-method approach, combining qualitative and quantitative elements, to provide a holistic understanding of the phenomenon. The sample, drawn from a population of 56 BDO Chartered Accountants members through stratified simple random sampling, consisted of 30 individuals. The findings reveal a notable negative correlation between the turnover of articled clerks and the overall quality of audits. This correlation suggests that frequent departures of these clerks adversely affect the firm's audit standards. It was determined that BDO Zimbabwe lacks adequate capacity management strategies, leading to increased staff turnover. To mitigate this issue, the study recommends the implementation of a mandatory tenure system for articled clerks. This system would ensure the retention of expertise and skills essential for maintaining high audit quality. Such a measure could prove instrumental in stabilizing the workforce and preserving the integrity of audit processes. This research contributes to the understanding of staff turnover's impact on audit quality, offering valuable insights for firms in similar contexts. ]]> Impact of Articled Clerk Turnover on Audit Quality: A Study of BDO Zimbabwe Chartered Accountants macdonaldson shati newman wadesango lovemore sitsha doi: 10.56578/jafas090401 Journal of Accounting, Finance and Auditing Studies 12-30-2023 Journal of Accounting, Finance and Auditing Studies 12-30-2023 2023 9 4 Article 388 10.56578/jafas090401 https://www.acadlore.com/article/JAFAS/2023_9_4/jafas090401 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040315 The main results of the macro stress testing exercise in this paper reveal that Malaysia’s banking sector is resilient, well diversified, and highly interconnected. Further, Malaysia has a thriving equity market, large bond market and growing private debt securities. Main results of the baseline scenario suggest a modest change in capital ratios; the post-stress test CAR and Tier 1 capital ratio are -1.64% and -1.38% respectively. The impact of all fundamental shocks on capital ratios under both adverse and severely adverse scenarios is significant. The aggregate capital shortfall in the form of needed capital injection (i.e. cost to the government from failed banks) under adverse scenario is 1.55% of the GDP (or $4.59 billion based on 2015 GDP of $296.22 billion). The capitalization needs became more severe in the severely adverse scenario, $10.52 billion (or 3.55% of 2015 GDP). The important conclusion of the macro stress testing is that no bank failed, faced a liquidation or suspension of license. 09-29-2018 <![CDATA[ <p>The<span style="font-family: Times New Roman, serif"> </span>main<span style="font-family: Times New Roman, serif"> </span>results<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>macro<span style="font-family: Times New Roman, serif"> </span>stress<span style="font-family: Times New Roman, serif"> </span>testing<span style="font-family: Times New Roman, serif"> </span>exercise<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>this<span style="font-family: Times New Roman, serif"> </span>paper<span style="font-family: Times New Roman, serif"> </span>reveal<span style="font-family: Times New Roman, serif"> </span>that<span style="font-family: Times New Roman, serif"> </span>Malaysia’s<span style="font-family: Times New Roman, serif"> </span>banking<span style="font-family: Times New Roman, serif"> </span>sector<span style="font-family: Times New Roman, serif"> </span>is<span style="font-family: Times New Roman, serif"> </span>resilient,<span style="font-family: Times New Roman, serif"> </span>well<span style="font-family: Times New Roman, serif"> </span>diversified,<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>highly<span style="font-family: Times New Roman, serif"> </span>interconnected.<span style="font-family: Times New Roman, serif"> </span>Further,<span style="font-family: Times New Roman, serif"> </span>Malaysia<span style="font-family: Times New Roman, serif"> </span>has<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>thriving<span style="font-family: Times New Roman, serif"> </span>equity<span style="font-family: Times New Roman, serif"> </span>market,<span style="font-family: Times New Roman, serif"> </span>large<span style="font-family: Times New Roman, serif"> </span>bond<span style="font-family: Times New Roman, serif"> </span>market<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>growing<span style="font-family: Times New Roman, serif"> </span>private<span style="font-family: Times New Roman, serif"> </span>debt<span style="font-family: Times New Roman, serif"> </span>securities.<span style="font-family: Times New Roman, serif"> </span>Main<span style="font-family: Times New Roman, serif"> </span>results<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>baseline<span style="font-family: Times New Roman, serif"> </span>scenario<span style="font-family: Times New Roman, serif"> </span>suggest<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>modest<span style="font-family: Times New Roman, serif"> </span>change<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>capital<span style="font-family: Times New Roman, serif"> </span>ratios;<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>post-stress<span style="font-family: Times New Roman, serif"> </span>test<span style="font-family: Times New Roman, serif"> </span>CAR<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>Tier<span style="font-family: Times New Roman, serif"> </span>1<span style="font-family: Times New Roman, serif"> </span>capital<span style="font-family: Times New Roman, serif"> </span>ratio<span style="font-family: Times New Roman, serif"> </span>are -1.64%<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>-1.38%<span style="font-family: Times New Roman, serif"> </span>respectively.<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>impact<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>all<span style="font-family: Times New Roman, serif"> </span>fundamental<span style="font-family: Times New Roman, serif"> </span>shocks<span style="font-family: Times New Roman, serif"> </span>on<span style="font-family: Times New Roman, serif"> </span>capital<span style="font-family: Times New Roman, serif"> </span>ratios<span style="font-family: Times New Roman, serif"> </span>under<span style="font-family: Times New Roman, serif"> </span>both<span style="font-family: Times New Roman, serif"> </span>adverse<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>severely<span style="font-family: Times New Roman, serif"> </span>adverse<span style="font-family: Times New Roman, serif"> </span>scenarios<span style="font-family: Times New Roman, serif"> </span>is<span style="font-family: Times New Roman, serif"> </span>significant.<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>aggregate<span style="font-family: Times New Roman, serif"> </span>capital<span style="font-family: Times New Roman, serif"> </span>shortfall<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>form<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>needed<span style="font-family: Times New Roman, serif"> </span>capital<span style="font-family: Times New Roman, serif"> </span>injection<span style="font-family: Times New Roman, serif"> </span>(i.e.<span style="font-family: Times New Roman, serif"> </span>cost<span style="font-family: Times New Roman, serif"> </span>to<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>government<span style="font-family: Times New Roman, serif"> </span>from<span style="font-family: Times New Roman, serif"> </span>failed<span style="font-family: Times New Roman, serif"> </span>banks)<span style="font-family: Times New Roman, serif"> </span>under<span style="font-family: Times New Roman, serif"> </span>adverse<span style="font-family: Times New Roman, serif"> </span>scenario<span style="font-family: Times New Roman, serif"> </span>is<span style="font-family: Times New Roman, serif"> </span>1.55%<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>GDP<span style="font-family: Times New Roman, serif"> </span>(or<span style="font-family: Times New Roman, serif"> </span>$4.59<span style="font-family: Times New Roman, serif"> </span>billion<span style="font-family: Times New Roman, serif"> </span>based<span style="font-family: Times New Roman, serif"> </span>on<span style="font-family: Times New Roman, serif"> </span>2015<span style="font-family: Times New Roman, serif"> </span>GDP<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>$296.22<span style="font-family: Times New Roman, serif"> </span>billion).<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>capitalization<span style="font-family: Times New Roman, serif"> </span>needs<span style="font-family: Times New Roman, serif"> </span>became<span style="font-family: Times New Roman, serif"> </span>more<span style="font-family: Times New Roman, serif"> </span>severe<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>severely<span style="font-family: Times New Roman, serif"> </span>adverse<span style="font-family: Times New Roman, serif"> </span>scenario,<span style="font-family: Times New Roman, serif"> </span>$10.52<span style="font-family: Times New Roman, serif"> </span>billion<span style="font-family: Times New Roman, serif"> </span>(or<span style="font-family: Times New Roman, serif"> </span>3.55%<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>2015<span style="font-family: Times New Roman, serif"> </span>GDP).<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>important<span style="font-family: Times New Roman, serif"> </span>conclusion<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>macro<span style="font-family: Times New Roman, serif"> </span>stress<span style="font-family: Times New Roman, serif"> </span>testing<span style="font-family: Times New Roman, serif"> </span>is<span style="font-family: Times New Roman, serif"> </span>that<span style="font-family: Times New Roman, serif"> </span>no<span style="font-family: Times New Roman, serif"> </span>bank<span style="font-family: Times New Roman, serif"> </span>failed,<span style="font-family: Times New Roman, serif"> </span>faced<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>liquidation<span style="font-family: Times New Roman, serif"> </span>or<span style="font-family: Times New Roman, serif"> </span>suspension<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>license.</p> ]]> A Macro Stress Testing Framework for Assessing Financial Stability: Evidence from Malaysia john taskinsoy doi: 10.56578/jafas040315 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 284 10.56578/jafas040315 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040315 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040314 One of the goals of sustainable development is expressed as "accessible and clean energy". Large-scale production of global fossil fuels increases emissions of greenhouse gases, resulting in threats to the existence of human and natural environment. For this reason, the use of accessible and clean energy for electricity generation is encouraged by regulations made by countries. In this study, it was tried to explain the legal regulations about unlicensed electricity production in our country and to examine the accounting records in unlicensed electricity production. 09-29-2018 <![CDATA[ One of the goals of sustainable development is expressed as "accessible and clean energy". Large-scale production of global fossil fuels increases emissions of greenhouse gases, resulting in threats to the existence of human and natural environment. For this reason, the use of accessible and clean energy for electricity generation is encouraged by regulations made by countries. In this study, it was tried to explain the legal regulations about unlicensed electricity production in our country and to examine the accounting records in unlicensed electricity production. ]]> Lisanssız Elektrik Üretimi ve Muhasebeye Yansımaları filiz yüksel doi: 10.56578/jafas040314 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 274 10.56578/jafas040314 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040314 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040313 In society, moral rules are all about society. The concept of ethics is also expressed as a Professional phenomenon at the same time as a social phenomen on. This research is designed to express the perception of accounting profession ethics and to set an example for the studies conducted on this field. The results of a survey, which was conducted to accounting profesionals working in Mersin province are given place in the direction in accordance with the purpose of this study. The obtained data were analyzed in the SPSS program and the findings were revealed. Factor analysis, Mann-Whitney and Kruskal Wallis tests are used to analyze the obtained data. The findings showed that participants has a positive perception related to professional accountants to behave in accordance with ethical principles and professional ethics. Moreover, it is seen that perception of participants vary with professional experience, gender, age and state of education. 09-29-2018 <![CDATA[ <p>In society, moral rules are all about society. The concept of ethics is also expressed as a Professional phenomenon at the same time as a social phenomen on. This research is designed to express the perception of accounting profession ethics and to set an example for the studies conducted on this field. The results of a survey, which was conducted to accounting profesionals working in Mersin province are given place in the direction in accordance with the purpose of this study. The obtained data were analyzed in the SPSS program and the findings were revealed. Factor analysis, Mann-Whitney and Kruskal Wallis tests are used to analyze the obtained data. The findings showed that participants has a positive perception related to professional accountants to behave in accordance with ethical principles and professional ethics. Moreover, it is seen that perception of participants vary with professional experience, gender, age and state of education.</p> ]]> Muhasebede Etik İlkeler ve Mersin İlinde Bir Uygulama servet önala i̇smail soner gürbüz doi: 10.56578/jafas040313 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 258 10.56578/jafas040313 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040313 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040312 In terms of the monetary transmission mechanism, one of the canals of influence of the monetary policy on the economy is the stock market. Determining the relationship between monetary policy actions and stock market is important in terms of the monetary transmission actions. The purpose of this study is to investigate the effect of monetary policy shocks as a basic economic shocks on stock markets. In the study, predicting Dynamic Stochastic General Equilibrium model was carried out within framework of Bayesian Approach. The relationship between monetary policy shocks and stock market was investigated by causality analysis. Obtained findings indicate that there is bilateral relation between monetary policy shocks and stock returns. 09-29-2018 <![CDATA[ <p>In terms of the monetary transmission mechanism, one of the canals of influence of the monetary policy on the economy is the stock market. Determining the relationship between monetary policy actions and stock market is important in terms of the monetary transmission actions. The purpose of this study is to investigate the effect of monetary policy shocks as a basic economic shocks on stock markets. In the study, predicting Dynamic Stochastic General Equilibrium model was carried out within framework of Bayesian Approach. The relationship between monetary policy shocks and stock market was investigated by causality analysis. Obtained findings indicate that there is bilateral relation between monetary policy shocks and stock returns.</p> ]]> The Relationship Stock Returns and Monetary Policy Shocks emine kaya doi: 10.56578/jafas040312 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 241 10.56578/jafas040312 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040312 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040311 The profitability of manufacturing companies does not only play the role of improving the market value of that specific company but also leads to the overall growth of the whole sector which translate to improvement on profit level that could be attributable to characteristics possessed by firms. It is on this the study examines the effect of firm attributes on the return on assets of listed companies in Nigeria for a period of five years. The population and sample size of this study comprises of all the 41 listed manufacturing companies in the Nigerian Stock Exchange as at 31 December, 2016. The result of random effect regression provides evidence that all firm attributes apart from operating expenses and firm size had a negative and significant effect on return on asset. Based on this result, the study recommends that listed manufacturing firms should reduce firm size and operating expenses so as to increase the return on assets of their firms and short term cash should not be channeled to fund capital asset. 09-29-2018 <![CDATA[ <p><span>The profitability of manufacturing companies does not only play the role of improving the market value of that specific company but also leads to the overall growth of the whole sector which translate to improvement on profit level that could be attributable to characteristics possessed by firms. It is on this the study examines the effect of firm attributes on the return on assets of listed companies in Nigeria for a period of five years. The population and sample size of this study comprises of all the 41 listed manufacturing companies in the Nigerian Stock Exchange as at 31 December, 2016. The result of random effect regression provides evidence that all firm attributes apart from operating expenses and firm size had a negative and significant effect on return on asset. Based on this result, the study recommends that listed manufacturing firms should reduce firm size and operating expenses so as to increase the return on assets of their firms and short term cash should not be channeled to fund capital asset.</span></p> ]]> Effect of Firm Attributes on Return on Asset of Listed Manufacturing Companies in Nigeria irom marvis irom okpanachi joshua m. nma ahmed a. tope emmanuel doi: 10.56578/jafas040311 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 223 10.56578/jafas040311 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040311 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040310 The paper examines management accounting change and the changing roles of management accountants in two independent organizations in the Nigerian public sector. The sampling population was made up of 100 respondents in the accounts departments of two public sector organizations comprising a public university and a university teaching hospital. Using the Mann Whitney test the paper considers whether there are significant differences between respondents in both organizations on management accounting change, roles of management accountants as well as the drivers and barriers to the change. The results indicate that whereas there are significant differences in some aspects relating to the roles, tasks and skills of management accountants, there are no significant differences in the drivers and barriers in the change in management accountants’ roles. Specifically, we find that the main triggers (drivers) of change in the roles of management accountants are: technology, globalization and competition while the barriers are: management stability, lack of adequate resources and shortage of accounting staffs. The paper concludes that there is change in the roles and tasks performed by management accountants in the public sector. The paper suggests that the results of this study have important implications for the training of management accountants by accounting faculties from universities and professionals bodies. 09-29-2018 <![CDATA[ <p>The paper examines management accounting change and the changing roles of management accountants in two independent organizations in the Nigerian public sector. The sampling population was made up of 100 respondents in the accounts departments of two public sector organizations comprising a public university and a university teaching hospital. Using the Mann Whitney test the paper considers whether there are significant differences between respondents in both organizations on management accounting change, roles of management accountants as well as the drivers and barriers to the change. The results indicate that whereas there are significant differences in some aspects relating to the roles, tasks and skills of management accountants, there are no significant differences in the drivers and barriers in the change in management accountants’ roles. Specifically, we find that the main triggers (drivers) of change in the roles of management accountants are: technology, globalization and competition while the barriers are: management stability, lack of adequate resources and shortage of accounting staffs. The paper concludes that there is change in the roles and tasks performed by management accountants in the public sector. The paper suggests that the results of this study have important implications for the training of management accountants by accounting faculties from universities and professionals bodies.</p> ]]> Change in Management Accountant Roles: A Comparative Study of Two Public Sector Organizations in Nigeria james o. odia r. shedrack oke doi: 10.56578/jafas040310 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 198 10.56578/jafas040310 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040310 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040309 The adoption of International Financial Reporting Standards (IFRSs) in different countries of the world has become a contemporary issue especially with respect to the reliability of financial statements. The study examined the impact of valuation of Loan Loss Provisions (LLPs) on earnings management and capital management during the pre and post-adoption of IFRS for listed deposit money banks (DMBs) in Nigeria. Using an Ex-post facto research design approach, this study utilised secondary data extracted from annual reports and accounts of fifteen (15) DMBs for the period of ten (10) years from 2006 – 2016. The results from the use of multiple regression analysis revealed a significant positive relationship between LLPs and earnings management for both pre and post-IFRS adoption. Furthermore, the study also found a positive insignificant relationship between LLPs and capital management for both pre and post IFRS adoption. 09-29-2018 <![CDATA[ <p>The adoption of International Financial Reporting Standards (IFRSs) in different countries of the world has become a contemporary issue especially with respect to the reliability of financial statements. The study examined the impact of valuation of Loan Loss Provisions (LLPs) on earnings management and capital management during the pre and post-adoption of IFRS for listed deposit money banks (DMBs) in Nigeria. Using an Ex-post facto research design approach, this study utilised secondary data extracted from annual reports and accounts of fifteen (15) DMBs for the period of ten (10) years from 2006 – 2016. The results from the use of multiple regression analysis revealed a significant positive relationship between LLPs and earnings management for both pre and post-IFRS adoption. Furthermore, the study also found a positive insignificant relationship between LLPs and capital management for both pre and post IFRS adoption.</p> ]]> The Impact of International Financial Reporting Standards (IFRSs) Adoption on Financial Reporting Practice in the Nigerian Banking Sector taibat adebukola atoyebi adikwu joseph simon doi: 10.56578/jafas040309 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 170 10.56578/jafas040309 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040309 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040308 The objective of this study is to analyze the effects of the corporate’s characteristics on tax avoidance and to analyze the effects of moderation of earnings management on the relationship between the corporate’s characteristics and tax avoidance. The corporate’s characteristics in this study are proxied by the profitability, the leverage, and the size. This study selected 49 manufacturing companies listed on the Indonesia Stock Exchange of the period of 2012-2016 as samples that were selected by using the cluster random sampling technique. The result of the panel data regression with random effect model shows that the characteristics of a company, namely the profitability and the size have a significant negative effect on tax avoidance, whereas the leverage has a significant positive effect on tax avoidance. The action of the earnings management is able to moderate the effects of the profitability and the leverage on tax avoidance. However, the action of the earnings management is unable to moderate the effects of the size on tax avoidance. 09-29-2018 <![CDATA[ <p>The objective of this study is to analyze the effects of the corporate’s characteristics on tax avoidance and to analyze the effects of moderation of earnings management on the relationship between the corporate’s characteristics and tax avoidance. The corporate’s characteristics in this study are proxied by the profitability, the leverage, and the size. This study selected 49 manufacturing companies listed on the Indonesia Stock Exchange of the period of 2012-2016 as samples that were selected by using the cluster random sampling technique. The result of the panel data regression with random effect model shows that the characteristics of a company, namely the profitability and the size have a significant negative effect on tax avoidance, whereas the leverage has a significant positive effect on tax avoidance. The action of the earnings management is able to moderate the effects of the profitability and the leverage on tax avoidance. However, the action of the earnings management is unable to moderate the effects of the size on tax avoidance.</p> ]]> The Effects of the Corporate’s Characteristics on Tax Avoidance Moderated by Earnings Management (Indonesian Evidence) sasiska rani didik susetyo luk luk fuadah doi: 10.56578/jafas040308 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 149 10.56578/jafas040308 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040308 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040307 The study examines the effect of ownership structure on financial performance of listed insurance firms in Nigeria. Data was collected from the annual reports of 28 insurance firms listed in the Nigerian Stock Exchange for the periods of 2011 to 2016. The ex-post facto was employed by the study to examine the effect of ownership structure on financial performance of listed insurance firms in Nigeria. In addition to the descriptive statistics and correlation, multiple regression technique through panel data methodology was applied for model estimation. Data were subjected to pooled General Least Square, Fixed Effects, and Random Effects regression model to test the hypotheses of the study. Ownership structure proxied by managerial ownership, institutional ownership, and ownership concentration were adopted as independent variables. Firm financial performance as the dependent variables was proxied by Book value per Share. This study found ownership structure having significant positive effect on financial performance of the listed insurance firms except concentrated ownership with negative effect. However, in respect of size and growth of the firms, which form the control variables of the study, there were mixed evidence of their effects on financial performance. The study recommends that in order to enhance the financial performance, insurance firms in Nigeria should increase management equity- holding in the firms as this can stimulate the managers to maximize their efficiency and create more wealth for stakeholders. 09-29-2018 <![CDATA[ <p>The study examines the effect of ownership structure on financial performance of listed insurance firms in Nigeria. Data was collected from the annual reports of 28 insurance firms listed in the Nigerian Stock Exchange for the periods of 2011 to 2016. The ex-post facto was employed by the study to examine the effect of ownership structure on financial performance of listed insurance firms in Nigeria. In addition to the descriptive statistics and correlation, multiple regression technique through panel data methodology was applied for model estimation. Data were subjected to pooled General Least Square, Fixed Effects, and Random Effects regression model to test the hypotheses of the study. Ownership structure proxied by managerial ownership, institutional ownership, and ownership concentration were adopted as independent variables. Firm financial performance as the dependent variables was proxied by Book value per Share. This study found ownership structure having significant positive effect on financial performance of the listed insurance firms except concentrated ownership with negative effect. However, in respect of size and growth of the firms, which form the control variables of the study, there were mixed evidence of their effects on financial performance. The study recommends that in order to enhance the financial performance, insurance firms in Nigeria should increase management equity- holding in the firms as this can stimulate the managers to maximize their efficiency and create more wealth for stakeholders.</p> ]]> Effect of Ownership Structure on Financial Performance of Listed Insurance Firms in Nigeria ohiani danjuma lawal eniola samuel agbi lateef o. mustapha doi: 10.56578/jafas040307 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 123 10.56578/jafas040307 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040307 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040306 This study aims to analyze the influence of intellectual capital on the value of company. Intellectual capital as an independent variable is measured using the Value Added Intellectual Capital (VAIC) component. On the other hand, company value as a dependent variable is proxied with Price to Book Value (PBV). 28 companies are selected based on purposive sampling method that come from retail trade and property & real estate sectors listed on Indonesia Stock Exchange (BEI) from 2014 to 2016. Both panel data procedure analysis and statistical criteria test were conducted. The findings show that the Value Added Capital Employed (VACA), Value Added Human Capital (VAHU), and Structural Capital Value Added (STVA) significantly influence the Price to Book Value (PBV), where VACA has significant positive effect on PBV, while VAHU and STVA have no significant positive effect on PBV. 09-29-2018 <![CDATA[ <p><span>This</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>aims</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>analyze</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>influence</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>intellectual</span><span style="font-family: Times New Roman, serif"> </span><span>capital</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>value</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>company.</span><span style="font-family: Times New Roman, serif"> </span><span>Intellectual</span><span style="font-family: Times New Roman, serif"> </span><span>capital</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>an</span><span style="font-family: Times New Roman, serif"> </span><span>independent</span><span style="font-family: Times New Roman, serif"> </span><span>variable</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>measured</span><span style="font-family: Times New Roman, serif"> </span><span>using</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Value</span><span style="font-family: Times New Roman, serif"> </span><span>Added</span><span style="font-family: Times New Roman, serif"> </span><span>Intellectual</span><span style="font-family: Times New Roman, serif"> </span><span>Capital</span><span style="font-family: Times New Roman, serif"> </span><span>(VAIC)</span><span style="font-family: Times New Roman, serif"> </span><span>component.</span><span style="font-family: Times New Roman, serif"> </span><span>On</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>other</span><span style="font-family: Times New Roman, serif"> </span><span>hand,</span><span style="font-family: Times New Roman, serif"> </span><span>company</span><span style="font-family: Times New Roman, serif"> </span><span>value</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>dependent</span><span style="font-family: Times New Roman, serif"> </span><span>variable</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>proxied</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>Price</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>Book</span><span style="font-family: Times New Roman, serif"> </span><span>Value</span><span style="font-family: Times New Roman, serif"> </span><span>(PBV).</span><span style="font-family: Times New Roman, serif"> </span><span>28</span><span style="font-family: Times New Roman, serif"> </span><span>companies</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>selected</span><span style="font-family: Times New Roman, serif"> </span><span>based</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>purposive</span><span style="font-family: Times New Roman, serif"> </span><span>sampling</span><span style="font-family: Times New Roman, serif"> </span><span>method</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>come</span><span style="font-family: Times New Roman, serif"> </span><span>from</span><span style="font-family: Times New Roman, serif"> </span><span>retail</span><span style="font-family: Times New Roman, serif"> </span><span>trade</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>property</span><span style="font-family: Times New Roman, serif"> </span><span>&</span><span style="font-family: Times New Roman, serif"> </span><span>real</span><span style="font-family: Times New Roman, serif"> </span><span>estate</span><span style="font-family: Times New Roman, serif"> </span><span>sectors</span><span style="font-family: Times New Roman, serif"> </span><span>listed</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>Indonesia</span><span style="font-family: Times New Roman, serif"> </span><span>Stock</span><span style="font-family: Times New Roman, serif"> </span><span>Exchange</span><span style="font-family: Times New Roman, serif"> </span><span>(BEI)</span><span style="font-family: Times New Roman, serif"> </span><span>from</span><span style="font-family: Times New Roman, serif"> </span><span>2014</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>2016.</span><span style="font-family: Times New Roman, serif"> </span><span>Both</span><span style="font-family: Times New Roman, serif"> </span><span>panel</span><span style="font-family: Times New Roman, serif"> </span><span>data</span><span style="font-family: Times New Roman, serif"> </span><span>procedure</span><span style="font-family: Times New Roman, serif"> </span><span>analysis</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>statistical</span><span style="font-family: Times New Roman, serif"> </span><span>criteria</span><span style="font-family: Times New Roman, serif"> </span><span>test</span><span style="font-family: Times New Roman, serif"> </span><span>were</span><span style="font-family: Times New Roman, serif"> </span><span>conducted.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>findings</span><span style="font-family: Times New Roman, serif"> </span><span>show</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Value</span><span style="font-family: Times New Roman, serif"> </span><span>Added</span><span style="font-family: Times New Roman, serif"> </span><span>Capital</span><span style="font-family: Times New Roman, serif"> </span><span>Employed</span><span style="font-family: Times New Roman, serif"> </span><span>(VACA),</span><span style="font-family: Times New Roman, serif"> </span><span>Value</span><span style="font-family: Times New Roman, serif"> </span><span>Added</span><span style="font-family: Times New Roman, serif"> </span><span>Human</span><span style="font-family: Times New Roman, serif"> </span><span>Capital</span><span style="font-family: Times New Roman, serif"> </span><span>(VAHU),</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>Structural</span><span style="font-family: Times New Roman, serif"> </span><span>Capital</span><span style="font-family: Times New Roman, serif"> </span><span>Value</span><span style="font-family: Times New Roman, serif"> </span><span>Added</span><span style="font-family: Times New Roman, serif"> </span><span>(STVA)</span><span style="font-family: Times New Roman, serif"> </span><span>significantly</span><span style="font-family: Times New Roman, serif"> </span><span>influence</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Price</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>Book</span><span style="font-family: Times New Roman, serif"> </span><span>Value</span><span style="font-family: Times New Roman, serif"> </span><span>(PBV),</span><span style="font-family: Times New Roman, serif"> </span><span>where</span><span style="font-family: Times New Roman, serif"> </span><span>VACA</span><span style="font-family: Times New Roman, serif"> </span><span>has</span><span style="font-family: Times New Roman, serif"> </span><span>significant</span><span style="font-family: Times New Roman, serif"> </span><span>positive</span><span style="font-family: Times New Roman, serif"> </span><span>effect</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>PBV,</span><span style="font-family: Times New Roman, serif"> </span><span>while</span><span style="font-family: Times New Roman, serif"> </span><span>VAHU</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>STVA</span><span style="font-family: Times New Roman, serif"> </span><span>have</span><span style="font-family: Times New Roman, serif"> </span><span>no</span><span style="font-family: Times New Roman, serif"> </span><span>significant</span><span style="font-family: Times New Roman, serif"> </span><span>positive</span><span style="font-family: Times New Roman, serif"> </span><span>effect</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>PBV.</span></p> ]]> Intellectual Capital and Stock Market Performance of Retail Trade and Property and Real Estate Industry in Indonesia harry anugerah pradana sulaeman rahman nidar zaenal aripin doi: 10.56578/jafas040306 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 105 10.56578/jafas040306 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040306 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040305 This study aims to determine the effect of administration of State Property, which consists of bookkeeping, inventory, and reporting on the optimization of fixed assets in the Secretariat of the General Election Commission of West Java Province, Indonesia. Questionnaires are distributed to 38 officers whom using and responsible for the use of fixed assets in a room or work location at the Secretariat of the General Election Commission of West Java Province, Indonesia. The finding shows that administration of State Property (bookkeeping, inventory, and reporting of fixed assets) affect the optimization of fixed assets in the Secretariat of the General Election Commission by 55% while the remaining 45% influenced by other factors that are not examined in this study. 09-29-2018 <![CDATA[ <p><span>This</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>aims</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>determine</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>effect</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>administration</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>State</span><span style="font-family: Times New Roman, serif"> </span><span>Property,</span><span style="font-family: Times New Roman, serif"> </span><span>which</span><span style="font-family: Times New Roman, serif"> </span><span>consists</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>bookkeeping,</span><span style="font-family: Times New Roman, serif"> </span><span>inventory,</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>reporting</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>optimization</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>fixed</span><span style="font-family: Times New Roman, serif"> </span><span>assets</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Secretariat</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>General</span><span style="font-family: Times New Roman, serif"> </span><span>Election</span><span style="font-family: Times New Roman, serif"> </span><span>Commission</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>West</span><span style="font-family: Times New Roman, serif"> </span><span>Java</span><span style="font-family: Times New Roman, serif"> </span><span>Province,</span><span style="font-family: Times New Roman, serif"> </span><span>Indonesia.</span><span style="font-family: Times New Roman, serif"> </span><span>Questionnaires</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>distributed</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>38</span><span style="font-family: Times New Roman, serif"> </span><span>officers</span><span style="font-family: Times New Roman, serif"> </span><span>whom</span><span style="font-family: Times New Roman, serif"> </span><span>using</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>responsible</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>use</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>fixed</span><span style="font-family: Times New Roman, serif"> </span><span>assets</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>room</span><span style="font-family: Times New Roman, serif"> </span><span>or</span><span style="font-family: Times New Roman, serif"> </span><span>work</span><span style="font-family: Times New Roman, serif"> </span><span>location</span><span style="font-family: Times New Roman, serif"> </span><span>at</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Secretariat</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>General</span><span style="font-family: Times New Roman, serif"> </span><span>Election</span><span style="font-family: Times New Roman, serif"> </span><span>Commission</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>West</span><span style="font-family: Times New Roman, serif"> </span><span>Java</span><span style="font-family: Times New Roman, serif"> </span><span>Province,</span><span style="font-family: Times New Roman, serif"> </span><span>Indonesia.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>finding</span><span style="font-family: Times New Roman, serif"> </span><span>shows</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>administration</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>State</span><span style="font-family: Times New Roman, serif"> </span><span>Property</span><span style="font-family: Times New Roman, serif"> </span><span>(bookkeeping,</span><span style="font-family: Times New Roman, serif"> </span><span>inventory,</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>reporting</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>fixed</span><span style="font-family: Times New Roman, serif"> </span><span>assets)</span><span style="font-family: Times New Roman, serif"> </span><span>affect</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>optimization</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>fixed</span><span style="font-family: Times New Roman, serif"> </span><span>assets</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Secretariat</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>General</span><span style="font-family: Times New Roman, serif"> </span><span>Election</span><span style="font-family: Times New Roman, serif"> </span><span>Commission</span><span style="font-family: Times New Roman, serif"> </span><span>by</span><span style="font-family: Times New Roman, serif"> </span><span>55%</span><span style="font-family: Times New Roman, serif"> </span><span>while</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>remaining</span><span style="font-family: Times New Roman, serif"> </span><span>45%</span><span style="font-family: Times New Roman, serif"> </span><span>influenced</span><span style="font-family: Times New Roman, serif"> </span><span>by</span><span style="font-family: Times New Roman, serif"> </span><span>other</span><span style="font-family: Times New Roman, serif"> </span><span>factors</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>not</span><span style="font-family: Times New Roman, serif"> </span><span>examined</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>study.</span></p> ]]> Administration and Optimization of Fixed Assets at the Secretariat of Election Commission for West Java Province, Indonesia norhina kurniawaty mokhamad anwar layyinaturrobaniyah doi: 10.56578/jafas040305 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 87 10.56578/jafas040305 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040305 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040304 The wave of global financial crises (2007 – 2008) caused a surge in the capital flows of developed countries particularly, between developed and developing countries. The crisis has hit all financial sectors with unexpected severity and speed. This paper determines the impact of global financial crisis (2007 – 2008) on socially innovative microfinance institutions operating in Pakistan by using descriptive ratio analysis and the Wilcoxon Signed Ranks Test. This paper analyzes performance of MFIs for 15 years i.e., from 2000 – 2014 in three waves: before, during and after the financial crisis. The results show that financial crisis affected performance of all selected MFIs but Thardeep Rural Development Programme (TRDP) showed major changes in three waves of crises. The output of the Wilcoxon Signed Ranks Test confirms that the financial crisis worsened the operations of MFIs in Pakistan. This study will assist microfinance practitioners, policy makers, rural financial institutions, and microfinance institutions in maintaining and developing more effective strategies to survive in such crisis in the future. 09-29-2018 <![CDATA[ <p>The wave of global financial crises (2007 – 2008) caused a surge in the capital flows of developed countries particularly, between developed and developing countries. The crisis has hit all financial sectors with unexpected severity and speed. This paper determines the impact of global financial crisis (2007 – 2008) on socially innovative microfinance institutions operating in Pakistan by using descriptive ratio analysis and the Wilcoxon Signed Ranks Test. This paper analyzes performance of MFIs for 15 years i.e., from 2000 – 2014 in three waves: before, during and after the financial crisis. The results show that financial crisis affected performance of all selected MFIs but Thardeep Rural Development Programme (TRDP) showed major changes in three waves of crises. The output of the Wilcoxon Signed Ranks Test confirms that the financial crisis worsened the operations of MFIs in Pakistan. This study will assist microfinance practitioners, policy makers, rural financial institutions, and microfinance institutions in maintaining and developing more effective strategies to survive in such crisis in the future.</p> ]]> Impact of Global Financial Crisis on Socially Innovative Microfinance Institutions in Pakistan ather azim khan faisal mustafa ambreen khursheed doi: 10.56578/jafas040304 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 67 10.56578/jafas040304 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040304 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040303 The International Financial Reporting Standards (IFRS) has become universal financial reporting language as it is currently used by 166 (85%) (out of 195) countries in the Africa, Americas, Europe, Middle East and Asia and Oceana. Similarly, all eight country members of the South Asian Association for Regional Cooperation (SAARC) include Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka have accepted IFRS for presentation of financial statements of their public companies. In the era of globalistaion and liberalistion, IFRS are performing mounting significant role in the global accounting system. Therefore, this paper was intended to portray the process of convergence of IFRS in global accounting system and to identify the status of SAARC countries in convergence of IFRS. For this reason, secondary sources and review of literature were taken into consideration. The study demonstrated that IFRS set by International Accounting Standards Board (IASB) adopted by all countries have been altered slightly before accepting. The SAARC countries have also made minor modifications in IFRS and accepted in phased manner. The study concluded that the SAARC countries are facing number of problems that should be resolved for better convergence of IFRS. 09-29-2018 <![CDATA[ <p>The International Financial Reporting Standards (IFRS) has become universal financial reporting language as it is currently used by 166 (85%) (out of 195) countries in the Africa, Americas, Europe, Middle East and Asia and Oceana. Similarly, all eight country members of the South Asian Association for Regional Cooperation (SAARC) include Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka have accepted IFRS for presentation of financial statements of their public companies. In the era of globalistaion and liberalistion, IFRS are performing mounting significant role in the global accounting system. Therefore, this paper was intended to portray the process of convergence of IFRS in global accounting system and to identify the status of SAARC countries in convergence of IFRS. For this reason, secondary sources and review of literature were taken into consideration. The study demonstrated that IFRS set by International Accounting Standards Board (IASB) adopted by all countries have been altered slightly before accepting. The SAARC countries have also made minor modifications in IFRS and accepted in phased manner. The study concluded that the SAARC countries are facing number of problems that should be resolved for better convergence of IFRS.</p> ]]> Convergence of IFRS in Global Accounting System: Where do SAARC Countries stand for? shivaji borhade munadhil abd aljabar alsalim ali omer mohammed doi: 10.56578/jafas040303 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 45 10.56578/jafas040303 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040303 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040302 The role of the internal audit becomes more and more important in the process of assessing and managing the own risks that the company deals with. Consequently, the provision of a risk management system and of an effective internal control system, including the internal audit function, is probably the greatest challenge for the management; the internal auditor also has a vital part in this respect. As such, the internal auditor and the manager should be considered as partners within an entity, having the same targets; some of these targets are the effectiveness of the management process and the achievement of the proposed targets. The internal audit has an important part in creating the management’s responsibility, in the sense that the management has to undertake the proposed recommendations and the fact that they should be implemented, with the purpose of avoiding potential risks. Therefore the main purpose of the internal audit activity was oriented towards the effective management of material, human and financial resources, fraud prevention and minimisation of risks regarding the events and transactions that occur within a company. 09-29-2018 <![CDATA[ <p style="text-align: justify"><span style="font-family: Cambria, serif">The</span><span> </span>role<span> </span>of<span> </span>the<span> </span>internal<span> </span>audit<span> </span>becomes<span> </span>more<span> </span>and<span> </span>more<span> </span>important in the process of assessing and managing the own<span> </span>risks that the company deals with. Consequently, the provision<span> </span>of<span> </span>a<span> </span>risk<span> </span>management<span> </span>system<span> </span>and<span> </span>of<span> </span>an<span> </span>effective<span> </span>internal<span> </span>control<span> </span>system,<span> </span>including<span> </span>the<span> </span>internal<span> </span>audit<span> </span>function,<span> </span>is<span> </span>probably<span> </span>the<span> </span>greatest<span> </span>challenge<span> </span>for<span> </span>the<span> </span>management;<span> </span>the<span> </span>internal auditor also has a vital part in this<span> </span>respect.<span> </span>As<span> </span>such,<span> </span>the internal auditor and the manager should be considered as<span> </span>partners within an entity, having the same targets; some of<span> </span>these targets are the effectiveness of the management process<span> </span>and<span> </span>the<span> </span>achievement<span> </span>of<span> </span>the<span> </span>proposed<span> </span>targets.<span> </span>The<span> </span>internal<span> </span>audit<span> </span>has<span> </span>an<span> </span>important<span> </span>part<span> </span>in<span> </span>creating<span> </span>the<span> </span>management’s<span> </span>responsibility,<span> </span>in<span> </span>the<span> </span>sense<span> </span>that<span> </span>the<span> </span>management<span> </span>has<span> </span>to<span> </span>undertake the proposed recommendations and the fact that<span> </span>they<span> </span>should<span> </span>be<span> </span>implemented,<span> </span>with<span> </span>the<span> </span>purpose<span> </span>of<span> </span>avoiding<span> </span>potential<span> </span>risks.<span> </span>Therefore<span> </span>the<span> </span>main<span> </span>purpose<span> </span>of<span> </span>the<span> </span>internal<span> </span>audit activity was oriented towards the effective management<span> </span>of material, human and financial resources, fraud prevention<span> </span>and<span> </span>minimisation<span> </span>of<span> </span>risks<span> </span>regarding<span> </span>the<span> </span>events<span> </span>and<span> </span>transactions that<span> </span>occur<span> </span>within<span> </span>a<span> </span>company.</p> ]]> The Role and Key Objectives of the Company’s Internal Audit Process cristina iovu doi: 10.56578/jafas040302 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 19 10.56578/jafas040302 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040302 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040301 This study examines the effect of deferred tax and accruals on the persistence of earnings. Firms with either large (small) deferred tax and large (small) accruals are predicted to exhibit low (high) earnings persistence. Using a sample of 1,609 firm-year observations from 2007 to 2014 from the Indonesia Stock Exchange (IDX), results of this study were consistent with the predictions, deferred tax and accruals had negative effects on earnings persistence. These results remained qualitatively unchanged after controlling for industry sector dummy variables and year dummy variables. When the sample was split into two groups, positive and negative accruals subsamples, the findings showed consistent results of the negative effect of accruals on earnings persistent. However, when the sample was split into two groups, positive and negative deferred tax subsamples, the results showed the negative effect of the deferred tax on earnings persistence but only for positive deferred tax subsample. 09-29-2018 <![CDATA[ <p style="text-align: justify"><span>This study examines the effect of deferred tax and accruals on the persistence of earnings. Firms with either large (small) deferred tax and large (small) accruals are predicted to exhibit low (high) earnings persistence. Using a sample of 1,609 firm-year observations from 2007 to 2014 from the Indonesia Stock Exchange (IDX), results of this study were consistent with the predictions, deferred tax and accruals had negative effects on earnings persistence. These results remained qualitatively unchanged after controlling for industry sector dummy variables and year dummy variables. When the sample was split into two groups, positive and negative accruals subsamples, the findings showed consistent results of the negative effect of accruals on earnings persistent. However, when the sample was split into two groups, positive and negative deferred tax subsamples, the results showed the negative effect of the deferred tax on earnings persistence but only for positive deferred tax subsample.</span></p> ]]> The Impact of Deferred Tax and Accruals on the Earnings Persistence of Companies in the Non-Financial Sectors Listed on the Indonesia Stock Exchange arum kusumaningdyah adiati rahmawati rahmawati bandi bandi doi: 10.56578/jafas040301 Journal of Accounting, Finance and Auditing Studies 09-29-2018 Journal of Accounting, Finance and Auditing Studies 09-29-2018 2018 4 3 Article 1 10.56578/jafas040301 https://www.acadlore.com/article/JAFAS/2018_4_3/jafas040301 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040209 Integrated Reporting is defined as the process of transferring the value created as a result of business activities carried out on the basis of integrated thinking to the information users through an integrated report. As described in the International Integrated Reporting Framework, integrated reporting can be prepared by private sector entities as well as by public institutions. In the literature, the benefits that the adoption of the integrated reporting process will provide to public institutions are revealed. This study is intended to determine the feasibility of integrated reporting in public institutions in Turkey. In accordance with this purpose, in this study, integrated reporting, the benefits of integrated reporting, integrated reporting is explained with the help of theoretical studies and examples in public institutions, integrated reporting applicability in public institutions in Turkey have been studied by comparing the International Integrated Reporting Framework guiding principles and content item with current regulations. As a result of our research, it can be said that integrated reporting can be implemented in public institutions in our contry by making certain regulations in "Regulation on Activity Reports to be Prepared for Public Administrations". 06-29-2018 <![CDATA[ <p><span>Integrated Reporting is defined as the process of transferring the value created as a result of business activities carried out on the basis of integrated thinking to the information users through an integrated report. As described in the International Integrated Reporting Framework, integrated reporting can be prepared by private sector entities as well as by public institutions. In the literature, the benefits that the adoption of the integrated reporting process will provide to public institutions are revealed. This study is intended to determine the feasibility of integrated reporting in public institutions in Turkey. In accordance with this purpose, in this study, integrated reporting, the benefits of integrated reporting, integrated reporting is explained with the help of theoretical studies and examples in public institutions, integrated reporting applicability in public institutions in Turkey have been studied by comparing the International Integrated Reporting Framework guiding principles and content item with current regulations. As a result of our research, it can be said that integrated reporting can be implemented in public institutions in our contry by making certain regulations in "Regulation on Activity Reports to be Prepared for Public Administrations".</span></p> ]]> Integrated Reporting and Applicability in Public Institutions: The Case of Turkey filiz yüksel doi: 10.56578/jafas040209 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 139 10.56578/jafas040209 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040209 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040208 It is necessary to clarify “the key audit matters within the auditor’s report” due to the publishing of International Standard on Auditing (ISA) 701: Reporting Key Audit Matters within the Independent Auditor’s Report, in 2017. The mentioned key audit matters are the most important ones for the auditing of current term’s financial tables according to the auditor’s professional reasoning. The aim of the study is explaining the basis relating the detecting of key audit matters and their presentation in the framework of ISA 701; to perform a content analysis about which key audit matters are detected within the independent auditor’s reports for 2017 financial term belonged to the companies listed in Istanbul Stock Exchange. Hence; audit reports of 140 companies are analyzed through the aim of the study also quantitative and qualitative methods are employed about the key audit matters. The most common matters detected within the mentioned reports herein are as the following: Sales, Accounts Receivables, Inventories, Tangible Assets and Investment Properties. 06-29-2018 <![CDATA[ <p><span>It is necessary to clarify “the key audit matters within the auditor’s report” due to the publishing of International Standard on Auditing (ISA) 701: Reporting Key Audit Matters within the Independent Auditor’s Report, in 2017. The mentioned key audit matters are the most important ones for the auditing of current term’s financial tables according to the auditor’s professional reasoning. The aim of the study is explaining the basis relating the detecting of key audit matters and their presentation in the framework of ISA 701; to perform a content analysis about which key audit matters are detected within the independent auditor’s reports for 2017 financial term belonged to the companies listed in Istanbul Stock Exchange. Hence; audit reports of 140 companies are analyzed through the aim of the study also quantitative and qualitative methods are employed about the key audit matters. The most common matters detected within the mentioned reports herein are as the following: Sales, Accounts Receivables, Inventories, Tangible Assets and Investment Properties.</span></p> ]]> Reporting Key Audit Matters within the Independent Audit’s Report and A Study on The Companies Listed in Istanbul Stock Exchange ahmet gökgöz doi: 10.56578/jafas040208 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 126 10.56578/jafas040208 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040208 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040207 Today, it has been arguing about the limits of welfare models in which ongoing discussions are on the fight against poverty and deprivation play an important role. What should be the role of government? May the implementations of welfare models face with crisis? Is it possible to set socioeconomic limits to the level of redistribution which is being set by welfare state implementations and financing practices? What should be the role of government about social protection implementations which are being applied for the disadvantaged groups who forced to fight poverty and deprivation. All these questions require an comprehensive analytical study on social protection implementations. The role of social protection expenditures which can be a criteria to test the meaning of ''social'' concept in social state on social solidarity, its level in public social protection spendings and predictability of beneficiariers' social protection costs to social state are very important issues to provide sustainability.The aim of the study is to interpret the optimization and measurement of the efficiency of the effectiveness of social protection expenditures with the vortex optimization algorithm from artificial intelligence evaluation techniques which is a different and contemporary technique. The results of the study on social protection expenditure in Turkey has concluded that the optimization. 06-29-2018 <![CDATA[ <p>Today, it has been arguing about the limits of welfare models in which ongoing discussions are on the fight against poverty and deprivation play an important role. What should be the role of government? May the implementations of welfare models face with crisis? Is it possible to set socioeconomic limits to the level of redistribution which is being set by welfare state implementations and financing practices? What should be the role of government about social protection implementations which are being applied for the disadvantaged groups who forced to fight poverty and deprivation. All these questions require an comprehensive analytical study on social protection implementations. The role of social protection expenditures which can be a criteria to test the meaning of ''social'' concept in social state on social solidarity, its level in public social protection spendings and predictability of beneficiariers' social protection costs to social state are very important issues to provide sustainability.The aim of the study is to interpret the optimization and measurement of the efficiency of the effectiveness of social protection expenditures with the vortex optimization algorithm from artificial intelligence evaluation techniques which is a different and contemporary technique. The results of the study on social protection expenditure in Turkey has concluded that the optimization.</p> ]]> Sosyal Koruma Harcamalarının Yapay Zeka Değerlendirme Tekniklerinden Girdap Optimizasyon Algoritması Aracılığı İle Maliyet Analizi (Cost Analysis of Artificial Intelligence Assessment Techniques of Social Protection Expenditures by Vortex Optimization Algorithm) ayşenur tarakçıoğlu altınay doi: 10.56578/jafas040207 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 106 10.56578/jafas040207 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040207 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040206 Transaction volume of crypto currencies, which is generally known by Bitcoin, has reached a significant size worldwide, today. Though they are not recognized by law in common, yet; the crypto currencies attract firms due to their higher revenue rates, transferable skills and lower transaction costs. Today the firms can pay and collect their receivables by the crypto currencies also they invest in crypto currencies to benefit from exchange rates. The aim of the study is evaluating the accounting of Bitcoin in Turkey by presenting the process and features of crypto currencies, especially Bitcoin. 06-29-2018 <![CDATA[ <p>Transaction volume of crypto currencies, which is generally known by Bitcoin, has reached a significant size worldwide, today. Though they are not recognized by law in common, yet; the crypto currencies attract firms due to their higher revenue rates, transferable skills and lower transaction costs. Today the firms can pay and collect their receivables by the crypto currencies also they invest in crypto currencies to benefit from exchange rates. The aim of the study is evaluating the accounting of Bitcoin in Turkey by presenting the process and features of crypto currencies, especially Bitcoin.</p> ]]> Kripto Para Birimleri ve Türkiye’de Bitcoin Muhasebesi (Crypto Currencies and Accounting of Bitcoin in Turkey) ahmet selçuk dizkırıcı ahmet gökgöz doi: 10.56578/jafas040206 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 92 10.56578/jafas040206 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040206 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040205 There are three accounting regulations that are used within scope of authenticity in Turkey. These are General Communique on Implementation of Accounting System that has been used since 1994, Turkish Accounting / Financial Reporting Standards that has been implemented since 2004 and Enterprise Financial Reporting Standards for Small and Medium Sized Enterprise that will be compulsorily used as of 2018. Each accounting regulation has unique rules for calculating depreciation. While these accounting regulations set standards for calculating depreciation, tax codes also have rules for calculating depreciation. Depreciation rules set forth by accounting regulation and tax codes vary.This article aims comparing depreciation procedures based on accounting regulations in order to reveal out similarities and differences between the accounting regulations and to discuss how the tax effect arising out of the differences between tax rules and accounting regulations should be traced. Thus, practitioners will have the opportunity to see and compare all rules pertaining to depreciation accounting. Literature review method is used to achieve this target. 06-29-2018 <![CDATA[ <p>There are three accounting regulations that are used within scope of authenticity in Turkey. These are General Communique on Implementation of Accounting System that has been used since 1994, Turkish Accounting / Financial Reporting Standards that has been implemented since 2004 and Enterprise Financial Reporting Standards for Small and Medium Sized Enterprise that will be compulsorily used as of 2018. Each accounting regulation has unique rules for calculating depreciation. While these accounting regulations set standards for calculating depreciation, tax codes also have rules for calculating depreciation. Depreciation rules set forth by accounting regulation and tax codes vary.</p><p>This article aims comparing depreciation procedures based on accounting regulations in order to reveal out similarities and differences between the accounting regulations and to discuss how the tax effect arising out of the differences between tax rules and accounting regulations should be traced. Thus, practitioners will have the opportunity to see and compare all rules pertaining to depreciation accounting. Literature review method is used to achieve this target.</p> ]]> Türkiye’deki Yasal Düzenlemelere Göre Amortisman Uygulamaları ve Vergi Etkisine Yönelik Değerlendirme(Depreciation Procedures by Accountings Systems in Turkey and Evaluation Regarding Tax Effect) engin dinç esra atabay doi: 10.56578/jafas040205 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 67 10.56578/jafas040205 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040205 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040204 This study examines the impact of working capital management on the financial performance of listed conglomerate companies in Nigeria for a period of ten (10) years (2005-2014). Data for the study were quantitatively retrieved from the annual reports and accounts of the studied companies. The study employed descriptive statistics to describe the variable while the relationships among the variables were established via correlation. Variable Inflation Factor (VIF) was used to determine the existence or otherwise of multi-collinearity while Ordinary Least Square (OLS) Regression was used to analyze the data. It was found that debtors collection period, creditors payment period and firm size were negatively related to return on investment while cash conversion cycle has positive but insignificant relationship with the financial performance of the studied companies. The study however, recommends among others that listed conglomerate companies should maintain the current debtors’ collection period or further reduce it in order to continue to enhance financial performance. 06-29-2018 <![CDATA[ <p>This study examines the impact of working capital management on the financial performance of listed conglomerate companies in Nigeria for a period of ten (10) years (2005-2014). Data for the study were quantitatively retrieved from the annual reports and accounts of the studied companies. The study employed descriptive statistics to describe the variable while the relationships among the variables were established via correlation. Variable Inflation Factor (VIF) was used to determine the existence or otherwise of multi-collinearity while Ordinary Least Square (OLS) Regression was used to analyze the data. It was found that debtors collection period, creditors payment period and firm size were negatively related to return on investment while cash conversion cycle has positive but insignificant relationship with the financial performance of the studied companies. The study however, recommends among others that listed conglomerate companies should maintain the current debtors’ collection period or further reduce it in order to continue to enhance financial performance.</p> ]]> Working Capital Management and Financial Performance of Listed Conglomerate Companies in Nigeria daniya a. abdulazeez n. alhaji baba k. ruth fatima y. abdulrahaman doi: 10.56578/jafas040204 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 49 10.56578/jafas040204 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040204 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040203 The purpose of the study is to examine the effect of financial performance on sustainability disclosure and then to examine the effect of sustainability disclosure on firm value. Sustainability disclosure is treated as a mediating variable, therefore an investigation of the indirect effect of financial performance on firm value is required to accomplish the mediating effect. It is predicted that lower leverage and higher firm size, higher liquidity, as well as higher profitability will motivate companies’ management to convey more their sustainability disclosure. This action should increase firm value. The sample used in this study is companies listed on the Jakarta Islamic Index (JII) for the period 2013 – 2015. The study uses path analysis to examine the hypothesis.The results present that higher liquidity emboldens management to convey more sustainability disclosure. Higher sustainability disclosure increase firm value significantly. However, the effect of leverage, profitability, and firm size is not significant. Regarding the indirect effect of financial performance on firm value, the results show that leverage and profitability have a positively indirect effect on firm value. However, size and liquidity have no indirect effect on firm value. This means that the increase of leverage and profitability will encourage management to publish more sustainability disclosure and it will increase firm value of companies listed on the Jakarta Islamic Index. 06-29-2018 <![CDATA[ <p>The purpose of the study is to examine the effect of financial performance on sustainability disclosure and then to examine the effect of sustainability disclosure on firm value. Sustainability disclosure is treated as a mediating variable, therefore an investigation of the indirect effect of financial performance on firm value is required to accomplish the mediating effect. It is predicted that lower leverage and higher firm size, higher liquidity, as well as higher profitability will motivate companies’ management to convey more their sustainability disclosure. This action should increase firm value. The sample used in this study is companies listed on the Jakarta Islamic Index (JII) for the period 2013 – 2015. The study uses path analysis to examine the hypothesis.</p><p>The results present that higher liquidity emboldens management to convey more sustainability disclosure. Higher sustainability disclosure increase firm value significantly. However, the effect of leverage, profitability, and firm size is not significant. Regarding the indirect effect of financial performance on firm value, the results show that leverage and profitability have a positively indirect effect on firm value. However, size and liquidity have no indirect effect on firm value. This means that the increase of leverage and profitability will encourage management to publish more sustainability disclosure and it will increase firm value of companies listed on the Jakarta Islamic Index.</p> ]]> The Mediating Effect of Sustainability Disclosure on the Relationship between Financial Performance and Firm Value yossi diantimala doi: 10.56578/jafas040203 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 32 10.56578/jafas040203 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040203 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040202 The aim of this research is to examine the effect of firm characteristics on profitability of listed consumer goods companies in Nigeria. Profitability is the dependent variable proxied by Return on sales (ROS), while firm characteristics is the independent variable proxied by firm age, firm size, sales growth, liquidity and leverage. The population of the study consists of twenty two (22) listed consumer goods companies as at 31st December, 2016. Eighteen of the listed consumer goods companies are selected to form the sample of the study for the period of six years (2011-2016). The study employed multiple regressions as tool for analysis. A hypothesis was formulated and tested for the study; which states that: Firm characteristics have no significant effect on profitability of listed consumer goods companies in Nigeria. Secondary data obtained from the financial statements of the companies were analyzed. Panel data techniques (fixed and random effects models) were utilized to examine the effect of firm characteristics on profitability and Hausman specification test confirmed that random effects model was more appropriate for the study. The results show that firm size, sales growth and leverage have significant effects on profitability. In contrast, firm age and liquidity are not significantly affecting profitability of listed consumer goods companies in Nigeria. The study therefore recommended that, consumer goods companies in Nigeria should conduct careful evaluation and take into consideration the firm characteristics (firm size, sales growth, and leverage) that affect the profits of the company before making major business decisions as this will help in improving their profitability. 06-29-2018 <![CDATA[ <p>The aim of this research is to examine the effect of firm characteristics on profitability of listed consumer goods companies in Nigeria. Profitability is the dependent variable proxied by Return on sales (ROS), while firm characteristics is the independent variable proxied by firm age, firm size, sales growth, liquidity and leverage. The population of the study consists of twenty two (22) listed consumer goods companies as at 31st December, 2016. Eighteen of the listed consumer goods companies are selected to form the sample of the study for the period of six years (2011-2016). The study employed multiple regressions as tool for analysis. A hypothesis was formulated and tested for the study; which states that: Firm characteristics have no significant effect on profitability of listed consumer goods companies in Nigeria. Secondary data obtained from the financial statements of the companies were analyzed. Panel data techniques (fixed and random effects models) were utilized to examine the effect of firm characteristics on profitability and Hausman specification test confirmed that random effects model was more appropriate for the study. The results show that firm size, sales growth and leverage have significant effects on profitability. In contrast, firm age and liquidity are not significantly affecting profitability of listed consumer goods companies in Nigeria. The study therefore recommended that, consumer goods companies in Nigeria should conduct careful evaluation and take into consideration the firm characteristics (firm size, sales growth, and leverage) that affect the profits of the company before making major business decisions as this will help in improving their profitability.</p> ]]> Effect of Firm Characteristics on Profitability of Listed Consumer Goods Companies in Nigeria dioha charles mohammed nma ahmed okpanachi joshua doi: 10.56578/jafas040202 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 14 10.56578/jafas040202 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040202 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040201 The purpose of this study is to analyze the effect of macroeconomic variables, namely GDP, Inflation and Unemployment to credit risk in Islamic banking of Indonesia. The data for this study were collected from secondary sources via Statistics Center Indonesia (BPS) and financial statements of the 7 Islamic bank of Indonesia. The data used are the annual ones from 2009 to 2016. This research uses an explanatory analysis. The test is a panel data regression testing using Eviews 9. The result of panel data regression with random effect model consisted gross domestic product (GDP) and unemployment rate (UNEMP) have a significant negative effect on credit risk of Islamic banking in Indonesia. While the inflation variable has a negative but statistically insignificant effect on credit risk in Islamic banking system of Indonesia. 06-29-2018 <![CDATA[ <p><span>The purpose of this study is to analyze the effect of macroeconomic variables, namely GDP, Inflation and Unemployment to credit risk in Islamic banking of Indonesia. The data for this study were collected from secondary sources via Statistics Center Indonesia (BPS) and financial statements of the 7 Islamic bank of Indonesia. The data used are the annual ones from 2009 to 2016. This research uses an explanatory analysis. The test is a panel data regression testing using Eviews 9. The result of panel data regression with random effect model consisted gross domestic product (GDP) and unemployment rate (UNEMP) have a significant negative effect on credit risk of Islamic banking in Indonesia. While the inflation variable has a negative but statistically insignificant effect on credit risk in Islamic banking system of Indonesia.</span></p> ]]> Credit Risk and Macroeconomics of Islamic Banking in Indonesia kharisya ayu effendi rozmita dewi yuniarti doi: 10.56578/jafas040201 Journal of Accounting, Finance and Auditing Studies 06-29-2018 Journal of Accounting, Finance and Auditing Studies 06-29-2018 2018 4 2 Article 1 10.56578/jafas040201 https://www.acadlore.com/article/JAFAS/2018_4_2/jafas040201 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040110 There are various financial instruments traded on the market today in order to provide funds who are in need also offering financial options for the investors to evaluate their own funds. Real estate certificates are also included among the mentioned instruments within the market by the arrangements have been held recently. The real estate certificate is a capital market instrument issued in order to finance real estate projects of the issuers which are being built or to be built, having equal nominal values that represent certain independent units of a real estate project or a certain area unit of the indepent units. These certificates are considered to be a significant financial instrument to meet the funding need of construction firms within the construction industry which is having a dominant role in Turkish economy. The fundamental regulation-in force, relating the mentioned certificates in Turkey, is the “Real Estate Certificates Issue” within the Official Gazette of the Republic of Turkey published on July 5th, 2013 Number: 28698. The mentioned study is updated by the following changes which are issued in the Official Gazette published on 3rd August 2016 Number: 29790, 7th March 2017 Number: 30000 and 29th November 2017 Number: 30255. The aim of this study is presenting the real estate certificates within the framework of relating legal regulations and explaining the accounting process of the mentioned certificates. 03-30-2018 <![CDATA[ <p>There are various financial instruments traded on the market today in order to provide funds who are in need also offering financial options for the investors to evaluate their own funds. Real estate certificates are also included among the mentioned instruments within the market by the arrangements have been held recently. The real estate certificate is a capital market instrument issued in order to finance real estate projects of the issuers which are being built or to be built, having equal nominal values that represent certain independent units of a real estate project or a certain area unit of the indepent units. These certificates are considered to be a significant financial instrument to meet the funding need of construction firms within the construction industry which is having a dominant role in Turkish economy. The fundamental regulation-in force, relating the mentioned certificates in Turkey, is the “Real Estate Certificates Issue” within the Official Gazette of the Republic of Turkey published on July 5th, 2013 Number: 28698. The mentioned study is updated by the following changes which are issued in the Official Gazette published on 3rd August 2016 Number: 29790, 7th March 2017 Number: 30000 and 29th November 2017 Number: 30255. The aim of this study is presenting the real estate certificates within the framework of relating legal regulations and explaining the accounting process of the mentioned certificates.</p> ]]> Türkiye’de Gayrimenkul Sertifikaları ve Muhasebe Uygulamaları (Real Estate Certificates and Accounting Applications in Turkey) ahmet gökgöz ahmet selçuk dizkırıcı doi: 10.56578/jafas040110 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 167 10.56578/jafas040110 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040110 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040109 Linearization of portfolio optimization plays a central role in financial studies, since linear problem allows for performing sensitivity analysis. This concept makes it possible to measure the variation of parameters as a result of variation of one parameter in a linear problem, without solving the problem from scratch. Based on the existing literatures, the approach of CVaR (conditional value at risk) method outperforms other methods, therefore in this study CVaR is applied as a constraint to change portfolio optimization problem into a linear problem. The coefficient of objective function of mentioned method for a portfolio includes average of asset returns, which are highly correlated. Here principal component analysis is employed to convert the correlation of the functional relations. An example of stock market is employed to substantiate the validity of method. Finally, we verify that the result of the presented method is closer to the ideal result. 03-30-2018 <![CDATA[ <p>Linearization of portfolio optimization plays a central role in financial studies, since linear problem allows for performing sensitivity analysis. This concept makes it possible to measure the variation of parameters as a result of variation of one parameter in a linear problem, without solving the problem from scratch. Based on the existing literatures, the approach of CVaR (conditional value at risk) method outperforms other methods, therefore in this study CVaR is applied as a constraint to change portfolio optimization problem into a linear problem. The coefficient of objective function of mentioned method for a portfolio includes average of asset returns, which are highly correlated. Here principal component analysis is employed to convert the correlation of the functional relations. An example of stock market is employed to substantiate the validity of method. Finally, we verify that the result of the presented method is closer to the ideal result.</p> ]]> Sensitivity Analysis of Asset Allocation: In the Presence of Correlation somayeh madadpour payam hanafizadeh reza habibi doi: 10.56578/jafas040109 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 151 10.56578/jafas040109 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040109 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040108 This paper examined the influence of accountants’ ethics on fraud control. Data were drawn from a review of the literature on ethics and fraud. Using content analysis, major ethical considerations, fraud risk factors, control procedures and the effects of internal control system on fraud detection in Banks were identified. Scholars reached a conclusion in which fraud and fraudulent activities are found to have inflicted severe financial difficulties on Banks and their customers. However, findings indicate that the national value system greatly moderates the extent to which ethics, illustrating from the accountants perspective minimises fraud. Consequently, a fraud control model was developed highlighting the national value system factor in fraud management. The people’s behavioural pattern and philosophy anchored on ethical considerations should reflect honesty, integrity and value of knowledge. This will enhance productivity and good corporate governance. In this manner, fraud will be reduced. 03-30-2018 <![CDATA[ <p>This paper examined the influence of accountants’ ethics on fraud control. Data were drawn from a review of the literature on ethics and fraud. Using content analysis, major ethical considerations, fraud risk factors, control procedures and the effects of internal control system on fraud detection in Banks were identified. Scholars reached a conclusion in which fraud and fraudulent activities are found to have inflicted severe financial difficulties on Banks and their customers. However, findings indicate that the national value system greatly moderates the extent to which ethics, illustrating from the accountants perspective minimises fraud. Consequently, a fraud control model was developed highlighting the national value system factor in fraud management. The people’s behavioural pattern and philosophy anchored on ethical considerations should reflect honesty, integrity and value of knowledge. This will enhance productivity and good corporate governance. In this manner, fraud will be reduced.</p> ]]> Accountants’ Ethics and Fraud Control in Nigeria: The Emergence of a Fraud Control Model loveday a. nwanyanwu doi: 10.56578/jafas040108 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 130 10.56578/jafas040108 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040108 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040107 The aim of the study is to reveal the relationship between Turkey's foreign trade and economic growth. In the analyzes, import, export and gross domestic product datas of 1923-2016 period of Turkish economy were used. For empirical examination has been benefited from causality tests. The result of the study is the existence of import-led economic growth. 03-30-2018 <![CDATA[ <p>The aim of the study is to reveal the relationship between Turkey's foreign trade and economic growth. In the analyzes, import, export and gross domestic product datas of 1923-2016 period of Turkish economy were used. For empirical examination has been benefited from causality tests. The result of the study is the existence of import-led economic growth.</p> ]]> Cumhuriyetten Günümüze Türkiye’nin Dış Ticaret ve Ekonomik Büyüme İlişkisi Üzerine Nedensellik Analizi (A Causality Analysis Over the Relationship Between Economic Growth and Foreign Trade of Turkey From the Foundation of Republic to Now) rabia aktaş şenkardeşler doi: 10.56578/jafas040107 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 108 10.56578/jafas040107 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040107 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040106 The objective of this research was to determine the current status of the application of the OHADA accounting system in DRC, five years after its adoption. A survey was conducted on thirty small and medium-sized enterprises in Bukavu to determine the level of compliance with the SYSCOHADA principles, the degree of harmonization of accounting practices and the difficulties related to the application of this system. The results shown consistently that compliance with Syscohada principles is not absolute, the level of Harmonization is still low and finally companies in DRC still need time to fit into the OHADA accounting system. 03-30-2018 <![CDATA[ <p>The objective of this research was to determine the current status of the application of the OHADA accounting system in DRC, five years after its adoption. A survey was conducted on thirty small and medium-sized enterprises in Bukavu to determine the level of compliance with the SYSCOHADA principles, the degree of harmonization of accounting practices and the difficulties related to the application of this system. </p><p>The results shown consistently that compliance with Syscohada principles is not absolute, the level of Harmonization is still low and finally companies in DRC still need time to fit into the OHADA accounting system. </p> ]]> Application of the OHADA Accounting System by Companies in DRC, Current Status and Prospects: Case of the City of Bukavu kulondwa safari nshobole bahirwe nathalie doi: 10.56578/jafas040106 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 93 10.56578/jafas040106 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040106 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040105 Tax evasion has always being a bane to any tax system and there are diverse arguments on tax audit and investigation as a curb to this anathema. Based on this, the study examined the application of tax audit and investigation on tax evasion control in Nigeria. It specifically investigated the impact of desk audit-DEKAUD, field audit-FIAUD, back duty auditBAKAUD and tax investigation-TAXINV on tax evasion control in Nigeria. Relevant data was sourced fromthe administration of questionnaire and response from it analyzed with ordered logistic regression and Spearman's rho measure of association. It was revealed that from the Likelihood ratio test: Chisquare(4)= 325.11 [0.0000] and cut1 to cut11 that the overall model is significant at 5% levelin explaining the variation in tax evasion control in Nigeria. DEKAUD has a tendency to significantly reduce the occurrence of tax fraud in Nigeria (z=5.8743, p0.05).It was concluded that tax audit in the form of desk and back duty are highly instrumental in the reduction in tax evasion, while tax investigation and field audit does not influence the control of tax frauds in the form of evasion. The study recommended that revenue agency should frequently engage in desk and field audit as they both contribute largely to the control of tax evasion in the country, while in the conduct of field audit and tax investigation, they must put in place adequate machinery in the form security personnel to help protect tax inspectors so as to mitigate the occurrence of fracas between tax inspectors and tax evaders which makes it impact not to be felt on tax evasion control. 03-30-2018 <![CDATA[ <p>Tax evasion has always being a bane to any tax system and there are diverse arguments on tax audit and investigation as a curb to this anathema. Based on this, the study examined the application of tax audit and investigation on tax evasion control in Nigeria. It specifically investigated the impact of desk audit-DEKAUD, field audit-FIAUD, back duty auditBAKAUD and tax investigation-TAXINV on tax evasion control in Nigeria. Relevant data was sourced fromthe administration of questionnaire and response from it analyzed with ordered logistic regression and Spearman's rho measure of association. It was revealed that from the Likelihood ratio test: Chisquare(4)= 325.11 [0.0000] and cut1 to cut11 that the overall model is significant at 5% levelin explaining the variation in tax evasion control in Nigeria. DEKAUD has a tendency to significantly reduce the occurrence of tax fraud in Nigeria (z=5.8743, p<0.00001); FIAUD indicated effect of 0.14 (z=, p=0.15720) on tax evasion control in the country; BKAUD showed significant influence on the control of tax evasion (z=4.1856, p<0.05); Tax investigation does not influence significantly the level of fraud control (z= 1.1017, p>0.05).It was concluded that tax audit in the form of desk and back duty are highly instrumental in the reduction in tax evasion, while tax investigation and field audit does not influence the control of tax frauds in the form of evasion. The study recommended that revenue agency should frequently engage in desk and field audit as they both contribute largely to the control of tax evasion in the country, while in the conduct of field audit and tax investigation, they must put in place adequate machinery in the form security personnel to help protect tax inspectors so as to mitigate the occurrence of fracas between tax inspectors and tax evaders which makes it impact not to be felt on tax evasion control. </p> ]]> Application of Tax Audit and Investigation on Tax Evasion Control in Nigeria clement olatunji olaoye ayobolawole adewale ogundipe doi: 10.56578/jafas040105 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 79 10.56578/jafas040105 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040105 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040104 This Paper aims to examine the impact of the implementation of Loan to Deposit Ratio (LDR) Regulation on income smoothing practice of commercial banks in Indonesia. The LDR Regulation is industry- specific regulation. There are conflicting arguments regarding the ability of industry-specific regulation in reducing income smoothing of banks. The samples used in this research are 28 listed commercial banks in Indonesia for the periods 2008 - 2011. Overall, there are 112 bank-annual observations. The test focuses specifically on panel time series cross-sectional models. A T-test of Fixed effects model of panel data and paired sample t-test are used to test the hypothesis. The result indicates that commercial bank managers smooth their income through the allowance for impairment loss. However, the implementation of the LDR regulation can not reduce the level of income smoothing of publicly commercial banks in Indonesia. The level of income smoothing after the LDR regulation is lower than the level of income smoothing before the implementation of the LDR regulation, but the differences are not significant. 03-30-2018 <![CDATA[ <p>This Paper aims to examine the impact of the implementation of Loan to Deposit Ratio (LDR) Regulation on income smoothing practice of commercial banks in Indonesia. The LDR Regulation is industry- specific regulation. There are conflicting arguments regarding the ability of industry-specific regulation in reducing income smoothing of banks. The samples used in this research are 28 listed commercial banks in Indonesia for the periods 2008 - 2011. Overall, there are 112 bank-annual observations. The test focuses specifically on panel time series cross-sectional models. A T-test of Fixed effects model of panel data and paired sample t-test are used to test the hypothesis. The result indicates that commercial bank managers smooth their income through the allowance for impairment loss. However, the implementation of the LDR regulation can not reduce the level of income smoothing of publicly commercial banks in Indonesia. The level of income smoothing after the LDR regulation is lower than the level of income smoothing before the implementation of the LDR regulation, but the differences are not significant.</p> ]]> The Impact of Industry-Specific Regulation on Income Smoothing Practice: Evidence from Indonesian Commercial Banks yossi diantimala doi: 10.56578/jafas040104 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 59 10.56578/jafas040104 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040104 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040103 This paper aims at highlighting the role of the XBRL in electronic accounting disclosure and how it contributes to the activation and efficiency of the stock market, in order to increase the awareness of Algerian institutions to the need of introducing this new technology in the accounting disclosure process. And consequently, to increase the quality of the financial reports, transparency and the integrity, because these latter is considered to be the backbone of confidence in both the financial and non- financial communities. Transparent and efficient financial reports, especially, of those listed on the Algerian stock market would achieve the centralization and the efficiency of investment and keep in touch with successful global markets. To achieve our goal, we conducted a field study to validate our plan above.The questionnaire was distributed to some practitioners in countries that applied the"XBRL" language (Malaysia, South Africa, Romania, Oman...). As we intended, first of all, to appreciate the tight relation between the language "XBRL" and the quality of the financial information. And, with the second part, we wanted to know the relationship between the language "XBRL" and the efficiency of the stock market. 03-30-2018 <![CDATA[ <p><span>This paper aims at highlighting the role of the XBRL in electronic accounting disclosure and how it contributes to the activation and efficiency of the stock market, in order to increase the awareness of Algerian institutions to the need of introducing this new technology in the accounting disclosure process. And consequently, to increase the quality of the financial reports, transparency and the integrity, because these latter is considered to be the backbone of confidence in both the financial and non- financial communities. Transparent and efficient financial reports, especially, of those listed on the Algerian stock market would achieve the centralization and the efficiency of investment and keep in touch with successful global markets. To achieve our goal, we conducted a field study to validate our plan above.The questionnaire was distributed to some practitioners in countries that applied the"XBRL" language (Malaysia, South Africa, Romania, Oman...). As we intended, first of all, to appreciate the tight relation between the language "XBRL" and the quality of the financial information. And, with the second part, we wanted to know the relationship between the language "XBRL" and the efficiency of the stock market.</span></p> ]]> The Importance of Introducing Electronic Accounting Disclosure Using the XBRL Language in Activating the Algerian Stock Market khadidja benbouali mohammed amine berberi doi: 10.56578/jafas040103 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 40 10.56578/jafas040103 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040103 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040102 The study examines the effect of board diversity and audit committee on earnings management of listed Deposit Money Banks in Nigeria, for low and high leveraged Banks. Earnings Management is measured using Chang, Shen and Fang (2008) model. All the 15 banks listed in Nigerian Stock Exchange as at 2015 were used for the analysis. Data were obtained from the financial statements covering the period 2008-2015. Multiple regression technique was employed, while the tool of analysis is Stata 13. The findings revealed that, all the variables have significant effect on earnings management of banks except for women directors and board size under the low leveraged banks, while board ownership was also found to have weak impact on earnings management under the high leveraged banks. Meanwhile, the findings also revealed that the explanatory variables under the low explained earnings management better than high leveraged. 03-30-2018 <![CDATA[ <p>The study examines the effect of board diversity and audit committee on earnings management of listed Deposit Money Banks in Nigeria, for low and high leveraged Banks. Earnings Management is measured using Chang, Shen and Fang (2008) model. All the 15 banks listed in Nigerian Stock Exchange as at 2015 were used for the analysis. Data were obtained from the financial statements covering the period 2008-2015. Multiple regression technique was employed, while the tool of analysis is Stata 13. The findings revealed that, all the variables have significant effect on earnings management of banks except for women directors and board size under the low leveraged banks, while board ownership was also found to have weak impact on earnings management under the high leveraged banks. Meanwhile, the findings also revealed that the explanatory variables under the low explained earnings management better than high leveraged.</p> ]]> A Study Of The Effect Of Diversity In The Board And The Audit Committee Composition On Earnings Management For Low And High Leveraged Banks In Nigeria muhammad aminu isa musa adeiza farouk doi: 10.56578/jafas040102 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 14 10.56578/jafas040102 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040102 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040101 Cash holding in businesses depends largely on their resource management because operational activities in a period which usually lasts one year concern the recognition and optimal management of working capital. The working capital is not primarily determined to increase profits but managers try to obtain a favorable level of liquidity so that they can meet the company’s profitability goals. This article aims to explain the relationship between consumer price index (CPI), operating cycle, and size and growth opportunities with cash holding in Tehran stock Exchange. To achieve this goal, 75 companies listed in Tehran Stock Exchange whose financial data were accessible from 2012 to 2016 were selected as the research sample. The results indicated that CPI and the operating cycle have no significant relationship with cash holding. In addition, the analysis of other variables suggested that the firm size, net changes in working capital, changes in current liabilities, and cash holding have a significant relationship with cash holding. Finally, the results of this study showed that there is a significant relationship between the company size and cash holding, while growth opportunities do not show any significant correlation with cash holding. 03-30-2018 <![CDATA[ <p>Cash holding in businesses depends largely on their resource management because operational activities in a period which usually lasts one year concern the recognition and optimal management of working capital. The working capital is not primarily determined to increase profits but managers try to obtain a favorable level of liquidity so that they can meet the company’s profitability goals. This article aims to explain the relationship between consumer price index (CPI), operating cycle, and size and growth opportunities with cash holding in Tehran stock Exchange. To achieve this goal, 75 companies listed in Tehran Stock Exchange whose financial data were accessible from 2012 to 2016 were selected as the research sample. The results indicated that CPI and the operating cycle have no significant relationship with cash holding. In addition, the analysis of other variables suggested that the firm size, net changes in working capital, changes in current liabilities, and cash holding have a significant relationship with cash holding. Finally, the results of this study showed that there is a significant relationship between the company size and cash holding, while growth opportunities do not show any significant correlation with cash holding.</p> ]]> The Relationship Between the Consumer Price Index, Operating Cycle, Size and Growth Opportunities with the Cash Holding in Tehran Stock Exchange ebrahim abbasi meysam kaviani sara boostani doi: 10.56578/jafas040101 Journal of Accounting, Finance and Auditing Studies 03-30-2018 Journal of Accounting, Finance and Auditing Studies 03-30-2018 2018 4 1 Article 1 10.56578/jafas040101 https://www.acadlore.com/article/JAFAS/2018_4_1/jafas040101 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030406 This study aims to investigate the effect of board diversities to the intellectual capital performance by also testing the board meetings effectiveness. Using the data from knowledge-intensive companies from 2012-2015, we found that board meetings effectiveness increase the positive effects of board diversities (i.e. gender, educational level, nationality and the extent of board independent) to the intellectual capital performance except nationality diversity. We however, cannot provide convincing evidence that nationality diversity affect the intellectual capital. The implications of our study indicate that corporate governance structure, particularly regarding the companies’ oversight function, have an important roles in enhancing the intellectual capital performance. 03-11-2017 <![CDATA[ <p style="text-align: justify"><span>This study aims to investigate the effect of board diversities to the intellectual capital performance by also testing the board meetings effectiveness. Using the data from knowledge-intensive companies from 2012-2015, we found that board meetings effectiveness increase the positive effects of board diversities (i.e. gender, educational level, nationality and the extent of board independent) to the intellectual capital performance except nationality diversity. We however, cannot provide convincing evidence that nationality diversity affect the intellectual capital. The implications of our study indicate that corporate governance structure, particularly regarding the companies’ oversight function, have an important roles in enhancing the intellectual capital performance.</span></p> ]]> The Effects of Board Diversity on Intellectual Capital Performance: An Empirical Study from Knowledge-Intensive Companies in Indonesia imas komala fuad doi: 10.56578/jafas030406 Journal of Accounting, Finance and Auditing Studies 03-11-2017 Journal of Accounting, Finance and Auditing Studies 03-11-2017 2017 3 4 Article 137 10.56578/jafas030406 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030406 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030405 Objective of this study is to examine the economic value added (EVA) approach, which is a value-based performance measurement method, and the calculation of this approach from the methods used to measure financial performance. In this context, an application has been presented for the examination and comparison of holdings and investment companies in terms of economic value, using annual financial statement data for holding companies and investment companies traded in Stock Exchange Istanbul 100 index in Turkey in 2016. In the application part, 9 holding and investment companies were examined and compared in terms of economic added value. In the practice part of the study, companies that can access paid dividend data for the last five years are included in the holding companies and investment companies sector, while the other companies are excluded from the research. According to the findings of the study, when the holdings and investment companies examined in the study are evaluated in general for 2016, Hacı Ömer Sabancı Holding Joint Stock Company, which has the highest EVA value and the best financial performance. (-787.415.407,65) and Eczacıbaşı Investment Holding Partnership Joint Stock Company (- 117.686.290,15) cannot create value for their shareholders with EVA value, whereas the existing Have consumed their capital. It has been found that they cannot create shareholder value with EVA value and consume their existing capital instead of creating value. 12-30-2017 <![CDATA[ <p style="text-align: justify"><span>Objective of this study is to examine the economic value added (EVA) approach, which is a value-based performance measurement method, and the calculation of this approach from the methods used to measure financial performance. In this context, an application has been presented for the examination and comparison of holdings and investment companies in terms of economic value, using annual financial statement data for holding companies and investment companies traded in Stock Exchange Istanbul 100 index in Turkey in 2016. In the application part, 9 holding and investment companies were examined and compared in terms of economic added value. In the practice part of the study, companies that can access paid dividend data for the last five years are included in the holding companies and investment companies sector, while the other companies are excluded from the research. According to the findings of the study, when the holdings and investment companies examined in the study are evaluated in general for 2016, Hacı Ömer Sabancı Holding Joint Stock Company, which has the highest EVA value and the best financial performance. (-787.415.407,65) and Eczacıbaşı Investment Holding Partnership Joint Stock Company (- 117.686.290,15) cannot create value for their shareholders with EVA value, whereas the existing Have consumed their capital. It has been found that they cannot create shareholder value with EVA value and consume their existing capital instead of creating value.</span></p> ]]> Economic Value Added Approach in Measurement of Financial Performance: An Investigation on Economic Added Values of Holdings and Investment Companies Processed in BIST 100 in Turkey feden koç doi: 10.56578/jafas030405 Journal of Accounting, Finance and Auditing Studies 12-30-2017 Journal of Accounting, Finance and Auditing Studies 12-30-2017 2017 3 4 Article 109 10.56578/jafas030405 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030405 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030404 Since audit has a great importance in preventing, consulting and finding cases of funds misuse, it was thought of analyzing the factors that contribute to increasing the efficiency of internal audit in the public sector which would help to set proper and more transparent governance of public financial resources. This study investigated the relationship between effectiveness and contributing factors. The data for the study were collected through an online questionnaire and direct hand-outs of such. The results of the empirical analysis proved that effectiveness has a positive relationship with internal audit quality, the competence of the internal audit team, the independence of internal audit, as well as with the support of internal audit from the management. Moreover, it was confirmed that audit quality is the fundamental element of the effectiveness of internal audit since it was among the most influential factors in the sample. 12-30-2017 <![CDATA[ <p><span>Since audit has a great importance in preventing, consulting and finding cases of funds misuse, it was thought of analyzing the factors that contribute to increasing the efficiency of internal audit in the public sector which would help to set proper and more transparent governance of public financial resources. This study investigated the relationship between effectiveness and contributing factors. The data for the study were collected through an online questionnaire and direct hand-outs of such. The results of the empirical analysis proved that effectiveness has a positive relationship with internal audit quality, the competence of the internal audit team, the independence of internal audit, as well as with the support of internal audit from the management. Moreover, it was confirmed that audit quality is the fundamental element of the effectiveness of internal audit since it was among the most influential factors in the sample.</span></p> ]]> Factors Contributing to the Effectiveness of Internal Audit: Case Study of Internal Audit in the Public Sector in Kosovo leonora haliti rudhani nexhmie berisha vokshi shqipdona hashani doi: 10.56578/jafas030404 Journal of Accounting, Finance and Auditing Studies 12-30-2017 Journal of Accounting, Finance and Auditing Studies 12-30-2017 2017 3 4 Article 91 10.56578/jafas030404 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030404 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030403 The objectives of this paper are to ascertain and assess the role of the Public Accounts Committee (PAC) in Maltese public finance, analyzing its operational effectiveness and the barriers to it, and assessing its relationships with major stakeholders. The research methodology involves the conduct of nineteen semi-structured interviews, attendance to one PAC sitting, a review of applicable PAC transcripts, and an examination of relevant legislative pieces governing the PAC. The study finds that PAC is fulfilling a wide proportion of its remit, recently exercising an improved role. However, the reoccurrence of errors and weaknesses within the public sector highlights the need for the Committee to investigate further areas falling within its scope, thus acting as a deterrent to the misuse of public funds. Additionally, improvements in the PAC’s operational effectiveness are called for, particularly with regard to its structure and member composition, as well as its communication of end results and follow-ups. The appointment and participation of technical expertise in PAC meetings, and the widening of the PAC’s mandate to incorporate broader topics would also be conducive to enhanced effectiveness. In addition, while the Committee’s relationships with its major stakeholders are deemed positive, it is evident that there is still room for improvement. The PAC is instrumental in the conduct of effective financial scrutiny and oversight, which in turn enhances its contribution to the proper management of Maltese public finances. Yet, achieving a strong impact may be restricted by the existence of barriers that are impeding the Committee’s operational effectiveness. While the surmounting of such obstacles becomes highly relevant for the PAC to retain its watchdog function, the maintenance of effective relationships with its main stakeholders is also necessary if it is to make the most of such links. It is hoped that this paper contributes to +further progress in the PAC’s operations and in the public sector’s use of public resources. 12-30-2017 <![CDATA[ <p><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>objectives</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>paper</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>ascertain</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>assess</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>role</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Public</span><span style="font-family: Times New Roman, serif"> </span><span>Accounts</span><span style="font-family: Times New Roman, serif"> </span><span>Committee</span><span style="font-family: Times New Roman, serif"> </span><span>(PAC)</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>Maltese</span><span style="font-family: Times New Roman, serif"> </span><span>public</span><span style="font-family: Times New Roman, serif"> </span><span>finance,</span><span style="font-family: Times New Roman, serif"> </span><span>analyzing</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>operational</span><span style="font-family: Times New Roman, serif"> </span><span>effectiveness</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>barriers</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>it,</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>assessing</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>relationships</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>major</span><span style="font-family: Times New Roman, serif"> </span><span>stakeholders.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>research</span><span style="font-family: Times New Roman, serif"> </span><span>methodology</span><span style="font-family: Times New Roman, serif"> </span><span>involves</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>conduct</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>nineteen</span><span style="font-family: Times New Roman, serif"> </span><span>semi-structured</span><span style="font-family: Times New Roman, serif"> </span><span>interviews,</span><span style="font-family: Times New Roman, serif"> </span><span>attendance</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>one</span><span style="font-family: Times New Roman, serif"> </span><span>PAC</span><span style="font-family: Times New Roman, serif"> </span><span>sitting,</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>review</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>applicable</span><span style="font-family: Times New Roman, serif"> </span><span>PAC</span><span style="font-family: Times New Roman, serif"> </span><span>transcripts,</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>an</span><span style="font-family: Times New Roman, serif"> </span><span>examination</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>relevant</span><span style="font-family: Times New Roman, serif"> </span><span>legislative</span><span style="font-family: Times New Roman, serif"> </span><span>pieces</span><span style="font-family: Times New Roman, serif"> </span><span>governing</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>PAC.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>finds</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>PAC</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>fulfilling</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>wide</span><span style="font-family: Times New Roman, serif"> </span><span>proportion</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>remit,</span><span style="font-family: Times New Roman, serif"> </span><span>recently</span><span style="font-family: Times New Roman, serif"> </span><span>exercising</span><span style="font-family: Times New Roman, serif"> </span><span>an</span><span style="font-family: Times New Roman, serif"> </span><span>improved</span><span style="font-family: Times New Roman, serif"> </span><span>role.</span><span style="font-family: Times New Roman, serif"> </span><span>However,</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>reoccurrence</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>errors</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>weaknesses</span><span style="font-family: Times New Roman, serif"> </span><span>within</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>public</span><span style="font-family: Times New Roman, serif"> </span><span>sector</span><span style="font-family: Times New Roman, serif"> </span><span>highlights</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>need</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Committee</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>investigate</span><span style="font-family: Times New Roman, serif"> </span><span>further</span><span style="font-family: Times New Roman, serif"> </span><span>areas</span><span style="font-family: Times New Roman, serif"> </span><span>falling</span><span style="font-family: Times New Roman, serif"> </span><span>within</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>scope,</span><span style="font-family: Times New Roman, serif"> </span><span>thus</span><span style="font-family: Times New Roman, serif"> </span><span>acting</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>deterrent</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>misuse</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>public</span><span style="font-family: Times New Roman, serif"> </span><span>funds.</span><span style="font-family: Times New Roman, serif"> </span><span>Additionally,</span><span style="font-family: Times New Roman, serif"> </span><span>improvements</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>PAC’s</span><span style="font-family: Times New Roman, serif"> </span><span>operational</span><span style="font-family: Times New Roman, serif"> </span><span>effectiveness</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>called</span><span style="font-family: Times New Roman, serif"> </span><span>for,</span><span style="font-family: Times New Roman, serif"> </span><span>particularly</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>regard</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>structure</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>member</span><span style="font-family: Times New Roman, serif"> </span><span>composition,</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>well</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>communication</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>end</span><span style="font-family: Times New Roman, serif"> </span><span>results</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>follow-ups.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>appointment</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>participation</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>technical</span><span style="font-family: Times New Roman, serif"> </span><span>expertise</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>PAC</span><span style="font-family: Times New Roman, serif"> </span><span>meetings,</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>widening</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>PAC’s</span><span style="font-family: Times New Roman, serif"> </span><span>mandate</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>incorporate</span><span style="font-family: Times New Roman, serif"> </span><span>broader</span><span style="font-family: Times New Roman, serif"> </span><span>topics</span><span style="font-family: Times New Roman, serif"> </span><span>would</span><span style="font-family: Times New Roman, serif"> </span><span>also</span><span style="font-family: Times New Roman, serif"> </span><span>be</span><span style="font-family: Times New Roman, serif"> </span><span>conducive</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>enhanced</span><span style="font-family: Times New Roman, serif"> </span><span>effectiveness.</span><span style="font-family: Times New Roman, serif"> </span><span>In</span><span style="font-family: Times New Roman, serif"> </span><span>addition,</span><span style="font-family: Times New Roman, serif"> </span><span>while</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Committee’s</span><span style="font-family: Times New Roman, serif"> </span><span>relationships</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>major</span><span style="font-family: Times New Roman, serif"> </span><span>stakeholders</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>deemed</span><span style="font-family: Times New Roman, serif"> </span><span>positive,</span><span style="font-family: Times New Roman, serif"> </span><span>it</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>evident</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>there</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>still</span><span style="font-family: Times New Roman, serif"> </span><span>room</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>improvement.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>PAC</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>instrumental</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>conduct</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>effective</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>scrutiny</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>oversight,</span><span style="font-family: Times New Roman, serif"> </span><span>which</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>turn</span><span style="font-family: Times New Roman, serif"> </span><span>enhances</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>contribution</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>proper</span><span style="font-family: Times New Roman, serif"> </span><span>management</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>Maltese</span><span style="font-family: Times New Roman, serif"> </span><span>public</span><span style="font-family: Times New Roman, serif"> </span><span>finances.</span><span style="font-family: Times New Roman, serif"> </span><span>Yet,</span><span style="font-family: Times New Roman, serif"> </span><span>achieving</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>strong</span><span style="font-family: Times New Roman, serif"> </span><span>impact</span><span style="font-family: Times New Roman, serif"> </span><span>may</span><span style="font-family: Times New Roman, serif"> </span><span>be</span><span style="font-family: Times New Roman, serif"> </span><span>restricted</span><span style="font-family: Times New Roman, serif"> </span><span>by</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>existence</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>barriers</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>impeding</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Committee’s</span><span style="font-family: Times New Roman, serif"> </span><span>operational</span><span style="font-family: Times New Roman, serif"> </span><span>effectiveness.</span><span style="font-family: Times New Roman, serif"> </span><span>While</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>surmounting</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>such</span><span style="font-family: Times New Roman, serif"> </span><span>obstacles</span><span style="font-family: Times New Roman, serif"> </span><span>becomes</span><span style="font-family: Times New Roman, serif"> </span><span>highly</span><span style="font-family: Times New Roman, serif"> </span><span>relevant</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>PAC</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>retain</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>watchdog</span><span style="font-family: Times New Roman, serif"> </span><span>function,</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>maintenance</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>effective</span><span style="font-family: Times New Roman, serif"> </span><span>relationships</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>its</span><span style="font-family: Times New Roman, serif"> </span><span>main</span><span style="font-family: Times New Roman, serif"> </span><span>stakeholders</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>also</span><span style="font-family: Times New Roman, serif"> </span><span>necessary</span><span style="font-family: Times New Roman, serif"> </span><span>if</span><span style="font-family: Times New Roman, serif"> </span><span>it</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>make</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>most</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>such</span><span style="font-family: Times New Roman, serif"> </span><span>links.</span><span style="font-family: Times New Roman, serif"> </span><span>It</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>hoped</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>paper</span><span style="font-family: Times New Roman, serif"> </span><span>contributes</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>+further</span><span style="font-family: Times New Roman, serif"> </span><span>progress</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>PAC’s</span><span style="font-family: Times New Roman, serif"> </span><span>operations</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>public</span><span style="font-family: Times New Roman, serif"> </span><span>sector’s</span><span style="font-family: Times New Roman, serif"> </span><span>use</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>public</span><span style="font-family: Times New Roman, serif"> </span><span>resources.</span></p> ]]> The Role of the Maltese Public Accounts Committee in Public Finance peter j baldacchino christine bartolo simon grima doi: 10.56578/jafas030403 Journal of Accounting, Finance and Auditing Studies 12-30-2017 Journal of Accounting, Finance and Auditing Studies 12-30-2017 2017 3 4 Article 52 10.56578/jafas030403 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030403 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030402 This study aims at empirically examining the influences of bankruptcy prediction score, institutional ownership, managerial ownership, independent commissioner, and board meeting on the going concern audit opinion for the period 2008-2014. By using purposive sampling technique, data were gathered from annual audited financial reports of 11 companies that were taken as research sample. All of the reports were published by Indonesia Stock Exchange from 2008 to 2014. Based on the logistic regression model, the study found that the bankruptcy prediction of Altman Z-Score has a significant influence on the release of going concern audit opinion by the auditor. Meanwhile, the other independent variables showed insignificant influences toward the going concern audit opinion for non-bank financial institutions listed in Indonesia Stock Exchange. 12-30-2017 <![CDATA[ <p><span style="font-family: Cambria, serif">This</span><span> </span>study<span> </span>aims<span> </span>at<span> </span>empirically<span> </span>examining<span> </span>the<span> </span>influences<span> </span>of<span> </span>bankruptcy<span> </span>prediction<span> </span>score,<span> </span>institutional<span> </span>ownership,<span> </span>managerial ownership, independent commissioner, and<span> </span>board meeting on the going concern audit opinion for the<span> </span>period<span> </span>2008-2014.<span> </span>By<span> </span>using<span> </span>purposive<span> </span>sampling<span> </span>technique,<span> </span>data<span> </span>were<span> </span>gathered<span> </span>from<span> </span>annual<span> </span>audited<span> </span>financial<span> </span>reports<span> </span>of<span> </span>11<span> </span>companies<span> </span>that<span> </span>were<span> </span>taken<span> </span>as<span> </span>research<span> </span>sample.<span> </span>All<span> </span>of<span> </span>the<span> </span>reports<span> </span>were<span> </span>published<span> </span>by<span> </span>Indonesia Stock Exchange from 2008 to 2014. Based on<span> </span>the logistic regression model, the study found that the<span> </span>bankruptcy prediction of Altman Z-Score has a significant<span> </span>influence<span> </span>on<span> </span>the<span> </span>release<span> </span>of<span> </span>going<span> </span>concern<span> </span>audit<span> </span>opinion<span> </span>by<span> </span>the auditor. Meanwhile, the other independent variables<span> </span>showed insignificant influences toward the going concern<span> </span>audit opinion for non-bank financial institutions listed in<span> </span>Indonesia<span> </span>Stock<span> </span>Exchange.</p> ]]> The Determinants of Going Concern Audit Opinion (An Empirical Study on Non-Bank Financial Institutions Listed in Indonesian Stock Exchange 2008-2014) intan farhana rahmawaty hasan basri doi: 10.56578/jafas030402 Journal of Accounting, Finance and Auditing Studies 12-30-2017 Journal of Accounting, Finance and Auditing Studies 12-30-2017 2017 3 4 Article 32 10.56578/jafas030402 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030402 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030401 Achieve to optimal financial leverage for achieving to maximum profitable, value and minimum capital are important topics of research that studies by financial experts. Economic researchers found that capital structure and firms performance are affiliated with each other but the relationship between them according to financial operations in international affairs is not the same and according to country type depends on financial structure and economic conditions. The aim of the present article is to evaluate the mutual relationship between financial leverage and firm performance concerning the moderating role of the firm size. Given that, the financial information of 108 listed companies in Tehran Stock Exchange were used during the financial period from 2005 to 2014. Multivariable regression model was employed for hypotheses testing. The results indicated that there is a positive and significant relationship between financial leverage and firm performance and the firm size has no moderating effect on the relationship between the two variables. Moreover, there is a negative and significant relationship between financial leverage and the changes of firm performance and the firm size has no moderating impact on these relationships. On the other hand, there is a negative and significant relationship between firm performance and the changes of financial leverage. Similarly, the moderating effect of the firm size was not significant in these relationships. 12-30-2017 <![CDATA[ <p>Achieve to optimal financial leverage for achieving to maximum profitable, value and minimum capital are important topics of research that studies by financial experts. Economic researchers found that capital structure and firms performance are affiliated with each other but the relationship between them according to financial operations in international affairs is not the same and according to country type depends on financial structure and economic conditions. The aim of the present article is to evaluate the mutual relationship between financial leverage and firm performance concerning the moderating role of the firm size. Given that, the financial information of 108 listed companies in Tehran Stock Exchange were used during the financial period from 2005 to 2014. Multivariable regression model was employed for hypotheses testing. The results indicated that there is a positive and significant relationship between financial leverage and firm performance and the firm size has no moderating effect on the relationship between the two variables. Moreover, there is a negative and significant relationship between financial leverage and the changes of firm performance and the firm size has no moderating impact on these relationships. On the other hand, there is a negative and significant relationship between firm performance and the changes of financial leverage. Similarly, the moderating effect of the firm size was not significant in these relationships.</p> ]]> Analyze the Linear and Curvature Relationship of Financing by Debt and Firms Performance and Moderator Role of Firm Size hanieh dehghan mohammadreza shorvarzi doi: 10.56578/jafas030401 Journal of Accounting, Finance and Auditing Studies 12-30-2017 Journal of Accounting, Finance and Auditing Studies 12-30-2017 2017 3 4 Article 1 10.56578/jafas030401 https://www.acadlore.com/article/JAFAS/2017_3_4/jafas030401 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030307 The existence of numerous corrupt practices in the Nigerian Public Accounting System has led to the inauguration of Treasury Single Account (TSA). This paper assesses the impact of TSA implementation on the liquidity base of banks in Nigeria. Fifteen (15) listed banks were used as sample size for this study. Data was obtained by the use of annual reports and it was examined using Descriptive statistics and Paired sample t-test. The results obtained confirmed that the implementation of Treasury Single Account impacted negatively on the liquidity base of banks in Nigeria. Also, there is significant difference in the Profit after Tax (PAT) of Banks in Nigeria before and after Treasury Single Account (TSA) Adoption. It was recommended that if the policy is executed it will lead to the prompt payment of all income going into the nation’s purse without the intermediation of multiple banking arrangements. 09-29-2017 <![CDATA[ <p>The existence of numerous corrupt practices in the Nigerian Public Accounting System has led to the inauguration of Treasury Single Account (TSA). This paper assesses the impact of TSA implementation on the liquidity base of banks in Nigeria. Fifteen (15) listed banks were used as sample size for this study. Data was obtained by the use of annual reports and it was examined using Descriptive statistics and Paired sample t-test. The results obtained confirmed that the implementation of Treasury Single Account impacted negatively on the liquidity base of banks in Nigeria. Also, there is significant difference in the Profit after Tax (PAT) of Banks in Nigeria before and after Treasury Single Account (TSA) Adoption. It was recommended that if the policy is executed it will lead to the prompt payment of all income going into the nation’s purse without the intermediation of multiple banking arrangements.</p> ]]> The Impact of Treasury Single Account on the Liquidity of Banks in Nigeria opeyemi o. ajetunmobi kehinde adesina samuel o. faboyede b. peter adejana doi: 10.56578/jafas030307 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 132 10.56578/jafas030307 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030307 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030306 As per the concept “continuity of enterprises”, the lifetime of enterprises is considered as indefinite and financial statements are issued under this assumption. However, the lifetime of enterprises may come to an end due to economic and commercial circumstances. The situation “the lifetime of an enterprise has come to an end”, which is characterised as bankruptcy in the law literature, is never a desired situation for any parties associated with such enterprise. Over-indebtedness constitutes one of the signs indicating that the enterprise is about to go bankrupt. Over-indebtedness is a situation where the assets of an enterprise remain insufficient to fulfil its debts and liabilities or where its shareholder equity becomes negative. The board of directors of an over-indebted company should apply for a competent court, for bankruptcy. However, such company may request for postponement of bankruptcy if it submits to the court reasonable recovery projects to overcome over- indebtedness. If a company applies for a competent court, for postponement of its bankruptcy; it will be necessary for that company to submit to the court an interim balance sheet issued on the basis of the current values of its assets, debts and liabilities to determine the situation of over-indebtedness, in addition to its balance sheet issued by taking its accounting records as basis. This interim balance sheet is called as over-indebtedness balance sheet. The purpose of this study is to scrutinize the concepts “bankruptcy”, “postponement of bankruptcy” and “over-indebtedness” within the legal system and to describe the transaction “issuance of an over-indebtedness balance sheet” within the accounting system. 09-29-2017 <![CDATA[ <p>As per the concept “continuity of enterprises”, the lifetime of enterprises is considered as indefinite and financial statements are issued under this assumption. However, the lifetime of enterprises may come to an end due to economic and commercial circumstances. The situation “the lifetime of an enterprise has come to an end”, which is characterised as bankruptcy in the law literature, is never a desired situation for any parties associated with such enterprise. Over-indebtedness constitutes one of the signs indicating that the enterprise is about to go bankrupt. Over-indebtedness is a situation where the assets of an enterprise remain insufficient to fulfil its debts and liabilities or where its shareholder equity becomes negative. The board of directors of an over-indebted company should apply for a competent court, for bankruptcy. However, such company may request for postponement of bankruptcy if it submits to the court reasonable recovery projects to overcome over- indebtedness. If a company applies for a competent court, for postponement of its bankruptcy; it will be necessary for that company to submit to the court an interim balance sheet issued on the basis of the current values of its assets, debts and liabilities to determine the situation of over-indebtedness, in addition to its balance sheet issued by taking its accounting records as basis. This interim balance sheet is called as over-indebtedness balance sheet. The purpose of this study is to scrutinize the concepts “bankruptcy”, “postponement of bankruptcy” and “over-indebtedness” within the legal system and to describe the transaction “issuance of an over-indebtedness balance sheet” within the accounting system.</p> ]]> İflasın Ertelenmesi ve Borca Batıklık Bilançosunun Çıkarılması ahmet gökgöz doi: 10.56578/jafas030306 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 108 10.56578/jafas030306 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030306 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030305 In this article, a problem of measurement of credit risk in bank is studied. The approach suggested to solve it uses a Bayesian networks. After the data-gathering characterizing of the customers requiring of the loans, this approach consists initially with the samples collected, then the setting in works about it of various network architectures and combinations of functions of activation and training and comparison between the results got and the results of the current methods used.To address this problem we will try to create a graph that will be used to develop our credit scoring using Bayesian networks as a method. After, we will bring out the variables that affect the credit worthiness of the beneficiaries of credit. Therefore this article will be divided so the first part is the theoretical side of the key variables that affect the rate of reimbursement and the second part a description of the variables, the research methodology and the main results.The findings of this paper serve to provide an effective decision support system for banks to detect and alleviate the rate of bad borrowers through the use of a Bayesian Network model. This paper contributes to the existing literature on customers’ default payment and risk associated to allocating loans. 09-29-2017 <![CDATA[ <p>In this article, a problem of measurement of credit risk in bank is studied. The approach suggested to solve it uses a Bayesian networks. After the data-gathering characterizing of the customers requiring of the loans, this approach consists initially with the samples collected, then the setting in works about it of various network architectures and combinations of functions of activation and training and comparison between the results got and the results of the current methods used.</p><p>To address this problem we will try to create a graph that will be used to develop our credit scoring using Bayesian networks as a method. After, we will bring out the variables that affect the credit worthiness of the beneficiaries of credit. Therefore this article will be divided so the first part is the theoretical side of the key variables that affect the rate of reimbursement and the second part a description of the variables, the research methodology and the main results.</p><p>The findings of this paper serve to provide an effective decision support system for banks to detect and alleviate the rate of bad borrowers through the use of a Bayesian Network model. This paper contributes to the existing literature on customers’ default payment and risk associated to allocating loans.</p> ]]> Bank Credit Risk: Evidence from Tunisia using Bayesian Networks mohamed wajdi triki younes boujelbene doi: 10.56578/jafas030305 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 93 10.56578/jafas030305 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030305 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030304 Financial inclusion is a poverty reduction tool and many economies have taken it up as a national agenda. To meet the expected levels of financial inclusion, governments have worked with financial intermediaries to reach the expected target group; the unbanked poor. As per financial intermediation theory, the role of financial intermediaries is to reduce information asymmetry in the financial system. To enhance financial inclusion, many countries and financial institutions have embraced Information Communication Technology (ICT). ICT is recognized as a tool that has worked greatly towards enhancing sharing of information at a low-cost and thus helped in improving financial inclusion. Though many countries have achieved high levels of financial inclusion through ICT, the levels of poverty have not changed. The purpose of this study was to find out the relationship between ICT, financial intermediation, and household investment. Study methodology was a review of the literature on financial inclusion, financial intermediation, ICT and household investment. The study noted that ICT is helping in financial intermediation and thus more people can access financial services. Unfortunately, the levels of ICT capability among the poor is low, and in that case, the poor are not able to use financial services offered through ICT platforms to undertake household investment. This is the reason as to why, despite the high levels of financial inclusion, the poor remains poor. This study recommends that the government make sure that the levels of ICT among the populace is high. Financial institutions should provide financial services with more user-friendly ICT platforms. 09-29-2017 <![CDATA[ <p>Financial<span> </span>inclusion<span> </span>is<span> </span>a<span> </span>poverty<span> </span>reduction<span> </span>tool<span> </span>and<span> </span>many<span> </span>economies have taken it up as a national agenda.<span> </span>To meet the<span> </span>expected<span> </span>levels<span> </span>of<span> </span>financial<span> </span>inclusion,<span> </span>governments<span> </span>have<span> </span>worked<span> </span>with<span> </span>financial intermediaries<span> </span>to<span> </span>reach<span> </span>the<span> </span>expected<span> </span>target<span> </span>group;<span> </span>the<span> </span>unbanked<span> </span>poor.<span> </span>As<span> </span>per<span> </span>financial<span> </span>intermediation theory, the role of financial intermediaries is to<span> </span>reduce<span> </span>information<span> </span>asymmetry<span> </span>in<span> </span>the<span> </span>financial<span> </span>system.<span> </span>To<span> </span>enhance<span> </span>financial<span> </span>inclusion,<span> </span>many<span> </span>countries<span> </span>and<span> </span>financial<span> </span>institutions<span> </span>have<span> </span>embraced<span> </span>Information<span> </span>Communication<span> </span>Technology (ICT). ICT is recognized as a tool that has worked<span> </span>greatly towards enhancing sharing of information at a low-cost<span> </span>and<span> </span>thus<span> </span>helped<span> </span>in<span> </span>improving<span> </span>financial<span> </span>inclusion.<span> </span>Though<span> </span>many<span> </span>countries<span> </span>have<span> </span>achieved<span> </span>high<span> </span>levels<span> </span>of<span> </span>financial<span> </span>inclusion<span> </span>through<span> </span>ICT,<span> </span>the<span> </span>levels<span> </span>of<span> </span>poverty<span> </span>have<span> </span>not<span> </span>changed.<span> </span>The<span> </span>purpose of this study was to find out the relationship between<span> </span>ICT, financial intermediation, and household investment. Study<span> </span>methodology<span> </span>was<span> </span>a<span> </span>review<span> </span>of<span> </span>the<span> </span>literature<span> </span>on<span> </span>financial<span> </span>inclusion,<span> </span>financial<span> </span>intermediation,<span> </span>ICT<span> </span>and<span> </span>household<span> </span>investment. The study noted that ICT is helping in financial<span> </span>intermediation<span> </span>and<span> </span>thus<span> </span>more<span> </span>people<span> </span>can<span> </span>access<span> </span>financial<span> </span>services. Unfortunately, the levels of ICT capability among the<span> </span>poor<span> </span>is<span> </span>low,<span> </span>and<span> </span>in<span> </span>that case,<span> </span>the<span> </span>poor<span> </span>are<span> </span>not<span> </span>able<span> </span>to<span> </span>use<span> </span>financial services offered through ICT platforms to undertake<span> </span>household<span> </span>investment.<span> </span>This<span> </span>is<span> </span>the<span> </span>reason<span> </span>as<span> </span>to<span> </span>why,<span> </span>despite<span> </span>the<span> </span>high levels of financial inclusion, the poor remains poor. This<span> </span>study recommends that the government make sure that the<span> </span>levels of ICT among the populace is high. Financial institutions<span> </span>should provide financial services with more user-friendly ICT<span> </span>platforms.</p> ]]> The Nexus Between Social Capital and Household Investment Among Financially Included Youth in Kenya richard m. kiai doi: 10.56578/jafas030304 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 74 10.56578/jafas030304 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030304 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030303 This paper analyzes the effects of conditional and unconditional conservatisms and IFRS adoption on the value relevance of accounting information in Indonesia. Using the pooled-cross sectional analysis for 429 publicly listed industrial firms between 2003 and 2014, we found that the value relevance tends to increase following IFRS implementation. When we group the sample based on various accounting conservatism levels, we found that IFRS increases the value relevance of earnings while decreases value relevance of book value for firms with medium level of conservatism. However, when we measure the conservatism as continuous variables, we found the negative (positive) relationship between conservatisms and value relevance of earnings (book value). Our three way interaction models indicate that earnings and book value numbers of the firms that are timelier in reflecting losses are less relevant in the post IFRS adoption. Further analysis also hinted the presence of inverse U-shaped relationship between conditional conservatism and value relevance of earnings, and U- shaped relationship between conditional conservatism and value relevance of book value. 09-29-2017 <![CDATA[ <p><span>This paper analyzes the effects of conditional and unconditional conservatisms and IFRS adoption on the value relevance of accounting information in Indonesia. Using the pooled-cross sectional analysis for 429 publicly listed industrial firms between 2003 and 2014, we found that the value relevance tends to increase following IFRS implementation. When we group the sample based on various accounting conservatism levels, we found that IFRS increases the value relevance of earnings while decreases value relevance of book value for firms with medium level of conservatism. However, when we measure the conservatism as continuous variables, we found the negative (positive) relationship between conservatisms and value relevance of earnings (book value). Our three way interaction models indicate that earnings and book value numbers of the firms that are timelier in reflecting losses are less relevant in the post IFRS adoption. Further analysis also hinted the presence of inverse U-shaped relationship between conditional conservatism and value relevance of earnings, and U- shaped relationship between conditional conservatism and value relevance of book value.</span></p> ]]> How the Mandatory IFRS Covergence and Conservatisms Determine the Value Relevance of Accounting Information: Empirical Evidence from Indonesia fuad indira januarti ali riza fahlevi doi: 10.56578/jafas030303 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 31 10.56578/jafas030303 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030303 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030302 This study aimed at investigating the impact of the possible learning and adoption of Extensible Business Reporting Language (XBRL) in the Nigerian Stock Exchange. The data used for this study were gathered through the instruments of a questionnaire and secondary sources. One hundred and Fifty (150) copies of a questionnaire were administered, out of which one hundred and thirty-one (131) were collated for analysis. Kruskal-Wallis and descriptive statistical tools were used in testing these three hypotheses. Findings showed that environmental factors and problems in the Nigerian Stock Exchange will affect the learning and implementation of XBRL in the Stock Exchange as well as the fact that certain infrastructure must be put in place before the implementation of XBRL. The study recommended that the Federal government should announce and compel the educational awareness and adoption of XBRL as a format for regulatory filing and financial reporting in the Nigerian Stock Exchange. 09-29-2017 <![CDATA[ <p>This study aimed at investigating the impact of the possible learning and adoption of Extensible Business Reporting Language (XBRL) in the Nigerian Stock Exchange. The data used for this study were gathered through the instruments of a questionnaire and secondary sources. One hundred and Fifty (150) copies of a questionnaire were administered, out of which one hundred and thirty-one (131) were collated for analysis. Kruskal-Wallis and descriptive statistical tools were used in testing these three hypotheses. Findings showed that environmental factors and problems in the Nigerian Stock Exchange will affect the learning and implementation of XBRL in the Stock Exchange as well as the fact that certain infrastructure must be put in place before the implementation of XBRL. The study recommended that the Federal government should announce and compel the educational awareness and adoption of XBRL as a format for regulatory filing and financial reporting in the Nigerian Stock Exchange.</p> ]]> The Impact of Extensible Business Reporting Language Education and Adoption on Stock Exchange Development: A Focus on Nigeria o. samuel faboyede o. dick mukoro francis iyoha a. hannah odafen doi: 10.56578/jafas030302 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 14 10.56578/jafas030302 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030302 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030301 Financial analysis now a day is an important instrument for the critical review of the performance of a business. It helps the concern to analyse the financial data and provide information which is required to take decisions regarding investments and also help to understand financial position better. The financial analysis portrays the financial health of a company and helps the companies to improve their financial resources and manage generated funds efficiently.Information and technology industry has grown up extraordinarily in India during previous years. Its contribution in economy has also increased with a huge margin. Investment in IT industry is considered as a profitable and less risky investment destination in the Indian context. The paper is an attempt to facilitate the investor and the management to asses the financial position of a firm from the proprietor’s point of view. In order to identify the financial management efficiencies this paper will analyse management of proprietor’s funds in IT Companies of India, Specifically for Wipro Ltd. & Infosys Ltd. The paper will also suggest the initiatives to be taken by both the companies for improving their financial management techniques and achieving the optimum capital structures. 09-29-2017 <![CDATA[ <p>Financial analysis now a day is an important instrument<span> </span>for the critical review of the performance of a business. It<span> helps the concern to analyse the </span>financial<span> </span>data<span> </span>and<span> </span>provide<span> </span>information which is required to take decisions regarding<span> investments and also help </span>to<span> </span>understand<span> </span>financial<span> </span>position<span> </span>better. The financial analysis portrays the financial health<span> </span>of a company and helps the companies to improve their<span> </span>financial<span> </span>resources<span> </span>and<span> </span>manage<span> </span>generated<span> </span>funds<span> </span>efficiently.</p><p>Information<span> </span>and<span> </span>technology<span> </span>industry<span> </span>has<span> </span>grown<span> </span>up<span> </span>extraordinarily<span> </span>in<span> </span>India<span> </span>during<span> </span>previous<span> </span>years.<span> </span>Its<span> </span>contribution in economy has also increased with a huge<span> </span>margin.<span> </span>Investment<span> </span>in<span> </span>IT<span> </span>industry<span> </span>is<span> </span>considered<span> </span>as<span> </span>a<span> </span>profitable<span> </span>and<span> </span>less risky<span> </span>investment<span> </span>destination<span> </span>in<span> </span>the<span> </span>Indian context. The paper is an attempt to facilitate the<span> </span>investor<span> </span>and<span> </span>the<span> </span>management<span> </span>to<span> </span>asses<span> </span>the<span> </span>financial<span> </span>position of a firm from the proprietor’s point of view. In<span> </span>order to identify the<span> </span>financial management efficiencies<span> </span>this paper will analyse management of proprietor’s funds<span> </span>in IT Companies of India, Specifically for Wipro Ltd. &<span> </span>Infosys Ltd. The paper will also suggest the initiatives to<span> </span>be<span> </span>taken<span> </span>by<span> </span>both<span> </span>the<span> </span>companies<span> </span>for<span> </span>improving<span> </span>their<span> </span>financial<span> </span>management<span> </span>techniques<span> </span>and<span> </span>achieving<span> </span>the<span> </span>optimum<span> </span>capital<span> </span>structures.</p> ]]> Financial Analysis of Information and Technology Industry of India (A Case Study of Wipro Ltd and Infosys Ltd) pramod bhargava doi: 10.56578/jafas030301 Journal of Accounting, Finance and Auditing Studies 09-29-2017 Journal of Accounting, Finance and Auditing Studies 09-29-2017 2017 3 3 Article 1 10.56578/jafas030301 https://www.acadlore.com/article/JAFAS/2017_3_3/jafas030301 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030208 The objective of this study is to determine the place of commercial documents in accounting education. For this purpose, at first an inventory study was conducted whether there is a lecture about commercial documents within associate’s degree and undergraduate degree programs in state and foundation universities offering accounting education in Turkey. Afterwards, 393 associate’s degree and undergraduate students, who were chosen with convenience sampling method and who are studying in 15 universities were included in the study. An application was used on the students in universities constituting the sample, who at least took and succeeded in fundamental level accounting courses such as general accounting of financial accounting, end of period accounting transactions, inventory balance sheet to measure whether they recognize commercial documents or not and whether they are able to make accounting records based on the commercial documents. In accordance with the results of the research, although the students studying in the universities within the scope of the analysis have knowledge about these documents and know their features, it is determined that they experience difficulties in preparing aforementioned documents and statements and making coverage entries. 06-29-2017 <![CDATA[ <p><span>The objective of this study is to determine the place of commercial documents in accounting education. For this purpose, at first an inventory study was conducted whether there is a lecture about commercial documents within associate’s degree and undergraduate degree programs in state and foundation universities offering accounting education in Turkey. Afterwards, 393 associate’s degree and undergraduate students, who were chosen with convenience sampling method and who are studying in 15 universities were included in the study. An application was used on the students in universities constituting the sample, who at least took and succeeded in fundamental level accounting courses such as general accounting of financial accounting, end of period accounting transactions, inventory balance sheet to measure whether they recognize commercial documents or not and whether they are able to make accounting records based on the commercial documents. In accordance with the results of the research, although the students studying in the universities within the scope of the analysis have knowledge about these documents and know their features, it is determined that they experience difficulties in preparing aforementioned documents and statements and making coverage entries.</span></p> ]]> Muhasebe Eğitiminde Ticari Belge Öğretiminin Değerlendirilmesi: Ön Lisans ve Lisans Programları Üzerine Bir Araştırma (Evaluation of Commercial Documents Training in Accounting Education: A Study on Associate Degree and Undergraduate Degree Programs) ahmet gökgöz doi: 10.56578/jafas030208 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 158 10.56578/jafas030208 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030208 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030207 Materiality is a fundamental auditing concept. The determination and application of materiality in the conduct of an external audit is regulated by International Standards on Auditing. This paper analysed the benefits and drawbacks of materiality disclosures in Maltese statutory auditing from the perspective of Maltese auditors, whilst measuring and explaining their resistance to such disclosures. A mixed-methods research design was adopted whereby data was collected from Maltese auditors first using a self- administered questionnaire, followed by semi-structured interviews. This paper concluded that the drawbacks of disclosing materiality in Maltese statutory audit reports greatly outweighed any potential benefits that might be reaped. Maltese auditors generally resisted disclosing materiality levels mainly due to the drawbacks associated with such disclosures. This paper also concluded that materiality disclosures in the audit report should, at present, be avoided in Malta because the local market is not sufficiently mature and knowledgeable to properly understand such disclosures. 06-29-2017 <![CDATA[ <p>Materiality<span> </span>is<span> </span>a<span> </span>fundamental<span> </span>auditing<span> </span>concept.<span> </span>The<span> </span>determination<span> </span>and<span> </span>application<span> </span>of<span> </span>materiality<span> </span>in<span> </span>the<span> </span>conduct of an external audit is regulated by International<span> </span>Standards on Auditing. This paper analysed the benefits<span> </span>and<span> </span>drawbacks<span> </span>of<span> </span>materiality<span> </span>disclosures<span> </span>in<span> </span>Maltese<span> </span>statutory<span> </span>auditing<span> </span>from<span> </span>the<span> </span>perspective<span> </span>of<span> </span>Maltese<span> auditors, </span>whilst<span> </span>measuring<span> </span>and<span> </span>explaining<span> </span>their<span> </span>resistance<span> </span>to<span> </span>such<span> </span>disclosures. A mixed-methods research design was adopted whereby<span> </span>data<span> </span>was<span> </span>collected<span> </span>from<span> </span>Maltese<span> </span>auditors<span> </span>first<span> </span>using<span> </span>a<span> </span>self-<span> </span>administered questionnaire, followed by semi-structured<span> </span>interviews. This paper concluded that the drawbacks of disclosing<span> </span>materiality<span> </span>in<span> </span>Maltese<span> </span>statutory<span> </span>audit<span> </span>reports<span> </span>greatly<span> </span>outweighed any potential benefits that might be reaped.<span> </span>Maltese auditors generally resisted disclosing materiality<span> </span>levels mainly due to the drawbacks associated with such<span> </span>disclosures.<span> </span>This paper also concluded that materiality<span> </span>disclosures<span> </span>in<span> </span>the<span> </span>audit<span> </span>report<span> </span>should,<span> </span>at<span> </span>present,<span> </span>be<span> </span>avoided<span> </span>in<span> </span>Malta<span> </span>because<span> </span>the<span> </span>local<span> </span>market<span> </span>is<span> </span>not<span> </span>sufficiently<span> </span>mature<span> </span>and<span> </span>knowledgeable<span> </span>to<span> </span>properly<span> </span>understand<span> </span>such<span> </span>disclosures.</p> ]]> Materiality Disclosures in Statutory Auditing: A Maltese Perspective peter j baldacchino norbert tabone ryan demanuele doi: 10.56578/jafas030207 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 116 10.56578/jafas030207 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030207 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030206 This study aims to comparatively analyze scope and valuation measures of the financial investment account group in terms of Turkish Accounting Standards (TAS) / Turkish Financial Reporting Standards (TFRS) / Turkish Tax Procedure Law (TTPL). The study covers valuation measures used at the end of the period on the basis of the financial investments account group and does not include valuation measures used at the beginning of the period. It was aimed to reveal valuation differences between the companies applying TAS / TFRS / TTPL in terms of scope and valuation standards. For this reason, an example on evaluation of the financial investments account group with valuation measures included in TAS / TFRS / TTPL was presented. It has been determined that there are significant differences in the context of scope and valuation within the financial investment account group in terms of TAS/TFRS/TTPL. 06-29-2017 <![CDATA[ <p>This<span style="font-family: Times New Roman, serif"> </span>study<span style="font-family: Times New Roman, serif"> </span>aims<span style="font-family: Times New Roman, serif"> </span>to<span style="font-family: Times New Roman, serif"> </span>comparatively<span style="font-family: Times New Roman, serif"> </span>analyze<span style="font-family: Times New Roman, serif"> </span>scope<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>valuation<span style="font-family: Times New Roman, serif"> </span>measures<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>financial<span style="font-family: Times New Roman, serif"> </span>investment<span style="font-family: Times New Roman, serif"> </span>account<span style="font-family: Times New Roman, serif"> </span>group<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>terms<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>Turkish<span style="font-family: Times New Roman, serif"> </span>Accounting<span style="font-family: Times New Roman, serif"> </span>Standards<span style="font-family: Times New Roman, serif"> </span>(TAS)<span style="font-family: Times New Roman, serif"> </span>/<span style="font-family: Times New Roman, serif"> </span>Turkish<span style="font-family: Times New Roman, serif"> </span>Financial<span style="font-family: Times New Roman, serif"> </span>Reporting<span style="font-family: Times New Roman, serif"> </span>Standards<span style="font-family: Times New Roman, serif"> </span>(TFRS)<span style="font-family: Times New Roman, serif"> </span>/<span style="font-family: Times New Roman, serif"> </span>Turkish<span style="font-family: Times New Roman, serif"> </span>Tax<span style="font-family: Times New Roman, serif"> </span>Procedure<span style="font-family: Times New Roman, serif"> </span>Law<span style="font-family: Times New Roman, serif"> </span>(TTPL).<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>study<span style="font-family: Times New Roman, serif"> </span>covers<span style="font-family: Times New Roman, serif"> </span>valuation<span style="font-family: Times New Roman, serif"> </span>measures<span style="font-family: Times New Roman, serif"> </span>used<span style="font-family: Times New Roman, serif"> </span>at<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>end<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>period<span style="font-family: Times New Roman, serif"> </span>on<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>basis<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>financial<span style="font-family: Times New Roman, serif"> </span>investments<span style="font-family: Times New Roman, serif"> </span>account<span style="font-family: Times New Roman, serif"> </span>group<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>does<span style="font-family: Times New Roman, serif"> </span>not<span style="font-family: Times New Roman, serif"> </span>include<span style="font-family: Times New Roman, serif"> </span>valuation<span style="font-family: Times New Roman, serif"> </span>measures<span style="font-family: Times New Roman, serif"> </span>used<span style="font-family: Times New Roman, serif"> </span>at<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>beginning<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>period.<span style="font-family: Times New Roman, serif"> </span>It<span style="font-family: Times New Roman, serif"> </span>was<span style="font-family: Times New Roman, serif"> </span>aimed<span style="font-family: Times New Roman, serif"> </span>to<span style="font-family: Times New Roman, serif"> </span>reveal<span style="font-family: Times New Roman, serif"> </span>valuation<span style="font-family: Times New Roman, serif"> </span>differences<span style="font-family: Times New Roman, serif"> </span>between<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>companies<span style="font-family: Times New Roman, serif"> </span>applying<span style="font-family: Times New Roman, serif"> </span>TAS<span style="font-family: Times New Roman, serif"> </span>/<span style="font-family: Times New Roman, serif"> </span>TFRS<span style="font-family: Times New Roman, serif"> </span>/<span style="font-family: Times New Roman, serif"> </span>TTPL<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>terms<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>scope<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>valuation<span style="font-family: Times New Roman, serif"> </span>standards.<span style="font-family: Times New Roman, serif"> </span>For<span style="font-family: Times New Roman, serif"> </span>this<span style="font-family: Times New Roman, serif"> </span>reason,<span style="font-family: Times New Roman, serif"> </span>an<span style="font-family: Times New Roman, serif"> </span>example<span style="font-family: Times New Roman, serif"> </span>on<span style="font-family: Times New Roman, serif"> </span>evaluation<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>financial<span style="font-family: Times New Roman, serif"> </span>investments<span style="font-family: Times New Roman, serif"> </span>account<span style="font-family: Times New Roman, serif"> </span>group<span style="font-family: Times New Roman, serif"> </span>with<span style="font-family: Times New Roman, serif"> </span>valuation<span style="font-family: Times New Roman, serif"> </span>measures<span style="font-family: Times New Roman, serif"> </span>included<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>TAS<span style="font-family: Times New Roman, serif"> </span>/<span style="font-family: Times New Roman, serif"> </span>TFRS<span style="font-family: Times New Roman, serif"> </span>/<span style="font-family: Times New Roman, serif"> </span>TTPL<span style="font-family: Times New Roman, serif"> </span>was<span style="font-family: Times New Roman, serif"> </span>presented.<span style="font-family: Times New Roman, serif"> </span>It<span style="font-family: Times New Roman, serif"> </span>has<span style="font-family: Times New Roman, serif"> </span>been<span style="font-family: Times New Roman, serif"> </span>determined<span style="font-family: Times New Roman, serif"> </span>that<span style="font-family: Times New Roman, serif"> </span>there<span style="font-family: Times New Roman, serif"> </span>are<span style="font-family: Times New Roman, serif"> </span>significant<span style="font-family: Times New Roman, serif"> </span>differences<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>context<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>scope<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span><span>valuation</span><span style="font-family: Times New Roman, serif"> </span><span>within</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>investment</span><span style="font-family: Times New Roman, serif"> </span><span>account</span><span style="font-family: Times New Roman, serif"> </span><span>group</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span>terms<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>TAS/TFRS/TTPL.</p> ]]> Similarities and Differences Related to the Scope and Valuation of the Financial Investments According to Turkish Accounting Standards / Turkish Fınancial Reporting Standards / Turkish Tax Procedure Law feden koç doi: 10.56578/jafas030206 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 96 10.56578/jafas030206 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030206 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030205 The objective of this paper is twofold: measuring credit of institution microstructure and studying Enda inter-arab Tunisia by bayesian networks. After the data gathering characterizing of the customers requiring of the micro loans, this approach consists initially with the samples collected, then the setting in works about it of various network architectures and combinations of functions of activation and training and comparison between the results got and the results of the current methods used. To address this problem we will try to create a graph that will be used to develop our credit scoring using Bayesian networks as a method. After, we will bring out the variables that affect the credit worthiness of the beneficiaries of microcredit. Therefore this article will be divided so the first part is the theoretical side of the key variables that affect the rate of reimbursement and the second part a description of the variables, the research methodology and the main results. 06-29-2017 <![CDATA[ The objective of this paper is twofold: measuring credit of institution microstructure and studying Enda inter-arab Tunisia by bayesian networks. After the data gathering characterizing of the customers requiring of the micro loans, this approach consists initially with the samples collected, then the setting in works about it of various network architectures and combinations of functions of activation and training and comparison between the results got and the results of the current methods used. To address this problem we will try to create a graph that will be used to develop our credit scoring using Bayesian networks as a method. After, we will bring out the variables that affect the credit worthiness of the beneficiaries of microcredit. Therefore this article will be divided so the first part is the theoretical side of the key variables that affect the rate of reimbursement and the second part a description of the variables, the research methodology and the main results. ]]> Risk of Refunding Default in Micro-Finance Institution by Bayesian Networks: Case of Tunisia mohamed wajdi triki younes boujelbene doi: 10.56578/jafas030205 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 81 10.56578/jafas030205 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030205 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030204 Intellectual capital has been found to have a significant association with profitability in the financial sector of various parts of the world. As a result, this study aims to empirically investigate the relationship between intellectual capital and financial performance of twenty- seven private commercial banks for the year 2013 in Bangladesh. Annual reports for the relevant year of the selected banks have been used to gather secondary information for the empirical models based on Pulic’s VAIC model. Stepwise regression was performed for the full sample, conventional and Islamic banks separately. The analysis indicates that both VIAC and its components have a significant association with profitability. Results for conventional and Islamic banks established different components of VIAC as a significant predictor of bank’s profitability. A future study including all financial institutions could provide a better estimate of the impact of intellectual capital on profitability for the finance sector. 06-29-2017 <![CDATA[ Intellectual capital has been found to have a significant association with profitability in the financial sector of various parts of the world. As a result, this study aims to empirically investigate the relationship between intellectual capital and financial performance of twenty- seven private commercial banks for the year 2013 in Bangladesh. Annual reports for the relevant year of the selected banks have been used to gather secondary information for the empirical models based on Pulic’s VAIC model. Stepwise regression was performed for the full sample, conventional and Islamic banks separately. The analysis indicates that both VIAC and its components have a significant association with profitability. Results for conventional and Islamic banks established different components of VIAC as a significant predictor of bank’s profitability. A future study including all financial institutions could provide a better estimate of the impact of intellectual capital on profitability for the finance sector. ]]> Impact of Intellectual Capital on Profitability - Conventional versus Islamic Banks rashedul hasan niaz mohammad mohammad faridul alam doi: 10.56578/jafas030204 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 64 10.56578/jafas030204 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030204 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030203 This study analyses and empirically explores the effects of the implementation of Good Corporate Governance (GCG) on the service quality of the state-owned electricity company, PT. PLN of Aceh Regional Office, Indonesia. This study also attempts to evaluate factors supporting and inhibiting the implementation of GCG to improve the quality of service of the company. To collect the data, questionnaires were distributed to all 167 employees of the company, as the study using the census technique. This study uses a mixed method, comprising qualitative and quantitative approaches. The data was analysed descriptively and quantitatively by using the multiple regression model. The study found that the company has well-implemented principles of GCG in providing services to their customers. This study also documented that, with the exception of the GCG’s principle of independency, the implementation of all other principles of GCG, i.e., transparency, accountability, responsibility and fairness were found to positively and significantly affect the service quality of the state-owned electricity company in Indonesia. These findings implied that to continue providing a good service quality for the customers, the company should further enhance the implementation of the principles of GCG in all aspects of company’s activities. 06-29-2017 <![CDATA[ <p>This<span> </span>study<span> </span>analyses<span> </span>and<span> </span>empirically<span> </span>explores<span> </span>the<span> </span>effects<span> </span>of the implementation of Good Corporate Governance (GCG) on the service quality of the state-owned electricity company,<span> </span>PT.<span> </span>PLN<span> </span>of<span> </span>Aceh<span> </span>Regional<span> </span>Office,<span> </span>Indonesia.<span> </span>This study also attempts to evaluate factors supporting and inhibiting the implementation of GCG to improve the quality of service of the company. To collect the data, questionnaires were distributed to all 167 employees of the<span> </span>company,<span> </span>as<span> </span>the<span> </span>study<span> </span>using<span> </span>the<span> </span>census<span> </span>technique.<span> </span>This study uses a mixed method, comprising qualitative and quantitative approaches. The data was analysed descriptively and quantitatively by using the multiple regression model. The study found that the company has well-implemented principles of GCG in providing services to their customers. This study also documented that, with the exception of the GCG’s principle of independency, the implementation of all other principles of GCG, i.e., transparency, accountability, responsibility and fairness were found to positively and significantly affect the service quality of the state-owned electricity company in Indonesia. These findings implied that to continue providing a good service quality for the customers, the company should further enhance the implementation of the<span> </span>principles<span> </span>of<span> </span>GCG<span> </span>in<span> </span>all<span> </span>aspects<span> </span>of<span> </span>company’s<span> </span>activities.</p> ]]> The Implementation of Good Corporate Governance (GCG) to Improve Service Quality: The Case of State-Owned Electricity Company in Indonesia hasan basri almira keumala ulfah m. shabri abd. majid doi: 10.56578/jafas030203 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 44 10.56578/jafas030203 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030203 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030202 The objectives of this research are to identify the major areas needing reform in the co-operative regulatory framework of the small state of Malta and to evaluate possible alternatives. Objectives were achieved by the analysis of the legal framework and the conduct of semi- structured interviews. Findings indicate a general yearning for co-operative regulation to be less paternalistic and to allow greater financial and operational autonomy to co-operatives and their institutions. However, results highlight the importance of upholding the distinct co-operative identity encompassed by the co-operative values and principles. The article concludes that it is the areas of co-operative financing, the distribution of returns and the role of co-operative institutions needing most addressing. Recommendations include amending the provisions relating to the redemption of capital upon member exit, removing the asset lock on ploughed-back surpluses, and updating regulations regarding representative co-operative organisations and the Maltese co-operative funding entity, the Central Co-operative Fund. 06-29-2017 <![CDATA[ <p>The objectives of this research are to identify the major areas needing reform in the co-operative regulatory framework of the small state of Malta and to evaluate possible alternatives. Objectives were achieved by the analysis of the legal framework and the conduct of semi- structured interviews. Findings indicate a general yearning for co-operative regulation to be less paternalistic and to allow greater financial and operational autonomy to co-operatives and their institutions. However, results highlight the importance of upholding the distinct co-operative identity encompassed by the co-operative values and principles. The article concludes<span> </span>that<span> </span>it<span> </span>is<span> </span>the<span> </span>areas<span> </span>of<span> </span>co-operative<span> </span>financing,<span> </span>the distribution of returns and the role of co-operative institutions needing most addressing. Recommendations include amending the provisions relating to the redemption of capital upon member exit, removing the asset lock on ploughed-back surpluses, and updating regulations regarding representative co-operative organisations<span> </span>and<span> </span>the<span> </span>Maltese<span> </span>co-operative<span> </span>funding<span> </span>entity, the Central Co-operative<span> </span>Fund.</p> ]]> The Co-Operative Regulatory Framework in a Small State: Reviewing the Alternatives peter j baldacchino miraine falzon simon grima doi: 10.56578/jafas030202 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 16 10.56578/jafas030202 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030202 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030201 The purpose of this study is to provide evidences in context of life cycle and free cash flow theories. The study examines the potential factors of firms to pay dividend by conducting logistic regression with sample of 138 firms listed in Indonesia Stock Exchange for period 2010 till 2015. The result of analysis shows that dividend payers generally are firms at mature stage which is consistent with life cycle theory. Also, these mature firms normally are larger firms, more profitable, higher earnings, higher debt and diminish for investment opportunities. In addition, the higher debt for dividend payers indicates the existence of free cash flow effects. 06-29-2017 <![CDATA[ <p>The purpose of this study is to provide evidences in context of life cycle and free cash flow theories. The study examines the potential factors of firms to pay dividend by conducting logistic regression with sample of 138 firms listed in Indonesia Stock Exchange for period 2010 till 2015. The result of analysis shows that dividend payers generally are firms at mature stage which is consistent with life cycle theory. Also, these mature firms normally are larger firms, more profitable, higher earnings, higher debt and diminish for investment opportunities. In addition,<span> </span>the<span> </span>higher<span> </span>debt<span> </span>for<span> </span>dividend<span> </span>payers<span> </span>indicates<span> </span>the existence of free cash flow<span> </span>effects.</p> ]]> Prospensity to Pay Dividend : Testing for Life Cycle and Free Cash Flow Theories novi swandari budiarso doi: 10.56578/jafas030201 Journal of Accounting, Finance and Auditing Studies 06-29-2017 Journal of Accounting, Finance and Auditing Studies 06-29-2017 2017 3 2 Article 1 10.56578/jafas030201 https://www.acadlore.com/article/JAFAS/2017_3_2/jafas030201 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030107 South Korea continued its achievements in education field like its global economic success. South Korea located in the first three ranks according to PISA (Programme for Intermational Student Assessment) report which ranks students’ success published by Organization for Economic Cooperation And Development (OECD) in 2012. Therefore with PISA report South Korea’s success in the field of education is registered. The aim of this study is investigating accounting education in South Korea, where its success on education is registered by PISA report and International Financial Reporting Standards (IFRS) are being used for long years. In accordance with the aim of the study, one high school, one associate degree and two undergraduate degree programs where accounting education is given are visited and interviews are conducted with the instructors. And assessments are made on accounting education in South Korea in the frame of these visits and interviews. 03-30-2017 <![CDATA[ <p>South Korea continued its achievements in education field like its global economic success. South Korea located in the first three ranks according to PISA (Programme for Intermational Student Assessment) report which ranks students’ success published by Organization for Economic Cooperation And Development (OECD) in 2012. Therefore with PISA report South<span> </span>Korea’s<span> </span>success<span> </span>in<span> </span>the<span> </span>field<span> </span>of<span> </span>education<span> </span>is<span> </span>registered.<span> </span>The aim of this study is investigating accounting education in<span> </span>South Korea, where its success on education is registered by PISA report and International Financial Reporting Standards (IFRS) are<span> </span>being<span> </span>used<span> </span>for<span> </span>long<span> </span>years.<span> </span>In<span> </span>accordance<span> </span>with<span> </span>the<span> </span>aim<span> </span>of<span> </span>the study, one high school, one associate degree and two undergraduate<span> </span>degree<span> </span>programs<span> </span>where<span> </span>accounting<span> </span>education<span> </span>is given are visited and interviews are conducted with the instructors. And assessments are made on accounting education in South Korea in the frame of these visits and interviews.</p> ]]> A Study on Accounting Education in South Korea ahmet gökgöz doi: 10.56578/jafas030107 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 91 10.56578/jafas030107 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030107 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030106 Main topic: A tsunami of regulations since the 2013 financial crisis is steering toward’s Europe’s financial service sector. At the same time the accounting standard for financial institutions’ core products the financial instruments will be changing. As disclosures according to IFRS 9 become mandatory by 2018, the existing IFRS Taxonomy for IFRS 9 already developed by the IFRS Foundation, represents a suitable and objective framework to assess IFRS 9 impact on disclosures. The specific goal of this paper is to perform a conceptual gap analysis considering the IFRS 9 taxonomy issued by the IASB and the Financial Reporting (FinRep) taxonomy on IFRS 9 issued by the European Banking Authority (EBA). In general, the IFRS Taxonomy is not used very much in practice. This is not understandable as several advantages relate to the IFRS taxonomy: as it is not the objective of a principle-based accounting standard to define specific rules for each and every disclosure, this is the reason why to derive reporting elements would be very difficult to accomplish. The IASB started to perform a review process of the XBRL Due Process in 2013. As a result the development of the IFRS taxonomy should become part of the general due process of the financial reporting standards. Due to these changes it is expected that the importance of the IFRS taxonomy will be growing. The FinRep-taxonomy has become mandatory since 2014 for all banks within Europe, to fulfill the regulatory reporting requirements according to the Capital Requirements Directive (CRR) IV. Results: Even though the disclosures for external reporting and for regulatory reporting are based on the same accounting framework International Financial Reporting Standards Boards (IFRS), differences can be observed with regard to disclosures, which are partly material. These differences become transparent when analysing IFRS- and FinRep-taxonomy reporting elements. This is caused by the principle-based IFRS, which enable scope of interpretation and the different objectives of the IASB and the banking supervision. Whereas the IASB follows the objective to develop industry non-specific international financial reporting standards, the banking supervision core focus lies on the banking industry. The EBA follows specific information requests with the FinRep-taxonomy in the role as banking supervisory. The IASB intends to provide decision useful information for investors. Nevertheless these two taxonomies provide the possibility for a starting point for the harmonization and the development of common practice disclosures, which could counteract against heterogeneous financial reporting and the issue of “information overload”. Method: Analytical Practical Implications: This paper is relevant for managers who are responsible for external and regulatory reporting. 03-30-2017 <![CDATA[ <p><strong><span>Main topic: </span></strong><span>A tsunami of regulations since the 2013 financial crisis is steering toward’s Europe’s financial service sector. At the same time the accounting standard for financial institutions’ core products the financial instruments will be changing. As disclosures according to IFRS 9 become mandatory by 2018, the existing IFRS Taxonomy for IFRS 9 already developed by the IFRS Foundation, represents a suitable and objective framework to assess IFRS 9 impact on disclosures. The specific goal of this paper is to perform a conceptual gap analysis considering the IFRS 9 taxonomy issued by the IASB and the Financial Reporting (FinRep) taxonomy on IFRS 9 issued by the European Banking Authority (EBA). In general, the IFRS Taxonomy is not used very much in practice. This is not understandable as several advantages relate to the IFRS taxonomy: as it is not the objective of a principle-based accounting standard to define specific rules for each and every disclosure, this is the reason why to derive reporting elements would be very difficult to accomplish. The IASB started to perform a review process of the XBRL Due Process in 2013. As a result the development of the IFRS taxonomy should become part of the general due process of the financial reporting standards. Due to these changes it is expected that the importance of the IFRS taxonomy will be growing. The FinRep-taxonomy has become mandatory since 2014 for all banks within Europe, to fulfill the regulatory reporting requirements according to the Capital Requirements Directive (CRR) IV. </span><strong><span>Results</span></strong><span>: Even though the disclosures for external reporting and for regulatory reporting are based on the same accounting framework International Financial Reporting Standards Boards (IFRS), differences can be observed with regard to disclosures, which are partly material. These differences become transparent when analysing IFRS- and FinRep-taxonomy reporting elements. This is caused by the principle-based IFRS, which enable scope of interpretation and the different objectives of the IASB and the banking supervision. Whereas the IASB follows the objective to develop industry non-specific international financial reporting standards, the banking supervision core focus lies on the banking industry. The EBA follows specific information requests with the FinRep-taxonomy in the role as banking supervisory. The IASB intends to provide decision useful information for investors. Nevertheless these two taxonomies provide the possibility for a starting point for the harmonization and the development of common practice disclosures, which could counteract against heterogeneous financial reporting and the issue of “information overload”. </span><strong><span>Method: </span></strong><span>Analytical </span><strong><span>Practical Implications: </span></strong><span>This paper is relevant for managers who are responsible for external and regulatory reporting.</span></p> ]]> IFRS 9 for Financial Institutions - The Case for IFRS and FinRep-Taxonomies – A Conceptual Gap Analysis dirk beerbaum maciej piechocki doi: 10.56578/jafas030106 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 80 10.56578/jafas030106 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030106 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030105 The purpose of this study is to analyze the dividend policy dynamics in context to firm specific and macroeconomic variables with stock price volatility in the financial sector of Pakistan. Panel data is used for the period 2006-2014 to identify the common, fixed, random and GMM effect. It is concluded that dividend payout ratio, market value, interest volatility and inflation volatility have positive significant correlation with price volatility. Common effect model shows that dividend payout and interest volatility has a significant positive impact on the share prices. Whereas fixed effect model is more appropriate and good fit than random effect model and model indicate that dividend payout ratio has significant positive impact and market volatility has significant negative impact on stock prices. GMM results also support the fixed and random effect outcomes with more robustness. This study significantly contributes in dividend policy decisions and elaborates the dynamic roll of micro and macro variables on stock price volatility in financial sector of Pakistan. 03-30-2017 <![CDATA[ <p>The purpose of this study is to analyze the dividend policy dynamics in context to firm specific and macroeconomic variables with stock price volatility in the financial sector of Pakistan. Panel data is used for the period 2006-2014 to identify the common, fixed, random and GMM effect. It is concluded that dividend payout ratio, market value, interest volatility and inflation volatility have positive significant correlation with price volatility. Common effect model shows that dividend payout and interest volatility has a significant positive impact on the share prices. Whereas fixed effect model is more appropriate and good fit than random effect model and model indicate that dividend payout ratio has significant positive impact and market volatility has significant negative impact on stock prices. GMM results also support the fixed and random effect outcomes with more robustness. This study significantly contributes in dividend policy decisions and elaborates the dynamic roll of micro and macro variables on stock price volatility in financial sector of Pakistan.</p> ]]> Juxtaposition of Micro and Macro Dynamics of Dividend Policy on Stock Price Volatility in Financial Sector of Pakistan: (Comparative Analysis through Common, Fixed, Random and GMM Effect) kashif hamid muhammad usman khurram wasim ghaffar doi: 10.56578/jafas030105 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 64 10.56578/jafas030105 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030105 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030104 This research was conducted to address the prevalent issues regarding the effect of industrial diversification and geographic diversification either partially or simultaneously on the practice of earnings management. By utilizing purposive sampling techniques on the secondary data, the total of 80 sample studies were drawn from manufacturing companies listed on Indonesian Stock Exchange for the period of 2011-2014. Multiple linear regression analysis provided by SPSS 21.0 was also employed to test the hypotheses constructed within this research. The result of the multiple linear regression analysis presents evidence that industrial diversification and geographic diversification simultaneously have a significant effect on the practice of earnings management. Alongside, it also affirms that partially, industrial diversification and geographic diversification have a significance effect on the practice of earnings management. These findings provide scholarly evidence on the implication of diversification strategies on the practice of earnings management to help financial statement users (investors, creditors, stakeholders, etc.), accounting standard setters, and regulators to assess the pervasiveness of earnings management within the company. 03-30-2017 <![CDATA[ <p>This research was conducted to address the prevalent issues regarding the effect of industrial diversification and geographic diversification either partially or simultaneously on the practice of earnings management. By utilizing purposive sampling techniques on the secondary data, the total of 80 sample studies were drawn from manufacturing companies listed on Indonesian Stock Exchange for the period of 2011-2014. Multiple linear regression analysis provided by SPSS 21.0 was also employed to test the hypotheses constructed within this research. The result of the multiple linear regression analysis presents evidence that industrial diversification and geographic diversification simultaneously have a significant effect on the practice of earnings management. Alongside, it also affirms that partially, industrial diversification and geographic diversification have a significance effect on the practice of earnings management. These findings provide scholarly evidence on the implication of diversification strategies on the practice of earnings management to help financial statement users (investors, creditors, stakeholders, etc.), accounting standard setters, and regulators to assess the pervasiveness of earnings management within the company.</p> ]]> The Effect of Industrial and Geographic Diversifications on the Earnings Management of the Manufacturing Companies in Indonesia hasan basri dahlia buchari doi: 10.56578/jafas030104 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 52 10.56578/jafas030104 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030104 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030103 Purpose: This paper explains the analysis of built-in premium within ‘premium-free’ FX Option strategies, also known as ‘exotic options’. The aim is to analyse whether such an increase in built-in premium would have an effect on the outcome of the strategies. Methodology: The analysis was conducted through three different currency pairs, namely, the EURUSD, EURJPY and EURGBP, throughout a period between 2007 to 2014. The authors used the Bloomberg terminal to design two different option strategies: Window Forward Extra and At Expiry Forward Extra. These strategies are known as low risk hedging strategies within the FX options industry. The authors examined different combinations of changes in built-in premium and analysed the respective outcome with each combination. The outcomes were compared to analyse whether an increase in built-in premium would have an effect on the outcome of the strategy. A test was also conducted should these strategies be used as a speculative tool. The strategies were built on a 1 year tenor which is rolled over every month. Hence, each month a hedge using the strategy for 1 year was conducted. The authors used back dated implied volatilies when performing the back-testing in order for results to be realistic. Findings: In most cases it was found that there was no effect on the outcome of the strategy. However, this was only valid if an expiry at a time is taken. On the other hand, when taking into account the whole sample, even though only 3% of the times there was an effect on the outcome of the strategy, the total result finds that an increase in built-in premium has an effect on the outcome of the strategy. Such result was found to be statistically significant using a paired sample t-test. This applied for all currency pairs under review. When analysing the exotic option strategies for speculative purposes, the authors found that in most cases it would have been better for brokers to take higher risk and receive an upfront Premium. 03-30-2017 <![CDATA[ <p><strong>Purpose:</strong> This paper explains the analysis of built-in premium within ‘premium-free’ FX Option strategies, also known as ‘exotic options’. The aim is to analyse whether such an increase in built-in premium would have an effect on the outcome of the strategies. <strong>Methodology: </strong>The analysis was conducted through three different currency pairs, namely, the EURUSD, EURJPY and EURGBP, throughout a period between 2007 to 2014. The authors used the Bloomberg terminal to design two different option strategies: Window Forward Extra and At Expiry Forward Extra. These strategies are known as low risk hedging strategies within the FX options industry. The authors examined different combinations of changes in built-in premium and analysed the respective outcome with each combination. The outcomes were compared to analyse whether an increase in built-in premium would have an effect on the outcome of the strategy. A test was also conducted should these strategies be used as a speculative tool. The strategies were built on a 1 year tenor which is rolled over every month. Hence, each month a hedge using the strategy for 1 year was conducted. The authors used back dated implied volatilies when performing the back-testing in order for results to be realistic. <strong>Findings:</strong> In most cases it was found that there was no effect on the outcome of the strategy. However, this was only valid if an expiry at a time is taken. On the other hand, when taking into account the whole sample, even though only 3% of the times there was an effect on the outcome of the strategy, the total result finds that an increase in built-in premium has an effect on the outcome of the strategy. Such result was found to be statistically significant using a paired sample t-test. This applied for all currency pairs under review. When analysing the exotic option strategies for speculative purposes, the authors found that in most cases it would have been better for brokers to take higher risk and receive an upfront Premium.</p> ]]> Built-in Premium Effects within Exotic FX Options john mark caruana joseph falzon simon grima doi: 10.56578/jafas030103 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 37 10.56578/jafas030103 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030103 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030102 The study sought to investigate tax incentives, exclusively tax holiday and capital deductions and how they influence the attraction and retention of the Foreign Direct Investments in Export Processing Zones. A sample size of 72 employees of the firms operating under EPZs was selected for the study using stratified method for the firms and purposive method for the respondents. The study utilized descriptive survey design using self administered questionnaires to solicit information from sampled senior of Export Processing Zones firms. The study found that the use of tax holiday greatly influences the attraction and retention of Foreign Direct Investments. Arguably, the manufacturing sector seems greatly favored by the tax incentives compared to other sectors due to extended capital allowances. The research concludes that tax incentives should be enhanced towards boosting the growth and expansion of the foreign director investors and that the government should be willing to extend the tax holiday beyond ten years for the firms depending on capital injected on long term basis. 03-30-2017 <![CDATA[ <p>The study sought to investigate tax incentives, exclusively tax holiday and capital deductions and how they influence the attraction and retention of the Foreign Direct Investments in Export Processing Zones. A sample size of 72 employees of the firms operating under EPZs was selected for the study using stratified method for the firms and purposive method for the respondents. The study utilized descriptive survey design using self administered questionnaires to solicit information from sampled senior of Export Processing Zones firms. The study found that the use of tax holiday greatly influences the attraction and retention of Foreign Direct Investments. Arguably, the manufacturing sector seems greatly favored by the tax incentives compared to other sectors due to extended capital allowances. The research concludes that tax incentives should be enhanced towards boosting the growth and expansion of the foreign director investors and that the government should be willing to extend the tax holiday beyond ten years for the firms depending on capital injected on long term basis.</p> ]]> An Investigation of the Effect of Tax Incentives on the FDIs: A Case of EPZs in Athi River Kenya gladys wanjiku thuita doi: 10.56578/jafas030102 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 17 10.56578/jafas030102 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030102 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030101 The objective of the study is to find out the impact of audit quality on earnings management. The study used a sample of all eighteen banks quoted on the stock exchange as at December, 2010. Data was gathered for the period 2005 to 2010. The cross-sectional year by year regression analysis was performed. Audit quality is measured by using audit fees and auditor change, and abnormal loan loss provision is used to measure earnings management. Though the result was mixed, however, based on the frequency of results for the period of the study, both audit fee and auditor change were positively related to abnormal loan loss provision. This suggests that high audit fee and change in auditor tenure will aggravate earnings management. We recommend that auditor change should not be ceremonial but based on fact of inefficiency and audit fee from each auditor client should be monitored to enforce the five per cent maximum from each client as suggested by Institute of Chartered Accountants code of ethics. 03-30-2017 <![CDATA[ <p>The objective of the study is to find out the impact of audit quality on earnings management. The study used a sample of all eighteen banks quoted on the stock exchange as at December, 2010. Data was gathered for the period 2005 to 2010. The cross-sectional year by year regression analysis was performed. Audit quality is measured by using audit fees and auditor change, and abnormal loan loss provision is used to measure earnings management. Though the result was mixed, however, based on the frequency of results for the period of the study, both audit fee and auditor change were positively related to abnormal loan loss provision. This suggests that high audit fee and change in auditor tenure will aggravate earnings management. We recommend that auditor change should not be ceremonial but based on fact of inefficiency and audit fee from each auditor client should be monitored to enforce the five per cent maximum from each client as suggested by Institute of Chartered Accountants code of ethics.</p> ]]> Audit quality and Earnings Management in Quoted Nigerian Banks sylvester eriabie eyesan leslie dabor doi: 10.56578/jafas030101 Journal of Accounting, Finance and Auditing Studies 03-30-2017 Journal of Accounting, Finance and Auditing Studies 03-30-2017 2017 3 1 Article 1 10.56578/jafas030101 https://www.acadlore.com/article/JAFAS/2017_3_1/jafas030101 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020411 Given divergent results of studies on the implications of employee ownership on performance and low interest granted to the probability of the existence of an eventual causality. The purpose of this contribution is to check whether there is a causal link between the two presuppositions and if so, whether the causality is unidirectional or bidirectional. Based on the econometrics of panel data, the error correction models and low exogeneity tests, the results of the econometric treatments, on a sample of French companies quoted on the stock exchange 120 over a period running from 2000 to 2012, reveal the existence of two long-term dynamics in a single direction from the performance indicators (ROA and ROE) to employee ownership. 12-30-2016 <![CDATA[ <p>Given divergent results of studies on the implications of<span> </span>employee<span> </span>ownership<span> </span>on<span> </span>performance<span> </span>and<span> </span>low<span> </span>interest<span> </span>granted to the probability of the existence of an eventual<span> </span>causality.<span> </span>The<span> </span>purpose<span> </span>of<span> </span>this<span> </span>contribution<span> </span>is<span> </span>to<span> </span>check<span> </span>whether<span> </span>there<span> </span>is<span> </span>a<span> </span>causal<span> </span>link<span> </span>between<span> </span>the<span> </span>two<span> </span>presuppositions<span> </span>and<span> </span>if<span> </span>so,<span> </span>whether<span> </span>the<span> </span>causality<span> </span>is<span> unidirectional </span>or<span> </span>bidirectional.<span> </span>Based<span> </span>on<span> </span>the<span> </span>econometrics<span> </span>of<span> </span>panel<span> </span>data,<span> </span>the<span> </span>error<span> </span>correction<span> </span>models<span> </span>and<span> </span>low<span> </span>exogeneity<span> </span>tests,<span> </span>the<span> </span>results<span> </span>of<span> </span>the<span> </span>econometric<span> </span>treatments, on a sample of French companies quoted on<span> </span>the stock exchange 120 over a period running from 2000<span> </span>to 2012, reveal the existence of two long-term dynamics<span> </span>in<span> </span>a<span> </span>single<span> </span>direction<span> </span>from<span> </span>the<span> </span>performance<span> </span>indicators<span> </span>(ROA<span> </span>and<span> </span>ROE)<span> </span>to<span> </span>employee ownership.</p> ]]> Effects of Employee Ownership on the Performance of French Companies SBF120: Empirical Validation refka maghraoui jameleddine zidai doi: 10.56578/jafas020411 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 195 10.56578/jafas020411 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020411 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020410 The mutual fund industry in India consists of public sector, private sector and foreign funds. All the three sectors were studied to compare the selectivity and timing performance on the basis of sponsorship of funds. However, from these only active funds belongings to Growth, Income, Balanced and Tax-Saving Schemes were selected for the study. The period of study is five years from April 2007 to 31st March 2011. The rationale for selecting the study period of 5-years from 1st April 2007 to 31st March 2011 stems from two reasons. Firstly, during this period, the stock market experienced higher volatility, as such chosen to find-out whether the funds have succeeded in surpassing the market performance even under depressed market conditions. Secondly, the five years were long enough to capture different market phases and to draw meaningful conclusions. Regarding timing performance empirical results have indicated that the majority i.e. 85 percent of fund managers have shown superior timing performance. As such, it is evident that Indian fund managers during the reference period were more inclined towards timing performance and market timing was evidenced, suggesting that there is a trade –off between a fund managersstockselectionandmarkettimingperformance. This is indicative of the evidence of activity specialization among fund managers, implying that no manager can excel in both theactivities. 12-30-2016 <![CDATA[ <p>The mutual fund industry in India consists of public sector, private sector and foreign funds. All the three sectors were studied to compare the selectivity and timing performance on the basis of sponsorship of funds. However, from these only active funds belongings to Growth, Income, Balanced and Tax-Saving Schemes were selected for the study. The period of study is five years from April 2007 to 31^_st March 2011. The rationale for selecting the study period of 5-years from 1^st April 2007 to 31^stMarch 2011 stems from two reasons. Firstly, during this period, the stock market experienced higher volatility, as such chosen to find-out whether the funds have succeeded in surpassing the market performance even under depressed market conditions. Secondly, the five years were long enough to capture different market phases and to draw meaningful conclusions. Regarding timing performance empirical results have indicated that the majority i.e. 85 percent of fund managers have shown superior timing performance. As such, it is evident that Indian fund managers during the reference period were more inclined towards timing performance and market timing was evidenced, suggesting that there is a trade –off between a fund managersstockselectionandmarkettimingperformance. This is indicative of the evidence of activity specialization among fund managers, implying that no manager can excel in both theactivities.</p> ]]> Market Timing Ability of Fund Managers in India: An Analysis bilal ahmad pandow doi: 10.56578/jafas020410 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 172 10.56578/jafas020410 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020410 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020409 This research examines the nature of relationships that exist between corporate governance mechanisms (board composition, audit committee, board size and corporate governance disclosure) and financial performance (return on equity, profit margin and return on asset) in the Nigerian oil and gas industry. Secondary data from the audited financial statements of the fifteen listed oil and gas companies in Nigeria were employed. The test of hypotheses and other analysis of data were done using Pearson Correlation and regression analysis generated from SPSS, version 17. Findings from the study revealed that insignificant but positive relationship does exist between board composition and the performance of oil and gas companies in Nigeria. Evidence also exist that corporate governance disclosure level has a positive and significant impact on the ROE. This study therefore suggests that board of directors and stakeholders of oil and gas companies in Nigeria should pay more attention towards enhancing the independence of their audit committees and the extent of their corporate governance disclosure in order to enhance their level of profitability. 12-30-2016 <![CDATA[ <p>This research examines the nature of relationships that exist between corporate governance mechanisms (board composition, audit committee, board size and corporate governance disclosure) and financial performance (return on equity, profit margin and return on asset) in the Nigerian oil and gas industry. Secondary data from the audited financial statements of the fifteen listed oil and gas companies in Nigeria were employed. The test of hypotheses and other analysis of data were done using Pearson Correlation and regression analysis generated from SPSS, version 17. Findings from the study revealed that insignificant but positive relationship does exist between board composition and the performance of oil and gas companies in Nigeria. Evidence also exist that corporate governance disclosure level has a positive and significant impact on the ROE. This study therefore suggests that board of directors and stakeholders of oil and gas companies in Nigeria should pay more attention towards enhancing the independence of their audit committees and the extent of their corporate governance disclosure in order to enhance their level of profitability.</p> ]]> Assessing the Connectedness between Corporate Governance Mechanisms and Financial Performance of Listed Oil and Gas Companies in Nigeria segun ayodele adeyemo k. aderemi imoleayo f. obigbemi stephen a. ojeka doi: 10.56578/jafas020409 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 155 10.56578/jafas020409 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020409 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020408 According to 5th annex of TAS 41 Agricultural Activities Standards, carrier plants mean a plant which is used for producing or providing agricultural productions, is expected to yield more than an accounting period, has very little salability as an agricultural product except for the insignificant sales. Carrier plants have been extracted from TAS 31, 30 and 31 numbered notices of Public Oversight Accounting and Auditing Standards Authority, dating 12.11.2014 and have been included in TMS 16 Class of Property Standards. With the mentioned change, many changes occurred related to the cognition and measurement of the carrier products. The purpose of this study is to explain how the carrier products can be accounted within the frame of Turkish Accounting Standards after the changes occurred with the 30 and 31 numbered notices of Public Oversight Accounting and Auditing Standards Authority, dating 12.11.2014. 12-30-2016 <![CDATA[ <p><span>According to 5</span>^{<span>th</span>}<span> annex of TAS 41 Agricultural Activities Standards, carrier plants mean a plant which is used for producing or providing agricultural productions, is expected to yield more than an accounting period, has very little salability as an agricultural product except for the insignificant sales. Carrier plants have been extracted from TAS 31, 30 and 31 numbered notices of Public Oversight Accounting and Auditing Standards Authority, dating 12.11.2014 and have been included in TMS 16 Class of Property Standards. With the mentioned change, many changes occurred related to the cognition and measurement of the carrier products. The purpose of this study is to explain how the carrier products can be accounted within the frame of Turkish Accounting Standards after the changes occurred with the 30 and 31 numbered notices of Public Oversight Accounting and Auditing Standards Authority, dating 12.11.2014.</span></p> ]]> Taşıyıcı Bitkilerin Türkiye Muhasebe Standartları Çerçevesinde Muhasebeleştirilmesi (Recognition of Carrier Plants Within the Frame of Turkish Accounting Standards) ahmet gökgöz fatma temelli̇ doi: 10.56578/jafas020408 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 142 10.56578/jafas020408 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020408 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020407 The framework to institutionalization and corporate governance is determined by Turkish Commercial Code numbered 6102. In other words, Turkish Commercial Code has arisen as a legal full text of both concepts. Relevant parts of Turkish Commercial Code set the basis for articles about corporate governance pertaining to transparency, equity, responsibility and accountability which are formed within Anglo-Saxon law system. Moreover, in order to increase the opportunities for more and faster credit usage and going to public in capital markets; transparent, clear, comparable and high quality financial reports stands out as principles of new Turkish Commercial Code. So as to present convenient financial reports with International Accounting Standards, businesses should complete their backgrounds for corporate governance. It’s widely known that, principles of corporate governance rests on basis for producing qualified financial reports and quality standards. The aim of this study is to evaluate principles forming corporate governance concept from Turkish Commercial Code’s aspect. Relevant articles in Turkish Commercial Code are scrutinized and inferences about are put forward. 12-30-2016 <![CDATA[ <p>The framework to institutionalization and corporate governance is determined by Turkish Commercial Code numbered 6102. In other words, Turkish Commercial Code has arisen as a legal full text of both concepts. Relevant parts of Turkish Commercial Code set the basis for articles about corporate governance pertaining to transparency, equity, responsibility and accountability which are formed within Anglo-Saxon law system. Moreover, in order to increase the opportunities for more and faster credit usage and going to public in capital markets; transparent, clear, comparable and high quality financial reports stands out as principles of new Turkish Commercial Code. So as to present convenient financial reports with International Accounting Standards, businesses should complete their backgrounds for corporate governance. It’s widely known that, principles of corporate governance rests on basis for producing qualified financial reports and quality standards. The aim of this study is to evaluate principles forming corporate governance concept from Turkish Commercial Code’s aspect. Relevant articles in Turkish Commercial Code are scrutinized and inferences about are put forward.</p> ]]> 6102 Sayılı Türk Ticaret Kanunu Açısından Kurumsal Yönetim İlkelerinin Değerlendirilmesi (Evaluation of Corporate Governance Prenciples According to Turkish Commercial Code Numbered 6102) seçkin gönen emin yürekli̇ doi: 10.56578/jafas020407 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 129 10.56578/jafas020407 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020407 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020406 Republic of Turkey, Undersecretariat of Treasury has published The Communique number 2008-32/35 which has allowed banks to grant credits on gold, silver and platinum. Although, gold credits that have granted by banks have reached a volume of 2.273,2 Million Turkish Liras date 31.03.2016, there are no explanatory and regulatory information how to measure and accounting those loans in Turkish tax legislation. Similarly, Turkish Accounting and Financial Reporting Standards has no adequate explanation of the measurement and presentation about commodity loans which are not considered as financial instruments. In this article, we shows the Turkish Tax Procedure Law’s and Turkish Accounting and Financial Reporting Standards’ measurement and accounting principles of commodity loans which are not considered as financial instruments according to Turkish Accounting and Financial Reporting Standards. 12-30-2016 <![CDATA[ <p><span>Republic </span>of<span> </span>Turkey,<span> </span>Undersecretariat<span> </span>of<span> </span>Treasury<span> </span>has<span> </span>published<span> </span>The<span> </span>Communique<span> </span>number<span> </span>2008-32/35<span> </span>which<span> </span>has<span> </span>allowed<span> </span>banks to grant credits on gold, silver and platinum. Although,<span> </span>gold credits that have granted by banks have reached a volume<span> </span>of 2.273,2 Million Turkish Liras date 31.03.2016, there are no<span> </span>explanatory and regulatory information how to measure and<span> </span>accounting<span> </span>those<span> </span>loans<span> </span>in<span> </span>Turkish<span> </span>tax<span> </span>legislation.<span> </span>Similarly,<span> </span>Turkish Accounting and Financial Reporting Standards has no<span> </span>adequate<span> </span>explanation<span> </span>of<span> </span>the<span> </span>measurement<span> </span>and<span> </span>presentation<span> </span>about commodity loans which are not considered as financial<span> </span>instruments.<span> </span>In<span> </span>this<span> </span>article,<span> </span>we<span> </span>shows<span> </span>the<span> </span>Turkish<span> </span>Tax<span> </span>Procedure<span> </span>Law’s<span> </span>and<span> </span>Turkish<span> </span>Accounting<span> </span>and<span> </span>Financial<span> </span>Reporting Standards’ measurement and accounting principles<span> </span>of<span> </span>commodity<span> </span>loans<span> </span>which<span> </span>are<span> </span>not<span> </span>considered<span> </span>as<span> </span>financial<span> </span>instruments<span> </span>according<span> </span>to<span> </span>Turkish<span> </span>Accounting<span> </span>and<span> </span>Financial<span> </span>Reporting<span> </span>Standards.</p> ]]> Bankalarca Kullandırılan Emtia (Altın, Gümüş ve Platin) Kredilerinin Vergi Usul Kanunu ve Türkiye Muhasebe ve Finansal Raporlama Standartları'na Göre Değerlemesi ve Muhasebeleştirilmesi mehmet maşuk fi̇dan doi: 1056578/jafas020406 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 108 1056578/jafas020406 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020406 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020405 Geleneksel finans beklenen fayda ve rasyonel tercih olmak üzere iki temel varsayıma dayalı olarak gelişim göstermiştir. Bununla birlikte bu varsayımların yeterince gerçekçi olmadığı ileri sürülerek yoğun bir şekilde eleştirilmiştir. Davranışsal finans alanının temeli ise beklenti teorisine dayanmaktadır. Bu teoriye göre bireyler tam rasyonel hareket edemezler ve kayıplara, aynı miktarda kazançlardan daha fazla anlam yüklerler, riskten ve kayıptan kaçınma davranışı gösterirler. Davranışsal finans bireylerin davranış ve duygusal kalıplarını karar verme süreçlerine dahil ederek finansal karar verme süreçlerinde kullandıkları akıl yürütme kalıplarının daha gerçekçi olarak anlaşılmasını amaçlamaktadır. Bu çalışmada, geleneksel finans ve davranışsal finans alanları ile bu iki alanın temelleri üzerinde durulmuş ve genel prensipler üzerinden karşılaştırılarak tartışılmıştır. Bu çalışma, konuya ilişkin geniş kapsamlı bir bakış açısı yansıtmaktadır. Çalışmanın hedefi, geleneksel ve davranışsal finans disiplinlerinin ortaya koydukları farklı bakış açılarının ve temellerinin bir bütün olarak daha iyi anlaşılmasını sağlamaktır. Bu çalışma ile ayrıca, daha sonra yapılacak çalışmalarda kullanılabilecek teorik alt yapıya veya kavramsal çerçeveye katkı sağlanması da amaçlanmıştır. 12-30-2016 <![CDATA[ <p>Geleneksel finans beklenen fayda ve rasyonel tercih olmak üzere iki temel varsayıma dayalı olarak gelişim göstermiştir. Bununla birlikte bu varsayımların yeterince gerçekçi olmadığı ileri sürülerek yoğun bir şekilde eleştirilmiştir. Davranışsal finans alanının temeli ise beklenti teorisine dayanmaktadır. Bu teoriye göre bireyler tam rasyonel hareket edemezler ve kayıplara, aynı miktarda kazançlardan daha fazla anlam yüklerler, riskten ve kayıptan kaçınma davranışı gösterirler. Davranışsal finans bireylerin davranış ve duygusal kalıplarını karar verme süreçlerine dahil ederek finansal karar verme süreçlerinde kullandıkları akıl yürütme kalıplarının daha gerçekçi olarak anlaşılmasını amaçlamaktadır. Bu çalışmada, geleneksel finans ve davranışsal finans alanları ile bu iki alanın temelleri üzerinde durulmuş ve genel prensipler üzerinden karşılaştırılarak tartışılmıştır. Bu çalışma, konuya ilişkin geniş kapsamlı bir bakış açısı yansıtmaktadır. Çalışmanın hedefi, geleneksel ve davranışsal finans disiplinlerinin ortaya koydukları farklı bakış açılarının ve temellerinin bir bütün olarak daha iyi anlaşılmasını sağlamaktır. Bu çalışma ile ayrıca, daha sonra yapılacak çalışmalarda kullanılabilecek teorik alt yapıya veya kavramsal çerçeveye katkı sağlanması da amaçlanmıştır. </p> ]]> Beklenen Fayda ve Beklenti Teorileri Bağlamında Geleneksel Finans - Davranışsal Finans Ayrımı (Traditional Finance - Behavioral Finance Distinction in the Context of Expected Utility and Prospect Theories) bilgehan teki̇n doi: 1056578/jafas020405 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 75 1056578/jafas020405 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020405 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020404 This study intended to examine the effect of the capacity of human resources, the use of information technology and organizational commitment on the readiness of government agencies in the implementation of an accrual based government accounting system. The population in this study was all budget authorities within the Office of Religious Affairs Agencies of Banda Aceh with a total of 80 respondents. Data was collected from questionnaires and analysed by using multiple linear regression. The number of returned and usable questionnaires were 75 copies or 93.75% of the total distributed. The results showed that the capacity of human resources, the use of information technology and organizational commitment simultaneously and partially have a positive effect on the readiness of government agencies in the implementation of accrual based accounting. Further studies are recommended to include interviews with the informants and agencies from different ministries and local governments. 12-30-2016 <![CDATA[ <p>This study intended to examine the effect of the capacity of human resources, the use of information technology and organizational commitment on the readiness of government agencies in the implementation of an accrual based government accounting system. The population in this study was all budget authorities within the Office of Religious<span> </span>Affairs<span> </span>Agencies<span> </span>of<span> </span>Banda<span> </span>Aceh<span> </span>with<span> </span>a<span> </span>total<span> </span>of<span> </span>80 respondents. Data was collected from questionnaires and analysed by using multiple linear regression. The number of returned and usable questionnaires were 75 copies or 93.75% of the total distributed. The results showed that the capacity of human resources, the use of information technology and organizational commitment simultaneously and partially have a positive effect on the readiness of government agencies in the implementation of accrual based accounting. Further studies are recommended to include interviews with the informants and agencies from different ministries and local governments.</p> ]]> Determinants of Government Agencies’ Readiness in Adopting Accrual Accounting System – A Study in the Local Agencies of Indonesian Ministry of Religious Affairs hasan basri heru fahlevi syarifah hanifa soraya doi: 10.56578/jafas020404 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 60 10.56578/jafas020404 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020404 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020403 Participation of subordinates in organization is not a new phenomenon. Workers have been participating in industry by virtue of their producing goods and services. But, the involvement of subordinates in budget planning is the focus of this study. The data for this research were collected from primary source through questionnaire. The participants had been in their job position for an average of three years. Each has also been working for their organization for an average of seven years. All statistical analyses were carried out with the aid of the SPSS software (version 21). The hypotheses tested were supported, the study established that subordinate participate in budget planning and that such participation leads to goal clearity and budget goal acceptance. 12-30-2016 <![CDATA[ <p>Participation of subordinates in organization is not a new phenomenon. Workers have been participating in industry by virtue of their producing goods and services. But, the involvement of subordinates in budget planning is the focus of this study. The data for this research were collected<span> </span>from<span> </span>primary<span> </span>source<span> </span>through<span> </span>questionnaire.<span> </span>The participants had been in their job position for an average of three years. Each has also been working for their organization for an average of seven years. All statistical analyses were carried out with the aid of the SPSS software (version 21). The hypotheses tested were supported, the study established that subordinate participate in budget planning and that such<span> </span>participation leads to goal clearity and budget goal<span> </span>acceptance.</p> ]]> Determinants of Subordinates’ Participation in Budget Planning: A Study from Nigeria adeniran samuel fakile stephen aanu ojeka babajide oyewo doi: 10.56578/jafas020403 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 43 10.56578/jafas020403 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020403 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020402 Elective courses, provide students development in terms of interest and ability consist important part of education system and can be used as effective tool for making career plan. Additionally they play important role in curriculum and education quality development. In this study selection criteria of accounting elective courses in business undergraduate and accounting graduate education are determined from the viewpoint of students. For this purpose survey consisting of course selection main criteria and sub-criteria was designed and conducted with final year students in business administration undergraduate and accounting graduate level students via four different fuzzy ranking methods. Furthermore, result of this methods were compared too. 12-30-2016 <![CDATA[ <p>Elective courses, provide students development in terms of interest and ability consist important part of education system<span> </span>and<span> </span>can<span> </span>be<span> </span>used<span> </span>as<span> </span>effective<span> </span>tool<span> </span>for<span> </span>making<span> </span>career plan. Additionally they play important role in curriculum and<span> </span>education<span> </span>quality<span> </span>development.<span> </span>In<span> </span>this<span> </span>study<span> </span>selection criteria of accounting elective courses in business undergraduate and accounting graduate education are determined from the viewpoint of students. For this purpose survey consisting of course selection main criteria<span> </span>and<span> </span>sub-criteria<span> </span>was<span> </span>designed<span> </span>and<span> </span>conducted<span> </span>with final year students in business administration undergraduate<span> </span>and<span> </span>accounting<span> </span>graduate<span> </span>level<span> </span>students<span> </span>via four different fuzzy ranking methods. Furthermore,<span> </span>result of this methods were compared<span> </span>too.</p> ]]> Application of Fuzzy AHP in Selection of Accounting Elective Courses in Undergraduate and Graduate Level ahmet onay çağlar karamaşa bilal saraç doi: 10.56578/jafas020402 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 20 10.56578/jafas020402 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020402 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020401 Many academic studies show that the increase in financial savings have a positive impact on economic growth. Therefore, the growth of funds in the financial system has more important, especially in developing countries as Turkey. However, due to the interest in the traditional concept of financial and banking system, some people do not use the market to evaluate their savings because of their religious beliefs. At this point, Noninterest (Islamic) finance system could be a good alternative to current system. Measure the households’ perceptions is important to make this system more effective. The reason to measure perception is that it is one of the most important factor to influence human behavior. Participation banking is one of the leading structures of Islamic finance system in Turkey. Within this direction, the goal of this study is that measure the perceptions of households about the participation banks. In the study, data was collected from over 18 years old 510 people by randomly selected and was analyzed by ANOVA test. The results of this study suggest that the perception of participation banking is low. The study comes out that individuals’ properties such as gender, education, job and income have statistically significant impact on the knowledge level and interest perception of individuals about participation baking. This study will contribute to academicians, participation baking and related institutions to create policies about participation banking. 12-30-2016 <![CDATA[ <p>Many academic studies show that the increase in financial savings have a positive impact on economic growth. Therefore, the growth of funds in the financial system has more important, especially in developing countries as Turkey. However, due to the interest in the traditional concept of financial and banking system, some people do not use the market to evaluate their savings because of their religious beliefs. At this point, Noninterest (Islamic) finance system could be a good alternative to current system. Measure the households’ perceptions is important to make this system more effective. The reason to measure perception is that it is one of the most important factor to influence human behavior. Participation banking is one of the leading structures of Islamic finance system in Turkey. Within this direction, the goal of this study is that measure the perceptions of households about the participation banks. In the study, data was collected from over 18 years old 510 people by randomly selected and was analyzed by ANOVA test. The results of this study suggest that the perception of participation banking is low. The study comes out that individuals’ properties such as gender, education, job and income have statistically significant impact on the knowledge level and interest perception of individuals about participation baking. This study will contribute to academicians, participation baking and related institutions to create policies about participation banking.</p> ]]> Faizsiz Bankacılık Algısı: Uşak İli Örneği (Islamic Banking Perception: The Case of Usak City) ercan özen leyla şenyildiz kenan akarbulut doi: 10.56578/jafas020401 Journal of Accounting, Finance and Auditing Studies 12-30-2016 Journal of Accounting, Finance and Auditing Studies 12-30-2016 2016 2 4 Article 1 10.56578/jafas020401 https://www.acadlore.com/article/JAFAS/2016_2_4/jafas020401 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020317 This study analyses the relationship between oil prices, interest rates, exchange rates, industrial production and world equity index on four main sectors return indices (BIST National Industry Sector Return Index, BIST National Service Sector Return Index, BIST National Financial Sector Index and BIST National Technology Sector Index) over the period of 2000:8-2008:11 in Turkey. Interest rates and exchange rates have negative effect on all of the sectors. World equity return index has positive effect on all of the sector returns except for the technology sector. Although the industrial production index doesn’t have a significant impact on Industry and Technology Sector Return Indices, it affects BIST National Service Sector Return Index and BIST National Technology Sector Index negatively. Oil prices do not have a significant effect on return indices. The results are expected to be beneficial for the potential investors and policymakers. 09-29-2016 <![CDATA[ This study analyses the relationship between oil prices, interest rates, exchange rates, industrial production and world equity index on four main sectors return indices (BIST National Industry Sector Return Index, BIST National Service Sector Return Index, BIST National Financial Sector Index and BIST National Technology Sector Index) over the period of 2000:8-2008:11 in Turkey. Interest rates and exchange rates have negative effect on all of the sectors. World equity return index has positive effect on all of the sector returns except for the technology sector. Although the industrial production index doesn’t have a significant impact on Industry and Technology Sector Return Indices, it affects BIST National Service Sector Return Index and BIST National Technology Sector Index negatively. Oil prices do not have a significant effect on return indices. The results are expected to be beneficial for the potential investors and policymakers. ]]> Stock Return Indices and Macroeconomic Factors: Evidence from Borsa Istanbul burcu di̇nçergök doi: 10.56578/jafas020317 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 307 10.56578/jafas020317 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020317 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020316 The main objective of the study is to examine whether accounting information is value relevant in both the food and beverage, and the conglomerate subsectors of the Nigerian Stock Exchange (NSE). The study also compared the value relevance of accounting information for both sectors. A random sample of seven companies was selected from a total population of thirteen companies listed in the Food and Beverage subsector of the NSE. The study also took a random sample of another seven companies in the conglomerate subsector. Data were gathered from these companies for the period 2005 to 2014. Using the Ohlson (1995) model and the multiple regression method, we found that market price per share (MPS) is positively, but insignificantly related to book value per share (BVPS) and earnings per share (EPS) in the conglomerate sub sector. On the other hand, for food and beverage sub sector, MPS is positively and significantly related to BVPS and EPS. Accounting information is more value relevant in the food and beverage subsector than the conglomerate subsector as shown by the adjusted R2 of 0.89 for Food and Beverage subsector and 0.15 for the conglomerate sub sector. We recommended that accounting rules should be more sector-specific, and monitoring should be taken more seriously in the conglomerate subsector to enhance value relevance of accounting information in NSE. 09-29-2016 <![CDATA[ <p>The main objective of the study is to examine whether accounting information is value relevant in both the food and beverage, and the conglomerate subsectors of the Nigerian Stock Exchange (NSE). The study also compared the value relevance of accounting information for both sectors. A random sample of seven companies was selected from a total population of thirteen companies listed in the Food and Beverage subsector of the NSE. The study also took a random sample of another seven companies in the conglomerate subsector. Data were gathered from these companies for the period 2005 to 2014. Using the Ohlson (1995) model and the multiple regression method, we found that market price per share (MPS) is positively, but insignificantly related to book value per share (BVPS) and earnings per share (EPS) in the conglomerate sub sector. On the other hand, for food and beverage sub sector, MPS is positively and significantly related to BVPS and EPS. Accounting information is more value relevant in the food and beverage subsector than the conglomerate subsector as shown by the adjusted R2 of 0.89 for Food and Beverage subsector and 0.15 for the conglomerate sub sector. We recommended that accounting rules should be more sector-specific, and monitoring should be taken more seriously in the conglomerate subsector to enhance value relevance of accounting information in NSE.</p> ]]> Accounting Information and Share Prices in the Food and Beverage, and Conglomerate sub-sectors of the Nigerian Stock Exchange sylvester eriabie ben-caleb egbide doi: 10.56578/jafas020316 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 292 10.56578/jafas020316 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020316 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020315 The data users need reliable financial statements when they make any decision. In this study we aim to identify the factors that determine fraud risk in financial statements by examining the listed firms in Istanbul Stock Exchange (ISE) over the period 2009 and 2013. Using quarterly data, we included 408 periods belonging 32 firms that have fraud risk and the control group consists of 20 firms with 400 periods in this analysis. By employing logistics regression analysis, we found that receivables turnover, financial leverage, gross profit margin, BV (Book Value) / MV (Market Value), natural logarithm of total assets, the total duration of the firms in the stock exchange, the big four auditing firm and z score are important factors to detect the fraud risk in financial statements. The correct classification rate of the logistic regression analysis is found 75.1%. 09-29-2016 <![CDATA[ <p><span>The data users need reliable financial statements when they make any decision. In this study we aim to identify the factors that determine fraud risk in financial statements by examining the listed firms in Istanbul Stock Exchange (ISE) over the period 2009 and 2013. Using quarterly data, we included 408 periods belonging 32 firms that have fraud risk and the control group consists of 20 firms with 400 periods in this analysis. By employing logistics regression analysis, we found that receivables turnover, financial leverage, gross profit margin, BV (Book Value) / MV (Market Value), natural logarithm of total assets, the total duration of the firms in the stock exchange, the big four auditing firm and z score are important factors to detect the fraud risk in financial statements. The correct classification rate of the logistic regression analysis is found 75.1%.</span></p> ]]> Hileli Finansal Raporlama Riskini Ortaya Çıkaran Faktörler: BIST’da Bir Uygulama (Determinants of Fraudulent Financial Reporting Risk: Evidence from Istanbul Stock Exchange (ISE)) mehmet körpi mehmet civan ekrem kara doi: 10.56578/jafas020315 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 271 10.56578/jafas020315 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020315 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020314 Kazanç üzerinden (ilgili standart gereği sadece kurumların kazançları) tahsil edilen verginin hesaplanmasından muhasebeleştirilmesine kadar geçen süre içerisinde karşımıza çeşitli zorluklar çıkmaktadır. Bu zorlukların temel sebebi; Türkiye Muhasebe Standartları ve Vergi Usul Kanunu arasındaki uyumsuzluklardan dolayı, üzerinden verginin hesaplanacağı iki farklı kar kavramının ortaya çıkmasıdır. Bunlardan ilki ilgili standart/standartların belirlediği esaslara göre hesaplanan ticari kar; diğeri ise, vergi kanunlarındaki ilke ve esaslara göre hesaplanan mali kardır. Ticari kar ve mali kar arasında oluşan farklar geçici bir özelliğe sahip ise, ilgili dönem bilançosunda ertelenmiş vergi olarak raporlanır. TMS-UMS 12 Gelir Vergileri Standardı söz konusu bu farkları açıklamaktadır. Söz konusu farklar; ertelenmiş vergi varlıkları ya da ertelenmiş vergi yükümlülükleri olarak karşımıza çıkmaktadır. Bu makalenin amacı TMS-UMS 12 Gelir Vergileri Standardının incelenmesi ve söz konusu standardın uygulamasının ne şekilde yapılacağının açıklanması şeklinde olacaktır. Bununla birlikte bir uygulama örneği yardımıyla, TMS-UMS 12 Gelir Vergileri Standardı ile Türkiye’deki mevcut uygulama karşılaştırılmaktadır. 09-29-2016 <![CDATA[ <p>Kazanç üzerinden (ilgili standart gereği sadece kurumların kazançları) tahsil edilen verginin hesaplanmasından muhasebeleştirilmesine kadar geçen süre içerisinde karşımıza çeşitli zorluklar çıkmaktadır. Bu zorlukların temel sebebi; Türkiye Muhasebe Standartları ve Vergi Usul Kanunu arasındaki uyumsuzluklardan dolayı, üzerinden verginin hesaplanacağı iki farklı kar kavramının ortaya çıkmasıdır. Bunlardan ilki ilgili standart/standartların belirlediği esaslara göre hesaplanan ticari kar; diğeri<span> </span>ise,<span> </span>vergi<span> </span>kanunlarındaki<span> </span>ilke<span> </span>ve<span> </span>esaslara<span> </span>göre<span> </span>hesaplanan<span> </span>mali kardır. Ticari kar ve mali kar arasında oluşan farklar geçici bir özelliğe sahip ise, ilgili dönem bilançosunda ertelenmiş vergi olarak raporlanır. TMS-UMS 12 Gelir Vergileri Standardı söz konusu bu farkları açıklamaktadır. Söz konusu farklar; ertelenmiş vergi varlıkları ya da ertelenmiş vergi yükümlülükleri olarak karşımıza çıkmaktadır. Bu makalenin amacı TMS-UMS 12 Gelir Vergileri Standardının incelenmesi ve söz konusu standardın uygulamasının ne şekilde yapılacağının açıklanması şeklinde olacaktır. Bununla birlikte bir uygulama örneği yardımıyla,<span> </span>TMS-UMS<span> </span>12<span> </span>Gelir<span> </span>Vergileri<span> </span>Standardı<span> </span>ile<span> </span>Türkiye’deki<span> </span>mevcut uygulama<span> </span>karşılaştırılmaktadır.</p> ]]> The Concept of Deferred Tax According to Accounting Standard of Income Taxes (TMS-12) and an Aplication gencay karakaya cengiz sevim doi: 10.56578/jafas020314 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 255 10.56578/jafas020314 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020314 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020313 Sustainable development is an issue that attracts worldwide attention since 1970s. Banking industry takes the question of sustainable development and sustainability into serious consideration as well. Many a global organization including most particularly IFC, GRI, UNEP FI, BEI, European Commission, and UN Global Compact Network have conducted various studies relating to the consideration of environmental and social effects and reporting thereof within banking sector. There is a correspondingly rising emphasis placed on sustainability in Turkish banking sector. Sustainability reports are voluntarily published by banks operating in Turkish banking sector. In addition, there are three commercial banks listed in the ISE Corporate Sustainability Index. In this study, the contribution of the banking sector to sustainable development and sustainability did analyzed with a view to the sustainability practices in Turkish banking sector, and the sustainability reports of a specified group of commercial banks and a private equity development bank operating in Turkish banking sector did analyzed. 09-29-2016 <![CDATA[ <p>Sustainable development is an issue that attracts worldwide attention since 1970s. Banking industry takes the question of sustainable development and sustainability into serious consideration as well. Many a global organization including most particularly IFC, GRI, UNEP FI, BEI, European Commission, and UN Global Compact Network have conducted various studies relating to the consideration of environmental and social effects and reporting thereof within banking sector. There is a correspondingly rising emphasis placed on sustainability in Turkish banking sector. Sustainability reports are voluntarily published by banks operating in Turkish banking sector. In addition, there are three commercial banks listed in the ISE Corporate Sustainability Index. In this study, the contribution of the banking sector to sustainable development and sustainability did analyzed with a view to the sustainability practices in Turkish banking sector, and the sustainability reports of a specified group of commercial banks and a private equity development bank operating in Turkish banking sector did analyzed.</p> ]]> Sustainability and Accountability Iin Turkish Banking Sector hakan araci filiz yüksel deniz i̇spirli doi: 10.56578/jafas020313 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 232 10.56578/jafas020313 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020313 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020312 There has been ongoing regulatory debates in the United States and European Union countries on whether audit partner rotation really improve the audit quality, showed that there has been continuing doubts on how mandatory rotation implemented. This situation point out that rotation policy choice of countries should be supported by empirical research. The aim of this study is to make a literature review on what extent of empirical evidence support the mandatory rotation decisions of countries. For this purpose, development of the mandatory rotation regulation in the United States, European Union countries and Turkey and the findings and limitations of empirical research has revealed. The presence of important limitations of the studies in the literature, indicate that there have been no enough empirical evidence that support the mandatory audit firm rotation or mandatory audit partner rotation decisions of countries. 09-29-2016 <![CDATA[ <p>There has been ongoing regulatory debates in the United States and European Union countries on whether audit partner rotation really improve the audit quality, showed that there has been continuing doubts on how mandatory rotation implemented. This situation point out that rotation policy choice of countries should be supported by empirical research. The aim of this study is to make a literature review on what extent of empirical evidence support the mandatory rotation decisions of countries. For this purpose, development of the mandatory rotation regulation in the United States, European Union countries and Turkey and the findings and limitations of empirical research has revealed. The presence of important limitations of the studies in the literature, indicate that there have been no enough empirical evidence that support the mandatory audit firm rotation or mandatory audit partner rotation decisions of countries.</p> ]]> The International Debates on Mandatory Audit Firm Rotation and Mandatory Audit Partner Rotation: Literature Review alpaslan yaşar doi: 10.56578/jafas020312 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 200 10.56578/jafas020312 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020312 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020311 The purpose of the present study is to determine how and in which direction individual investors are affected by psycho-social factors in their financial decisions. In other words, this study analyses how investors' personalities and demographic features relate to their investment decisions and risk perceptions. In this scope, we used a questionnaire filled out by 268 banking employee working in the banks operating in the provinces of Hatay, Kocaeli, Denizli, Eskişehir, Aydın, and Mersin. The results of the analysis were found to vary according to the demographic characteristics of the preferred investment. 09-29-2016 <![CDATA[ <p>The<span> </span>purpose<span> </span>of<span> </span>the<span> </span>present<span> </span>study<span> </span>is<span> </span>to<span> </span>determine<span> </span>how<span> </span>and in which direction individual investors are affected by psycho-social factors in their financial decisions. In other words, this study analyses how investors' personalities and demographic features relate to their investment decisions and risk perceptions. In this scope, we used a questionnaire filled out by 268 banking employee working in the banks operating in the provinces of Hatay, Kocaeli, Denizli, Eskişehir, Aydın, and Mersin. The results of the analysis were found to vary according to the demographic characteristics of the preferred<span> </span>investment.</p> ]]> The Change of Investment Preferences by Demographic Characteristic: A Survey on Banking Employees in Turkey mesut doğan feyyaz yildiz yusuf topal doi: 10.56578/jafas020311 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 185 10.56578/jafas020311 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020311 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020310 In an efficient market that has reduced systematic risk, the essential requirement of accurate pricing of financial instruments is equal access to the information, namely, disclosure. Insider trading as one of the problems related asymmetric information on financial markets prevents market transparency and beats investors' confidence. For this reason, the transmission of accurate and timely disclosed inside information to investors is intended to prevent monopolization and the use of privileged information that is unknown to everyone is prohibited in many markets around the world. In this study, the historical evaluation of insider trading with important cases beginning from the birth of stock markets is addressed. The regulations of insider trading is sorted in chronological order and referred to prosecuted cases. Moreover, EU regulations on insider trading is mentioned and the approach of new Capital Market Law No. 6362 which came into force on 2012 to insider trading is discussed. It is concluded that, the penal provisions on insider trading that can cause missappropriation must be clearly defined. 09-29-2016 <![CDATA[ <p style="text-align: justify"><span>In an efficient market that has reduced systematic risk, the essential requirement of accurate pricing of financial instruments is equal access to the information, namely, disclosure. Insider trading as one of the problems related asymmetric information on financial markets prevents market transparency and beats investors' confidence. For this reason, the transmission of accurate and timely disclosed inside information to investors is intended to prevent monopolization and the use of privileged information that is unknown to everyone is prohibited in many markets around the world. In this study, the historical evaluation of insider trading with important cases beginning from the birth of stock markets is addressed. The regulations of insider trading is sorted in chronological order and referred to prosecuted cases. Moreover, EU regulations on insider trading is mentioned and the approach of new Capital Market Law No. 6362 which came into force on 2012 to insider trading is discussed. It is concluded that, the penal provisions on insider trading that can cause missappropriation must be clearly defined.</span></p> ]]> The History of Insider Trading with Cases and Regulations m.fevzi esen doi: 10.56578/jafas020310 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 158 10.56578/jafas020310 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020310 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020309 According to today's business notion, companies ought to decide on how to assess their investment properties because of an increasing competition. On this basis, there are options available for companies such as own usage of investment property or leasing it for gaining earnings on value augmentation. If second option of these alternatives is chosen, investment properties standard is taken as constitution. With this different evaluation, the risk of wrong information transmission is dealt over. The aim of this study is to intoduce investment properties, and putting forward accounting criteria with application examples. In this context, firstly classification of investment properties is performed then examples regarding explanations and accounting procedures are delivered abiding by Accounting Standard numbered 40. With this standard, the necessity for separate categorization of investment properties apart from other assets of an entity is arisen that is previously made according to Turkish Accounting and Financial Reporting Standards. Thus, fair presentation of information available in financial statements could be enabled through accurate categorization. 09-29-2016 <![CDATA[ <p><span>According to today's business notion, companies ought to decide on how to assess their investment properties because of an increasing competition. On this basis, there are options available for companies such as own usage of investment property or leasing it for gaining earnings on value augmentation. If second option of these alternatives is chosen, investment properties standard is taken as constitution. With this different evaluation, the risk of wrong information transmission is dealt over. The aim of this study is to intoduce investment properties, and putting forward accounting criteria with application examples. In this context, firstly classification of investment properties is performed then examples regarding explanations and accounting procedures are delivered abiding by Accounting Standard numbered 40. With this standard, the necessity for separate categorization of investment properties apart from other assets of an entity is arisen that is previously made according to Turkish Accounting and Financial Reporting Standards. Thus, fair presentation of information available in financial statements could be enabled through accurate categorization.</span></p> ]]> Yatırım Amaçlı Gayrimenkullerin TMS 40 Kapsamında Muhasebeleştirilmesi (Accounting For Investment Properties Within Turkish Accounting Standard 40 Context) seçkin gönen aykut güryel doi: 10.56578/jafas020309 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 133 10.56578/jafas020309 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020309 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020308 Globalization has removed borders of trade on the world and this result has directed to globalize the accounting systems. IAS (International Accounting Standards) and IFRS (International Financial Reporting Standards) are developed and updated everyday and these systems are integrated our country. “Capital Stock’s Conservation and Persistence” has been emphasized with importance on the IAS / IFRS’s "Conceptual Framework" and for that reason, the profit-loss calculations have been made with method of "Economic Profit and EBITDA (earnings before interest tax depreciation and amortization)" and the aim of this study is; giving a different standpoint for companies performance evaluations may be made more effective. Companies are to declare periodic amounts of profit or loss and as a result of this study is; these amounts have been found to reflect only tax or financial amounts. Hence, can be correctly calculated the real commercial amounts of profit-loss is demonstrating once more face the day importance of companies performance evaluation. 09-29-2016 <![CDATA[ <p><span>Globalization</span><span style="font-family: Times New Roman, serif"> </span><span>has</span><span style="font-family: Times New Roman, serif"> </span><span>removed</span><span style="font-family: Times New Roman, serif"> </span><span>borders</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>trade</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>world</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>result</span><span style="font-family: Times New Roman, serif"> </span><span>has</span><span style="font-family: Times New Roman, serif"> </span><span>directed</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>globalize</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>accounting</span><span style="font-family: Times New Roman, serif"> </span><span>systems.</span><span style="font-family: Times New Roman, serif"> </span><span>IAS</span><span style="font-family: Times New Roman, serif"> </span><span>(International</span><span style="font-family: Times New Roman, serif"> </span><span>Accounting</span><span style="font-family: Times New Roman, serif"> </span><span>Standards)</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>IFRS</span><span style="font-family: Times New Roman, serif"> </span><span>(International</span><span style="font-family: Times New Roman, serif"> </span><span>Financial</span><span style="font-family: Times New Roman, serif"> </span><span>Reporting</span><span style="font-family: Times New Roman, serif"> </span><span>Standards)</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>developed</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>updated</span><span style="font-family: Times New Roman, serif"> </span><span>everyday</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>these</span><span style="font-family: Times New Roman, serif"> </span><span>systems</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>integrated</span><span style="font-family: Times New Roman, serif"> </span><span>our</span><span style="font-family: Times New Roman, serif"> </span><span>country.</span><span style="font-family: Times New Roman, serif"> </span><strong><span>“</span></strong><span>Capital</span><span style="font-family: Times New Roman, serif"> </span><span>Stock’s</span><span style="font-family: Times New Roman, serif"> </span><span>Conservation</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>Persistence”</span><span style="font-family: Times New Roman, serif"> </span><span>has</span><span style="font-family: Times New Roman, serif"> </span><span>been</span><span style="font-family: Times New Roman, serif"> </span><span>emphasized</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>importance</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>IAS</span><span style="font-family: Times New Roman, serif"> </span><span>/</span><span style="font-family: Times New Roman, serif"> </span><span>IFRS’s</span><span style="font-family: Times New Roman, serif"> </span><span>"Conceptual</span><span style="font-family: Times New Roman, serif"> </span><span>Framework"</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>reason,</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>profit-loss</span><span style="font-family: Times New Roman, serif"> </span><span>calculations</span><span style="font-family: Times New Roman, serif"> </span><span>have</span><span style="font-family: Times New Roman, serif"> </span><span>been</span><span style="font-family: Times New Roman, serif"> </span><span>made</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>method</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>"Economic</span><span style="font-family: Times New Roman, serif"> </span><span>Profit</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>EBITDA</span><span style="font-family: Times New Roman, serif"> </span><span>(earnings</span><span style="font-family: Times New Roman, serif"> </span><span>before</span><span style="font-family: Times New Roman, serif"> </span><span>interest</span><span style="font-family: Times New Roman, serif"> </span><span>tax</span><span style="font-family: Times New Roman, serif"> </span><span>depreciation</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>amortization)"</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>aim</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>is;</span><span style="font-family: Times New Roman, serif"> </span><span>giving</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>different</span><span style="font-family: Times New Roman, serif"> </span><span>standpoint</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>companies</span><span style="font-family: Times New Roman, serif"> </span><span>performance</span><span style="font-family: Times New Roman, serif"> </span><span>evaluations</span><span style="font-family: Times New Roman, serif"> </span><span>may</span><span style="font-family: Times New Roman, serif"> </span><span>be</span><span style="font-family: Times New Roman, serif"> </span><span>made</span><span style="font-family: Times New Roman, serif"> </span><span>more</span><span style="font-family: Times New Roman, serif"> </span><span>effective.</span><span style="font-family: Times New Roman, serif"> </span><span>Companies</span><span style="font-family: Times New Roman, serif"> </span><span>are</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>declare</span><span style="font-family: Times New Roman, serif"> </span><span>periodic</span><span style="font-family: Times New Roman, serif"> </span><span>amounts</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>profit</span><span style="font-family: Times New Roman, serif"> </span><span>or</span><span style="font-family: Times New Roman, serif"> </span><span>loss</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>result</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>is;</span><span style="font-family: Times New Roman, serif"> </span><span>these</span><span style="font-family: Times New Roman, serif"> </span><span>amounts</span><span style="font-family: Times New Roman, serif"> </span><span>have</span><span style="font-family: Times New Roman, serif"> </span><span>been</span><span style="font-family: Times New Roman, serif"> </span><span>found</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>reflect</span><span style="font-family: Times New Roman, serif"> </span><span>only</span><span style="font-family: Times New Roman, serif"> </span><span>tax</span><span style="font-family: Times New Roman, serif"> </span><span>or</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>amounts.</span><span style="font-family: Times New Roman, serif"> </span><span>Hence,</span><span style="font-family: Times New Roman, serif"> </span><span>can</span><span style="font-family: Times New Roman, serif"> </span><span>be</span><span style="font-family: Times New Roman, serif"> </span><span>correctly</span><span style="font-family: Times New Roman, serif"> </span><span>calculated</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>real</span><span style="font-family: Times New Roman, serif"> </span><span>commercial</span><span style="font-family: Times New Roman, serif"> </span><span>amounts</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>profit-loss</span><span style="font-family: Times New Roman, serif"> </span><span>is</span><span style="font-family: Times New Roman, serif"> </span><span>demonstrating</span><span style="font-family: Times New Roman, serif"> </span><span>once</span><span style="font-family: Times New Roman, serif"> </span><span>more</span><span style="font-family: Times New Roman, serif"> </span><span>face</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>day</span><span style="font-family: Times New Roman, serif"> </span><span>importance</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>companies</span><span style="font-family: Times New Roman, serif"> </span><span>performance</span><span style="font-family: Times New Roman, serif"> </span><span>evaluation.</span></p> ]]> TFRS Kapsamında Sermayenin Korunabilirliğinin Ekonomik Kâr Analizi ve Getirilen Öneri Üzerine Bir Uygulama(Economic Profit Analysis Of Capital’s Preservation On Scope Of IFRS and Recommended Proposition With An Application) hilmi kirlioğlu fırat altınkaynak doi: 10.56578/jafas020308 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 115 10.56578/jafas020308 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020308 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020307 This study was conducted to examine opinions about professional ethics perceptions and ethical viewpoints of accounting studying students in the undergraduate and associate degree programs. The universe of study consist of students of studying various accounting courses in associate degree programs (Business and Accountancy and Taxation) of Osmaniye Vocational School and undergraduate programs (Business Administration, Management Information Systems, Economics, Political Science and Public Administration with International Trade and Logistics) of Economics and Administrative Sciences Faculty in the main campus of Osmaniye Korkut Ata University. The survey was conducted within the scope of study as data collection methods. The survey data was tested using SPSS 18 program. According to the findings of study, girl students are more susceptible than male students about in commitment to ethical principles and professional ethics, would be useful to take place in the curriculum of professional ethics lessons, would be increase in the commitment to ethical principles with ethics education was concluded. 09-29-2016 <![CDATA[ <p>This study was conducted to examine opinions about professional ethics perceptions and ethical viewpoints of accounting studying students in the undergraduate and associate degree programs. The universe of study consist of students of studying various accounting courses in associate degree programs (Business and Accountancy and Taxation) of Osmaniye Vocational School and undergraduate programs (Business Administration, Management Information Systems, Economics, Political Science and Public Administration with International Trade and Logistics) of Economics and Administrative Sciences Faculty in the main campus of Osmaniye Korkut Ata University. The survey was conducted within the scope of study as data collection methods. The survey data was tested using SPSS 18 program. According to the findings of study, girl students are more susceptible than male students about in commitment to ethical principles and professional ethics, would be useful to take place in the curriculum of professional ethics lessons, would be increase in the commitment to ethical principles with ethics education was concluded.</p> ]]> Investigation of Viewpoints to Accounting Professional Ethics of University Students: OKU Students Case cançağ gülmez mustafa killi bülent öz doi: 10.56578/jafas020307 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 98 10.56578/jafas020307 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020307 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020306 21st century education standards focus on 21st century skills, content knowledge and expertise. Technology advances such as eXtensible Business Reporting Language (XBRL) have revolutionized the way information is exchanged and the way business is conducted. These days, speed is of the essence and loss of accuracy, lack of transparency, and difficulty in analysis are increasingly becoming apparent risks. This research exposes XBRL as a phenomenon that represents the future of global accounting education. It discusses the concept and need for XBRL as well as its potential uses and challenges. The research found that there is an ongoing transformation in the way business is conducted and regulated world-wide. The onslaught of the information revolution has profound ramifications for corporate reporting information preparers and users. It therefore recommends that the greater the degree of collaboration between all participants in the financial information supply chain, including government regulators and public sector accountants, the greater the benefits that this information format enables for all participants, educationists, academics, companies, regulators, investors, and government agencies alike. 09-29-2016 <![CDATA[ <p>21st century education standards focus on 21st century skills, content knowledge and expertise. Technology advances such as eXtensible Business Reporting Language (XBRL) have revolutionized the way information is exchanged and the way business is conducted. These days, speed is of the essence and loss of accuracy, lack of transparency, and difficulty in analysis are increasingly becoming apparent risks. This research exposes XBRL as a phenomenon that represents the future of global accounting education. It discusses the concept and need for XBRL as well as its potential uses and challenges. The research found that there is an ongoing transformation in the way business is conducted and regulated world-wide. The onslaught of the information revolution has profound ramifications for corporate reporting information preparers and users. It therefore recommends that the greater the degree of collaboration between all participants in the financial information supply chain, including government regulators and public sector accountants, the greater the benefits that this information format enables for all participants, educationists, academics, companies, regulators, investors, and government agencies alike.</p> ]]> Extensible Business Reporting Language (XBRL): A Tool for Accounting Education in the 21st Century samuel faboyede obiamaka nwobu oladimeji akande olufemi oladipo doi: 10.56578/jafas020306 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 85 10.56578/jafas020306 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020306 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020305 The purpose of this study is to measure the basic accountancy knowledge of entrepreneurs in Tokat Organized Industrial Site ( OIS ) and it is also aimed at determining the tax treatment knowledge level of entrepreneurs. In line with this purpose, a questionnaire was implemented to the operating firms in Tokat Organized Industrial Site ( OIS ). In consequence of the questionnaire and analysis, with regard to the implementations of entrepreneur-accountancy knowledge relevancy; while there were no significant differences among the following variables such as gender, educational level, position, there were significant differences among the following variables such as age and work experience. In addition to the above-mentioned results, according to the result of the knowledge implementation questionnaire, there were no significant differences among age, gender, educational level, position and work experience. The evaluation of open-ended questions was examined with details in the conclusion of the study. 09-29-2016 <![CDATA[ <p style="text-align: justify"><span style="font-family: Cambria, serif">The purpose of this study is to measure the basic accountancy</span><span> </span>knowledge of entrepreneurs in Tokat Organized Industrial Site (<span> </span>OIS<span> </span>)<span> </span>and<span> </span>it<span> </span>is<span> </span>also<span> </span>aimed<span> </span>at<span> </span>determining<span> </span>the<span> </span>tax<span> </span>treatment<span> </span>knowledge<span> </span>level of entrepreneurs.<span> </span>In line<span> </span>with<span> </span>this purpose, a<span> </span>questionnaire was implemented to the operating firms in Tokat<span> </span>Organized<span> </span>Industrial<span> </span>Site<span> </span>(<span> </span>OIS<span> </span>).<span> </span>In<span> </span>consequence<span> </span>of<span> </span>the<span> </span>questionnaire and analysis, with regard to the implementations of<span> </span>entrepreneur-accountancy<span> </span>knowledge<span> </span>relevancy;<span> </span>while<span> </span>there<span> were no significant </span>differences<span> </span>among<span> </span>the<span> </span>following<span> </span>variables<span> </span>such<span> </span>as<span> </span>gender,<span> </span>educational<span> </span>level,<span> </span>position,<span> </span>there<span> </span>were<span> </span>significant<span> </span>differences among the following variables such as age and work<span> </span>experience. In addition to the above-mentioned results, according<span> </span>to<span> </span>the<span> </span>result<span> </span>of<span> </span>the<span> </span>knowledge<span> </span>implementation<span> </span>questionnaire,<span> </span>there<span> </span>were<span> </span>no<span> </span>significant<span> </span>differences<span> </span>among<span> </span>age,<span> </span>gender,<span> </span>educational<span> </span>level,<span> </span>position<span> </span>and<span> </span>work<span> </span>experience.<span> </span>The<span> </span>evaluation<span> </span>of<span> open-ended questions </span>was<span> </span>examined<span> </span>with<span> </span>details<span> </span>in<span> </span>the<span> </span>conclusion<span> </span>of the<span> </span>study.</p> ]]> Girişimci, Muhasebeci Mi Olmalıdır? – Tokat Organize Sanayi Bölgesi Örneği mihriban coşkun arslan seda aldemi̇r mehmet reşat dağ doi: 10.56578/jafas020305 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 64 10.56578/jafas020305 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020305 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020304 Finance mix is a major factor that affects the liquidity and the going concern of a business enterprise. After an idea has been conceived by an entrepreneur, there is need to also analyse the capital required for startup and means of financing the project. A good combination of sources of finance is expected to boost the profitability of an organization, but if not properly mixed, could have a negative effect on the profitability of the organization. The main objective of the study is to evaluate the effects of financial structure on the profitability of manufacturing companies in Nigeria. This study employed the use of secondary data. The Spearman’s Rank correlation and regression techniques were used for analysis, using the STATA Package for a sample of 25 manufacturing companies quoted on the Nigerian Stock Exchange for the period 2008-2012. The study showed that equity has a significant positive relationship with the profitability of manufacturing companies in Nigeria. The study recommends that managers should place greater emphasis on the facilitation of equity capital and policy makers should encourage manufacturing companies by reducing the cost of debt. 09-29-2016 <![CDATA[ <p>Finance mix is a major factor that affects the liquidity and the going concern of a business enterprise. After an idea has been conceived by an entrepreneur, there is need to also analyse the capital required for startup and means of financing the project. A good combination of sources of finance is expected to boost the profitability of an organization, but if not properly mixed, could have a negative<span> </span>effect<span> </span>on<span> </span>the<span> </span>profitability<span> </span>of<span> </span>the<span> </span>organization.<span> </span>The main objective of the study is to evaluate the effects of financial structure on the profitability of manufacturing companies in Nigeria. This study employed the use of secondary data. The Spearman’s Rank correlation and regression techniques were used for analysis, using the STATA Package for a sample of 25 manufacturing companies quoted on the Nigerian Stock Exchange for the period 2008-2012. The study showed that equity has a significant positive relationship with the profitability of manufacturing companies in Nigeria. The study recommends that managers should place greater emphasis on the facilitation of equity capital and policy makers should encourage manufacturing companies by reducing the cost of<span> </span>debt.</p> ]]> Financial Structure and the Profitability of Manufacturing Companies in Nigeria obigbemi imoleayo foyeke faboyede samuel olusola adeyemo kingsley aderemi doi: 10.56578/jafas020304 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 56 10.56578/jafas020304 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020304 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020303 Çalışmada, Basel III’ün öngördüğü kurallar ve formüller çerçevesinde, Türk Bankacılık Sistemine ilişkin genel veriler ve bazı varsayımlar ışığında bir bilanço oluşturulmuş ve buradan likiditeye ilişkin öngörülen minimum oranlar sağlanmaya çalışılmıştır. Ayrıca, duyarlılık analizi ile bilanço yapısının bir bankanın likidite riskiyle ilgili kısa vadeli dayanıklılığını sağlamaya dönük olarak tasarlanan Likidite Karşılama Oranı üzerinde yaratacağı etkiler ortaya konmuştur. Model tüm girdi varsayımlarının değiştirilebilmesine imkân tanıdığından, her defasında yeni bir bilanço oluşturulabilme esnekliği bulunmaktadır. Böylelikle, farklı politika seçeneklerinin bir bankanın genel görünümünde yaratabileceği etkileri gözlemlemek mümkün olmaktadır. 09-29-2016 <![CDATA[ <p>Çalışmada,<span> </span>Basel<span> </span>III’ün<span> </span>öngördüğü<span> </span>kurallar<span> </span>ve<span> </span>formüller<span> </span>çerçevesinde, Türk Bankacılık Sistemine ilişkin genel veriler ve<span> </span>bazı varsayımlar ışığında bir bilanço oluşturulmuş ve buradan<span> </span>likiditeye<span> </span>ilişkin<span> </span>öngörülen<span> </span>minimum<span> </span>oranlar<span> </span>sağlanmaya<span> </span>çalışılmıştır. Ayrıca, duyarlılık analizi ile bilanço yapısının bir<span> </span>bankanın<span> </span>likidite<span> </span>riskiyle<span> </span>ilgili<span> </span>kısa<span> </span>vadeli<span> </span>dayanıklılığını<span> </span>sağlamaya dönük olarak tasarlanan Likidite Karşılama Oranı<span> </span>üzerinde yaratacağı etkiler ortaya konmuştur. Model tüm girdi<span> </span>varsayımlarının değiştirilebilmesine<span> </span>imkân tanıdığından,<span> </span>her<span> </span>defasında<span> </span>yeni<span> </span>bir<span> </span>bilanço<span> </span>oluşturulabilme<span> </span>esnekliği<span> </span>bulunmaktadır.<span> </span>Böylelikle,<span> </span>farklı<span> </span>politika<span> </span>seçeneklerinin<span> </span>bir<span> </span>bankanın<span> </span>genel<span> </span>görünümünde<span> </span>yaratabileceği<span> </span>etkileri<span> </span>gözlemlemek<span> </span>mümkün<span> </span>olmaktadır.</p> ]]> Basel III Düzenlemeleri Çerçevesinde Likidite Riskinin Ölçülmesi ve Modellemesi (Measurement and Modelling of Liquidity Risk under the Basel III Rules) ercan türküner doi: 10.56578/jafas020303 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 36 10.56578/jafas020303 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020303 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020302 Bu çalışma Web of Science (WOS) bibliyografik veri tabanı baz alınarak, dünyada kuyruk teorisi konusuyla en fazla ilgisi olan makaleleri, en çok atıf alan çalışmaları, konuyla ilgili bilimsel toplantıları ve konuyla ilgili çalışmalarda en çok yer verilen anahtar kelimeleri belirlemeyi amaçlamaktadır. Çalışmada, kuyruk teorisi alanında uluslararası alanda yapılmış akademik makalelerin bir bibliyometrik analizi ve haritalaması amaçlanmıştır. WOS’da yapılan tarama, 1990 yılı ile 2015 yılı Kasım ayı arasını kapsamaktadır. WOS’da yapılan ilk tarama sonucunda, 1990 yılından bu zamana kadar doğrudan “kuyruk teorisi” konu başlığı ile, sosyal bilimler alanında ve yöneylem araştırması kapsamında taranan indekslerde toplamda 59 adet çalışmanın yayınlandığı görülmüş ve bu çalışmalar analiz edilmiştir. 09-29-2016 <![CDATA[ <p>Bu<span style="font-family: Times New Roman, serif"> </span>çalışma<span style="font-family: Times New Roman, serif"> </span>Web<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>Science<span style="font-family: Times New Roman, serif"> </span>(WOS)<span style="font-family: Times New Roman, serif"> </span>bibliyografik<span style="font-family: Times New Roman, serif"> </span>veri<span style="font-family: Times New Roman, serif"> </span>tabanı<span style="font-family: Times New Roman, serif"> </span>baz<span style="font-family: Times New Roman, serif"> </span>alınarak,<span style="font-family: Times New Roman, serif"> </span>dünyada<span style="font-family: Times New Roman, serif"> </span>kuyruk<span style="font-family: Times New Roman, serif"> </span>teorisi<span style="font-family: Times New Roman, serif"> </span>konusuyla<span style="font-family: Times New Roman, serif"> </span>en<span style="font-family: Times New Roman, serif"> </span>fazla<span style="font-family: Times New Roman, serif"> </span>ilgisi<span style="font-family: Times New Roman, serif"> </span>olan<span style="font-family: Times New Roman, serif"> </span>makaleleri,<span style="font-family: Times New Roman, serif"> </span>en<span style="font-family: Times New Roman, serif"> </span>çok<span style="font-family: Times New Roman, serif"> </span>atıf<span style="font-family: Times New Roman, serif"> </span>alan<span style="font-family: Times New Roman, serif"> </span>çalışmaları,<span style="font-family: Times New Roman, serif"> </span>konuyla<span style="font-family: Times New Roman, serif"> </span>ilgili<span style="font-family: Times New Roman, serif"> </span>bilimsel<span style="font-family: Times New Roman, serif"> </span>toplantıları<span style="font-family: Times New Roman, serif"> </span>ve<span style="font-family: Times New Roman, serif"> </span>konuyla<span style="font-family: Times New Roman, serif"> </span>ilgili<span style="font-family: Times New Roman, serif"> </span>çalışmalarda<span style="font-family: Times New Roman, serif"> </span>en<span style="font-family: Times New Roman, serif"> </span>çok<span style="font-family: Times New Roman, serif"> </span>yer<span style="font-family: Times New Roman, serif"> </span>verilen<span style="font-family: Times New Roman, serif"> </span>anahtar<span style="font-family: Times New Roman, serif"> </span>kelimeleri<span style="font-family: Times New Roman, serif"> </span>belirlemeyi<span style="font-family: Times New Roman, serif"> </span>amaçlamaktadır.<span style="font-family: Times New Roman, serif"> </span>Çalışmada,<span style="font-family: Times New Roman, serif"> </span>kuyruk<span style="font-family: Times New Roman, serif"> </span>teorisi<span style="font-family: Times New Roman, serif"> </span>alanında<span style="font-family: Times New Roman, serif"> </span>uluslararası<span style="font-family: Times New Roman, serif"> </span>alanda<span style="font-family: Times New Roman, serif"> </span>yapılmış<span style="font-family: Times New Roman, serif"> </span>akademik<span style="font-family: Times New Roman, serif"> </span>makalelerin<span style="font-family: Times New Roman, serif"> </span>bir<span style="font-family: Times New Roman, serif"> </span>bibliyometrik<span style="font-family: Times New Roman, serif"> </span>analizi<span style="font-family: Times New Roman, serif"> </span>ve<span style="font-family: Times New Roman, serif"> </span>haritalaması<span style="font-family: Times New Roman, serif"> </span>amaçlanmıştır.<span style="font-family: Times New Roman, serif"> </span>WOS’da<span style="font-family: Times New Roman, serif"> </span>yapılan<span style="font-family: Times New Roman, serif"> </span>tarama,<span style="font-family: Times New Roman, serif"> </span>1990<span style="font-family: Times New Roman, serif"> </span>yılı<span style="font-family: Times New Roman, serif"> </span>ile<span style="font-family: Times New Roman, serif"> </span>2015<span style="font-family: Times New Roman, serif"> </span>yılı<span style="font-family: Times New Roman, serif"> </span>Kasım<span style="font-family: Times New Roman, serif"> </span>ayı<span style="font-family: Times New Roman, serif"> </span>arasını<span style="font-family: Times New Roman, serif"> </span>kapsamaktadır.<span style="font-family: Times New Roman, serif"> </span>WOS’da<span style="font-family: Times New Roman, serif"> </span>yapılan<span style="font-family: Times New Roman, serif"> </span>ilk<span style="font-family: Times New Roman, serif"> </span>tarama<span style="font-family: Times New Roman, serif"> </span>sonucunda,<span style="font-family: Times New Roman, serif"> </span>1990<span style="font-family: Times New Roman, serif"> </span>yılından<span style="font-family: Times New Roman, serif"> </span>bu<span style="font-family: Times New Roman, serif"> </span>zamana<span style="font-family: Times New Roman, serif"> </span>kadar<span style="font-family: Times New Roman, serif"> </span>doğrudan<span style="font-family: Times New Roman, serif"> </span>“kuyruk<span style="font-family: Times New Roman, serif"> </span>teorisi”<span style="font-family: Times New Roman, serif"> </span>konu<span style="font-family: Times New Roman, serif"> </span>başlığı<span style="font-family: Times New Roman, serif"> </span>ile,<span style="font-family: Times New Roman, serif"> </span>sosyal<span style="font-family: Times New Roman, serif"> </span>bilimler<span style="font-family: Times New Roman, serif"> </span>alanında<span style="font-family: Times New Roman, serif"> </span>ve<span style="font-family: Times New Roman, serif"> </span>yöneylem<span style="font-family: Times New Roman, serif"> </span>araştırması<span style="font-family: Times New Roman, serif"> </span>kapsamında<span style="font-family: Times New Roman, serif"> </span>taranan<span style="font-family: Times New Roman, serif"> </span>indekslerde<span style="font-family: Times New Roman, serif"> </span>toplamda<span style="font-family: Times New Roman, serif"> </span>59<span style="font-family: Times New Roman, serif"> </span>adet<span style="font-family: Times New Roman, serif"> </span>çalışmanın<span style="font-family: Times New Roman, serif"> </span>yayınlandığı<span style="font-family: Times New Roman, serif"> </span>görülmüş<span style="font-family: Times New Roman, serif"> </span>ve<span style="font-family: Times New Roman, serif"> </span>bu<span style="font-family: Times New Roman, serif"> </span>çalışmalar<span style="font-family: Times New Roman, serif"> </span>analiz<span style="font-family: Times New Roman, serif"> </span><span>edilmiştir.</span></p> ]]> Kuyruk Teorisi: Web of Science İndeksinde Yayınlanan Akademik Makalelerin Bibliyometrik Haritası (Queueing Theory: A Bibliometric Mapping Of Academic Article Publications In The Web of Science Index) bilgehan teki̇n doi: 10.56578/jafas020302 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 20 10.56578/jafas020302 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020302 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020301 Despite numerous government interventions, machine- building industry in Ukraine slowly declines since 2008. Many researchers claim it to be a result of high cost of capital within Ukraine. This article purposes to answer the question, how cost of capital influences development of Ukrainian machine-building enterprises. Twenty Ukrainian enterprises were selected and their data analyzed for the period from 2008 to 2014, using the value-oriented approach, namely, the method of Economic Margin (EM), adjusted to peculiarities of Ukrainian reporting practices. The research shows, that the cost of capital (CC) is not a determining factor for the stalled development of the machine-building enterprises in Ukraine. 09-29-2016 <![CDATA[ <p>Despite numerous government interventions, machine- building industry in Ukraine slowly declines since 2008. Many researchers claim it to be a result of high cost of capital<span> </span>within<span> </span>Ukraine.<span> </span>This<span> </span>article<span> </span>purposes<span> </span>to<span> </span>answer<span> </span>the question, how cost of capital influences development of Ukrainian machine-building enterprises. Twenty Ukrainian enterprises were selected and their data analyzed for the period from 2008 to 2014, using the value-oriented<span> </span>approach,<span> </span>namely,<span> </span>the<span> </span>method<span> </span>of<span> </span>Economic Margin (EM), adjusted to peculiarities of Ukrainian reporting practices. The research shows, that the cost of capital (CC) is not a determining factor for the stalled development of the machine-building enterprises in Ukraine.</p> ]]> Financial Factors in Ukraine’s Machine-Building Industry Development pavlov kerimov doi: 10.56578/jafas020301 Journal of Accounting, Finance and Auditing Studies 09-29-2016 Journal of Accounting, Finance and Auditing Studies 09-29-2016 2016 2 3 Article 1 10.56578/jafas020301 https://www.acadlore.com/article/JAFAS/2016_2_3/jafas020301 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020213 2005 yılına kadar halka açık anonim ortaklıklarda SPKn.'na göre bağımsız denetim SPKn. Seri X No:11 Tebliğine göre yapılmakta iken, Avrupa Birliği Müktesebatı çerçevesinde başta SPK olmak üzere diğer düzenleyici kurumlar (BDDK- Hazine Müsteşarlığı ve EPDK gibi) bağımsız denetimi Uluslararası Finansal Raporlama Standartlarına (UFRS) göre hazırlanan finansal tablolar üzerinden yapılmasını emretmiştir. Türkiye'de tüm işletmeler Vergi Usul Kanunu (VUK) hükümlerine göre finansal tablolarını hazırlamakla yükümlüdür. Türkiye’de başta SPK'na tabi halka açık anonim ortaklıklar ve düzenleyici üst kurumlara tabi şirketler VUK'nuna göre hazırladıkları finansal tablolardan sonra UFRS'na göre finansal tablo hazırlarken bir takım düzeltme ve sınıflandırma kayıtları vermek durumundadırlar ve genelde bu muhasebe kayıtları çoğu şirket tarafından muhasebe bilgi sistemi üzerinden değil de muhasebe dışından verilmektedir. (While the independent auditing in publicly-held corporations was made in accordance with Serial X No:11 Communique of the Capital Market Law until 2005 pursuant to CML, then the regulatory authorities (Banking Regulation and Supervision Agency, BRSA - Undersecretariat of Treasury and Energy Market Regulatory Authority, etc.) led by the Capital Market Board ordered independent audit to be made over the financial statements prepared in accordance with the International Financial Reporting Standards within the framework of union acquis. Basically, all the companies in Turkey are obliged to prepare their financial statements in accordance with the provisions of Tax Procedure Law (TPL). Companies subject to supreme regulatory authorities led by publicly-held corporations subject to Capital Market Law are obliged to submit some correction and classification records while preparing their financial statements in accordance with International Financial Reporting Standards (IFRS) after the preparation of financial statements in accordance with the Tax Procedure Law; and generally these accounting records are provided by majority of the companies not over the accounting information system but outside accounting.) 06-29-2016 <![CDATA[ <p>2005 yılına kadar halka açık anonim ortaklıklarda SPKn.'na göre bağımsız denetim SPKn. Seri X No:11 Tebliğine göre yapılmakta iken, Avrupa Birliği Müktesebatı çerçevesinde başta SPK olmak üzere diğer düzenleyici kurumlar (BDDK- Hazine Müsteşarlığı ve EPDK gibi) bağımsız denetimi Uluslararası Finansal Raporlama Standartlarına (UFRS) göre hazırlanan finansal tablolar üzerinden yapılmasını emretmiştir. Türkiye'de tüm işletmeler Vergi Usul Kanunu (VUK) hükümlerine göre finansal tablolarını hazırlamakla yükümlüdür. Türkiye’de başta SPK'na tabi halka açık anonim ortaklıklar ve düzenleyici üst kurumlara tabi şirketler VUK'nuna göre hazırladıkları finansal tablolardan sonra UFRS'na göre finansal tablo hazırlarken bir takım düzeltme ve sınıflandırma kayıtları vermek durumundadırlar ve genelde bu muhasebe kayıtları çoğu şirket tarafından muhasebe bilgi sistemi üzerinden değil de muhasebe dışından verilmektedir. (While the independent auditing in publicly-held corporations was made in accordance with Serial X No:11 Communique of the Capital Market Law until 2005 pursuant to CML, then the regulatory authorities (Banking Regulation and Supervision Agency, BRSA - Undersecretariat of Treasury and Energy Market Regulatory Authority, etc.) led by the Capital Market Board ordered independent audit to be made over the financial statements prepared in accordance with the International Financial Reporting Standards within the framework of union acquis. Basically, all the companies in Turkey are obliged to prepare their financial statements in accordance with the provisions of Tax Procedure Law (TPL). Companies subject to supreme regulatory authorities led by publicly-held corporations subject to Capital Market Law are obliged to submit some correction and classification records while preparing their financial statements in accordance with International Financial Reporting Standards (IFRS) after the preparation of financial statements in accordance with the Tax Procedure Law; and generally these accounting records are provided by majority of the companies not over the accounting information system but outside accounting.)</p> ]]> Vergi Usul Kanunundan Uluslararası Finansal Raporlama Standartlarına Doğru: Finansal Tabloların Yolculuğu (Form The Turkish Tax Procedure Law to IFRS’s: Journey of Financial Statements) cemal eli̇taş a. engin ergüden doi: 10.56578/jafas020213 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 265 10.56578/jafas020213 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020213 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020212 Civil aviation sector has entered a rapid development process in the globalized world and increased competition has forced companies to be included in the different alliances. Furthermore, the low cost airline companies appeared in the nineties has changed the structure of the sector and the competition has become more difficult. The costs of minimum standards on flight safety as well as this tough competitive conditions make it difficult for companies to manage their financial risk. This study aims the comparative analysis of financial risk levels, measured over their financial ratios, of Star Alliance, One World and Sky Team; the world's three largest global airline alliances and the airlines that sell cheap tickets through low cost strategy by performing fuzzy logic method. Two different analysis are made using two different models. The first analysis results show that there is no difference between alliances and low-cost airlines in terms of financial risk levels for the period of 2010-2014. However the second analysis results show that there is difference between alliaces and low-cost airlines in terms of financial risk levels. 06-29-2016 <![CDATA[ <p>Civil aviation sector has entered a rapid development process in the globalized world and increased competition has forced companies to be included in the different alliances. Furthermore, the low cost airline companies appeared in the nineties has changed the structure of the sector and the competition has become more difficult. The costs of minimum standards on flight safety as well as this tough competitive conditions make it difficult for companies to manage their financial risk. This study aims the comparative analysis of financial risk levels, measured over their financial ratios, of Star Alliance, One World and Sky Team; the world's three largest global airline alliances and the airlines that sell cheap tickets through low cost strategy by performing fuzzy logic method. Two different analysis are made using two different models. The first analysis results show that there is no difference between alliances and low-cost airlines in terms of financial risk levels for the period of 2010-2014. However the second analysis results show that there is difference between alliaces and low-cost airlines in terms of financial risk levels.</p> ]]> Havayolu Şirketlerinin Finansal Risk Düzeylerinin Bulanık Mantık Yöntemi İle Karşılaştırmalı Analizi (The Comparative Analysis of Financial Risk Level of Airlines Companies by Using Fuzzy Logic Method) hakan tunahan sinan esen davut takil doi: 10.56578/jafas020212 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 239 10.56578/jafas020212 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020212 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020211 Several studies exist in the literature to analyze the effect of weather conditions on finance field. As an addition to the mentioned ones, in the study; the relationship between the weather condition reports and Istanbul Stock Exchange Food and Beverage Index is examined. For this reason, the daily data of weather conditions of Turkey from August 2013 to November 2015 besides closing prices of the Food and Beverage Index are benefited. As climatic factors like weather conditions are suggested to affect the amount of the agricultural products and their prices; the condition reports are assumed to cause volatility in cases such as costs in addition to financial structures of the companies listed on the index. Hence; the effect of mentioned factors on profitability and market value of the firms are tried to be revealed. Johansen ve Juselius Cointegration tests are run between the average temperature and daily closing prices data in advance and long term relationship is revealed between the variables in the study. Therefore; Vector Error Correction Model to indicate the short term effect of the relation is used so that findings are shown to obtain the balance for the deviation of short term deviation. 06-29-2016 <![CDATA[ <p><span>Several studies exist in the literature to analyze the effect of weather conditions on finance field. As an addition to the mentioned ones, in the study; the relationship between the weather condition reports and Istanbul Stock Exchange Food and Beverage Index is examined. For this reason, the daily data of weather conditions of Turkey from August 2013 to November 2015 besides closing prices of the Food and Beverage Index are benefited. As climatic factors like weather conditions are suggested to affect the amount of the agricultural products and their prices; the condition reports are assumed to cause volatility in cases such as costs in addition to financial structures of the companies listed on the index. Hence; the effect of mentioned factors on profitability and market value of the firms are tried to be revealed. </span>Johansen ve Juselius Cointegration tests are run between the average temperature and daily closing prices data in advance and long term relationship is revealed between the variables in the study. Therefore; Vector Error Correction Model to indicate the short term effect of the relation is used so that findings are shown to obtain the balance for the deviation of short term deviation.</p> ]]> Hava Sıcaklıkları ile Borsa Gıda ve İçecek Endeksleri Arasındaki İlişki: BİST Gıda ve İçecek Endeksi Uygulaması (The Relationship Between Weather Condition Reports and Stock Food and Beverage Indices: An Application for the Food and Beverage Index of Istanbul Stock Exchange) sedat durmuşkaya doi: 10.56578/jafas020211 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 224 10.56578/jafas020211 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020211 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020210 Due to corporations and cooperatives go bankrupt, important costs come up in economic manner. Two rehabilitation institutions, postponement of bankruptcy and restructuring by conciliation are put into practice for preventing the corporations and cooperatives collapse because of bankruptcy. These institutions’ aim is to straighten the corporation and cooperatives financial states, to provide move on and to reach the more profitable and healthy solution for all stakeholders. However, to put these institutions into practice in an effective way, is depend on lawyers and accountant professions working together. Within this phase, if accountant professions do not perform his responsibility as required, this will prevent to move on these rehabilitation institutions. Even in this case, probability of the misuse will be coming out by the malicious debtors easily. 06-29-2016 <![CDATA[ <p>Due to corporations and cooperatives go bankrupt, important costs come up in economic manner. Two rehabilitation institutions, postponement of bankruptcy and restructuring by conciliation are put into practice for preventing the corporations and cooperatives collapse because of bankruptcy. These institutions’ aim is to straighten the corporation and cooperatives financial states, to provide move on and to reach the more profitable and healthy solution for all stakeholders. However, to put these institutions into practice in an effective way, is depend on lawyers and accountant professions working together. Within this phase, if accountant professions do not perform his responsibility as required, this will prevent to move on these rehabilitation institutions. Even in this case, probability of the misuse will be coming out by the malicious debtors easily.</p> ]]> Role of Certified Public Accountant in Postponement of Bankruptcy and Restructuring by Conciliation birol yildiz doi: 10.56578/jafas020210 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 192 10.56578/jafas020210 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020210 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020209 As a result of intensive competition, banks offer many differentiated loans. Unfortunately, while these loans are being offered, there may be differences among their forms and substances; and reporting them depending on their form distorts financial statements and misleads users. Banks can even offer loans with zero percent interest, while overcharging fees, commissions, and insurance premiums in advance to compensate the cost and make a reasonable profit. They may divert interest and commission sources of income by interchangeably reporting them. This study aims to show the effects of misrepresenting fixed repayment bank loans (installment loans) on the financial reports of relating parties and propose solutions in the light of International Accounting Standards/International Financial Reporting Standards. 06-29-2016 <![CDATA[ <p><span>As a result of intensive competition, banks offer many differentiated loans. Unfortunately, while these loans are being offered, there may be differences among their forms and substances; and reporting them depending on their form distorts financial statements and misleads users. Banks can even offer loans with zero percent interest, while overcharging fees, commissions, and insurance premiums in advance to compensate the cost and make a reasonable profit. They may divert interest and commission sources of income by interchangeably reporting them. This study aims to show the effects of misrepresenting fixed repayment bank loans (installment loans) on the financial reports of relating parties and propose solutions in the light of International Accounting Standards/International Financial Reporting Standards.</span></p> ]]> Accounting for Fixed Repayment Bank Loans in Accordance with Accounting Standards caner atiş gizem çopur vardar doi: 10.56578/jafas020209 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 164 10.56578/jafas020209 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020209 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020208 Management accounting is a set of applications developed to help managers attain their reasonable economic goals in the field. Traces of these applications can also be followed from developments of the accounting literature. Developments in the accounting literature are observed in periodicals and books. In this context, it is important to draw from the Handbooks of Management Accounting Research which is subdivided into theoretical perspectives, research methods, and practices that collect the main works in the management accounting research literature. Reference data of the Handbooks of Management Accounting Research publication has been compiled, and tried to point out the studies which are the main sources of these publications. Additionally, in the analysis of reference data, the authors with the most citations and most widely used periodicals are listed. According to the results of the study, the main sources in the references of publications relate not only to the management accounting field but is valid in all areas of accounting. Particularly when the frequency of use of periodicals is taken into account, management accounting literature contains numerous business management journals in the list. 06-29-2016 <![CDATA[ <p>Management accounting is a set of applications developed to help managers attain their reasonable economic goals in the field. Traces of these applications can also be followed from developments of the accounting literature. Developments in the accounting literature are observed in periodicals and books. In this context, it is important to draw from the Handbooks of Management Accounting Research which is subdivided into theoretical perspectives, research methods, and practices that collect the main works in the management accounting research literature. Reference data of the Handbooks of Management Accounting Research publication has been compiled, and tried to point out the studies which are the main sources of these publications. Additionally, in the analysis of reference data, the authors with the most citations and most widely used periodicals are listed. According to the results of the study, the main sources in the references of publications relate not only to the management accounting field but is valid in all areas of accounting. Particularly when the frequency of use of periodicals is taken into account, management accounting literature contains numerous business management journals in the list.</p> ]]> Framework for Management Accounting Research: A Bibliographic Study alper erserim doi: 10.56578/jafas020208 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 145 10.56578/jafas020208 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020208 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020207 The accounting frauds have massive adverse impacts on the business environment. Due to high incidence of accounting fraud in the economic environment, regulatory bodies make considerable efforts to the development of a reliable and accurate model that can detect accounting fraud. The primary objective of this paper is to establish an empirical model that significantly contributes to the development of a reliable model for detecting accounting fraud committed by firms listed on Borsa İstanbul. This study investigates ten accounting variables with probit regression analysis and covers 144 firms between the time period of 2005 to 2015. The results indicate that firms with low liquidity ratios are more probable to issue fraudulent financial statements, negative financial performance is a vital motivational factor for fraud, smaller firms are more likely to issue fraudulent financial statements, firms with high debt to equity are more likely to be classified as fraud firms and fraud firms have lower accounts receivable turnover and inventory turnover than non-fraud firms. 06-29-2016 <![CDATA[ <p>The accounting frauds have massive adverse impacts on the business environment. Due to high incidence of accounting fraud in the economic environment, regulatory bodies make considerable efforts to the development of a reliable and accurate model that can detect accounting fraud. The primary objective of this paper is to establish an empirical model that significantly contributes to the development of a reliable model for detecting accounting fraud committed by firms listed on Borsa İstanbul. This study investigates ten accounting variables with probit regression analysis and covers 144 firms between the time period of 2005 to 2015. The results indicate that firms with low liquidity ratios are more probable to issue fraudulent financial statements, negative financial performance is a vital motivational factor for fraud, smaller firms are more likely to issue fraudulent financial statements, firms with high debt to equity are more likely to be classified as fraud firms and fraud firms have lower accounts receivable turnover and inventory turnover than non-fraud firms.</p> ]]> Firm Characteristics and Accounting Fraud: A Multivariate Approach (Firma Karakteristikleri ve Muhasebe Hilesi: Çok Değişkenli Yaklaşım) ahmet özcan doi: 10.56578/jafas020207 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 128 10.56578/jafas020207 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020207 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020206 This study aims to explain the association between corporate governance and earnings management by emphasizing the four main theories underlying corporate governance. Main focus of the paper is to take corporate governance practices as a monitoring mechanism to prevent opportunistic type of earnings management practices. While exhibiting substantial review from the world literature, the study provides an insight to the Turkish corporate governance awareness. 06-29-2016 <![CDATA[ <p>This study aims to explain the association between corporate governance and earnings management by emphasizing the four main theories underlying corporate governance. Main focus of the paper is to take corporate governance practices as a monitoring mechanism to prevent opportunistic type of earnings management practices. While exhibiting substantial review from the world literature, the study provides an insight to the Turkish corporate governance awareness.</p> ]]> Revisiting the Association between Corporate Governance and Earnings Management (Kurumsal Yönetim ile Kar Yönetimi Arasındaki İlişkinin Yeniden Değerlendirilmesi) nida türegün can tansel kaya doi: 10.56578/jafas020206 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 115 10.56578/jafas020206 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020206 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020205 The new conditions in airline industry due to the effects of liberalization have changed the market considerably since the 1980s. The difficulties in the industry force the airline companies to compete that financial analysis became indispensable to compare their profitability among the rivals worldwide. For this reason; it is aimed to reveal the relationship between profitability and traditional financial and airline-specific ratios for 17 leading major airlines for the 2011-2013 period in the study. Here; it is suggested to display the impact of traditional ratios on profitability rates for the companies. Operating Profit Margin (OPM), Net Profit Margin (NPM), Return on Assets (ROA) are selected as the profitability rates while Current Ratio (CR), Debt Ratio (DR), Total Assets Turnover Rate (TATR) and Revenue per Revenue Passenger Kilometers (RRPK) are chosen in the study as traditional financial and airline- specific ratios. The methods as Descriptive Statistics, Correlation and Regression Analyses (the profitability rates as dependent variables and traditional financial and airline-specific ratios as independent variables) are studied respectively by running SPSS 20.0 Software Package to reveal the mentioned relationship between profitability rates and traditional ratios and to interpret the outcome for major airlines. 06-29-2016 <![CDATA[ <p>The new conditions in airline industry due to the effects of liberalization have changed the market considerably since the 1980s. The difficulties in the industry force the airline companies to compete that financial analysis became indispensable to compare their profitability among the rivals worldwide. For this reason; it is aimed to reveal the relationship between profitability and traditional financial and airline-specific ratios for 17 leading major airlines for the 2011-2013 period in the study. Here; it is suggested to display the impact of traditional ratios on profitability rates for the companies. Operating Profit Margin (OPM), Net Profit Margin (NPM), Return on Assets (ROA) are selected as the profitability rates while Current Ratio (CR), Debt Ratio (DR), Total Assets Turnover Rate (TATR) and Revenue per Revenue Passenger Kilometers (RRPK) are chosen in the study as traditional financial and airline- specific ratios. The methods as Descriptive Statistics, Correlation and Regression Analyses (the profitability rates as dependent variables and traditional financial and airline-specific ratios as independent variables) are studied respectively by running SPSS 20.0 Software Package to reveal the mentioned relationship between profitability rates and traditional ratios and to interpret the outcome for major airlines.</p> ]]> Analyzing The Relationship Between Profitability and Traditional Ratios: Major Airline Companies Sample (Karlılık ve Geleneksel Oranlar Arasındaki İlişkinin İncelenmesi: Büyük Havayolu Şirketleri Örneği) ahmet selçuk di̇zkirici bayram topal hatem yaghi doi: 10.56578/jafas020205 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 96 10.56578/jafas020205 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020205 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020204 Sustainability is rapidly moving from an abstract concept to a measurable state of dynamic human-ecological systems. The large number of economic, social, and environmental indicators currently available provides a view of system sustainability. In this respect, sets of sustainability indicators and aggregation of these indicators into indices are increasingly used to make policy decisions.The indices offer companies the opportunity to compare their sustainability performances on both local and global level. With the indices, provide companies an instrument for evaluating their performance and consequently adopting new targets or furthering their performance while allowing them to develop their risk management abilities for corporate transparency, accountability and sustainability.The purpose of this paper is to discuss conceptual requirements for Sustainability Indices and with using Dow Jones Sustainability Indices (DJSI) analyze the differences and the relationship of DJSI Emerging Markets with DJSI Developed Markets in which North America and Europe is chosen. 06-29-2016 <![CDATA[ <p>Sustainability is rapidly moving from an abstract concept to a measurable state of dynamic human-ecological systems. The large<span> </span>number<span> </span>of<span> </span>economic,<span> </span>social,<span> </span>and<span> </span>environmental<span> </span>indicators currently available provides a view of system sustainability. In this respect, sets of sustainability indicators and aggregation<span> </span>of these indicators into indices are increasingly used to make policy<span> </span>decisions.</p><p style="text-align: justify">The indices offer companies the opportunity to compare their sustainability<span> </span>performances<span> </span>on<span> </span>both<span> </span>local<span> </span>and<span> </span>global<span> </span>level.<span> </span>With the indices, provide companies an instrument for evaluating their performance and consequently adopting new targets or furthering their performance while allowing them to develop their risk management abilities for corporate transparency, accountability and<span> </span>sustainability.</p><p>The<span> </span>purpose<span> </span>of<span> </span>this<span> </span>paper<span> </span>is<span> </span>to<span> </span>discuss<span> </span>conceptual<span> </span>requirements for Sustainability Indices and with using Dow Jones Sustainability Indices (DJSI) analyze the differences and the relationship of DJSI Emerging Markets with DJSI Developed Markets in which North America and Europe is<span> </span>chosen.</p> ]]> A New Era for Sustainable Development: A Comparison for Sustainability Indices nilgün kutay fatma tektüfekçi̇ doi: 10.56578/jafas020204 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 70 10.56578/jafas020204 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020204 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020203 Sustainability is currently a very popular topic in the world of business. This paper explores the concept of sustainable investment, its evolution, the role of stock exchanges in corporate sustainability, sustainability indices both in developed and developing markets and literature regarding sustainable investing performance. The main purpose of the study is to introduce Borsa İstanbul Sustainability Index and to study its performance. Wilcoxon test is used to test the differences in return of the index companies before and after the launch of the index. The results obtained revealed that most of the companies suffered a decrease in return after being included in the index. Also, paired samples t-test is used to explore the differences in performance between BIST Sustainability Index and other benchmark indices. The results showed no statistically significant difference between BIST Sustainability index and other benchmark indices. 06-29-2016 <![CDATA[ <p>Sustainability is currently a very popular topic in the world of business. This paper explores the concept of sustainable investment, its evolution, the role of stock exchanges in corporate sustainability, sustainability indices both in developed and developing markets and literature regarding sustainable investing performance. The main purpose of the study is to introduce Borsa İstanbul Sustainability Index and to study its performance. Wilcoxon test is used to test the differences in return of the index companies before and after the launch of the index. The results obtained revealed that most of the companies suffered a decrease in return after being included in the index. Also, paired samples t-test is used to explore the differences in performance between BIST Sustainability Index and other benchmark indices. The results showed no statistically significant difference between BIST Sustainability index and other benchmark indices.</p> ]]> Sustainability Indices in Developing Markets: A Study About Borsa İstanbul Sustainability Index (Gelişmekte Olan Piyasalarda Sürdürülebilirlik Endeksleri : Borsa İstanbul Sürdürülebilirlik Endeksi) nevser mine tükenmez ahmet galip gençyürek doi: 10.56578/jafas020203 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 36 10.56578/jafas020203 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020203 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020202 Agriculture is a field which is critically important for the economy of every country. Countries pursue different agricultural production strategies in different regions in accordance with their needs. In this study, a production planning model was developed based on Modern Portfolio Theory for the production of summer and winter vegetables in Denizli, which has a significant agricultural production potential for the Aegean region. The historical data of the specified products were obtained from Turkish Statistical Institute (TUIK). As the analysis method, Markowitz mean variance model and efficient frontier concepts were used. The optimum production portfolios, which have different product ranges and through which the manufacturers can make maximum profit according to their risk appetite, were determined. This study serves as a guide way to the manufacturers for the cultivation plans in future seasons. 06-29-2016 <![CDATA[ <p>Agriculture<span style="font-family: Times New Roman, serif"> </span>is<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>field<span style="font-family: Times New Roman, serif"> </span>which<span style="font-family: Times New Roman, serif"> </span>is<span style="font-family: Times New Roman, serif"> </span>critically<span style="font-family: Times New Roman, serif"> </span>important<span style="font-family: Times New Roman, serif"> </span>for<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>economy<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>every<span style="font-family: Times New Roman, serif"> </span>country.<span style="font-family: Times New Roman, serif"> </span>Countries<span style="font-family: Times New Roman, serif"> </span>pursue<span style="font-family: Times New Roman, serif"> </span>different<span style="font-family: Times New Roman, serif"> </span>agricultural<span style="font-family: Times New Roman, serif"> </span>production<span style="font-family: Times New Roman, serif"> </span>strategies<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>different<span style="font-family: Times New Roman, serif"> </span>regions<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>accordance<span style="font-family: Times New Roman, serif"> </span>with<span style="font-family: Times New Roman, serif"> </span>their<span style="font-family: Times New Roman, serif"> </span>needs.<span style="font-family: Times New Roman, serif"> </span>In<span style="font-family: Times New Roman, serif"> </span>this<span style="font-family: Times New Roman, serif"> </span>study,<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>production<span style="font-family: Times New Roman, serif"> </span>planning<span style="font-family: Times New Roman, serif"> </span>model<span style="font-family: Times New Roman, serif"> </span>was<span style="font-family: Times New Roman, serif"> </span>developed<span style="font-family: Times New Roman, serif"> </span>based<span style="font-family: Times New Roman, serif"> </span>on<span style="font-family: Times New Roman, serif"> </span>Modern<span style="font-family: Times New Roman, serif"> </span>Portfolio<span style="font-family: Times New Roman, serif"> </span>Theory<span style="font-family: Times New Roman, serif"> </span>for<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>production<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>summer<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>winter<span style="font-family: Times New Roman, serif"> </span>vegetables<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>Denizli,<span style="font-family: Times New Roman, serif"> </span>which<span style="font-family: Times New Roman, serif"> </span>has<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>significant<span style="font-family: Times New Roman, serif"> </span>agricultural<span style="font-family: Times New Roman, serif"> </span>production<span style="font-family: Times New Roman, serif"> </span>potential<span style="font-family: Times New Roman, serif"> </span>for<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>Aegean<span style="font-family: Times New Roman, serif"> </span>region.<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>historical<span style="font-family: Times New Roman, serif"> </span>data<span style="font-family: Times New Roman, serif"> </span>of<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>specified<span style="font-family: Times New Roman, serif"> </span>products<span style="font-family: Times New Roman, serif"> </span>were<span style="font-family: Times New Roman, serif"> </span>obtained<span style="font-family: Times New Roman, serif"> </span>from<span style="font-family: Times New Roman, serif"> </span>Turkish<span style="font-family: Times New Roman, serif"> </span>Statistical<span style="font-family: Times New Roman, serif"> </span>Institute<span style="font-family: Times New Roman, serif"> </span>(TUIK).<span style="font-family: Times New Roman, serif"> </span>As<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>analysis<span style="font-family: Times New Roman, serif"> </span>method,<span style="font-family: Times New Roman, serif"> </span>Markowitz<span style="font-family: Times New Roman, serif"> </span>mean<span style="font-family: Times New Roman, serif"> </span>variance<span style="font-family: Times New Roman, serif"> </span>model<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>efficient<span style="font-family: Times New Roman, serif"> </span>frontier<span style="font-family: Times New Roman, serif"> </span>concepts<span style="font-family: Times New Roman, serif"> </span>were<span style="font-family: Times New Roman, serif"> </span>used.<span style="font-family: Times New Roman, serif"> </span>The<span style="font-family: Times New Roman, serif"> </span>optimum<span style="font-family: Times New Roman, serif"> </span>production<span style="font-family: Times New Roman, serif"> </span>portfolios,<span style="font-family: Times New Roman, serif"> </span>which<span style="font-family: Times New Roman, serif"> </span>have<span style="font-family: Times New Roman, serif"> </span>different<span style="font-family: Times New Roman, serif"> </span>product<span style="font-family: Times New Roman, serif"> </span>ranges<span style="font-family: Times New Roman, serif"> </span>and<span style="font-family: Times New Roman, serif"> </span>through<span style="font-family: Times New Roman, serif"> </span>which<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>manufacturers<span style="font-family: Times New Roman, serif"> </span>can<span style="font-family: Times New Roman, serif"> </span>make<span style="font-family: Times New Roman, serif"> </span>maximum<span style="font-family: Times New Roman, serif"> </span>profit<span style="font-family: Times New Roman, serif"> </span>according<span style="font-family: Times New Roman, serif"> </span>to<span style="font-family: Times New Roman, serif"> </span>their<span style="font-family: Times New Roman, serif"> </span>risk<span style="font-family: Times New Roman, serif"> </span>appetite,<span style="font-family: Times New Roman, serif"> </span>were<span style="font-family: Times New Roman, serif"> </span>determined.<span style="font-family: Times New Roman, serif"> </span>This<span style="font-family: Times New Roman, serif"> </span>study<span style="font-family: Times New Roman, serif"> </span>serves<span style="font-family: Times New Roman, serif"> </span>as<span style="font-family: Times New Roman, serif"> </span>a<span style="font-family: Times New Roman, serif"> </span>guide<span style="font-family: Times New Roman, serif"> </span>way<span style="font-family: Times New Roman, serif"> </span>to<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>manufacturers<span style="font-family: Times New Roman, serif"> </span>for<span style="font-family: Times New Roman, serif"> </span>the<span style="font-family: Times New Roman, serif"> </span>cultivation<span style="font-family: Times New Roman, serif"> </span>plans<span style="font-family: Times New Roman, serif"> </span>in<span style="font-family: Times New Roman, serif"> </span>future<span style="font-family: Times New Roman, serif"> </span>seasons.</p> ]]> Determining the Optimum Production Portfolio in Agricultural Sector: Province of Denizli Case hasan akyer mehmet utku yusuf kaya doi: 10.56578/jafas020202 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 23 10.56578/jafas020202 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020202 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020201 The main objective of this study was to evaluate the impact of Financial Literacy (FL) and Frequency of Meetings (FM) of members of Audit Committee on financial reporting quality in Nigerian quoted companies. Data for the study were derived from annual reports of one hundred and thirty one (131) companies quoted on the Nigerian Stock Exchange over the period of 2006 to 2012. The data were analyzed using descriptive, correlation and Ordinary Least Square (OLS). The multivariate regression technique was utilized to estimate our model. The findings showed that audit committee financial literacy and audit committee frequency of meetings had a positive significant influence on financial reporting quality. Based on these findings, some recommendations were made, prominent amongst them, was that, in order to strengthen the impact of financial literacy on financial reporting quality, regulatory authorities such as SEC, CBN and NDIC, should give special attention to audit committee members with high status with a view to making it mandatory for all companies to comply with it. Status, in this context, implies an aspect of personal power reflecting the ability to influence outcomes based on perceived skills, qualities and personal attributes. 06-29-2016 <![CDATA[ <p><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>main</span><span style="font-family: Times New Roman, serif"> </span><span>objective</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>was</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>evaluate</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>impact</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>Financial</span><span style="font-family: Times New Roman, serif"> </span><span>Literacy</span><span style="font-family: Times New Roman, serif"> </span><span>(FL)</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>Frequency</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>Meetings (FM)</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>members</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>Audit</span><span style="font-family: Times New Roman, serif"> </span><span>Committee</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>reporting</span><span style="font-family: Times New Roman, serif"> </span><span>quality</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>Nigerian</span><span style="font-family: Times New Roman, serif"> </span><span>quoted</span><span style="font-family: Times New Roman, serif"> </span><span>companies.</span><span style="font-family: Times New Roman, serif"> </span><span>Data</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>study</span><span style="font-family: Times New Roman, serif"> </span><span>were</span><span style="font-family: Times New Roman, serif"> </span><span>derived</span><span style="font-family: Times New Roman, serif"> </span><span>from</span><span style="font-family: Times New Roman, serif"> </span><span>annual</span><span style="font-family: Times New Roman, serif"> </span><span>reports</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>one</span><span style="font-family: Times New Roman, serif"> </span><span>hundred</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>thirty</span><span style="font-family: Times New Roman, serif"> </span><span>one</span><span style="font-family: Times New Roman, serif"> </span><span>(131)</span><span style="font-family: Times New Roman, serif"> </span><span>companies</span><span style="font-family: Times New Roman, serif"> </span><span>quoted</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>Nigerian</span><span style="font-family: Times New Roman, serif"> </span><span>Stock</span><span style="font-family: Times New Roman, serif"> </span><span>Exchange</span><span style="font-family: Times New Roman, serif"> </span><span>over</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>period</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>2006</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>2012.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>data</span><span style="font-family: Times New Roman, serif"> </span><span>were</span><span style="font-family: Times New Roman, serif"> </span><span>analyzed</span><span style="font-family: Times New Roman, serif"> </span><span>using</span><span style="font-family: Times New Roman, serif"> </span><span>descriptive,</span><span style="font-family: Times New Roman, serif"> </span><span>correlation</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>Ordinary</span><span style="font-family: Times New Roman, serif"> </span><span>Least</span><span style="font-family: Times New Roman, serif"> </span><span>Square</span><span style="font-family: Times New Roman, serif"> </span><span>(OLS).</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>multivariate</span><span style="font-family: Times New Roman, serif"> </span><span>regression</span><span style="font-family: Times New Roman, serif"> </span><span>technique</span><span style="font-family: Times New Roman, serif"> </span><span>was</span><span style="font-family: Times New Roman, serif"> </span><span>utilized</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>estimate</span><span style="font-family: Times New Roman, serif"> </span><span>our</span><span style="font-family: Times New Roman, serif"> </span><span>model.</span><span style="font-family: Times New Roman, serif"> </span><span>The</span><span style="font-family: Times New Roman, serif"> </span><span>findings</span><span style="font-family: Times New Roman, serif"> </span><span>showed</span><span style="font-family: Times New Roman, serif"> </span><span>that</span><span style="font-family: Times New Roman, serif"> </span><span>audit</span><span style="font-family: Times New Roman, serif"> </span><span>committee</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>literacy</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>audit</span><span style="font-family: Times New Roman, serif"> </span><span>committee</span><span style="font-family: Times New Roman, serif"> </span><span>frequency</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>meetings</span><span style="font-family: Times New Roman, serif"> </span><span>had</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>positive</span><span style="font-family: Times New Roman, serif"> </span><span>significant</span><span style="font-family: Times New Roman, serif"> </span><span>influence</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>reporting</span><span style="font-family: Times New Roman, serif"> </span><span>quality.</span><span style="font-family: Times New Roman, serif"> </span><span>Based</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>these</span><span style="font-family: Times New Roman, serif"> </span><span>findings,</span><span style="font-family: Times New Roman, serif"> </span><span>some</span><span style="font-family: Times New Roman, serif"> </span><span>recommendations</span><span style="font-family: Times New Roman, serif"> </span><span>were</span><span style="font-family: Times New Roman, serif"> </span><span>made,</span><span style="font-family: Times New Roman, serif"> </span><span>prominent</span><span style="font-family: Times New Roman, serif"> </span><span>amongst</span><span style="font-family: Times New Roman, serif"> </span><span>them,</span><span style="font-family: Times New Roman, serif"> </span><span>was</span><span style="font-family: Times New Roman, serif"> </span><span>that,</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>order</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>strengthen</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>impact</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>literacy</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>financial</span><span style="font-family: Times New Roman, serif"> </span><span>reporting</span><span style="font-family: Times New Roman, serif"> </span><span>quality,</span><span style="font-family: Times New Roman, serif"> </span><span>regulatory</span><span style="font-family: Times New Roman, serif"> </span><span>authorities</span><span style="font-family: Times New Roman, serif"> </span><span>such</span><span style="font-family: Times New Roman, serif"> </span><span>as</span><span style="font-family: Times New Roman, serif"> </span><span>SEC,</span><span style="font-family: Times New Roman, serif"> </span><span>CBN</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>NDIC,</span><span style="font-family: Times New Roman, serif"> </span><span>should</span><span style="font-family: Times New Roman, serif"> </span><span>give</span><span style="font-family: Times New Roman, serif"> </span><span>special</span><span style="font-family: Times New Roman, serif"> </span><span>attention</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>audit</span><span style="font-family: Times New Roman, serif"> </span><span>committee</span><span style="font-family: Times New Roman, serif"> </span><span>members</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>high</span><span style="font-family: Times New Roman, serif"> </span><span>status</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>a</span><span style="font-family: Times New Roman, serif"> </span><span>view</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>making</span><span style="font-family: Times New Roman, serif"> </span><span>it</span><span style="font-family: Times New Roman, serif"> </span><span>mandatory</span><span style="font-family: Times New Roman, serif"> </span><span>for</span><span style="font-family: Times New Roman, serif"> </span><span>all</span><span style="font-family: Times New Roman, serif"> </span><span>companies</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>comply</span><span style="font-family: Times New Roman, serif"> </span><span>with</span><span style="font-family: Times New Roman, serif"> </span><span>it.</span><span style="font-family: Times New Roman, serif"> </span><span>Status,</span><span style="font-family: Times New Roman, serif"> </span><span>in</span><span style="font-family: Times New Roman, serif"> </span><span>this</span><span style="font-family: Times New Roman, serif"> </span><span>context,</span><span style="font-family: Times New Roman, serif"> </span><span>implies</span><span style="font-family: Times New Roman, serif"> </span><span>an</span><span style="font-family: Times New Roman, serif"> </span><span>aspect</span><span style="font-family: Times New Roman, serif"> </span><span>of</span><span style="font-family: Times New Roman, serif"> </span><span>personal</span><span style="font-family: Times New Roman, serif"> </span><span>power</span><span style="font-family: Times New Roman, serif"> </span><span>reflecting</span><span style="font-family: Times New Roman, serif"> </span><span>the</span><span style="font-family: Times New Roman, serif"> </span><span>ability</span><span style="font-family: Times New Roman, serif"> </span><span>to</span><span style="font-family: Times New Roman, serif"> </span><span>influence</span><span style="font-family: Times New Roman, serif"> </span><span>outcomes</span><span style="font-family: Times New Roman, serif"> </span><span>based</span><span style="font-family: Times New Roman, serif"> </span><span>on</span><span style="font-family: Times New Roman, serif"> </span><span>perceived</span><span style="font-family: Times New Roman, serif"> </span><span>skills,</span><span style="font-family: Times New Roman, serif"> </span><span>qualities</span><span style="font-family: Times New Roman, serif"> </span><span>and</span><span style="font-family: Times New Roman, serif"> </span><span>personal</span><span style="font-family: Times New Roman, serif"> </span><span>attributes.</span></p> ]]> The Impact of Financial Literacy and Frequency of Meetings of Members of Audit Committe on Financial Reporting Quality in Nigerian Quoted Companies eriabie sylvester osarumwense adeyemo kingsley aderemi doi: 10.56578/jafas020201 Journal of Accounting, Finance and Auditing Studies 06-29-2016 Journal of Accounting, Finance and Auditing Studies 06-29-2016 2016 2 2 Article 1 10.56578/jafas020201 https://www.acadlore.com/article/JAFAS/2016_2_2/jafas020201 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020110 Savaş kavramı sürekli ve gelişim değişim içindedir. Artık askerî savaşlar aysbergin görünen yüzünü oluştururken görünmeyen yüzünü ekonomik savaşlar oluşturmaktadır. Sürekli değişim ve gelişim içinde olan bir yapıda, Türk Silahlı Kuvvetlerinin karar mekanizmalarında görev alacak personelin kararlarında diğer kısıtlarla birlikte finansal kısıtların da olduğunu ve olayları tahlil ederken bu kısıtları da göz önüne alması gerektiğini bilmesi gerekmektedir. TSK’da verilen eğitimin sadece askerî niteliğe sahip olması, olayların tek boyutlu değerlemesine sebep olabilecektir. Bu yüzden Askerî Yüksek Öğretim kurumlarında diğer bilimsel dallarla birlikte Muhasebe ve Finans eğitimini içeren lisans programları ile bir farkındalık yaratılmak amaçlanmaktadır. Bu durumun öğrenciler tarafından algılanması ve analitik düşünce yapısının geliştirilerek savaş veya barış ortamında verilecek kararın rasyonel olması amaçlanmaktadır. Bu çalışmada Muhasebe ve Finans derslerinin askerlikle olan ilişkisi ve gerekliliği anlatılmaya çalışılmıştır. 03-30-2016 <![CDATA[ <p><span>Savaş kavramı sürekli ve gelişim değişim içindedir. Artık askerî savaşlar aysbergin görünen yüzünü oluştururken görünmeyen yüzünü ekonomik savaşlar oluşturmaktadır. Sürekli değişim ve gelişim içinde olan bir yapıda, Türk Silahlı Kuvvetlerinin karar mekanizmalarında görev alacak personelin kararlarında diğer kısıtlarla birlikte finansal kısıtların da olduğunu ve olayları tahlil ederken bu kısıtları da göz önüne alması gerektiğini bilmesi gerekmektedir. TSK’da verilen eğitimin sadece askerî niteliğe sahip olması, olayların tek boyutlu değerlemesine sebep olabilecektir. Bu yüzden Askerî Yüksek Öğretim kurumlarında diğer bilimsel dallarla birlikte Muhasebe ve Finans eğitimini içeren lisans programları ile bir farkındalık yaratılmak amaçlanmaktadır. Bu durumun öğrenciler tarafından algılanması ve analitik düşünce yapısının geliştirilerek savaş veya barış ortamında verilecek kararın rasyonel olması amaçlanmaktadır. Bu çalışmada Muhasebe ve Finans derslerinin askerlikle olan ilişkisi ve gerekliliği anlatılmaya çalışılmıştır.</span></p> ]]> Muhasebe ve Finans Derslerinin Askeri Yükseköğretim Programındaki Önemi ve Askerlik Niteliğinin Kazandırılmasındaki Rolü (Accounting And Financial Importance In The Military And Military Nature Of Higher Education Course Of Gained The Role) murat ati̇k yaşar köse bülent yilmaz doi: 10.56578/jafas020110 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 162 10.56578/jafas020110 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020110 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020109 Aim of this research is to reveal general trends by analysing postgraduate theses prepared on “Management Accounting In Hospitality” topics and published at Cohe Thesis Center study this topic by presenting a panaroma and to give an oppinion to practitioners about searches conducted. As a result of screening 14 postgraduate theses and 6 doctoral theses were found. Theses categorized with content analysis according to their various characteristics ,and also results and findings of the research studied deeply were discussed in their different and similar aspects. Years experienced an increase in the work done as a thesis, but it was found that work done in recent years. Thesis in strategic management accounting approaches are very committed to the issue. 03-30-2016 <![CDATA[ <p>Aim of this research is to reveal general trends by analysing postgraduate theses prepared on “Management Accounting In Hospitality” topics and published at Cohe Thesis Center study this topic by presenting a panaroma and to give an oppinion to practitioners about searches conducted. As a result of screening 14 postgraduate theses and 6 doctoral theses were found. Theses categorized with content analysis according to their various characteristics ,and also results and findings of the research studied deeply were discussed in their different and similar aspects. Years experienced an increase in the work done as a thesis, but it was found that work done in recent years. Thesis in strategic management accounting approaches are very committed to the issue.</p> ]]> Konaklama İşletmeleri Yönetim Muhasebesi’nin 2000-2014 Yılları Arası Akademik Gelişim Süreci (Academic Development Process of Hospitality Management Accounting Between Years 2000-2014) hilmi kirlioğlu özlem doğan doi: 10.56578/jafas020109 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 136 10.56578/jafas020109 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020109 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020108 Today’s competitive business environment has drastically increased the expectations of stakeholders from the accounting professionals. This has led the accounting educators to reshape their attributes in order to meet the mentioned expectations. Unless the accounting educator initially improves their own attributes, preparing the decision makers of tomorrow seems rather difficult. Therefore it has become the highest necessity to find out what these changing trends within the scope of the expectations of stakeholders so that education side can adjust accordingly. The aim of this research is to investigate what stakeholders expect from accounting education, share these crucial information with the accounting educators; so that expected attributes accounting students can be perfectly matched with the expectations of the stakeholders who will be in the position to employ the newly graduates of accounting. 03-30-2016 <![CDATA[ <p>Today’s competitive business environment has drastically increased the expectations of stakeholders from the accounting professionals. This has led the accounting educators to reshape their attributes in order to meet the mentioned expectations. Unless the accounting educator initially improves their own attributes, preparing the decision makers of tomorrow seems rather difficult. Therefore it has become the highest necessity to find out what these changing trends within the scope of the expectations of stakeholders so that education side can adjust accordingly. The aim of this research is to investigate what stakeholders expect from accounting education, share these crucial information with the accounting educators; so that expected attributes accounting students can be perfectly matched with the expectations of the stakeholders who will be in the position to employ the newly graduates of accounting.</p> ]]> Muhasebe Eğitiminin Yeniden Şekillendirilmesine Bütünsel Bir Bakış (A Holistic Look at Restructuring Accounting Education) engin ergüden can tansel kaya a.r. zafer sayar doi: 10.56578/jafas020108 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 124 10.56578/jafas020108 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020108 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020107 Market efficiency is the most important factor affecting the situation as to whether to obtain excessive profits of the investors. In the study, the return of BIST-100 Index and the efficiency of its sub-indices Industrial, Technology, Financial and Service Indices were examined. Used Harvey linearity test, beside other tests analysis linearity without any pre-condition. This increases the power of the test. The data set used in this study is the period between 07.03.2000 and 09.22.2015 consists of 3723 observations. The results of the study say that the analyzed variables are nonlinear. According to the results of the nonlinear unit root test, all the variables examined have a stationary structure. The excess returns are concerned. Therefore, according to efficient market hypothesis, by using previous information excessive profits can be obtained in the markets. 03-30-2016 <![CDATA[ <p>Market efficiency is the most important factor affecting the situation as to whether to obtain excessive profits of the investors. In the study, the return of BIST-100 Index and the efficiency of its sub-indices Industrial, Technology, Financial and Service Indices were examined. Used Harvey linearity test, beside other tests analysis linearity without any pre-condition. This increases the power of the test. The data set used in this study is the period between 07.03.2000 and 09.22.2015 consists of 3723 observations. The results of the study say that the analyzed variables are nonlinear. According to the results of the nonlinear unit root test, all the variables examined have a stationary structure. The excess returns are concerned. Therefore, according to efficient market hypothesis, by using previous information excessive profits can be obtained in the markets.</p> ]]> Borsa İstanbul’da Piyasa Etkinliğinin Analizi: Harvey Doğrusallık Testi (Analysis of Market Efficiency at Borsa İstanbul: Harvey Linearity Test) gürkan malcioğlu mücahit aydin doi: 10.56578/jafas020107 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 112 10.56578/jafas020107 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020107 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020106 Economic relations more and more complicated in today's world, accounting applications received at the same time at education and training, has become a major issue discussed in lots of scientific work and with the size of the meetings. Completely unique logic of accounting courses that require a systematic education and training process in itself can be taught at the desired level. At the end of the process; assessment techniques will be to evaluate the resulting output; exams,oral, homework, project, application, consisting of seminars or other methods. In this context, the most important question which must be answered will be “Which method gives the best result in the terms of evaluaiton?”. This question concerns not only accounting educators but also pedagogs. Of course there is not just one answer for this question. It may be differs from that type of education method and process, how to use which methods and measurement and evaluation methods depending on implemented. In this study “measurement and evaluation in accounting education” is analysed, and included prominent opinions in the light of researchs which located in literatüre. 03-30-2016 <![CDATA[ <p>Economic relations more and more complicated in today's world, accounting applications received at the same time at education and training, has become a major issue discussed in lots of scientific work and with the size of the meetings. Completely unique logic of accounting courses that require a systematic education and training process in itself can be taught at the desired level. At the end of the process; assessment techniques will be to evaluate the resulting output; exams,oral, homework, project, application, consisting of seminars or other methods. In this context, the most important question which must be answered will be “Which method gives the best result in the terms of evaluaiton?”. This question concerns not only accounting educators but also pedagogs. Of course there is not just one answer for this question. It may be differs from that type of education method and process, how to use which methods and measurement and evaluation methods depending on implemented. In this study “measurement and evaluation in accounting education” is analysed, and included prominent opinions in the light of researchs which located in literatüre.</p> ]]> Duran Varlıkların TFRS 5 Çerçevesinde Değerlendirilmesi ve BIST (Borsa İstanbul) 30 Endeksinde Yer Alan Firmaların TFRS 5 Uyarınca Satış Amaçlı Elde Tutulan Duran Varlıkların Sınıflandırılmasına Yönelik Olarak İncelenmesi kürşad çavuşoğlu burcu demi̇rel utku doi: 10.56578/jafas020106 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 88 10.56578/jafas020106 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020106 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020105 The purpose of this study is to determine the effects of culture on internal audit perceptions of professional accountant. In this regard, a model has been developed and tested. 4 hypotheses were constituted to test the model and a questionnaire was conducted to 153 professional accountants which are operating in TR90. Structural equation model was used to test the hypotheses. According to findings of the analysis, it may be seen that, uncertain avoidance have a negative effect on internal audit while power distance, individualism and collectivizm have no effect on internal audit. 03-30-2016 <![CDATA[ <p>The purpose of this study is to determine the effects of culture on internal audit perceptions of professional accountant. In this regard, a model has been developed and tested. 4 hypotheses were constituted to test the model and a questionnaire was conducted to 153 professional accountants which are operating in TR90. Structural equation model was used to test the hypotheses. According to findings of the analysis, it may be seen that, uncertain avoidance have a negative effect on internal audit while power distance, individualism and collectivizm have no effect on internal audit.</p> ]]> Kültürün İç Denetim Üzerindeki Etkisinin Muhasebe Meslek Mensupları Açısından Değerlendirilmesi (An Evaluation with Regard to Members of Accounting Professionals: The Effect of Culture on Internal Auditing) büşra tosunoğlu gül yeşi̇lçelebi̇ doi: 10.56578/jafas020105 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 73 10.56578/jafas020105 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020105 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020104 Independent auditing approving reliability of financial information revealed to those concerned in business which also known as accounting control or financial audit constitutes prominence for secure operation of capital markets and development of collaboration for healthy economic growth in globalizing world. Nowadays’ businesses should pay adequate attention to independent auditing due to getting aware of dependency of accurate and appropriate financial decisions plus gaining healthy financial structure to transparency of financial information. The aim of this study is to determine the role of Public Oversight Board in upgrading the reliability of independent auditing. On this direction, interviews are conducted with big four auditing companies as a qualitative research method and finding are evaluated respectively. 03-30-2016 <![CDATA[ <p>Independent auditing approving reliability of financial information revealed to those concerned in business which also known as accounting control or financial audit constitutes prominence for secure operation of capital markets and development of collaboration for healthy economic growth in globalizing world. Nowadays’ businesses should pay adequate attention to independent auditing due to getting aware of dependency of accurate and appropriate financial decisions plus gaining healthy financial structure to transparency of financial information. The aim of this study is to determine the role of Public Oversight Board in upgrading the reliability of independent auditing. On this direction, interviews are conducted with big four auditing companies as a qualitative research method and finding are evaluated respectively.</p> ]]> The Role of Public Oversight Authority on Reliability of Independent Auditing in Turkey (Türkiye’de Kamu Gözetimi Kurumunun Bağımsız Denetimin Güvenilirliği Üzerindeki Rolü) ülkü ergun seçkin gönen doi: 10.56578/jafas020104 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 53 10.56578/jafas020104 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020104 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020103 Accounting is the information system that measures business activity, processes the data into reports, and communicates the results to decision makers. Managerial accounting provides proper ways to understand the activities of companies particularly have manufacturing activities. It helps the managers and the owners of companies to get a better view of the financial data of the company. This paper aims to identify the managerial accounting techniques used in the manufacturing companies in Albania. In order to collect data, semi structured interviews have been done in major manufacturing companies in the main industrialized areas of Albania. The paper is divided into four chapters. First chapter presents an overview of some basics of managerial accounting. Following chapter discusses techniques of managerial accounting in decision making process that are subject in decision making process of manufacturing companies in Albania. In chapter three, the degree and level of awareness of managerial accounting techniques used by Albanian manufacturing companies are discussed. Last chapter focuses on conclusions and giving some suggestions on the use of managerial accounting techniques in Albania. 03-30-2016 <![CDATA[ <p><span>Accounting is the information system that measures business activity, processes the data into reports, and communicates the results to decision makers. Managerial accounting provides proper ways to understand the activities of companies particularly have manufacturing activities. It helps the managers and the owners of companies to get a better view of the financial data of the company. This paper aims to identify the managerial accounting techniques used in the manufacturing companies in Albania. In order to collect data, semi structured interviews have been done in major manufacturing companies in the main industrialized areas of Albania. The paper is divided into four chapters. First chapter presents an overview of some basics of managerial accounting. Following chapter discusses techniques of managerial accounting in decision making process that are subject in decision making process of manufacturing companies in Albania. In chapter three, the degree and level of awareness of managerial accounting techniques used by Albanian manufacturing companies are discussed. Last chapter focuses on conclusions and giving some suggestions on the use of managerial accounting techniques in Albania.</span></p> ]]> The Use of Managerial Accounting as a Tool for Decision Making By Manufacturing Companies in Albania mustafa üç erald kasa doi: 10.56578/jafas020103 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 44 10.56578/jafas020103 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020103 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020102 Two decades of financial scandals have seriously damaged the credibility of accountants as guardians of financial information. To repair this credibility, universities have been identified as crucial to the development of morally competent accountants for the future. In 2012, the Malaysian government joined this crusade through the release of a blueprint to revolutionize the Malaysian educational system. One of the key mandates of this blueprint is for Malaysian educational institutions to produce morally competent professionals. This study seeks to assess the progress of Malaysian universities in meeting this important mandate by evaluating the moral competencies of final-year accounting students enrolled at the International Islamic University Malaysia (IIUM). As IIUM is an islamic university, and all its final-year students are Muslims, an instrument was developed through a collaboration with Islamic accounting and Fiqh Muamalat scholars to measure the moral competencies of these students from a wholly Islamic perspective. Islam's two primary sources of guidance, The Noble Quran and Sunnah were relied upon to develop this instrument. The instrument called Muslim Accountant Moral Competency Test (MAMOC) contained ethical scenarios to measure nine qualities required for a morally competent Muslim accountant; 72 out of 90 enrolled final-year students were surveyed using MAMOC. The results of the survey revealed that according to IIUM's own grading system, the current crop of final-year accounting students were not morally competent enough to deal with the inevitable moral dilemmas they would face in the work place. The students were particularly weak regarding selecting an Islamically-appropriate place to work as well as in being diligent when discharging their accounting duties. On the bright side, the students showed a very clear understanding of the importance of being trustworthy and objective as professional accountants. The implications of these results is that at the moment, IIUM's accounting department is not meeting the government's mandate to produce morally competent professionals. The department has to re- examine its current curriculum as to it's ethics coverage, particularly regarding qualities that the students scored very low on. The department has as its stated mission the production of accounting graduates "who are professional competent and observe ethical norms in their conduct" (Bachelor of accounting programme description, n.d.). It must make sure it does all it can to fulfill this noble mission. 03-30-2016 <![CDATA[ <p><span>Two decades of financial scandals have seriously damaged the credibility of accountants as guardians of financial information. To repair this credibility, universities have been identified as crucial to the development of morally competent accountants for the future. In 2012, the Malaysian government joined this crusade through the release of a blueprint to revolutionize the Malaysian educational system. One of the key mandates of this blueprint is for Malaysian educational institutions to produce morally competent professionals. This study seeks to assess the progress of Malaysian universities in meeting this important mandate by evaluating the moral competencies of final-year accounting students enrolled at the International Islamic University Malaysia (IIUM). As IIUM is an islamic university, and all its final-year students are Muslims, an instrument was developed through a collaboration with Islamic accounting and Fiqh Muamalat scholars to measure the moral competencies of these students from a wholly Islamic perspective. Islam's two primary sources of guidance, The Noble Quran and Sunnah were relied upon to develop this instrument. The instrument called Muslim Accountant Moral Competency Test (MAMOC) contained ethical scenarios to measure nine qualities required for a morally competent Muslim accountant; 72 out of 90 enrolled final-year students were surveyed using MAMOC. The results of the survey revealed that according to IIUM's own grading system, the current crop of final-year accounting students were not morally competent enough to deal with the inevitable moral dilemmas they would face in the work place. The students were particularly weak regarding selecting an Islamically-appropriate place to work as well as in being diligent when discharging their accounting duties. On the bright side, the students showed a very clear understanding of the importance of being trustworthy and objective as professional accountants. The implications of these results is that at the moment, IIUM's accounting department is not meeting the government's mandate to produce morally competent professionals. The department has to re- examine its current curriculum as to it's ethics coverage, particularly regarding qualities that the students scored very low on. The department has as its stated mission the production of accounting graduates "who are professional competent and observe ethical norms in their conduct" (Bachelor of accounting programme description, n.d.). It must make sure it does all it can to fulfill this noble mission.</span></p> ]]> Evaluating The Moral Competencies Of Malaysia's Future Accountants: A Case Study Of International Islamic University Malaysia (IIUM) umaru zubairu suhaiza ismail fatima abdulhamid doi: 10.56578/jafas020102 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 14 10.56578/jafas020102 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020102 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020101 Despite the various studies covering outstanding issues on dividend payments and policies as well as their relevance to investors and price fluctuation within developed markets, similar studies are still scarce in the emerging markets. Moreover, very few studies only examined the influence of external factors on the dividend policy components. Thus, the current study aims at investigating the determinants of dividend payout among the Tunisian listed companies and particularly to inspect the influence of the Jasmine revolution on firms’ dividend policies. In line with this objective, the study employs panel data models using pooled data from the companies listed on the Tunisian Stock Exchange from 2003 through 2012. This specific study period has been selected because it includes the Arab uprisings events which started in Tunisia at the end of 2010. The findings indicated that net cash flow and market to book value have significant influence on the dividend payout, while the Jasmine revolution had no significant impact on the dividend payout among the Tunisian listed companies. The study extends the literature on the dividend policy towards a new context which is that of Tunisia. Furthermore, the study also enriches the literature by considering an important political and social event, which is the Jasmine revolution. The latter had major political, social and economic repercussions, not only in the Arab region but also on the global scale. Hence, the study provides insights on the possible influence of similar events on the dividend policy and the other factors that may influence its dynamics. This would also assist policy makers, regulators, as well as investors in elaborating strategies and policies for an optimal use of the dividend policy tools. 03-30-2016 <![CDATA[ <p><span>Despite the various studies covering outstanding issues on dividend payments and policies as well as their relevance to investors and price fluctuation within developed markets, similar studies are still scarce in the emerging markets. Moreover, very few studies only examined the influence of external factors on the dividend policy components. Thus, the current study aims at investigating the determinants of dividend payout among the Tunisian listed companies and particularly to inspect the influence of the Jasmine revolution on firms’ dividend policies. In line with this objective, the study employs panel data models using pooled data from the companies listed on the Tunisian Stock Exchange from 2003 through 2012. This specific study period has been selected because it includes the Arab uprisings events which started in Tunisia at the end of 2010. The findings indicated that net cash flow and market to book value have significant influence on the dividend payout, while the Jasmine revolution had no significant impact on the dividend payout among the Tunisian listed companies. The study extends the literature on the dividend policy towards a new context which is that of Tunisia. Furthermore, the study also enriches the literature by considering an important political and social event, which is the Jasmine revolution. The latter had major political, social and economic repercussions, not only in the Arab region but also on the global scale. Hence, the study provides insights on the possible influence of similar events on the dividend policy and the other factors that may influence its dynamics. This would also assist policy makers, regulators, as well as investors in elaborating strategies and policies for an optimal use of the dividend policy tools.</span></p> ]]> Determinants of Dividend Payout Ratios In Tunusia: Insights In Light of The Jasmine Revolution abdelghani echchabi dhekra azouzi doi: 10.56578/jafas020101 Journal of Accounting, Finance and Auditing Studies 03-30-2016 Journal of Accounting, Finance and Auditing Studies 03-30-2016 2016 2 1 Article 1 10.56578/jafas020101 https://www.acadlore.com/article/JAFAS/2016_2_1/jafas020101 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010408 Today in the finance literature, structural capital is one of the three elements of intellectual capital and the Quality Management System is defined in the structural capital. In this study the impact levels of Quality Management System on the intellectual capital of the companies are analyzed. In this context, 10 companies which are quoted as date 09.14.2014 in the Istanbul Stock Exchange “construction & public works” sector are analyzed. As a result, the inference that investors of the companies are sensitive to practice of Quality Management System may be concluded. 12-30-2015 <![CDATA[ <p>Today in the finance literature, structural capital is one of the three elements of intellectual capital and the Quality Management System is defined in the structural capital. In this study the impact levels of Quality Management System on the intellectual capital of the companies are analyzed. In this context, 10 companies which are quoted as date 09.14.2014 in the Istanbul Stock Exchange “construction & public works” sector are analyzed. As a result, the inference that investors of the companies are sensitive to practice of Quality Management System may be concluded.</p> ]]> Financial Effect of Quality Management System on Intellectual Capital: An Analysis Application on Firms that Quoted to Construction And Public Works Sector in Istanbul Stock Exchange osman turgut fatih burak gümüş doi: 10.56578/jafas010408 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 147 10.56578/jafas010408 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010408 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010407 In recent years, fraudulent financial reporting scandals have abused the stake holders’ confidence to company managements. The existence of well- designed internal control system is very important in terms of the success of the business strategies and reliable financial reports. Reliability of financial reporting, effectiveness and efficiency of business operations, regulatory and other regulations compliance creates the objectives of internal control. In this context, the main objective of the study is to identify the problems and current situation regarding this issue by examining the approach of internal control systems of the SMEs especially which operating in the industrial field. According to the main findings which obtained in this connection, the majority of firms are aware of the benefits of internal control systems whether or not they have well-designed internal control system. Also, the significant relationships between SMEs’ current internal structure and attitudes of SMEs on internal control were found. Although internal control is a system which is designed and sustained by the participation of all managers and other personnel in an organisation, it is seen that responsibility about this subject is given only one department such as accounting-finance. On the other hand, according to the survey it is also observed that most of SME managers are used concepts of internal control and internal audit interchangeably despite being different from each other. 12-30-2015 <![CDATA[ <p><span>In recent years, fraudulent financial reporting scandals have abused the stake holders’ confidence to company managements. The existence of well- designed internal control system is very important in terms of the success of the business strategies and reliable financial reports. Reliability of financial reporting, effectiveness and efficiency of business operations, regulatory and other regulations compliance creates the objectives of internal control. In this context, the main objective of the study is to identify the problems and current situation regarding this issue by examining the approach of internal control systems of the SMEs especially which operating in the industrial field. According to the main findings which obtained in this connection, the majority of firms are aware of the benefits of internal control systems whether or not they have well-designed internal control system. Also, the significant relationships between SMEs’ current internal structure and attitudes of SMEs on internal control were found. Although internal control is a system which is designed and sustained by the participation of all managers and other personnel in an organisation, it is seen that responsibility about this subject is given only one department such as accounting-finance. On the other hand, according to the survey it is also observed that most of SME managers are used concepts of internal control and internal audit interchangeably despite being different from each other.</span></p> ]]> KOBİ’lerde İç Kontrol Sisteminin Değerlendirilmesi ve Kayseri’deki İmalat Sanayi İşletmeleri Üzerine Bir Araştırma (Evaluating the Internal Control System in SMEs and A Study of the Manufacturing Industry in Kayseri) ahmet tanç adil özhan doi: 10.56578/jafas010407 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 128 10.56578/jafas010407 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010407 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010406 Today, tourism sector makes a significant contribution to gross national product and employment by growing rapidly. In spite of rapid growth, the number of the hotels that pass into other hands in the sector indicates the fact that there are some problems in the sector. One of the issues that should be discussed in solution of these problems is internal control systems. The importance of accounting systems cannot be ignored in the formation of effective internal systems. From this point of view, in this study, a company's accounting system that operates in accommodation business has been analyzed in the terms of objective organization, staff, software- hardware, reports and external factors in the context of forming an effective internal control system. The current state was compared with the information in the literature and the existence of various problems was determined. Suggestions have been made for the solution. 12-30-2015 <![CDATA[ <p><span>Today, tourism sector makes a significant contribution to gross national product and employment by growing rapidly. In spite of rapid growth, the number of the hotels that pass into other hands in the sector indicates the fact that there are some problems in the sector. One of the issues that should be discussed in solution of these problems is internal control systems. The importance of accounting systems cannot be ignored in the formation of effective internal systems. From this point of view, in this study, a company's accounting system that operates in accommodation business has been analyzed in the terms of objective organization, staff, software- hardware, reports and external factors in the context of forming an effective internal control system. The current state was compared with the information in the literature and the existence of various problems was determined. Suggestions have been made for the solution.</span></p> ]]> Konaklama İşletmelerinde Etkin Bir İç Kontrol Sisteminin Tesisi Bağlamında Muhasebe Sistem Organizasyonu: Bir Vaka Analizi (Accounting System Organization in Accommodation Sector in Context of Effective Internal Control: A Case Analysis) ahmet aktürk doi: 10.56578/jafas010406 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 108 10.56578/jafas010406 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010406 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010405 In this competitive environment where economy has been witnessing profound changes for the last couple of years, numerous companies have been forced to operate in different geographical areas and in various lines of work. In this period during which the segment information has proved to be very critical, the need for accounting standards has become much more evident. Based on the Operating Segments Standard, this study aims to review the segment reporting procedures of the companies that are traded on Borsa Istanbul and identify the factors affecting the disclosure of segment information. The disclosure level of the segment information is analyzed by means of the disclosure index formed under the items subject to compulsory disclosure in the Turkish Financial Reporting Standards-8. It has been revealed that nearly 29% of the companies registered in the BIST All Shares have carried out segment reporting procedures. By making use of the multiple linear regression model, this study seeks to identify the characteristics of the companies which disclosed their level of segment information. Being statistically significant, this model has suggested that there is a significant positive correlation between the disclosure level of segment information and the firm size and leverage ratio. 12-30-2015 <![CDATA[ <p>In this competitive environment where economy has been witnessing profound changes for the last couple of years, numerous companies have been forced to operate in different geographical areas and in various lines of work. In this period during which the segment information has proved to be very critical, the need for accounting standards has become much more evident. Based on the Operating Segments Standard, this study aims to review the segment reporting procedures of the companies that are traded on Borsa Istanbul and identify the factors affecting the disclosure of segment information. The disclosure level of the segment information is analyzed by means of the disclosure index formed under the items subject to compulsory disclosure in the Turkish Financial Reporting Standards-8. It has been revealed that nearly 29% of the companies registered in the BIST All Shares have carried out segment reporting procedures. By making use of the multiple linear regression model, this study seeks to identify the characteristics of the companies which disclosed their level of segment information. Being statistically significant, this model has suggested that there is a significant positive correlation between the disclosure level of segment information and the firm size and leverage ratio.</p> ]]> Disclosure of Segment Information in Accordance with the Operating Segment Standard: The Case of Borsa Istanbul emin zeyti̇noğlu doi: 10.56578/jafas010405 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 81 10.56578/jafas010405 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010405 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010404 With the coming into force of TFRS 13 Fair Value Measurement Standard, the inputs which firms use for determination of fair value measurement are classified into three levels and hierarchy of determination of fair value is constituted. This standard requires increasing level 1 inputs and decreasing level 3 inputs in determination of fair value.With this study fair value measurement levels (hierarchy) which are used in determination of fair value are described within the scope of TFRS 13 Fair Value Measurement Standard. Additionally, for determining which level of inputs are used in the fair value determination by the firms traded on the Istanbul Stock Exchange an inventory study is done. For the purpose of the study, financial statement disclosures of 145 firms which are listed on the Istanbul Stock Exchange and classified under the heading of "financial institutions" sector are subjected to content analysis. Content analysis showed that majority of the firms use level 1 input in determination of fair value. 12-30-2015 <![CDATA[ <p>With the coming into force of TFRS 13 Fair Value Measurement Standard, the inputs which firms use for determination of fair value measurement are classified into three levels and hierarchy of determination of fair value is constituted. This standard requires increasing level 1 inputs and decreasing level 3 inputs in determination of fair value.</p><p>With this study fair value measurement levels (hierarchy) which are used in determination of fair value are described within the scope of TFRS 13 Fair Value Measurement Standard. Additionally, for determining which level of inputs are used in the fair value determination by the firms traded on the Istanbul Stock Exchange an inventory study is done. For the purpose of the study, financial statement disclosures of 145 firms which are listed on the Istanbul Stock Exchange and classified under the heading of "financial institutions" sector are subjected to content analysis. Content analysis showed that majority of the firms use level 1 input in determination of fair value.</p> ]]> A Research on Determination of Input Levels Used In Fair Value Measurement Hierarchy By Firms Listed in Borsa Istanbul ahmet gökgöz fatih şentürk doi: 10.56578/jafas010404 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 67 10.56578/jafas010404 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010404 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010403 In our study, we investigated whether the department, grade and having taken accounting ethics courses affect the ethical decisonmaking of first grade and fourth grade students attending Business Administration and Public Finance departments of Akdeniz University. According to our findings, which are in conformity with other studies, women have a stronger ethical judgement, business administration students have more flexible ethical values and the students that have already taken accounting ethics courses have stronger ethical values. Considering the findings of this work and otherstudies, we conclude that it may be helpful if the students were given accounting ethics courses. 12-30-2015 <![CDATA[ <p>In our study, we investigated whether the department, grade<span> </span>and having taken accounting ethics courses affect the ethical<span> </span>decisonmaking<span> </span>of<span> </span>first<span> </span>grade<span> </span>and<span> </span>fourth<span> </span>grade<span> </span>students<span> </span>attending<span> </span>Business<span> </span>Administration<span> </span>and<span> </span>Public<span> </span>Finance<span> </span>departments of Akdeniz University. According to our findings,<span> </span>which<span> </span>are<span> </span>in<span> </span>conformity<span> </span>with<span> </span>other<span> </span>studies,<span> </span>women<span> </span>have<span> </span>a<span> </span>stronger ethical judgement, business administration students<span> </span>have more flexible ethical values and the students that have<span> </span>already taken accounting ethics courses have stronger ethical<span> </span>values. Considering the findings of this work and otherstudies,<span> </span>we conclude that it may be helpful if the students were given<span> </span>accounting<span> </span>ethics<span> </span>courses.</p> ]]> Muhasebe Dersi Alan Öğrencilerin Etik Karar Alma Sürecini Etkileyen Faktörler Üzerine Bir Araştırma(A Research About The Factors That Affect The Ethical Decision Process Of The Students Taking Accounting) ayça akyatan filiz angay kutluk doi: 10.56578/jafas010403 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 42 10.56578/jafas010403 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010403 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010402 Burnout syndrome, as a frequently encountered disorder in today's world, has many negative consequences like emotional exhaustion, desensitization and personal failure. To better cope with the burnout, underlying reasons has to be well-defined both for individuals and for different occupational groups. The study presented here, aiming to assess the burnout levels of accounting professionals, and identify the factors that play role in the course of their burnout, has been carried out in 225 individual accountants that serve in the city of Gaziantep. The study revealed that, for accountants who participated in the survey, main parameters of burnout including emotional exhaustion, desensitization and personal failure scored (2.87), (2.37) and (2.31), respectively, according to 5-point Likert scale. Among reasons of burnout, while a statement of "I think I am working too much at the office" reached to highest average score (3.58), "Since I am in this business, I have been ignorant of people" received the lowest score in average (2.21). In conclusion, according to the findings of the study, it has been concluded that burnout levels of accounting professionals is not high. 12-30-2015 <![CDATA[ <p><span>Burnout syndrome, as a frequently encountered disorder in today's world, has many negative consequences like emotional exhaustion, desensitization and personal failure. To better cope with the burnout, underlying reasons has to be well-defined both for individuals and for different occupational groups. The study presented here, aiming to assess the burnout levels of accounting professionals, and identify the factors that play role in the course of their burnout, has been carried out in 225 individual accountants that serve in the city of Gaziantep. The study revealed that, for accountants who participated in the survey, main parameters of burnout including emotional exhaustion, desensitization and personal failure scored (2.87), (2.37) and (2.31), respectively, according to 5-point Likert scale. Among reasons of burnout, while a statement of "I think I am working too much at the office" reached to highest average score (3.58), "Since I am in this business, I have been ignorant of people" received the lowest score in average (2.21). In conclusion, according to the findings of the study, it has been concluded that burnout levels of accounting professionals is not high.</span></p> ]]> Muhasebe Meslek Mensuplarının Tükenmişliğine Etki Eden Faktörler: Gaziantep İlinde Bir Alan Araştırması (Factors that Effect to Burnout Levels of the Accounting Professionals: An Area Research in the City of Gaziantep) fatih özkan cenk aksoy doi: 10.56578/jafas010402 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 23 10.56578/jafas010402 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010402 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010401 Ekonomik ilişkilerin her geçen gün daha da karmaşık bir hal aldığı günümüz dünyasında muhasebe uygulamaları aynı zamanda eğitim ve öğretim boyutu ile de birçok bilimsel çalışma ve toplantılarda ele alınan önemli bir konu haline gelmiştir. Tamamen kendine özgü mantığı olan muhasebe dersinin istenilen düzeyde öğretilebilmesi başlı başına sistematik bir eğitim ve öğretim süreci gerektirmektedir. Sürecin sonunda; elde edilen çıktıyı değerlendirebilmek için yapılacak ölçme değerlendirme teknikleri; sınav, sözlü, ödev, proje, uygulama, seminer vb yöntemlerden oluşur. Bu bağlamda cevaplandırılması gereken en önemli soru; “değerlendirme anlamında en iyi sonucu hangi yöntem verir?” olacaktır. Bu soru, muhasebe eğitimcilerini olduğu kadar eğitim bilimcilerini de ilgilendirir. Elbette ki bu soruya verilecek tek bir net cevap yoktur. Eğitim metot ve sürecinin nasıl olduğu, hangi yöntemlerin nasıl kullanıldığı ve uygulandığına bağlı olarak ölçme ve değerlendirme yöntemi de farklılıklar gösterebilir. Bu çalışmada “muhasebe eğitiminde ölçme ve değerlendirme” incelenmekte, literatürde yer alan araştırmalar ışığında kuramsal olarak tartışılmaktadır.Economic relations more and more complicated in today's world, accounting applications received at the same time at education and training, has become a major issue discussed in lots of scientific work and with the size of the meetings. Completely unique logic of accounting courses that require a systematic education and training process in itself can be taught at the desired level. At the end of the process; assessment techniques will be to evaluate the resulting output; exams,oral, homework, project, application, consisting of seminars or other methods. In this context, the most important question which must be answered will be “Which method gives the best result in the terms of evaluaiton?”. This question concerns not only accounting educators but also pedagogs. Of course there is not just one answer for this question. It may be differs from that type of education method and process, how to use which methods and measurement and evaluation methods depending on implemented. In this study “measurement and evaluation in accounting education” is analysed, and included prominent opinions in the light of researchs which located in literatüre. 12-30-2015 <![CDATA[ <p>Ekonomik ilişkilerin her geçen gün daha da karmaşık bir hal aldığı günümüz dünyasında muhasebe uygulamaları aynı zamanda eğitim ve öğretim boyutu ile de birçok bilimsel çalışma ve toplantılarda ele alınan önemli bir konu haline gelmiştir. Tamamen kendine özgü mantığı olan muhasebe dersinin istenilen düzeyde öğretilebilmesi başlı başına sistematik bir eğitim ve öğretim süreci gerektirmektedir. Sürecin sonunda; elde edilen çıktıyı değerlendirebilmek için yapılacak ölçme değerlendirme teknikleri; sınav, sözlü, ödev, proje, uygulama, seminer vb yöntemlerden oluşur. Bu bağlamda cevaplandırılması gereken en önemli soru; “değerlendirme anlamında en iyi sonucu hangi yöntem verir?” olacaktır. Bu soru, muhasebe eğitimcilerini olduğu kadar eğitim bilimcilerini de ilgilendirir. Elbette ki bu soruya verilecek tek bir net cevap yoktur. Eğitim metot ve sürecinin nasıl olduğu, hangi yöntemlerin nasıl kullanıldığı ve uygulandığına bağlı olarak ölçme ve değerlendirme yöntemi de farklılıklar gösterebilir. Bu çalışmada “muhasebe eğitiminde ölçme ve değerlendirme” incelenmekte, literatürde yer alan araştırmalar ışığında kuramsal olarak tartışılmaktadır.</p><p><span>Economic relations more and more complicated in today's world, accounting applications received at the same time at education and training, has become a major issue discussed in lots of scientific work and with the size of the meetings. Completely unique logic of accounting courses that require a systematic education and training process in itself can be taught at the desired level. At the end of the process; assessment techniques will be to evaluate the resulting output; exams,oral, homework, project, application, consisting of seminars or other methods. In this context, the most important question which must be answered will be “Which method gives the best result in the terms of evaluaiton?”. This question concerns not only accounting educators but also pedagogs. Of course there is not just one answer for this question. It may be differs from that type of education method and process, how to use which methods and measurement and evaluation methods depending on implemented. In this study “measurement and evaluation in accounting education” is analysed, and included prominent opinions in the light of researchs which located in literatüre.</span></p> ]]> Muhasebe Eğitiminde “Alternatif Ölçme ve Değerlendirme Yöntemleri” Üzerine Görüşler (Opinions About "Alternative Methods of Evaluation and Quantification" in Accounting Education) hüseyin ali kutlu seyhan öztürk doi: 10.56578/jafas010401 Journal of Accounting, Finance and Auditing Studies 12-30-2015 Journal of Accounting, Finance and Auditing Studies 12-30-2015 2015 1 4 Article 1 10.56578/jafas010401 https://www.acadlore.com/article/JAFAS/2015_1_4/jafas010401 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010309 Scientific researches subject environmental issues are increasing in accounting field as well as other fields. Nowadays, environmental element is not just input for production but also it becomes a topic which needs to be taken as a cost element and it must be protected continuously before production, after production and in production process itself. Hence, it’s a requirement of social responsibility concept in the accounting that physical, financial and cost dimensions of environmental changes occurring because of the business operations need to be determined, measured and reported to relevants by observing in the accounting system. Spreading this environmentally sensitive approach in every layer of society would be an encouraging factor for companies to study in environmental accounting applications. In this study, a content analysis is applied to articles in enviromental fields published in Turkey between 2006- 2014. (Çevreyi konu edinen bilimsel çalışmalar diğer alanlarda olduğu gibi muhasebe alanında da giderek artmaktadır. Günümüzde çevre unsuru, sadece üretime girdi veren bir üretim faktörü olmaktan çıkmış, bunun yerine üretim öncesi, süreci ve sonrasında sürekli korunması ve bir maliyet unsuru olarak dikkate alınması gereken konu haline gelmiştir. Dolayısıyla işletmelerin faaliyetleri neticesinde oluşan çevresel değişimlerin fiziksel, finansal ve maliyet boyutlarının tespit edilmesi, ölçülmesi, muhasebe sistemi içerisinde izlenerek ilgililere raporlanması muhasebenin sosyal sorumluluk kavramının da gereğidir. Çevreye duyarlı bu yaklaşımın toplumun her katmanına yayılması, işletmelerin çevresel muhasebe uygulamalarına yönelik çalışmalar yapmasında teşvik edici bir unsur olacaktır. Bu çalışmada Türkiye’de çevre alanında 2006-2014 yılları arasında yayınlanan makaleler, içerik analizi yönüyle incelenmiş ve değerlendirilmiştir.) 09-29-2015 <![CDATA[ <p><span>Scientific researches subject environmental issues are increasing in accounting field as well as other fields. Nowadays, environmental element is not just input for production but also it becomes a topic which needs to be taken as a cost element and it must be protected continuously before production, after production and in production process itself. Hence, it’s a requirement of social responsibility concept in the accounting that physical, financial and cost dimensions of environmental changes occurring because of the business operations need to be determined, measured and reported to relevants by observing in the accounting system. Spreading this environmentally sensitive approach in every layer of society would be an encouraging factor for companies to study in environmental accounting applications. In this study, a content analysis is applied to articles in enviromental fields published in Turkey between 2006- 2014. (Çevreyi konu edinen bilimsel çalışmalar diğer alanlarda olduğu gibi muhasebe alanında da giderek artmaktadır. Günümüzde çevre unsuru, sadece üretime girdi veren bir üretim faktörü olmaktan çıkmış, bunun yerine üretim öncesi, süreci ve sonrasında sürekli korunması ve bir maliyet unsuru olarak dikkate alınması gereken konu haline gelmiştir. Dolayısıyla işletmelerin faaliyetleri neticesinde oluşan çevresel değişimlerin fiziksel, finansal ve maliyet boyutlarının tespit edilmesi, ölçülmesi, muhasebe sistemi içerisinde izlenerek ilgililere raporlanması muhasebenin sosyal sorumluluk kavramının da gereğidir. Çevreye duyarlı bu yaklaşımın toplumun her katmanına yayılması, işletmelerin çevresel muhasebe uygulamalarına yönelik çalışmalar yapmasında teşvik edici bir unsur olacaktır. Bu çalışmada Türkiye’de çevre alanında 2006-2014 yılları arasında yayınlanan makaleler, içerik analizi yönüyle incelenmiş ve değerlendirilmiştir.)</span></p> ]]> Türkiye’deki Akademik Dergilerde Çevre Muhasebesi Alanında 2006–2014 Yılları Arasında Yayınlanmış Bilimsel Makalelerin İçerik Analizi (A Content Analysis of the Articles Subject Environmental Accounting Field Published in Academic Journals in Turkey Between 2006–2014) fatih şentürk hakkı findik doi: 10.56578/jafas010309 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 173 10.56578/jafas010309 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010309 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010308 In audit firms, the auditing activities, operating periods and hourly rates of the auditors differ as regards to their status. Under normal circumstances, task planning in auditing is made by taking the professional judgment of a responsible auditor into account besides the qualitative characteristics of the auditors. However, it can also be made by means of a mathematical model assuming that auditors with the same title have similar characteristics. By this way, labor costs are minimized. In this context, the aim of this study is to make a task planning by assigning auditors to auditing activities through a linear programming model in a way to minimize the costs. Linear programming model is one of the methods used in solving optimization problems. The model which is set with various assumptions has been analysed through WINQSB packaged software called “Linear and Integer Programming”. As a result of the modelling study, the number of hours and the kind of auditing activity in which the auditors are supposed to carry out have been specified and thus the most optimum cost has been found out. 09-29-2015 <![CDATA[ <p><span>In audit firms, the auditing activities, operating periods and hourly rates of the auditors differ as regards to their status. Under normal circumstances, task planning in auditing is made by taking the professional judgment of a responsible auditor into account besides the qualitative characteristics of the auditors. However, it can also be made by means of a mathematical model assuming that auditors with the same title have similar characteristics. By this way, labor costs are minimized. In this context, the aim of this study is to make a task planning by assigning auditors to auditing activities through a linear programming model in a way to minimize the costs. Linear programming model is one of the methods used in solving optimization problems. The model which is set with various assumptions has been analysed through WINQSB packaged software called “Linear and Integer Programming”. As a result of the modelling study, the number of hours and the kind of auditing activity in which the auditors are supposed to carry out have been specified and thus the most optimum cost has been found out.</span></p> ]]> The Use of Linear Programming in Audit Task Planning süleyman uyar esin yelgen doi: 10.56578/jafas010308 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 154 10.56578/jafas010308 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010308 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010307 Kurumsal sosyal sorumluluk (KSS) kavramı günümüzde bütün dünyada uygulanan, üzerinde tartışılan bir kavram olarak karşımıza çıkmaktadır. KSS, işletmelerin paydaşlarına yönelik bazı sorumlulukları olduğunu kabul etmesi ve bu sorumluluklarını paydaşları için yerine getirmesini sağlamaya yönelik bir kavram haline gelmiştir. Muhasebenin işletmelerin KSS faaliyetlerinin gerçekleştirilmesinde önemli araçlardan biri olduğu kabul edilmektedir. Çalışmada muhasebe ve KSS arasındaki ilişki ortaya konulmaya çalışılmıştır. Bu amaçla Akhisar'daki muhasebe meslek mensuplarının hizmet verdikleri işletmeleri ve işletmelerin muhasebe bilgilerini KSS açısından değerlendirmeleri istenmiştir. Çalışmada anket yöntemiyle elde edilen veriler istatistiksel paket programı yardımıyla analiz edilmiştir. Analiz bulguları değerlendirilerek sonuçlar ve öneriler geliştirilmiştir. 09-29-2015 <![CDATA[ <p><span style="font-family: Cambria, serif">Kurumsal</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">sosyal</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">sorumluluk</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">(KSS)</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">kavramı</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">günümüzde</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bütün</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">dünyada</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">uygulanan,</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">üzerinde</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">tartışılan</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bir</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">kavram</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">olarak</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">karşımıza</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">çıkmaktadır.</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">KSS,</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">işletmelerin</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">paydaşlarına</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">yönelik</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bazı</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">sorumlulukları</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">olduğunu</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">kabul</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">etmesi</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">ve</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bu</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">sorumluluklarını</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">paydaşları</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">için</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">yerine</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">getirmesini</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">sağlamaya</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">yönelik</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bir</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">kavram</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">haline</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">gelmiştir.</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">Muhasebenin</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">işletmelerin</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">KSS</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">faaliyetlerinin</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">gerçekleştirilmesinde</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">önemli</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">araçlardan</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">biri</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">olduğu</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">kabul</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">edilmektedir.</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">Çalışmada</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">muhasebe</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">ve</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">KSS</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">arasındaki</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">ilişki</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">ortaya</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">konulmaya</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">çalışılmıştır.</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">Bu</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">amaçla</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">Akhisar'daki</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">muhasebe</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">meslek</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">mensuplarının</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">hizmet</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">verdikleri</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">işletmeleri</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">ve</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">işletmelerin</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">muhasebe</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bilgilerini</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">KSS</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">açısından</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">değerlendirmeleri</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">istenmiştir.</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">Çalışmada</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">anket</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">yöntemiyle</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">elde</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">edilen</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">veriler</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">istatistiksel</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">paket</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">programı</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">yardımıyla</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">analiz</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">edilmiştir.</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">Analiz</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">bulguları</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">değerlendirilerek</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">sonuçlar</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">ve</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">öneriler</span><span style="font-family: Times New Roman, serif"> </span><span style="font-family: Cambria, serif">geliştirilmiştir.</span></p> ]]> Muhasebe Meslek Mensuplarının Bakış Açılarından Kurumsal Sosyal Sorumluluk Muhasebe İlişkisi (The Relationship Between Corporate Social Responsibility And Accounting With The Perspective Of Professional Accountants) çağrı köroğlu hüseyin önlem ersöz doi: 10.56578/jafas010307 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 123 10.56578/jafas010307 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010307 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010306 Uluslararası ticarette iki konu büyük öneme sahiptir. Birincisi dış ticarete konu olan malın teslim edilme şekli, ikincisi ise dış ticarete konu olan malın bedelinin ödenme şeklidir. Dış ticarette kullanılan teslim şekillerine göre alıcı ve satıcının sorumluluklarının başlama ve bitiş zamanları değişmektedir. Yine dış ticarette kullanılan ödeme şekline göre, ticarete konu mal ve hizmetin ödeme zamanı değişmekte ve buna bağlı olarak vade farkı ortaya çıkabilmektedir. Dış ticarette kullanılan teslim ve ödeme şekli, işletmenin hasılatının oluşum zamanı ve tutarını etkilemektedir. Bu çalışmanın amacı dış ticarette kullanılan teslim ve ödeme şekillerini TMS 18 Hasılat Standardı çerçevesinde incelemek ve bu bağlamda dış ticaret işlemlerinin muhasebeleştirilmesini açıklamaktır. 09-29-2015 <![CDATA[ <p>Uluslararası ticarette iki konu büyük öneme sahiptir. Birincisi dış ticarete konu olan malın teslim edilme şekli, ikincisi ise dış ticarete konu olan malın bedelinin ödenme şeklidir. Dış ticarette kullanılan teslim şekillerine göre alıcı ve satıcının sorumluluklarının başlama ve bitiş zamanları değişmektedir. Yine dış ticarette kullanılan ödeme şekline göre, ticarete konu mal ve hizmetin ödeme zamanı değişmekte ve buna bağlı olarak vade farkı ortaya çıkabilmektedir. Dış ticarette kullanılan teslim ve ödeme şekli, işletmenin hasılatının oluşum zamanı ve tutarını etkilemektedir. Bu çalışmanın amacı dış ticarette kullanılan teslim ve ödeme şekillerini TMS 18 Hasılat Standardı çerçevesinde incelemek ve bu bağlamda dış ticaret işlemlerinin muhasebeleştirilmesini açıklamaktır.</p> ]]> Dış Ticarette Teslim ve Ödeme Şekillerinin TMS 18 Hasılat Standardı Çerçevesinde İncelenmesi (The Analysis of Delivery and Payment Types in Foreign Trade within the Frame of TAS 18 Revenue Standard) ahmet gökgöz hilal özdemi̇r doi: 10.56578/jafas010306 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 105 10.56578/jafas010306 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010306 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010305 The purpose of this study is determining differences at the beginning and end of semester perceptions of students who take first time accounting courses. The reason for doing the research is providing recommendations for enhancing success at accounting courses. The research was done first grade students of business administration and economics departments of Akdeniz University Faculty of Economics and Administrative Sciences. For getting the aim a survey is used two times at the beginning and end of period. With the consequences of 164 surveys evaluations, excluding some of the dimensions of accounting courses, the perceptions about accounting courses at the beginningaremorenegativethantheperceptionsattheendofperiod. 09-29-2015 <![CDATA[ <p><span>The purpose of this study is determining differences at the beginning and end of semester perceptions of students who take first time accounting courses. The reason for doing the research is providing recommendations for enhancing success at accounting courses. The research was done first grade students of business administration and economics departments of Akdeniz University Faculty of Economics and Administrative Sciences</span><strong><span>. </span></strong><span>For getting the aim a survey is used two times at the beginning and end of period. With the consequences of </span><span style="font-family: Cambria, serif">16</span>4 surveys evaluations, excluding some of the dimensions of accounting courses, the perceptions about accounting courses at the beginningaremorenegativethantheperceptionsattheendofperiod.</p> ]]> Lisans Öğrencilerinin Muhasebeye Giriş Dersine Yönelik Algılamalarının Belirlenmesi (Determination of Undergraduate Students' Perceptions for the Introduction of Accounting Courses) burcu demirel utku i̇brahim erol doi: 10.56578/jafas010305 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 91 10.56578/jafas010305 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010305 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010304 In this study; letter of credit as a payment term in foreign trade is aimed to be evaluated by analyzing the application. Hence; data obtained from a participating bank is examined after the literature review. The current applications of letter of credit at banks according to UCP 600 are examined in terms of country, confirmation, importing amount and maturity type due to the purpose mentioned above. 09-29-2015 <![CDATA[ <p>In this study; letter of credit as a payment term in foreign trade is aimed to be evaluated by analyzing the application. Hence; data obtained from a participating bank is examined after the literature review. The current applications of letter of credit at banks according to UCP 600 are examined in terms of country, confirmation, importing amount and maturity type due to the purpose mentioned above.</p> ]]> Dış Ticarette Akreditifli Ödemeler: UCP 600’e Göre Bankalarda Güncel Örnek Uygulamalar (Letter of Credits in Foreign Trade: Current Applications at Banks According to UCP 600) oğuzhan kodalak bayram topal ahmet selçuk dizkirici doi: 10.56578/jafas010304 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 68 10.56578/jafas010304 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010304 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010303 Exposing and preventing fraud has become important because of the corporation scandals in recent years. Hence, forensic accounting field has been discussed more in prevention of fraud and the role and responsibility of independent auditor in preventing fraud has been indicated clearly with SAS No 99 issued by American Institute of Certified Public Accountants (AICPA), ISA 240 issued by The International Federation of Accountants (IFAC) and Communique Serial: X, No:22 issued by Capital Market Board. In this paper, independent audit and forensic accounting are compared within some criteria that they are generated by, in terms of their roles in exposing fraud. According to the results of comparisons, there are significant differences between independent audit and forensic accounting with regards to the criteria such as purposes, hypothesize, implementation processes, information sources, materiality and sampling methods. 09-29-2015 <![CDATA[ <p>Exposing and preventing fraud has become important because of the corporation scandals in recent years. Hence, forensic accounting field has been discussed more in prevention of fraud and the role and responsibility of independent auditor in preventing fraud has been indicated clearly with SAS No 99 issued by American Institute of Certified Public Accountants (AICPA), ISA 240 issued by The International Federation of Accountants (IFAC) and Communique Serial: X, No:22 issued by Capital Market Board. In this paper, independent audit and forensic accounting are compared within some criteria that they are generated by, in terms of their roles in exposing fraud. According to the results of comparisons, there are significant differences between independent audit and forensic accounting with regards to the criteria such as purposes, hypothesize, implementation processes, information sources, materiality and sampling methods.</p> ]]> The Comparison of Independent Audit and Forensic Accounting in Terms of Exposing Fraud adnan dönmez kürşad çavuşoğlu doi: 10.56578/jafas010303 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 34 10.56578/jafas010303 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010303 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010302 Cultural differences play a decisive role in the accounting sub-culture properties. Therefore, the accounting practices and approaches show some differences from country to country. Prepared financial reports in diverse countries cannot be compared with each other due to these differences. In order to overcome this problem which is very important for users of financial statements, countries that especially acting in accordance with Europa Union norms have begun to reporting in accordance with international accounting and financial reporting standards. However, this transformation has not yet been completed due to the accounting sub-culture features in many underdeveloped and developing countries. In this context; in this study, by comparing the historical cost based approaches and the current cost based approaches that are proposed in the international accounting and financial reporting standards, switching to the current cost based approaches is discussed in a cultural perspective. 09-29-2015 <![CDATA[ <p>Cultural differences play a decisive role in the accounting sub-culture properties. Therefore, the accounting practices and approaches show some differences from country to country. Prepared financial reports in diverse countries cannot be compared with each other due to these differences. In order to overcome this problem which is very important for users of financial statements, countries that especially acting in accordance with Europa Union norms have begun to reporting in accordance with international accounting and financial reporting standards. However, this transformation has not yet been completed due to the accounting sub-culture features in many underdeveloped and developing countries. In this context; in this study, by comparing the historical cost based approaches and the current cost based approaches that are proposed in the international accounting and financial reporting standards, switching to the current cost based approaches is discussed in a cultural perspective.</p> ]]> A Cultural Assessment on Measurement Basis of Accounting erkan öztürk doi: 10.56578/jafas010302 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 17 10.56578/jafas010302 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010302 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010301 Amendments regarding Corporate Governance Codes of Stock Istanbul Corporates were published in the Governmantal Newspaper with the issue 28871 in 03 January 2014. According to legislation, companies are to operate within ethic standars section 3.5.1. that are publicized on their websites. In this work, 192 manufacturing companies web sites that belong to Istanbul Stock Exchange in 2014, are examined elaborately to understand whether they have written ethical codes according to their Corporate Governance Ethical Codes Reports in the year 2012. Moreover, content analysis is used in the research and some evaluations are done. According to main result of the study, it is identified that manufacturing companies in Istanbul Stock Exchange 0,44’of have complied with ethical codes on their web sites. 09-29-2015 <![CDATA[ <p><span>Amendments regarding Corporate Governance Codes of Stock Istanbul Corporates were published in the Governmantal Newspaper with the issue 28871 in 03 January 2014. According to legislation, companies are to operate within ethic standars section 3.5.1. that are publicized on their websites. In this work, 192 manufacturing companies web sites that belong to Istanbul Stock Exchange in 2014, are examined elaborately to understand whether they have written ethical codes according to their Corporate Governance Ethical Codes Reports in the year 2012. Moreover, content analysis is used in the research and some evaluations are done. According to main result of the study, it is identified that manufacturing companies in Istanbul Stock Exchange 0,44’of have complied with ethical codes on their web sites.</span></p> ]]> Ethical Codes Within Corporate Governance Practices: A Research on Companies Operating in ISE şükran güngör tanç doi: 10.56578/jafas010301 Journal of Accounting, Finance and Auditing Studies 09-29-2015 Journal of Accounting, Finance and Auditing Studies 09-29-2015 2015 1 3 Article 1 10.56578/jafas010301 https://www.acadlore.com/article/JAFAS/2015_1_3/jafas010301 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010206 Bank Payment Obligation (BPO), has been developed as a new payment method to enable the exporters to access to interntaional market under the leadership of Interbank Financial Telecommunication (SWIFT) that is a system which provides electronic fund transfer among the banks all around the world. International Chamber of Commerce (ICC) has supported this payment method by issuing Uniform Rules for Bank Payment Obligations (URBPO) in April 2013. The aim of this paper is to analyze familiarness of Bank Payment Obligation (BPO), as an example of innovation in international trade. 06-29-2015 <![CDATA[ <p>Bank Payment Obligation (BPO), has been developed as a new payment method to enable the exporters to access to interntaional market under the leadership of Interbank Financial Telecommunication (SWIFT) that is a system which provides electronic fund transfer among the banks all<span> </span>around<span> </span>the<span> </span>world.<span> </span>International<span> </span>Chamber<span> </span>of<span> </span>Commerce (ICC) has supported this payment method by issuing Uniform Rules for Bank Payment Obligations (URBPO) in April<span> </span>2013.<span> </span>The<span> </span>aim<span> </span>of<span> </span>this<span> </span>paper<span> </span>is<span> </span>to<span> </span>analyze<span> </span>familiarness of Bank Payment Obligation (BPO), as an example of innovation in international trade.</p> ]]> Bank Payment Obligation (BPO) As an Example of Innovation in International Finance nazire göleç doi: 10.56578/jafas010206 Journal of Accounting, Finance and Auditing Studies 06-29-2015 Journal of Accounting, Finance and Auditing Studies 06-29-2015 2015 1 2 Article 103 10.56578/jafas010206 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010206 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010205 The purposes of this study are; to find out the profiles of stock investors in Usak city, to determine the demographic and socio-economic factors which are affecting investors decision and to find out whether the investors behave rationally or not in their investment decisions. In order to get data for these purposes, the questionnaire is applied to stock investors. Then, obtained data were analyzed with one way anova test by using SPSS.18 statistical package program. According to results of the study; stock investors in Uşak have similar characteristics with the overall stock investors in Turkey. Investors in Uşak can’t behave rationally as they don’t have enough information on investment in stock exchange. Moreover, it is revealed that demographic and socio-economic factors such as age, gender, occupation, education level, family population and income, influenced the decisions of stock investment. It is suggested that the findings of the study may support policy makers to increase the quantity of investors and their trading volume through to take better decisions in Uşak which is not known as a major province about the issue. 06-29-2015 <![CDATA[ <p>The purposes of this study are; to find out the profiles of stock investors in Usak city, to determine the demographic and socio-economic factors which are affecting investors decision and to find out whether the investors behave rationally or not in their investment decisions. In order to get data for these purposes, the questionnaire is applied to stock investors. Then, obtained data were analyzed with one way anova test by using SPSS.18 statistical package program. According to results of the study; stock investors in Uşak have similar characteristics with the overall stock investors in Turkey. Investors in Uşak can’t behave rationally as they don’t have enough information on investment in stock exchange. Moreover, it is revealed that demographic and socio-economic factors such as age, gender, occupation, education level, family population and income, influenced the decisions of stock investment. It is suggested that the findings of the study may support policy makers to increase the quantity of investors and their trading volume through to take better decisions in Uşak which is not known as a major province about the issue.</p> ]]> Uşak İlindeki Hisse Senedi Yatırımcılarının Profili ve Yatırım Kararlarını Etkileyen Demografik ve Sosyo-Ekonomik Faktörlerin Analizi (The Profile of Stock Investors in Uşak and Analysis of Demographic and Socio- Economic Factors Affecting Investment Decisions) eser yeşildağ ercan özen doi: 10.56578/jafas010205 Journal of Accounting, Finance and Auditing Studies 06-29-2015 Journal of Accounting, Finance and Auditing Studies 06-29-2015 2015 1 2 Article 78 10.56578/jafas010205 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010205 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010204 In order to compare the performances of the banks listed on Istanbul Stock Exchange Banks Index; efficiency values of the banks selected from the mentioned index are calculated by Data Envelopment Analysis (DEA) based on their financial ratios for each year of 2010- 2013 period. The estimated efficiency rates are compared amongst themselves as a result of the analyses applied. Additionally; the efficiency changes of the banks in each term is calculated via Malmquist Index to determine the improvement or decline in the course of time. 06-29-2015 <![CDATA[ <p>In order to compare the performances of the banks listed on Istanbul Stock Exchange Banks Index; efficiency values of the banks selected from the mentioned index are calculated by Data Envelopment Analysis (DEA) based on their financial ratios for each year of 2010- 2013 period. The estimated efficiency rates are compared amongst themselves as a result of the analyses applied. Additionally; the efficiency changes of the banks in each term is calculated via Malmquist Index to determine the improvement or decline in the course of time.</p> ]]> Evaluating the Financial Performances of the Banks Listed on Istanbul Stock Exchange Banks Index by Data Envelopment Analysis and Malmquist Index (Borsa İstanbul Banka Endeksine Kote İşletmelerin Finansal Performanslarının Veri Zarflama Analizi ve Malmquist Endeksine Göre Değerlendirilmesi) ahmet selçuk di̇zkirici ahmet gökgöz doi: 10.56578/jafas010204 Journal of Accounting, Finance and Auditing Studies 06-29-2015 Journal of Accounting, Finance and Auditing Studies 06-29-2015 2015 1 2 Article 62 10.56578/jafas010204 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010204 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010203 Information technology has made it necessary for accountants to acquire new certain skills such as utilizing and controlling the IT systems. In training standards for accountancy, it is specified that accountants should have key roles in the assessment, design and management of systems. The objective of this study is to reveal to what extent the students that are the prospective accounting professionals of the future utilize information technologies in their accounting class during their license study, and their opinions in this respect. In the study, a survey was applied to students attending the business administration license program at state universities in seven geographical regions of Turkey. 1000 questionnaires were randomly submitted to universities by post. 500 students responded. 464 questionnaires were found to be appropriate for analysis. The survey has revealed that the attending students believe in the strict necessity of employing projectors and accounting software in the accounting classes. The students suggest that mostly the presentation software and social networks are used in accounting classes as the technological class material. It was observed that, despite the high rate of ownership, students do not exploit technology to prepare for their accounting classes and exams. Students argue that teaching assistants delivering accounting lectures should keep up with new educational technologies, and students do not advocate the use of remote educational tools for the accounting classes. It was observed that students are uncertain about whether the use of technology enhances the success and interest in accounting classes, flourishes the student interest and eases understanding. 06-29-2015 <![CDATA[ <p>Information technology has made it necessary for accountants to acquire new certain skills such as utilizing and controlling the IT systems. In training standards for accountancy, it is specified that accountants should have key roles in the assessment, design and management of systems. The objective of this study is to reveal to what extent the students that are the prospective accounting professionals of the future utilize information technologies in their accounting class during their license study, and their opinions in this respect. In the study, a survey was applied to students attending the business administration license program at state universities in seven geographical regions of Turkey. 1000 questionnaires were randomly submitted to universities by post. 500 students responded. 464 questionnaires were found to be appropriate for analysis. The survey has revealed that the attending students believe in the strict necessity of employing projectors and accounting software in the accounting classes. The students suggest that mostly the presentation software and social networks are used in accounting classes as the technological class material. It was observed that, despite the high rate of ownership, students do not exploit technology to prepare for their accounting classes and exams. Students argue that teaching assistants delivering accounting lectures should keep up with new educational technologies, and students do not advocate the use of remote educational tools for the accounting classes. It was observed that students are uncertain about whether the use of technology enhances the success and interest in accounting classes, flourishes the student interest and eases understanding.</p> ]]> Muhasebe Derslerinde Teknoloji Kullanımı İle İlgili Öğrenci Görüşleri (The Opinion of Undergraduate Students on Technology Used in Accounting Classes) meral erol fidan ümmühan aslan şerife subaşı doi: 10.56578/jafas010203 Journal of Accounting, Finance and Auditing Studies 06-29-2015 Journal of Accounting, Finance and Auditing Studies 06-29-2015 2015 1 2 Article 34 10.56578/jafas010203 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010203 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010202 It is know that portfolio theory is accepted as keystone of finance. In this paper, Maki (2012) cointegration test that allow more than two structural breaks is used in order to analyze integration of Turkey and some OECD countries stock market. Moreover, Carrion-i Sylvestre (2009) unit root test that both allow more than two structural breaks and determine endogenously structural breaks is used in determining stationary level of series. As a result of this study, in the interval period from 1990 to 2013, investors can make portfolio diversification with investing Borsa İstanbul and only Netherland Stock Market according to achieved findings. Whereby, investors will be able to minimize their risks. 06-29-2015 <![CDATA[ <p>It is know that portfolio theory is accepted as keystone of finance.<span> </span>In<span> </span>this<span> </span>paper,<span> </span>Maki<span> </span>(2012)<span> </span>cointegration<span> </span>test<span> </span>that<span> allow </span>more than two structural breaks is used in order to analyze integration of Turkey and some OECD countries <span>stock </span>market. Moreover, Carrion-i Sylvestre (2009) unit root test that both allow more than two structural breaks and determine endogenously structural breaks is used in determining stationary<span> </span>level<span> </span>of<span> </span>series.<span> </span>As<span> </span>a<span> </span>result<span> </span>of<span> </span>this<span> </span>study,<span> </span>in<span> </span>the<span> </span>interval period from <span>1990 </span>to 2013, investors can make portfolio diversification with investing Borsa İstanbul and only Netherland Stock Market according to achieved findings. Whereby, investors will be able to minimize their<span> </span>risks.</p> ]]> Ülke Borsaları Arasında Portföy Çeşitlendirmesi: Türkiye ile Beş OECD Ülkesi Arasındaki İlişkinin Analizi (The Portfolio Diversification between Stock Exchanges: Analyzing Relationship between Turkey and Five OECD Countries) ayşe gül özeralp zeren filiz konuk feyyaz zeren doi: 10.56578/jafas010202 Journal of Accounting, Finance and Auditing Studies 06-29-2015 Journal of Accounting, Finance and Auditing Studies 06-29-2015 2015 1 2 Article 22 10.56578/jafas010202 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010202 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010201 The aim of this study is to explain accounting policies of lessor and lessee companies in financial leasing transactions. In this study, we provide a comprehensive literature review, as well as real life application obtained from an anonymous leasing company. For this purpose, financial leasing transactions examined according to TAS 17 and accounting records indicated for lessor and lessee companies. 06-29-2015 <![CDATA[ <p>The aim of this study is to explain accounting policies of lessor and lessee companies in financial leasing transactions. In this study, we provide a comprehensive literature review, as well as real life application obtained from an anonymous leasing company. For this purpose, financial leasing transactions examined according to TAS 17 and accounting records indicated for lessor and lessee companies.</p> ]]> Türkiye’de Finansal Kiralama İşlemleri ve Muhasebeleştirilmesi (Financial Leasing Transactions and Accounting in Turkey) hilmi kirlioğlu saadet öztaş doi: 10.56578/jafas010201 Journal of Accounting, Finance and Auditing Studies 06-29-2015 Journal of Accounting, Finance and Auditing Studies 06-29-2015 2015 1 2 Article 1 10.56578/jafas010201 https://www.acadlore.com/article/JAFAS/2015_1_2/jafas010201 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010105 Financial ratio analysis is a vital one since the profitability of an enterprise is directly affected by such decision. The successful selection and use of appropriate financial ratio is one of the key elements of the firm’s financial strategy. The purpose of this study is to perform ratio analysis on the selected 10 companies listed on Borsa Istanbul IT Index (BIST XBLSM) over the four years period from 2010-2013. These financial ratio analyses have huge potentials to help organizations in improving their revenue generation ability as well as minimization of costs. In these analyses 14 ratios have been used and we have an image about the companies’ liquidity, leverage, efficiency and profitability based on the ratios. As a result of the findings acquired, companies should be more concerned about increasing their current assets, it is preferable to control short term debts and head towards long term debts and the inventory turnover in days must be rearranged to meet more efficient and profitable ratios. 03-30-2015 <![CDATA[ <p>Financial ratio analysis is a vital one since the profitability of an enterprise is directly affected by such decision. The successful selection and use of appropriate financial ratio is one of the key elements of the firm’s financial strategy. The purpose of this study is to perform ratio analysis on the selected 10 companies listed on Borsa Istanbul IT Index (BIST XBLSM) over the four years period from 2010-2013. These financial ratio analyses have huge potentials to help organizations in improving their revenue generation ability as well as minimization of costs. In these analyses 14 ratios have been used and we have an image about the companies’ liquidity, leverage, efficiency and profitability based on the ratios. As a result of the findings acquired, companies should be more concerned about increasing their current assets, it is preferable to control short term debts and head towards long term debts and the inventory turnover in days must be rearranged to meet more efficient and profitable ratios.</p> ]]> Examining Firms Quoted In Borsa Istanbul IT Index Via Ratio Analysis (Borsa İstanbul Bilişim Endeksinde Faaliyet Gösteren İşletmelerin Finansal Performanslarının Oran Analizi İle İncelenmesi) hatem yaghi yakup kanbur doi: 10.56578/jafas010105 Journal of Accounting, Finance and Auditing Studies 03-30-2015 Journal of Accounting, Finance and Auditing Studies 03-30-2015 2015 1 1 Article 82 10.56578/jafas010105 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010105 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010104 In this study; the financial performances of the companies listed on Istanbul Stock Exchange Technology Index (XUTEK) are calculated via ratio analysis method by analyzing balance sheets and the components of the income statement tables related to 2011-2012- 2013 years. Firstly, the relevant companies are selected, financial ratios are determined and the related ratios of every single companies are calculated for each of the periods. Subsequently the calculated ratios are compared due to the years. According to analysis results; liquidity ratios of the related eleven companies which are operated in Istanbul Stock Exchange Technology Index are considered as sufficient for Turkish market. However; leverage ratios especially the share of short term liabilities from financial structure rates are too high. Generally, the conversion of stocks takes about 3-4 months while receivables are collected in two months. Besides profitability ratios of companies are not similar in the study. 03-30-2015 <![CDATA[ <p>In this study; the financial performances of the companies listed on Istanbul Stock Exchange Technology Index (XUTEK) are calculated via ratio analysis method by analyzing balance sheets and the components of the income statement tables related to 2011-2012- 2013 years. Firstly, the relevant companies are selected, financial ratios are determined and the related ratios of every single companies are calculated for each of the periods. Subsequently the calculated ratios are compared due to the years. According to analysis results; liquidity ratios of the related eleven companies which are operated in Istanbul Stock Exchange Technology Index are considered as sufficient for Turkish market. However; leverage ratios especially the share of short term liabilities from financial structure rates are too high. Generally, the conversion of stocks takes about 3-4 months while receivables are collected in two months. Besides profitability ratios of companies are not similar in the study.</p> ]]> Borsa İstanbul Teknoloji Endeksinde Faaliyet Gösteren İşletmelerin Finansal Performanslarının Değerlendirilmesi (Evaluating the Financial Performances of the Enterprises Operating in Istanbul Stock Exchange Technology Index) tuğba örs davut takil meltem altin doi: 10.56578/jafas010104 Journal of Accounting, Finance and Auditing Studies 03-30-2015 Journal of Accounting, Finance and Auditing Studies 03-30-2015 2015 1 1 Article 62 10.56578/jafas010104 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010104 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010103 Health enterprises suppling the human health are businesses intensive in terms of labor and technology. The health services requires manpower with different knowledge and skills. The basis of health providing services, is located in the physical and mental capacity of the service staff . In addition, labor costs, has the largest share of total expenses in a service business of health enterprices. Therefore, it is an important resource and cost factor to be well managed and controlled. Current and potential manpower, all resources, capacity and accurate planning of costs and managing - the start of a new search result with the inadequacy of traditional methods Time-Driven Activity-Based Costing (TDABC) was developed as a more reliable method. In this study, the cost of health services provided in a private hospital clinics, used and unused capacity is calculated by TDABC. TDABC providing significant contributions on cost, capacity, human resources planning and management to business management. 03-30-2015 <![CDATA[ <p><span>Health enterprises suppling the human health are businesses intensive in terms of labor and technology. The health services requires manpower with different knowledge and skills. The basis of health providing services, is located in the physical and mental capacity of the service staff . In addition, labor costs, has the largest share of total expenses in a service business of health enterprices. Therefore, it is an important resource and cost factor to be well managed and controlled. Current and potential manpower, all resources, capacity and accurate planning of costs and managing - the start of a new search result with the inadequacy of traditional methods Time-Driven Activity-Based Costing (TDABC) was developed as a more reliable method. In this study, the cost of health services provided in a private hospital clinics, used and unused capacity is calculated by TDABC. TDABC providing significant contributions on cost, capacity, human resources planning and management to business management.</span></p> ]]> Kliniklerin Kapasite Yönetiminde ve İnsan Gücü Planlamasında Zamana Dayalı Faaliyet Tabanlı Maliyetleme bedia atalay doi: 10.56578/jafas010103 Journal of Accounting, Finance and Auditing Studies 03-30-2015 Journal of Accounting, Finance and Auditing Studies 03-30-2015 2015 1 1 Article 40 10.56578/jafas010103 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010103 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010102 Falsifications made on financial tables which are the outputs of accounting decreases the confidence relied on the financial statements. Falsified financial reports emerged as a result of manipulation misguide or misdirect the financial statements’ users. In this study, it was researched whether 132 firms continuously operating in Manufacturing Industry sector at Istanbul Stock Exchange (BIST) between the years of 2010-2012 are drawn to manipulation in accounting. Beneish model is the most preferred model in literature as manipulation identifying model. In the study, logistic regression method was used and it was concluded that the rates as Working Capital/Total Assets(WC/TA), Working Capital/Sales(WC/Sales), Net Working Capital/Sales(NWC/Sales) and Natural Logarithm of Total Debts(NLTD) are effective in identifying the manipulation in accounting. (Muhasebenin çıktısı olan finansal tablolar üzerinde yapılan çarpıtmalar mali tablolara olan güveni azaltmaktadır. Manipülasyonlar sonucu ortaya çıkan hileli finansal raporlar, mali tablo kullanıcılarını yanıltmakta veya yanlış yönlendirmektedir. Bu çalışmada Borsa İstanbul’da (BIST) İmalat Sanayii sektöründe işlem gören 2010-2012 yılları arasında faaliyeti süreklilik gösteren 132 firmanın muhasebe manipülasyonu yapıp yapmadıkları araştırılmıştır. Manipülasyon tespit modeli olarak literatürde en fazla kullanılan Beneish modeli esas alınmıştır. Çalışmada lojistik regresyon yöntemi kullanılmış ve muhasebe manipülasyonunun tespitinde Çalışma Sermayesi/Toplam Aktif, Çalışma Sermayesi/Satışlar, Net Çalışma Sermayesi/Satışlar oranlarının ve Toplam Borçların Doğal Logaritmasının etkili olduğu sonucuna ulaşılmıştır.) 03-30-2015 <![CDATA[ <p><span>Falsifications made on financial tables which are the outputs of accounting decreases the confidence relied on the financial statements. Falsified financial reports emerged as a result of manipulation misguide or misdirect the financial statements’ users. In this study, it was researched whether 132 firms continuously operating in Manufacturing Industry sector at Istanbul Stock Exchange (BIST) between the years of 2010-2012 are drawn to manipulation in accounting. Beneish model is the most preferred model in literature as manipulation identifying model. In the study, logistic regression method was used and it was concluded that the rates as Working Capital/Total Assets(WC/TA), Working Capital/Sales(WC/Sales), Net Working Capital/Sales(NWC/Sales) and Natural Logarithm of Total Debts(NLTD) are effective in identifying the manipulation in accounting. (Muhasebenin çıktısı olan finansal tablolar üzerinde yapılan çarpıtmalar mali tablolara olan güveni azaltmaktadır. Manipülasyonlar sonucu ortaya çıkan hileli finansal raporlar, mali tablo kullanıcılarını yanıltmakta veya yanlış yönlendirmektedir. Bu çalışmada Borsa İstanbul’da (BIST) İmalat Sanayii sektöründe işlem gören 2010-2012 yılları arasında faaliyeti süreklilik gösteren 132 firmanın muhasebe manipülasyonu yapıp yapmadıkları araştırılmıştır. Manipülasyon tespit modeli olarak literatürde en fazla kullanılan Beneish modeli esas alınmıştır. Çalışmada lojistik regresyon yöntemi kullanılmış ve muhasebe manipülasyonunun tespitinde Çalışma Sermayesi/Toplam Aktif, Çalışma Sermayesi/Satışlar, Net Çalışma Sermayesi/Satışlar oranlarının ve Toplam Borçların Doğal Logaritmasının etkili olduğu sonucuna ulaşılmıştır.)</span></p> ]]> Using Beneish Model in Identifying Accounting Manipulation: An Empirical Study in BIST Manufacturing Industry Sector (Muhasebe Manipülasyonun Tespitinde Beneish Modelinin Kullanımı: BIST İmalat Sanayii Sektöründe Bir Ampirik Çalışma) ekrem kara mustafa uğurlu mehmet körpi̇ doi: 10.56578/jafas010102 Journal of Accounting, Finance and Auditing Studies 03-30-2015 Journal of Accounting, Finance and Auditing Studies 03-30-2015 2015 1 1 Article 21 10.56578/jafas010102 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010102 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010101 TFRS-2 Share-Based Payment in accounting for all share- based payment transactions including equity-settled share-based payment transactions, cash-settled share- based payment transactions, and transactions in which the entity receives or acquires goods or services and the terms of the arrangement provide either the entity or the supplier of those goods or services with a choice of whether the entity settles the transaction in cash or by issuing equity instruments. In this study, scope of standard and how it is practised is explained and we also cited the examples of the booking records in conformity with the Standard. 03-30-2015 <![CDATA[ <p>TFRS-2 Share-Based Payment in accounting for all share- based payment transactions including equity-settled share-based payment transactions, cash-settled share- based payment transactions, and transactions in which the entity receives or acquires goods or services and the terms of the arrangement provide either the entity or the supplier of those goods or services with a choice of whether the entity settles the transaction in cash or by issuing equity instruments. In this study, scope of standard and how it is practised is explained and we also cited the examples of the booking records in conformity with the Standard.</p> ]]> Hisse Bazlı Ödemelerin TFRS-2 Standardına Göre Muhasebeleştirilmesi (Accounting For Share Based Payments According to TFRS-2) erdal yilmaz doi: 10.56578/jafas010101 Journal of Accounting, Finance and Auditing Studies 03-30-2015 Journal of Accounting, Finance and Auditing Studies 03-30-2015 2015 1 1 Article 5 10.56578/jafas010101 https://www.acadlore.com/article/JAFAS/2015_1_1/jafas010101 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.038 Purpose: This study analyzed impact of COVID-19 on market liquidity. Specifically, the study examines the causal relationship that existed between daily growth of reported cases and market liquidity in selected African countries.Methodology: The study used quantitative approach and panel design from African Stock Markets. It also employed the use of AMIHUD liquidity ratio to measure market depth of Liquidity.Findings: The findings indicate mixed results that daily growth of reported cases impacted negatively the market liquidity for Egypt, Nigeria and Zimbabwe. Contrary, the daily reported cases had a positive impact on the market liquidity in Morocco. The reported cases of COVID-19 had no significant impact on the market liquidity for Botswana, Ghana, Tunisia, Zambia, Uganda and Kenya. Additionally, the number of reported deaths had a negative influence on market liquidity in Morocco. It is recommended that Governments should provide transparent and timely information about the state of the pandemic and its impact on the economy, and promote remote work to limit the spread of communicable diseases and minimize their impact on market liquidity and the economy at large.Originality/Value: This study is meant to raise public awareness on how COVID19 pandemic has impacted the liquidity of capital markets. It is trusted that the suggested recommendations will enable the regulatory authorities to react timely and in a more transparent way in case of pandemic occurance, hence reduce their impacts on performance of capital markets. 09-29-2023 <![CDATA[ <p><strong><span style="color: rgb(0, 111, 192)">Purpose:</span><span> </span></strong><span>This study analyzed impact of COVID-19 on market liquidity. Specifically, the study examines the causal relationship that existed between daily growth of reported cases and market liquidity in selected African countries.</span></p><p style="text-align: justify"><strong><span style="color: rgb(0, 111, 192)">Methodology:</span><span> </span></strong><span>The study used quantitative approach and panel design from African Stock Markets. It also employed the use of AMIHUD liquidity ratio to measure market depth of Liquidity.</span></p><p style="text-align: justify"><strong><span style="color: rgb(0, 111, 192)">Findings: </span></strong><span>The findings indicate mixed results that daily growth of reported cases impacted negatively the market liquidity for Egypt, Nigeria and Zimbabwe. Contrary, the daily reported cases had a positive impact on the market liquidity in Morocco. The reported cases of COVID-19 had no significant impact on the market liquidity for Botswana, Ghana, Tunisia, Zambia, Uganda and Kenya. Additionally, the number of reported deaths had a negative influence on market liquidity in Morocco. It is recommended that Governments should provide transparent and timely information about the state of the pandemic and its impact on the economy, and promote remote work to limit the spread of communicable diseases and minimize their impact on market liquidity and the economy at large.</span></p><p style="text-align: justify"><strong><span style="color: rgb(0, 111, 192)">Originality/Value: </span></strong><span>This study is meant to raise public awareness on how COVID19 pandemic has impacted the liquidity of capital markets. It is trusted that the suggested recommendations will enable the regulatory authorities to react timely and in a more transparent way in case of pandemic occurance, hence reduce their impacts on performance of capital markets.</span></p> ]]> The Impact of Covid-19 Pandemic on Market Liquidity: Evidence from African Countries moshi james erick s. lello doi: 10.32602/jafas.2023.038 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 368 10.32602/jafas.2023.038 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.038 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.037 Purpose: During unstable economic conditions, investors are risk averse and rely on fundamental information such as accounting information to make investment decisions. It is reported that during the COVID-19 pandemic, businesses have used accounting discretion in order to cope with difficult economic conditions. The use of discretion in the accounting process may instigate earnings manipulations which reduce earnings quality. This raises the following research question: has earnings quality decreased during the COVID-19 pandemic? This paper aimed at examining earnings quality (EQ) of South African listed firms during the COVID-19 pandemic. Specifically, the study examined the EQ of these firms before and during the COVID-19 pandemic.Methodology: Weighted least square regression was used to analyze a sample of 132 non-financial firms listed on the Johannesburg Stock Exchange (JSE) over the period of 2018 to 2021. The sampled firms were extracted from the IRESS research domain. Conservatism and accrual quality were used to measure earnings quality because these two measures required the exercise of discretion.Findings: The results attained were mixed and suggested that, although the sampled firms did not apply accounting conservatism in reported earnings during the COVID-19 pandemic period as compared to the period before the pandemic, there is no evidence of the use of accrual quality to manipulate earnings during the pandemic period as compared to the period before the pandemic.Originality/Value: The paper will shed light on whether accounting information remains reliable during unstable economic conditions. In addition, it will inform regulators on whether the accounting standards were consistently applied during the COVID-19 pandemic. 09-29-2023 <![CDATA[ <p>Purpose: During unstable economic conditions, investors are risk averse and rely on fundamental information such as accounting information to make investment decisions. It is reported that during the COVID-19 pandemic, businesses have used accounting discretion in order to cope with difficult economic conditions. The use of discretion in the accounting process may instigate earnings manipulations which reduce earnings quality. This raises the following research question: has earnings quality decreased during the COVID-19 pandemic? This paper aimed at examining earnings quality (EQ) of South African listed firms during the COVID-19 pandemic. Specifically, the study examined the EQ of these firms before and during the COVID-19 pandemic.</p><p>Methodology: Weighted least square regression was used to analyze a sample of 132 non-financial firms listed on the Johannesburg Stock Exchange (JSE) over the period of 2018 to 2021. The sampled firms were extracted from the IRESS research domain. Conservatism and accrual quality were used to measure earnings quality because these two measures required the exercise of discretion.</p><p>Findings: The results attained were mixed and suggested that, although the sampled firms did not apply accounting conservatism in reported earnings during the COVID-19 pandemic period as compared to the period before the pandemic, there is no evidence of the use of accrual quality to manipulate earnings during the pandemic period as compared to the period before the pandemic.</p><p>Originality/Value: The paper will shed light on whether accounting information remains reliable during unstable economic conditions. In addition, it will inform regulators on whether the accounting standards were consistently applied during the COVID-19 pandemic.</p> ]]> Earnings Quality During COVID-19 Pandemic: Evidence from South African Listed Companies nyanine c. fonou-dombeu cyril b. nomlala celani j. nyide doi: 10.32602/jafas.2023.037 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 340 10.32602/jafas.2023.037 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.037 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.036 Purpose: The aim of this study is to examine the moderating effect of debt structure on the relationship between economic diversification and financial sustainability, a lesson for Africa commercial banks as they strive to achieve Africa’s 2063 Agenda Aspirations.Methodology: The panel regression approach was utilised to analyse the study data. The financial sustainability and Economic diversification was measured using the return on assets and the proportion of non-interest income to total income respectively. While the debt structure was measured using the proportion of the bank debt to equity.Findings: The findings showed that economic diversification positively and significantly influence the financial sustainability of Africa commercial bank sampled. Debt structure also presents negatively and significantly influences the financial sustainability. Finally the study found that debt structure negatively and significantly moderates the relationship between economic diversification and financial sustainability.Originality/Value: The study's findings will be helpful to diversification theorist to unlock both diversification premiums and discounts puzzle by adding knowledge on indirect relationships such as the moderating effect debt structure. The management of African commercial banks will be able to make good sound diversification decisions by considering the nature and degree of the debt levels in the balance sheet in quest to promote the financial sustainability. 09-29-2023 <![CDATA[ <p style="text-align: justify">Purpose: The aim of this study is to examine the moderating effect of debt structure on the relationship between economic diversification and financial sustainability, a lesson for Africa commercial banks as they strive to achieve Africa’s 2063 Agenda Aspirations.</p><p style="text-align: justify">Methodology: The panel regression approach was utilised to analyse the study data. The financial sustainability and Economic diversification was measured using the return on assets and the proportion of non-interest income to total income respectively. While the debt structure was measured using the proportion of the bank debt to equity.</p><p style="text-align: justify">Findings: The findings showed that economic diversification positively and significantly influence the financial sustainability of Africa commercial bank sampled. Debt structure also presents negatively and significantly influences the financial sustainability. Finally the study found that debt structure negatively and significantly moderates the relationship between economic diversification and financial sustainability.</p><p style="text-align: justify">Originality/Value: The study's findings will be helpful to diversification theorist to unlock both diversification premiums and discounts puzzle by adding knowledge on indirect relationships such as the moderating effect debt structure. The management of African commercial banks will be able to make good sound diversification decisions by considering the nature and degree of the debt levels in the balance sheet in quest to promote the financial sustainability.</p> ]]> Towards Africa’s Agenda Aspirations: Can Kenyan Commercial Banks Achieve Financial Sustainability Through Economic Diversification? Does Debt Structure Matter? timothy k. kiptum doi: 10.32602/jafas.2023.036 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 322 10.32602/jafas.2023.036 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.036 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.035 Purpose: This paper aimed to investigate the role of the Zimbabwean government in the implementation of Management Accounting Practices (MAPs) among Small and Medium Enterprises (SMEs). Management accounting is a crucial instrument for success, particularly for SMEs, according to earlier studies. The study noted that there is a dearth of literature on the government's support for the adoption of management accounting SME sector.Methodology: Semi-structured interviews were used to gather information from 88 participants. Zimbabwe has no SME database, hence, a chain referral sampling technique was used. The data were interpreted using qualitative content analysis.Findings: The study found that there is little that is done by the Zimbabwean government in promoting the use of management accounting among SMEs. The areas covered in government-sponsored training for SMEs are bookkeeping, entrepreneurship, and tax preparation; management accounting is not addressed.Originality/Value: In order to increase public understanding of MAPs, the research advises the Zimbabwean government to conduct seminars, launch awareness-raising campaigns, and establish policies that encourage the use of management accounting. 09-29-2023 <![CDATA[ <p style="text-align: justify">Purpose: This paper aimed to investigate the role of the Zimbabwean government in the implementation of Management Accounting Practices (MAPs) among Small and Medium Enterprises (SMEs). Management accounting is a crucial instrument for success, particularly for SMEs, according to earlier studies. The study noted that there is a dearth of literature on the government's support for the adoption of management accounting SME sector.</p><p style="text-align: justify">Methodology: Semi-structured interviews were used to gather information from 88 participants. Zimbabwe has no SME database, hence, a chain referral sampling technique was used. The data were interpreted using qualitative content analysis.</p><p style="text-align: justify">Findings: The study found that there is little that is done by the Zimbabwean government in promoting the use of management accounting among SMEs. The areas covered in government-sponsored training for SMEs are bookkeeping, entrepreneurship, and tax preparation; management accounting is not addressed.</p><p style="text-align: justify">Originality/Value: In order to increase public understanding of MAPs, the research advises the Zimbabwean government to conduct seminars, launch awareness-raising campaigns, and establish policies that encourage the use of management accounting.</p> ]]> The Role of the Zimbabwean Government in the Implementation of Management Accounting among Small and Medium Enterprises banele dlamini daniel p schutte prisca sibanda doi: 10.32602/jafas.2023.035 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 307 10.32602/jafas.2023.035 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.035 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.034 Purpose: This study examines the impact of firm financial performance, free cash flow, and cash holding on the overinvestment of manufacturing companies listed on the Indonesia Stock Exchange in 2017-2021. Methodology: We employed 315 manufacturing companies listed on the Indonesia Stock Exchange for the 2017-2021 period as samples. The data required is correlated to financial performance, free cash flow, cash holding, and company overinvestment. Data is input manually from the financial reports obtained from the website of each firm. To examine the hypothesis, this study applied multiple regression analysis methods. Findings: The results show that free cash flow has a significant and negative effect on overinvestment. It illustrates that higher free cash flow does not encourage a manager to overinvestment. This result support hypothesis 1 (H1). Cash holding affects overinvestment positively and significantly. These results indicate that higher cash holdings inspire managers to overinvestment. These results support hypothesis 2 (H2). Firm performance influences overinvestment negatively and significantly. This result indicates that higher firm performance does not motivate a manager to overinvestment. These results support hypothesis 3 (H3). Originality/Value: Difference from the previous study, this study examines the impact of financial performance, free cash flow, and cash holding on overinvestment in one comprehensive model. 09-29-2023 <![CDATA[ <p><strong>Purpose: </strong>This study examines the impact of firm financial performance, free cash flow, and cash holding on the overinvestment of manufacturing companies listed on the Indonesia Stock Exchange in 2017-2021. <strong>Methodology: </strong>We employed 315 manufacturing companies listed on the Indonesia Stock Exchange for the 2017-2021 period as samples. The data required is correlated to financial performance, free cash flow, cash holding, and company overinvestment. Data is input manually from the financial reports obtained from the website of each firm. To examine the hypothesis, this study applied multiple regression analysis methods. <strong>Findings:</strong> The results show that free cash flow has a significant and negative effect on overinvestment. It illustrates that higher free cash flow does not encourage a manager to overinvestment. This result support hypothesis 1 (H₁). Cash holding affects overinvestment positively and significantly. These results indicate that higher cash holdings inspire managers to overinvestment. These results support hypothesis 2 (H₂). Firm performance influences overinvestment negatively and significantly. This result indicates that higher firm performance does not motivate a manager to overinvestment. These results support hypothesis 3 (H₃). Originality/Value: Difference from the previous study, this study examines the impact of financial performance, free cash flow, and cash holding on overinvestment in one comprehensive model.</p> ]]> The Effect of Firm Financial Performance, Free Cash Flow and Cash Holding on Overinvestment wildan khair m yossi diantimala fifi yusmita doi: 10.32602/jafas.2023.034 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 289 10.32602/jafas.2023.034 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.034 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.033 Purpose: This study aims to develop a reliable forecasting approach for Tanzania's unemployment rate and provide policymakers with an effective tool for decision-making. Unemployment forecasting is vital for informed policymaking, particularly in countries like Tanzania. Methodology: This study employs a quantitative research design and adopts Box Jenkin's methodology and the ARIMA (AutoRegressive Integrated Moving Average) model for unemployment forecasting in Tanzania. The entire available dataset for the specified period is utilized, employing a non-probability sampling technique. Diagnostic tests, including ACF (AutoCorrelation Function), PACF (Partial AutoCorrelation Function), and unit root analysis, are conducted to guide the optimal model selection. Differencing addresses non-stationarity in the time series data by removing trend and seasonality effects. The optimal model selection is based on criteria such as AIC (Akaike Information Criterion), Schwartz, and Hannan-Quinn. Findings: The study finds that the ARIMA (3,1,4) model demonstrates superior performance in forecasting the unemployment rate in Tanzania. Diagnostic checks validate the adequacy of the model, revealing white noise residuals. The forecasts indicate a consistent downward trend in unemployment rates over the next nine years, suggesting potential labour market improvements in Tanzania. These findings enhance our understanding of Tanzania's unemployment dynamics and provide valuable insights for policymakers. Originality/Value: The study lies in its application of Box Jenkin's methodology and the ARIMA model to unemployment forecasting in Tanzania. By utilizing the entire available dataset and employing diagnostic tests for model selection, the study enhances the reliability of the forecasting approach. The study offers policymakers an informed decision-making tool by providing accurate forecasts and capturing underlying trends. 09-29-2023 <![CDATA[ <p><strong>Purpose: </strong>This study aims to develop a reliable forecasting approach for Tanzania's unemployment rate and provide policymakers with an effective tool for decision-making. Unemployment forecasting is vital for informed policymaking, particularly in countries like Tanzania. <strong>Methodology:</strong> This study employs a quantitative research design and adopts Box Jenkin's methodology and the ARIMA (AutoRegressive Integrated Moving Average) model for unemployment forecasting in Tanzania. The entire available dataset for the specified period is utilized, employing a non-probability sampling technique. Diagnostic tests, including ACF (AutoCorrelation Function), PACF (Partial AutoCorrelation Function), and unit root analysis, are conducted to guide the optimal model selection. Differencing addresses non-stationarity in the time series data by removing trend and seasonality effects. The optimal model selection is based on criteria such as AIC (Akaike Information Criterion), Schwartz, and Hannan-Quinn. <strong>Findings: </strong>The study finds that the ARIMA (3,1,4) model demonstrates superior performance in forecasting the unemployment rate in Tanzania. Diagnostic checks validate the adequacy of the model, revealing white noise residuals. The forecasts indicate a consistent downward trend in unemployment rates over the next nine years, suggesting potential labour market improvements in Tanzania. These findings enhance our understanding of Tanzania's unemployment dynamics and provide valuable insights for policymakers. <strong>Originality/Value:</strong> The study lies in its application of Box Jenkin's methodology and the ARIMA model to unemployment forecasting in Tanzania. By utilizing the entire available dataset and employing diagnostic tests for model selection, the study enhances the reliability of the forecasting approach. The study offers policymakers an informed decision-making tool by providing accurate forecasts and capturing underlying trends.</p> ]]> Modeling and Forecasting Unemployment Rate in Tanzania: An ARIMA Approach peter e. tengaa yohana m. maiga amos m. mwasota doi: 10.32602/jafas.2023.033 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 270 10.32602/jafas.2023.033 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.033 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.032 Purpose: This study seeks to delineate the transition of access to finance for women-owned SMEs (pre and post COVID-19) in Bulawayo Metropolitan as a way of understanding the adequacy of financing and recovery potential of SMEs post the pandemic. Methodology: The study adopts survey methods (questionnaires and interviews) on a conveniently selected but diverse (different economic sectors, formal and informal, different sizes and business forms) sample of women-owned SMEs in Bulawayo Metropolitan. Findings: The study confirmed the widening financing gap for women-owned SMEs on account of SMEs’ reduced bankability and reduction in tenability of most financing sources post COVID-19. The emergence of new costs (rental and debt arrears, revival of operations, re-hiring of labor, acquiring of technology, financing working capital and retooling increase) increased SMEs’ financing needs post COVID-19. Targeted financial intervention is imperative for a speedy recovery of women-owned SMEs post the pandemic. Originality Value: This study provides an uncommon transitory dimension of literature on access to finance for women-owned SMEs (prior and post COVID-19). Secondly, tracing the transition of access to finance for women-owned SMEs advances intervention strategies for timeous recovery of the SMEs. Thirdly, to the best of our understanding, this paper is the first to adopt a gendered approach to the transitory status of access tofinance. 09-29-2023 <![CDATA[ <p><strong>Purpose:</strong> This study seeks to delineate the transition of access to finance for women-owned SMEs (pre and post COVID-19) in Bulawayo Metropolitan as a way of understanding the adequacy of financing and recovery potential of SMEs post the pandemic. <strong>Methodology:</strong> The study adopts survey methods (questionnaires and interviews) on a conveniently selected but diverse (different economic sectors, formal and informal, different sizes and business forms) sample of women-owned SMEs in Bulawayo Metropolitan. <strong>Findings:</strong> The study confirmed the widening financing gap for women-owned SMEs on account of SMEs’ reduced bankability and reduction in tenability of most financing sources post COVID-19. The emergence of new costs (rental and debt arrears, revival of operations, re-hiring of labor, acquiring of technology, financing working capital and retooling increase) increased SMEs’ financing needs post COVID-19. Targeted financial intervention is imperative for a speedy recovery of women-owned SMEs post the pandemic. <strong>Originality Value:</strong> This study provides an uncommon transitory dimension of literature on access to finance for women-owned SMEs (prior and post COVID-19). Secondly, tracing the transition of access to finance for women-owned SMEs advances intervention strategies for timeous recovery of the SMEs. Thirdly, to the best of our understanding, this paper is the first to adopt a gendered approach to the transitory status of access tofinance.</p> ]]> Transition of Access to Finance for Women-Owned SMEs: Pre and Post COVID-19 Micro-Study for Bulawayo Metropolitan innocent bayai timothy o. aluko mecury v. chimutanda doi: 10.32602/jafas.2023.032 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 250 10.32602/jafas.2023.032 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.032 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.031 Purpose: The purpose of this study was to explore existing theories and approaches underlying corporate social and environmental responsibility. It also explored methods adopted by corporates in identifying and classifying stakeholders. Methodology: Documentary research approach, which consists of reviewing, analysing and examining information was adopted. The sources included journal articles, books, magazines, websites, frameworks and guidelines. Findings: The results of the study indicated that social and environmental stakeholders are now a force to reckon with. Old literature classifies social and environmental stakeholders as the negligent type but recent developments have realised that neglecting social and environmental stakeholders can be costly. Originality/Value: Guidelines and frameworks need to revise the classification of social and environmental stakeholders. 09-29-2023 <![CDATA[ <p><strong>Purpose:</strong> The purpose of this study was to explore existing theories and approaches underlying corporate social and environmental responsibility. It also explored methods adopted by corporates in identifying and classifying stakeholders. <strong>Methodology:</strong> Documentary research approach, which consists of reviewing, analysing and examining information was adopted. The sources included journal articles, books, magazines, websites, frameworks and guidelines. <strong>Findings:</strong> The results of the study indicated that social and environmental stakeholders are now a force to reckon with. Old literature classifies social and environmental stakeholders as the negligent type but recent developments have realised that neglecting social and environmental stakeholders can be costly. <strong>Originality/Value:</strong> Guidelines and frameworks need to revise the classification of social and environmental stakeholders.</p> ]]> Theories and Approaches Adopted when Responding to Stakeholder Needs ongayi wadesango doi: 10.32602/jafas.2023.031 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 218 10.32602/jafas.2023.031 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.031 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.030 Effective engagement is a two-way process where stakeholders are not merely consulted or listened to, but where a company makes a sincere attempt to engage in a dialogue to respond to stakeholder concerns (Rossouw, 2015; Aina, 2019:60). Responding to stakeholder concerns builds trust, and experience shows that trust and relationships take time to build but are valuable assets. To build trust, the company must show that it has listened and acted in response to stakeholder concerns. This is why ongoing communication with, and reporting to, stakeholders is such an important component in any engagement strategy. The purpose of the study was to ascertain the various approaches to stakeholders’ engagement. In terms of data collection, the author sourced and reviewed literature on the topic. Among others, these sources included journal articles, books, magazines, newspapers and King IV report. The results indicated that companies use different approaches on stakeholders and engagement and the study concludes that inclusivity approach adopted in the King IV report is instrumental in developing engagements that are collaborate and may build sustainable relationships with stakeholders. Proactive continuous engagement with stakeholders brings mutual trust and builds sustainable relationships. 09-29-2023 <![CDATA[ <p>Effective engagement is a two-way process where stakeholders are not merely consulted or listened to, but where a company makes a sincere attempt to engage in a dialogue to respond to stakeholder concerns (Rossouw, 2015; Aina, 2019:60). Responding to stakeholder concerns builds trust, and experience shows that trust and relationships take time to build but are valuable assets. To build trust, the company must show that it has listened and acted in response to stakeholder concerns. This is why ongoing communication with, and reporting to, stakeholders is such an important component in any engagement strategy. The purpose of the study was to ascertain the various approaches to stakeholders’ engagement. In terms of data collection, the author sourced and reviewed literature on the topic. Among others, these sources included journal articles, books, magazines, newspapers and King IV report. The results indicated that companies use different approaches on stakeholders and engagement and the study concludes that inclusivity approach adopted in the King IV report is instrumental in developing engagements that are collaborate and may build sustainable relationships with stakeholders. Proactive continuous engagement with stakeholders brings mutual trust and builds sustainable relationships.</p> ]]> Proactive Approaches To Stakeholder Engagement ongayi wadesango doi: 10.32602/jafas.2023.030 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 197 10.32602/jafas.2023.030 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.030 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.029 This study has two purposes: i) to determine which skill sets are considered the most important and necessary for today's accountants, and ii) to investigate the impact of major categories such as business skills, soft skills, technical and digital skills, and ethical skills on the performance of accountants in the workplace. Under the assumption that there is an infinite population, a sample of 315 accountants was randomly chosen from the contacts on LinkedIn. In order to categorise 22 skills into four groups—business, soft, technical, digital, and ethical skills—data was collected from 91 respondents (28.3% response rate) during the course of the month of February 2023. According to the study's results, today's accountants place a higher value on time management, problem-solving, critical thinking, knowledge of and ability to interpret accounting standards, leadership (SS), business knowledge (BS), professional behaviour, adherence to the code of conduct (ES), financial statement preparation, interpretation, and analysis (TDS), as well as other skills. The independent variables "business skills" (BS), "technical and digital skills" (TDS), and the control variable "continental location" (CL) all significantly improve the employment performance of accountants, according to the findings of the regression analysis. This study advances both theory and application. It places a strong emphasis on educating professional accountants about the need to arm themselves with the newest skill sets in light of a changing environment in order to improve their performance at work. It also looks at the most important skills that affect how well professional accountants perform. The study recommends that colleges and institutions provide accounting students enough time to acquire each of the four skill sets. To enhance these skills, particularly business, technological, and digital capabilities, professional accountants should take part in CPD with their employers. 09-29-2023 <![CDATA[ <p>This study has two purposes: i) to determine which skill sets are considered the most important and necessary for today's accountants, and ii) to investigate the impact of major categories such as business skills, soft skills, technical and digital skills, and ethical skills on the performance of accountants in the workplace. Under the assumption that there is an infinite population, a sample of 315 accountants was randomly chosen from the contacts on LinkedIn. In order to categorise 22 skills into four groups—business, soft, technical, digital, and ethical skills—data was collected from 91 respondents (28.3% response rate) during the course of the month of February 2023. According to the study's results, today's accountants place a higher value on time management, problem-solving, critical thinking, knowledge of and ability to interpret accounting standards, leadership (SS), business knowledge (BS), professional behaviour, adherence to the code of conduct (ES), financial statement preparation, interpretation, and analysis (TDS), as well as other skills. The independent variables "business skills" (BS), "technical and digital skills" (TDS), and the control variable "continental location" (CL) all significantly improve the employment performance of accountants, according to the findings of the regression analysis. This study advances both theory and application. It places a strong emphasis on educating professional accountants about the need to arm themselves with the newest skill sets in light of a changing environment in order to improve their performance at work. It also looks at the most important skills that affect how well professional accountants perform. The study recommends that colleges and institutions provide accounting students enough time to acquire each of the four skill sets. To enhance these skills, particularly business, technological, and digital capabilities, professional accountants should take part in CPD with their employers.</p> ]]> A Survey of the Influence of Skill Sets on the Performance of Professional Accountants prem lal joshi doi: 10.32602/jafas.2023.029 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 162 10.32602/jafas.2023.029 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.029 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.027 Purpose: The print media industry is on a declining trend in both the number publications and revenue even though the print medium remains relevant in news dissemination. The Zimbabwe newspaper industry has recently been suffering from financial challenges as indicated by the published financial reports for the period under study, one of the reasons for the decline in revenue being the looming of social media. It is due to this background that the researchers sought to investigate the financial performance of print media in advent of social media. Methodology: A quantitative research methodology was adopted. Data was obtained from The Manica post using questionnaires. Regression of data gathered was analysed using SPSS software. Findings: The study reveal that social media has caused the print media, particularly the newspaper division a huge loss in revenue and advertisement and it indicated that there is a negative relationship between financial performance and social media. However other macroeconomic variables like politics and legislation should be taken into consideration. Originality value: The print media sector should adopt new technologies and establish plans to increase its online audience’s clientele base. 09-29-2023 <![CDATA[ <p><strong>Purpose: </strong>The print media industry is on a declining trend in both the number publications and revenue even though the print medium remains relevant in news dissemination. The Zimbabwe newspaper industry has recently been suffering from financial challenges as indicated by the published financial reports for the period under study, one of the reasons for the decline in revenue being the looming of social media. It is due to this background that the researchers sought to investigate the financial performance of print media in advent of social media. <strong>Methodology: </strong>A quantitative research methodology was adopted. Data was obtained from The Manica post using questionnaires. Regression of data gathered was analysed using SPSS software. <strong>Findings:</strong> The study reveal that social media has caused the print media, particularly the newspaper division a huge loss in revenue and advertisement and it indicated that there is a negative relationship between financial performance and social media. However other macroeconomic variables like politics and legislation should be taken into consideration. <strong>Originality value:</strong> The print media sector should adopt new technologies and establish plans to increase its online audience’s clientele base.</p> ]]> Financial Performance of Print Media in Advent of Social Media: A Case of the Manica Post newman wadesango alice nyandoro lovemore sitsha doi: 10.32602/jafas.2023.027 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 127 10.32602/jafas.2023.027 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.027 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.026 Purpose: The purpose of the study was to assess the impact of activity based costing system on financial performance of SMEs. It was observed that high escalating operating costs is a serious cause of concern in most SMEs in Zimbabwe. In order to establish the impact of activity based costing system on financial performance of SMEs, the study would like at the benefits of using activity based costing system, the effects of activity based costing system on cost control, the problems faced with use of activity based costing system and the cost drivers of activity based costing system. Methodology: A descriptive design research methodology was adopted to gather data through use of questionnaires from a population of 15 employees. Data analysis was undertaken by use of SPSS to determine correlations and tables, pie charts and graphs facilitated data presentation. Findings: From the findings, activity based costing system had negative effects on the cost control reduction concluding that there was an insignificant relationship. Originality value: training of employees is important to equip them with the necessary knowledge and skills and applying an effective ABC system. 09-29-2023 <![CDATA[ <p>Purpose: The purpose of the study was to assess the impact of activity based costing system on financial performance of SMEs. It was observed that high escalating operating costs is a serious cause of concern in most SMEs in Zimbabwe. In order to establish the impact of activity based costing system on financial performance of SMEs, the study would like at the benefits of using activity based costing system, the effects of activity based costing system on cost control, the problems faced with use of activity based costing system and the cost drivers of activity based costing system. Methodology: A descriptive design research methodology was adopted to gather data through use of questionnaires from a population of 15 employees. Data analysis was undertaken by use of SPSS to determine correlations and tables, pie charts and graphs facilitated data presentation. Findings: From the findings, activity based costing system had negative effects on the cost control reduction concluding that there was an insignificant relationship. Originality value: training of employees is important to equip them with the necessary knowledge and skills and applying an effective ABC system.</p> ]]> Impact of Activity Based Costing System on Financial Performance of SMEs: A Case of Lester Trading Private Limited lynette paradzal newman wadesango lovemore sitsha doi: 10.32602/jafas.2023.026 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 108 10.32602/jafas.2023.026 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.026 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.025 Purpose: In order to ensure effectiveness in State Owned Enterprises, (SOE) forensic auditing significantly plays a huge role in the detection and prevention of fraud. State owned Enterprises play a big role in any country as they provide commercial services or activities to the public. Their business involves transacting huge sums of money in their day to day operations. The state has significant control through full, majority, or significant minority ownership. There are fraudulent activities occurring in these enterprises as a result of poor controls in these organizations, hence forensic auditing plays the role. The purpose of the study was to examine how forensic auditing services aid in fraud detection in State Owned Enterprises. Methodology: Quantitative research methodology was adopted and questionnaires were used to collect data. Findings: The results indicated that forensic auditing has a significant positive correlation relationship in fraud detection in SOEs. Originality/Value: Forensic auditing although used by ZESA, is not being effectively implemented to detect and prevent fraud. 09-29-2023 <![CDATA[ <p>Purpose: In order to ensure effectiveness in State Owned Enterprises, (SOE) forensic auditing significantly plays a huge role in the detection and prevention of fraud. State owned Enterprises play a big role in any country as they provide commercial services or activities to the public. Their business involves transacting huge sums of money in their day to day operations. The state has significant control through full, majority, or significant minority ownership. There are fraudulent activities occurring in these enterprises as a result of poor controls in these organizations, hence forensic auditing plays the role. The purpose of the study was to examine how forensic auditing services aid in fraud detection in State Owned Enterprises. Methodology: Quantitative research methodology was adopted and questionnaires were used to collect data. Findings: The results indicated that forensic auditing has a significant positive correlation relationship in fraud detection in SOEs. Originality/Value: Forensic auditing although used by ZESA, is not being effectively implemented to detect and prevent fraud.</p> ]]> An Analysis of Effects of Forensic Auditing in Detecting Fraud in State Owned Enterprises: A Case Study of ZESA wadesango newman zibusiso tshuma lovemore sitsha doi: 10.32602/jafas.2023.025 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 85 10.32602/jafas.2023.025 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.025 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.024 Purpose: Rapid technological advancements have caused changes in almost every aspect of society. Financial technology is one of them. Fintech-based financial services can provide convenience and freedom in meeting financial need, especially for Indonesian students. Fintech e-wallets have negative effects in addition to their positive effects. This is related to the consumption patterns of Indonesians who are identical with impulsive purchases. The goal of this study is to determine how much Financial Literacy, Financial Attitude, Locus of Control and Lifestyle can influence the Financial Management Behavior. Methodology: This study was conducted on 100 respondents who were Management Students at UPN Veteran East Java. And was chosen by utilizing purposive sampling and simple random sampling techniques. The analysis technique used are Partial Least Square. Findings: The findings indicate that Financial Literacy, Financial Attitude, Locus of Control and Lifestyle have a positive and significant effect on Financial Management Behavior. This show the importance of having better knowledge, mindset, control and a good lifestyle to avoid trouble and effectively managing their finances. Originality/Value: This study is meant to raise public awareness to young adults, particularly management students at UPN Veteran East Java on the need to improve their financial literacy, financial attitude, and also having locus of control and a good lifestyle. It is hoped that by having a good literacy and mindset, one can be manage daily expenses more wisely, also by having high self-control will help their decision making as well as their lifestyle. Thus enabling them to the right decision based on their own financial situation especially amidst the provided convenience and freedom in using financial based services. 09-29-2023 <![CDATA[ <p><strong>Purpose: </strong>Rapid technological advancements have caused changes in almost every aspect of society. Financial technology is one of them. Fintech-based financial services can provide convenience and freedom in meeting financial need, especially for Indonesian students. Fintech e-wallets have negative effects in addition to their positive effects. This is related to the consumption patterns of Indonesians who are identical with impulsive purchases. The goal of this study is to determine how much Financial Literacy, Financial Attitude, Locus of Control and Lifestyle can influence the Financial Management Behavior. <strong>Methodology: </strong>This study was conducted on 100 respondents who were Management Students at UPN Veteran East Java. And was chosen by utilizing purposive sampling and simple random sampling techniques. The analysis technique used are Partial Least Square. <strong>Findings:</strong> The findings indicate that Financial Literacy, Financial Attitude, Locus of Control and Lifestyle have a positive and significant effect on Financial Management Behavior. This show the importance of having better knowledge, mindset, control and a good lifestyle to avoid trouble and effectively managing their finances. <strong>Originality/Value: </strong>This study is meant to raise public awareness to young adults, particularly management students at UPN Veteran East Java on the need to improve their financial literacy, financial attitude, and also having locus of control and a good lifestyle. It is hoped that by having a good literacy and mindset, one can be manage daily expenses more wisely, also by having high self-control will help their decision making as well as their lifestyle. Thus enabling them to the right decision based on their own financial situation especially amidst the provided convenience and freedom in using financial based services.</p> ]]> Financial Management Behavior in Using Fintech (Study on Management Students of UPN "Veteran" East Java) raihan rizky andanaa yuniningsih yuniningsih doi: 10.32602/jafas.2023.024 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 67 10.32602/jafas.2023.024 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.024 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.023 Purpose: Numerous studies have been conducted on digital finance and financial inclusion. However, there is limited information on the impact of the digital income level divide on the financial inclusion of informal practitioners. Thus, there is a need to examine the area critically from the perspective of a marginalised society. Hence, the current study focused on identifying the components of the digital income level divide and establishing its impact on the financial inclusion of informal traders. Methodology: The study applied a mixed-methods research design whereby interviews and questionnaires were employed to collect data. Quantitative and qualitative data were analysed using inferential statistics and content analysis, respectively. Findings: The findings show that the digital-income level divide has resulted from digital usage, the insignificance of the benefits of digital finance usage, low income levels, and the practical nature of informal traders. Also, informal traders pay high transaction costs, which are not considered beneficial for the services of receiving and sending money. Originality/Value: The paper informs on the set of strategies that enable informal traders to become part of digital financial users and benefit from financial inclusion. This study adds knowledge to the literature on the combined impacts of income level and digital divide challenges associated with informal traders on financial inclusion. 09-29-2023 <![CDATA[ <p><strong>Purpose: </strong>Numerous studies have been conducted on digital finance and financial inclusion. However, there is limited information on the impact of the digital income level divide on the financial inclusion of informal practitioners. Thus, there is a need to examine the area critically from the perspective of a marginalised society. Hence, the current study focused on identifying the components of the digital income level divide and establishing its impact on the financial inclusion of informal traders. <strong>Methodology: </strong>The study applied a mixed-methods research design whereby interviews and questionnaires were employed to collect data. Quantitative and qualitative data were analysed using inferential statistics and content analysis, respectively. <strong>Findings: </strong>The findings show that the digital-income level divide has resulted from digital usage, the insignificance of the benefits of digital finance usage, low income levels, and the practical nature of informal traders. Also, informal traders pay high transaction costs, which are not considered beneficial for the services of receiving and sending money. <strong>Originality/Value: </strong>The paper informs on the set of strategies that enable informal traders to become part of digital financial users and benefit from financial inclusion. This study adds knowledge to the literature on the combined impacts of income level and digital divide challenges associated with informal traders on financial inclusion.</p> ]]> Impact of the Digital-Income Level Divide on Financial Inclusion of Informal Traders in the Tanzanian Context william clifford gomera doi: 10.32602/jafas.2023.023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 39 10.32602/jafas.2023.023 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.023 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.022 Purpose: The study used the Beneish M Score to discover probable financial statement manipulation by a selected Zimbabwe Stock Exchange-listed bank. Research methodology: The Beneish M Score eight variable statistical model was applied to secondary data of the selected bank from 2011 to 2018. The model utilizes ratios in distinguishing between manipulators and non-manipulators, with a yardstick measure of -2.22. Results greater than -2.22, classify the organization as a financial statements manipulator with less than -2.22 classify it as a non-manipulator. Results: The M score model detected manipulation for the years 2011 (-0.74), 2013 (-1.84), and 2015 (-2.19), which are greater than the benchmark of -2.22. The years 2012 (-3.17), 2014 (-2.46), 2016 (-3.07), 2017 (-2.80) and 2018 (-2.42) reveal the bank as a non-manipulator as these values are less than -2.22. Limitations: The Beneish M score statistical model was modeled for manufacturing companies. The study sought to test the M Score’s applicability in the banking sector and it was restricted to the selected bank for the years 2011 to 2018. Contribution: The Beneish M score is a valuable model for users of issued annual financial statements to guard against earnings manipulation. Stakeholders rely on audited financial statements, believed to be free from manipulation, yet companies fold up with unqualified audit opinions contained in published financial statements. The study validates the Beneish M score statistical model for detecting manipulation in published annual financial statements in Zimbabwe, where there is limited research on earnings manipulation. 09-29-2023 <![CDATA[ <p><strong>Purpose: </strong>The study used the Beneish M Score to discover probable financial statement manipulation by a selected Zimbabwe Stock Exchange-listed bank. <strong>Research methodology:</strong> The Beneish M Score eight variable statistical model was applied to secondary data of the selected bank from 2011 to 2018. The model utilizes ratios in distinguishing between manipulators and non-manipulators, with a yardstick measure of -2.22. Results greater than -2.22, classify the organization as a financial statements manipulator with less than -2.22 classify it as a non-manipulator. <strong>Results: </strong>The M score model detected manipulation for the years 2011 (-0.74), 2013 (-1.84), and 2015 (-2.19), which are greater than the benchmark of -2.22. The years 2012 (-3.17), 2014 (-2.46), 2016 (-3.07), 2017 (-2.80) and 2018 (-2.42) reveal the bank as a non-manipulator as these values are less than -2.22. <strong>Limitations: </strong>The Beneish M score statistical model was modeled for manufacturing companies. The study sought to test the M Score’s applicability in the banking sector and it was restricted to the selected bank for the years 2011 to 2018. <strong>Contribution: </strong>The Beneish M score is a valuable model for users of issued annual financial statements to guard against earnings manipulation. Stakeholders rely on audited financial statements, believed to be free from manipulation, yet companies fold up with unqualified audit opinions contained in published financial statements. The study validates the Beneish M score statistical model for detecting manipulation in published annual financial statements in Zimbabwe, where there is limited research on earnings manipulation.</p> ]]> Detecting Probable Manipulation of Financial Statements. Evidence from a Selected Zimbabwe Stock Exchange-Listed Bank kudakwashe mavengere banele dlamini doi: 10.32602/jafas.2023.022 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 17 10.32602/jafas.2023.022 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.022 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.021 Purpose: Corporate social responsibility (CSR) activities are crucial for the cordial relationship between the business and the community, and despite the cost involved in CSR investments such relationship may have favourable consequence on community patronage and financial outcome. This study investigated the effect of CSR activities on the profitability of oil firms listed in Nigeria by ascertaining how community development costs (CDC) and employee benefits are associated with the financial performance of the firms. Methodology: Data on the study variables from thirteen oil and gas firms were collected over a period of twenty-one years (1998 to 2018), and analysed using a heteroscedasticity and autocorrelation-consistent regression technique to determine the effect of CSR activities on the financial performance of the sampled firms. Findings: The results showed that community development cost (CDC) had a significant positive effect on profitability. Employee benfits also have similar effect on financial performance. These findings indicate that investing in CSR activities ultimately has a favourable impact on corporate financial performance. Accordingly, the study recommended that oil firms should increasingly invest in employee welfare and community development projects in Nigeria. Originality/Value: This paper used a data set drawn from almost all the listed oil firms in Nigeria over a relatively long time span. The results support the usefulness of CSR activities to corporate entities, thereby encouraging oil firms to conduct more CSR investments in Nigeria. 09-29-2023 <![CDATA[ <p>Purpose: Corporate social responsibility (CSR) activities are crucial for the cordial relationship between the business and the community, and despite the cost involved in CSR investments such relationship may have favourable consequence on community patronage and financial outcome. This study investigated the effect of CSR activities on the profitability of oil firms listed in Nigeria by ascertaining how community development costs (CDC) and employee benefits are associated with the financial performance of the firms. <strong>Methodology: </strong>Data on the study variables from thirteen oil and gas firms were collected over a period of twenty-one years (1998 to 2018), and analysed using a heteroscedasticity and autocorrelation-consistent regression technique to determine the effect of CSR activities on the financial performance of the sampled firms. <strong>Findings:</strong> The results showed that community development cost (CDC) had a significant positive effect on profitability. Employee benfits also have similar effect on financial performance. These findings indicate that investing in CSR activities ultimately has a favourable impact on corporate financial performance. Accordingly, the study recommended that oil firms should increasingly invest in employee welfare and community development projects in Nigeria. <strong>Originality/Value:</strong> This paper used a data set drawn from almost all the listed oil firms in Nigeria over a relatively long time span. The results support the usefulness of CSR activities to corporate entities, thereby encouraging oil firms to conduct more CSR investments in Nigeria.</p> ]]> Corporate Social Responsibility and Profitability of Listed Oil Firms in Nigeria madubochi r. iloma gospel j. chukwu doi: 10.32602/jafas.2023.021 Journal of Accounting, Finance and Auditing Studies 09-29-2023 Journal of Accounting, Finance and Auditing Studies 09-29-2023 2023 9 3 Article 1 10.32602/jafas.2023.021 https://www.acadlore.com/article/JAFAS/2023_9_3/jafas.2023.021 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.020 Purpose: During the period 2022 until January 2023, several new global issues emerged besides the COVID-19 pandemic and had an impact on economic. This study aims to examine the weak form of market efficiency in Indonesia under the assumption that uncertain economic conditions tend to affect systematic risk and cause stock returns randomly move. Methodology: This study employs time series data based on the stock returns of 766 firms in Indonesia during the period January 3, 2022, to January 31, 2023. To detect random walk, the runs test is conducted with supporting of the variance ratio test. Findings: Systematic risk plays an important role in risky assets' efficiency during uncertain economic events which is consistent with the random walk theory. Otherwise, the impact of uncertain economic events on less risky assets gives the investors possibility to obtain extraordinary returns or abnormal returns. Originality/Value: This study examines market efficiency by taking into account the systematic risk of assets that are rarely analyzed at present. 06-29-2023 <![CDATA[ <p><strong>Purpose</strong>: During the period 2022 until January 2023, several new global issues emerged besides the COVID-19 pandemic and had an impact on economic. This study aims to examine the weak form of market efficiency in Indonesia under the assumption that uncertain economic conditions tend to affect systematic risk and cause stock returns randomly move. <strong>Methodology</strong>: This study employs time series data based on the stock returns of 766 firms in Indonesia during the period January 3, 2022, to January 31, 2023. To detect random walk, the runs test is conducted with supporting of the variance ratio test. <strong>Findings</strong>: Systematic risk plays an important role in risky assets' efficiency during uncertain economic events which is consistent with the random walk theory. Otherwise, the impact of uncertain economic events on less risky assets gives the investors possibility to obtain extraordinary returns or abnormal returns. <strong>Originality/Value</strong>: This study examines market efficiency by taking into account the systematic risk of assets that are rarely analyzed at present.</p> ]]> The Random Walk and Systematic Risk in Indonesia winston pontoh novi swandari budiarso doi: 10.32602/jafas.2023.020 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 224 10.32602/jafas.2023.020 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.020 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.019 Purpose: This article analysed the effect of macroeconomic variables on 21 DSE-listed firms from 2006 to 2021 due to past inconclusive results from other research across the globe. Methodology: Mixed-sequential explanatory research design was used. Secondary panel data were collected from DSE while qualitative data was collected via semi structured interviews. Random effect model and thematic analysis were utilized for data analysis. Findings: The study found that GDP, inflation, and money supply had significant positive coefficients, while interest rates and exchange rates had significant negative coefficients, indicating that macroeconomic conditions have a substantial effect on firm performance. Practical implications: The findings suggest that firms should proactively manage macroeconomic conditions to remain competitive and sustainable. Originality/Value: The study's uniqueness lies in its use of qualitative data to support quantitative findings and its examination of the link between macroeconomic conditions and listed firm performance in Tanzania, where little similar research has been conducted. 06-29-2023 <![CDATA[ <p style="text-align: justify"><strong>Purpose: </strong>This article analysed the effect of macroeconomic variables on 21 DSE-listed firms from 2006 to 2021 due to past inconclusive results from other research across the globe. <strong>Methodology: </strong>Mixed-sequential explanatory research design was used. Secondary panel data were collected from DSE while qualitative data was collected via semi structured interviews. Random effect model and thematic analysis were utilized for data analysis. <strong>Findings: </strong>The study found that GDP, inflation, and money supply had significant positive coefficients, while interest rates and exchange rates had significant negative coefficients, indicating that macroeconomic conditions have a substantial effect on firm performance. <strong>Practical implications: </strong>The findings suggest that firms should proactively manage macroeconomic conditions to remain competitive and sustainable. <strong>Originality/Value: </strong>The study's uniqueness lies in its use of qualitative data to support quantitative findings and its examination of the link between macroeconomic conditions and listed firm performance in Tanzania, where little similar research has been conducted.</p> ]]> Effects of Macroeconomic Variables On Performance of Listed Firms at Dar es Salaam Stock Exchange, Tanzania beny mwenda magwana ngollo amosi mwasota doi: 10.32602/jafas.2023.019 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 200 10.32602/jafas.2023.019 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.019 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.018 Purpose: The purpose of the study was to solve a real-life business problem by developing a new customised strategic cost management (SCM) model for the case study entity － a South African potato packing facility. Design/method/approach: The study followed a pragmatic philosophy where data were collected by observation and semi-structured interviews. The data focused on the following SCM techniques: Business process re-engineering, activity-based management, Kaizen costing, total quality management, and target costing. Findings: The investigation found that, except for target costing, all the SCM techniques belong in a SCM model. The investigation also revealed specific practical operational examples which were firstly analysed according to codes, and secondly aggregated, rewritten, and inductively reasoned in order to illustrate these processes in a new customised SCM model. Practical implications: After the operational processes were documented, a new customised SCM model was developed for the case study entity. The findings of the study could be helpful when other organisations manufacture, process, or pack various products to make informed management decisions. Originality/value: The value of the study lies in the likelihood to establish transferability － the process that was followed to develop a new customised SCM model could be replicated. 06-29-2023 <![CDATA[ <p style="text-align: justify"><strong>Purpose: </strong>The purpose of the study was to solve a real-life business problem by developing a new customised strategic cost management (SCM) model for the case study entity － a South African potato packing facility. <strong>Design/method/approach: </strong>The study followed a pragmatic philosophy where data were collected by observation and semi-structured interviews. The data focused on the following SCM techniques: Business process re-engineering, activity-based management, Kaizen costing, total quality management, and target costing. <strong>Findings: </strong>The investigation found that, except for target costing, all the SCM techniques belong in a SCM model. The investigation also revealed specific practical operational examples which were firstly analysed according to codes, and secondly aggregated, rewritten, and inductively reasoned in order to illustrate these processes in a new customised SCM model. <strong>Practical implications:</strong> After the operational processes were documented, a new customised SCM model was developed for the case study entity. The findings of the study could be helpful when other organisations manufacture, process, or pack various products to make informed management decisions. <strong>Originality/value: </strong>The value of the study lies in the likelihood to establish transferability － the process that was followed to develop a new customised SCM model could be replicated.</p> ]]> Developing a Strategic Cost Management Model for a Potato Packing Facility reinhardt j. hitge merwe oberholzer sanlie middelberg doi: 10.32602/jafas.2023.018 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 176 10.32602/jafas.2023.018 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.018 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.017 The fluctuation in the price of crude oil on the global market has created a lot of attention to the researchers to investigate its price movement. This study tries to address the problem of predicting crude oil prices in a situation of unusual circumstances. In this study, Box Jenkins methodology was used to analyze monthly dynamics of the Brent oil price from January 2002 to February 2022. Data were first differenced to achieve stationarity, and then ACF and residual diagnostics were utilized to choose models that were used for analysis. The performance of various models were evaluated and ARIMA (0, 1, 1) was found to be the best model for forecasting crude oil prices. This study further reveals that despite the corona virus and the Ukraine war having a considerable impact on crude oil prices, such a model is still capable of capturing the underlying volatility in crude oil prices. Oil demand suddenly decreased as a result of the corona outbreak, but then abruptly increased as a result of the conflict in Ukraine. Therefore, there is a need to update the ARIMA model in order to best predict the price of crude oil in a time of exceptional circumstances. Because of the nature of world oil market, predictions for the medium and long term are often therefore, we have limited the scope of our forecasts in this study to a single year in order to achieve the highest level of accuracy. 06-29-2023 <![CDATA[ <p>The fluctuation in the price of crude oil on the global market has created a lot of attention to the researchers to investigate its price movement. This study tries to address the problem of predicting crude oil prices in a situation of unusual circumstances. In this study, Box Jenkins methodology was used to analyze monthly dynamics of the Brent oil price from January 2002 to February 2022. Data were first differenced to achieve stationarity, and then ACF and residual diagnostics were utilized to choose models that were used for analysis. The performance of various models were evaluated and ARIMA (0, 1, 1) was found to be the best model for forecasting crude oil prices. This study further reveals that despite the corona virus and the Ukraine war having a considerable impact on crude oil prices, such a model is still capable of capturing the underlying volatility in crude oil prices. Oil demand suddenly decreased as a result of the corona outbreak, but then abruptly increased as a result of the conflict in Ukraine. Therefore, there is a need to update the ARIMA model in order to best predict the price of crude oil in a time of exceptional circumstances. Because of the nature of world oil market, predictions for the medium and long term are often therefore, we have limited the scope of our forecasts in this study to a single year in order to achieve the highest level of accuracy.</p> ]]> Forecasting Crude Oil Prices by Using ARIMA Model: Evidence from Tanzania laban gasper haika mbwambo doi: 10.32602/jafas.2023.017 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 158 10.32602/jafas.2023.017 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.017 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.016 This paper proposes a context-based framework for measuring and disclosing human capital in the financial statements of the Zimbabwean mining companies. The study was prompted by the lack of universal standardised framework that can be adopted by companies for use and existing of varied models with conflicting measurement metrics. The developed model is meant to bring harmony within the industry and across other sectors, particularly in developing countries such as Zimbabwe. This paper adopted an integrative literature review approach also known as the critical review approach in the development of the human capital measurement and disclosure framework. Corporate annual reports, existing related literature, and various human capital models were critically and systematically reviewed to conceptualise different views from various authors concerning human capital measurement and disclosure framework. A thematic analysis approach was adopted to analyse the qualitative findings. The analysis was conducted until a point of saturation was reached. The paper proposed a context-based human capital measurement and disclosure framework with six key primary factors. Furthermore, the paper proposed the measurement criteria and the disclosure requirements of the six primary factors established. The framework also acts as a starting point for human capital reporting since there is a lack of an established and generally accepted reporting framework in Zimbabwe. The benefit of this framework is that it is flexible, and it allows companies to develop human capital reporting guidelines based on key features specific to an individual company's human capital and can be applied to other similar contexts in the SADC region. This paper recommends the adoption of the human capital measurement and disclosure framework as to increase companies’ value, financial performance as well as economic growth at large. The proposed framework is envisaged to reduce information asymmetry and improve corporate governance practices for both practice and policy formulation. 06-29-2023 <![CDATA[ <p>This paper proposes a context-based framework for measuring and disclosing human capital in the financial statements of the Zimbabwean mining companies. The study was prompted by the lack of universal standardised framework that can be adopted by companies for use and existing of varied models with conflicting measurement metrics. The developed model is meant to bring harmony within the industry and across other sectors, particularly in developing countries such as Zimbabwe. This paper adopted an integrative literature review approach also known as the critical review approach in the development of the human capital measurement and disclosure framework. Corporate annual reports, existing related literature, and various human capital models were critically and systematically reviewed to conceptualise different views from various authors concerning human capital measurement and disclosure framework. A thematic analysis approach was adopted to analyse the qualitative findings. The analysis was conducted until a point of saturation was reached. The paper proposed a context-based human capital measurement and disclosure framework with six key primary factors. Furthermore, the paper proposed the measurement criteria and the disclosure requirements of the six primary factors established. The framework also acts as a starting point for human capital reporting since there is a lack of an established and generally accepted reporting framework in Zimbabwe. The benefit of this framework is that it is flexible, and it allows companies to develop human capital reporting guidelines based on key features specific to an individual company's human capital and can be applied to other similar contexts in the SADC region. This paper recommends the adoption of the human capital measurement and disclosure framework as to increase companies’ value, financial performance as well as economic growth at large. The proposed framework is envisaged to reduce information asymmetry and improve corporate governance practices for both practice and policy formulation.</p> ]]> Conceptualising a Human Capital Measurement and Reporting Framework queen mpofu favourate y sebele-mpofu doi: 10.32602/jafas.2023.016 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 137 10.32602/jafas.2023.016 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.016 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.015 Purpose: This study is set out to establish the perceptions of the Zimbabwean top management concerning the measurement and disclosure of human capital in the financial statements of listed mining companies. This study has been prompted by the fact that despite companies considering human capital as an important resource that drives value, and competitiveness and contributes to a company’s economic growth, its value remains not properly accounted for in the financial statements. This implies that human capital is not being accorded the importance it deserves in the financial statements. Methodology: This study adopted a qualitative research approach. Qualitative data were collected using semi-structured interview guides from the six largest Zimbabwean-based mining companies. The collected qualitative data was analysed through the thematic analysis process and the results established four main themes. Findings: Obtained results reveal that top management agreed that top management is of the view that human capital has a strong relationship with the value of a company and its financial performance. They also indicated that the value of a company, its competitiveness, and economic growth is largely dependent on employee competencies (skills and expertise). Recommendations: After a synthesis of results, this study suggests a context-based framework offering human capital metrics for enhancing its measurement and disclosure practices. This will help to provide a better valuation of human capital in the financial statements and also various stakeholders will be able to derive useful information for decision-making. Managerial Implications: The study gives more insight into the major roles played by the phenomenon in the achievement of companies’ strategic objectives which include value creation among others. Furthermore, it provides a better internal understanding from top management on how the companies gain competitive advantage and economic growth in the era of the fourth industrial revolution through utilisation of human capital. From the aforementioned, chances are high that the human capital reporting by the mining companies in Zimbabwe will be enhanced forthwith. 06-29-2023 <![CDATA[ <p><strong>Purpose:</strong> This study is set out to establish the perceptions of the Zimbabwean top management concerning the measurement and disclosure of human capital in the financial statements of listed mining companies. This study has been prompted by the fact that despite companies considering human capital as an important resource that drives value, and competitiveness and contributes to a company’s economic growth, its value remains not properly accounted for in the financial statements. This implies that human capital is not being accorded the importance it deserves in the financial statements. <strong>Methodology:</strong> This study adopted a qualitative research approach. Qualitative data were collected using semi-structured interview guides from the six largest Zimbabwean-based mining companies. The collected qualitative data was analysed through the thematic analysis process and the results established four main themes. <strong>Findings:</strong> Obtained results reveal that top management agreed that top management is of the view that human capital has a strong relationship with the value of a company and its financial performance. They also indicated that the value of a company, its competitiveness, and economic growth is largely dependent on employee competencies (skills and expertise). <strong>Recommendations: </strong>After a synthesis of results, this study suggests a context-based framework offering human capital metrics for enhancing its measurement and disclosure practices. This will help to provide a better valuation of human capital in the financial statements and also various stakeholders will be able to derive useful information for decision-making. <strong>Managerial Implications:</strong> The study gives more insight into the major roles played by the phenomenon in the achievement of companies’ strategic objectives which include value creation among others. Furthermore, it provides a better internal understanding from top management on how the companies gain competitive advantage and economic growth in the era of the fourth industrial revolution through utilisation of human capital. From the aforementioned, chances are high that the human capital reporting by the mining companies in Zimbabwe will be enhanced forthwith.</p> ]]> The Perspective of Top Management Towards Human Capital Measurement and Disclosure in the Zimbabwean Mining Sector queen mpofu favourate y sebele-mpofu doi: 10.32602/jafas.2023.015 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 116 10.32602/jafas.2023.015 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.015 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.014 Purpose: Traditionally, the Nigerian pension fund system was based on a defined benefit scheme for the public and private sectors and coincided with serious challenges in the payment of retirement benefits to retirees. These challenges led to the introduction of a defined contribution scheme in terms of the Pension Reforms Act. Since the management of pension fund assets is the sole responsibility of pension fund managers, there is a need to investigate the adequacy of pension fund managers’ financial performance since the change in pension fund regime. The pertinent research question in the study was: To what extent do pension cost incurred, revenue, the inflation rate and total contribution affect benefits paid and cash inflow? The extent to which federal government bonds, securities, total contribution and the inflation rate affect investment income were also examined. Methodology: Autoregressive distributed lag (ARDL) cointegration and multiple regression were used in the analysis of the data. Findings: The results of the study revealed that in both the short- term and long-term analysis, other costs incurred by pension fund management lead to lower benefits paid to retirees. Furthermore, higher administrative costs lead to higher benefits paid, given that increases in administrative costs promote higher inflow contributions, and investing in federal government bonds and, in particular, Treasury bills promotes higher investment income. Thus, securities increase investment income, and the higher the inflation rate, the higher the investment income. Originality/Value: The policy implication signifies a need to reduce pension costs incurred on pension fund management and to encourage more investment in real assets that can militate against inflation. 06-29-2023 <![CDATA[ <p><strong>Purpose:</strong> Traditionally, the Nigerian pension fund system was based on a defined benefit scheme for the public and private sectors and coincided with serious challenges in the payment of retirement benefits to retirees. These challenges led to the introduction of a defined contribution scheme in terms of the Pension Reforms Act. Since the management of pension fund assets is the sole responsibility of pension fund managers, there is a need to investigate the adequacy of pension fund managers’ financial performance since the change in pension fund regime. The pertinent research question in the study was: To what extent do pension cost incurred, revenue, the inflation rate and total contribution affect benefits paid and cash inflow? The extent to which federal government bonds, securities, total contribution and the inflation rate affect investment income were also examined. <strong>Methodology:</strong> Autoregressive distributed lag (ARDL) cointegration and multiple regression were used in the analysis of the data. <strong>Findings: </strong>The results of the study revealed that in both the short- term and long-term analysis, other costs incurred by pension fund management lead to lower benefits paid to retirees. Furthermore, higher administrative costs lead to higher benefits paid, given that increases in administrative costs promote higher inflow contributions, and investing in federal government bonds and, in particular, Treasury bills promotes higher investment income. Thus, securities increase investment income, and the higher the inflation rate, the higher the investment income. <strong>Originality/Value:</strong> The policy implication signifies a need to reduce pension costs incurred on pension fund management and to encourage more investment in real assets that can militate against inflation.</p> ]]> Financial Performance Adequacy of Pension Fund Managers in Nigeria adeoye a afolabi lourens j erasmus doi: 10.32602/jafas.2023.014 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 96 10.32602/jafas.2023.014 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.014 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.013 Purpose: Recognizing the importance of effective policymaking requires an understanding of Monetary Policy Shocks and Output Growth in Nigeria. The purpose of the paper is to examine how interest rate and exchange rate channels of the transmission mechanism affect output growth in Nigeria in response to monetary shocks.Methodology: The structural vector autoregression method is the empirical model. In the empirical analysis, quarterly data from 2000 to 2020 were used for the gross domestic product, nominal effective exchange rate, consumer price index, monetary policy rate, and open buyback.Findings: The results of the impulse response function showed that in Nigeria, monetary policy shocks are more significant because they have a long-lasting impact on growth up to the sixteenth quarter of the forecast horizon.Originality/value: The study's conclusions would enable Nigerian policymakers to anticipate consequences of monetary policy shocks through indirect demand-side Keynesian monetary policy transmission mechanism through the channels of exchange and interest rates. The study recommends that to move the economy toward pre- determined directions, monetary authorities should be cautious of the level/quantity of money in circulation rather than focusing on increasing or decreasing the monetary policy rate. 06-29-2023 <![CDATA[ <p><strong>Purpose:</strong> Recognizing the importance of effective policymaking requires an understanding of Monetary Policy Shocks and Output Growth in Nigeria. The purpose of the paper is to examine how interest rate and exchange rate channels of the transmission mechanism affect output growth in Nigeria in response to monetary shocks.</p><p><strong>Methodology: </strong>The structural vector autoregression method is the empirical model. In the empirical analysis, quarterly data from 2000 to 2020 were used for the gross domestic product, nominal effective exchange rate, consumer price index, monetary policy rate, and open buyback.</p><p><strong>Findings:</strong> The results of the impulse response function showed that in Nigeria, monetary policy shocks are more significant because they have a long-lasting impact on growth up to the sixteenth quarter of the forecast horizon.</p><p><strong>Originality/value: </strong>The study's conclusions would enable Nigerian policymakers to anticipate consequences of monetary policy shocks through indirect demand-side Keynesian monetary policy transmission mechanism through the channels of exchange and interest rates. The study recommends that to move the economy toward pre- determined directions, monetary authorities should be cautious of the level/quantity of money in circulation rather than focusing on increasing or decreasing the monetary policy rate.</p> ]]> Monetary Policy Shocks and Output Growth in Nigeria: Which Shocks are more Important? nargiza alymkulova nnaemeka .e. ohaegbu doi: 10.32602/jafas.2023.013 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 74 10.32602/jafas.2023.013 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.013 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.012 Purpose: This study aims to investigate CAMEL variables' effects on deposit money banks' share prices for twelve Nigerian banks, nine Kenyan banks, and five South African banks.Methodology: The panel regression approach was utilised to analyse the study data. The share price was measured by the total of the daily closing share price divided by the number of trading days. Capital adequacy was proxied by the equity-to-total-asset ratio, management efficiency was measured by asset turnover, earnings quality was measured by gross profit margin, and liquidity was measured by the loan-to-deposit ratio.Findings: The findings showed that asset quality positively and significantly influenced the share prices of the South African sample but had an insignificant influence on the share prices of the Nigerian sample. The managerial efficiency significantly and positively influenced the share prices of the South African sample but had an insignificant effect on the share prices of the Kenyan and Nigerian samples. Lastly, findings showed that liquidity negatively and significantly influenced the share prices of our Kenyan and Nigerian samples but had an insignificant influence on the share prices of our South African samples. Originality/Value: The study's findings will help the management of African banks make good management decisions and provide information that will help stakeholders make better investment decisions. The study sheds new insight into the impact of CAMEL variables on the share price of banks in sub-Saharan Africa. 06-29-2023 <![CDATA[ <p><strong>Purpose: </strong>This study aims to investigate CAMEL variables' effects on deposit money banks' share prices for twelve Nigerian banks, nine Kenyan banks, and five South African banks.</p><p><strong>Methodology: </strong>The panel regression approach was utilised to analyse the study data. The share price was measured by the total of the daily closing share price divided by the number of trading days. Capital adequacy was proxied by the equity-to-total-asset ratio, management efficiency was measured by asset turnover, earnings quality was measured by gross profit margin, and liquidity was measured by the loan-to-deposit ratio.</p><p><strong>Findings: </strong>The findings showed that asset quality positively and significantly influenced the share prices of the South African sample but had an insignificant influence on the share prices of the Nigerian sample. The managerial efficiency significantly and positively influenced the share prices of the South African sample but had an insignificant effect on the share prices of the Kenyan and Nigerian samples. Lastly, findings showed that liquidity negatively and significantly influenced the share prices of our Kenyan and Nigerian samples but had an insignificant influence on the share prices of our South African samples. Originality/Value: The study's findings will help the management of African banks make good management decisions and provide information that will help stakeholders make better investment decisions. The study sheds new insight into the impact of CAMEL variables on the share price of banks in sub-Saharan Africa.</p> ]]> Evaluating the Impact of CAMEL Variables on the Share Price of Banks in Sub-Sahara Africa babatunde olufemi oke henry ikechukwu onwere doi: 10.32602/jafas.2023.012 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 46 10.32602/jafas.2023.012 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.012 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.011 Purpose: The implementation of the lockdown on 28th March 2020 due to the COVID-19 pandemic disrupted business and economic activities completely, which has serious consequences for SMME survival in South Africa and the world at large. Subsequently, there was a contingent need to provide funding to SMMEs to ensure their survival. This study, therefore, explored the meaning of SMME in the South African context and their experiences during the COVID-19 pandemic. The study further investigated the palliative funds given to SMMEs during COVID-19 by the South African government, the challenges encountered during its implementation process, and the measures to improve the funding implementation.Methodology: The study adopted a qualitative research approach with an exploratory research design, and this enhanced in-depth findings through the adoption of interviews as the only source of primary data collection. Data collected from the participants were analyzed using a thematic analytical technique with the help of Atlas-ti software (Version 22).Findings: Findings obtained from the study revealed that SMMEs are separate and distinct business entities, including co-operatives and non-governmental organizations (NGOs), managed by one or more owners, including their branches and subsidiaries. Another finding revealed that during the COVID-19 period, SMMEs experienced supply chain disruptions, inventory shortages, cash flow issues, and low income due to the inability to engage in active business. In the empirical study, participants attested that the scoring system, lack of business and managerial experience, communication barriers, and business registration requirements are some of the challenges encountered in funding implementation by the government departments. Furthermore, the participants highlighted that funding based on merit, consideration of the scoring system, and the application of communication dynamics to reach SMMEs should be applied to improve SMME funding implementation.Originality/Value: This study is meant to inform the government on how to handle SMME funding and measures to assist them to enhance employment and to improve economic development. 06-29-2023 <![CDATA[ <p style="text-align: justify">Purpose: The implementation of the lockdown on 28th March 2020 due to the COVID-19 pandemic disrupted business and economic activities completely, which has serious consequences for SMME survival in South Africa and the world at large. Subsequently, there was a contingent need to provide funding to SMMEs to ensure their survival. This study, therefore, explored the meaning of SMME in the South African context and their experiences during the COVID-19 pandemic. The study further investigated the palliative funds given to SMMEs during COVID-19 by the South African government, the challenges encountered during its implementation process, and the measures to improve the funding implementation.</p><p style="text-align: justify">Methodology: The study adopted a qualitative research approach with an exploratory research design, and this enhanced in-depth findings through the adoption of interviews as the only source of primary data collection. Data collected from the participants were analyzed using a thematic analytical technique with the help of Atlas-ti software (Version 22).</p><p style="text-align: justify">Findings: Findings obtained from the study revealed that SMMEs are separate and distinct business entities, including co-operatives and non-governmental organizations (NGOs), managed by one or more owners, including their branches and subsidiaries. Another finding revealed that during the COVID-19 period, SMMEs experienced supply chain disruptions, inventory shortages, cash flow issues, and low income due to the inability to engage in active business. In the empirical study, participants attested that the scoring system, lack of business and managerial experience, communication barriers, and business registration requirements are some of the challenges encountered in funding implementation by the government departments. Furthermore, the participants highlighted that funding based on merit, consideration of the scoring system, and the application of communication dynamics to reach SMMEs should be applied to improve SMME funding implementation.</p><p style="text-align: justify">Originality/Value: This study is meant to inform the government on how to handle SMME funding and measures to assist them to enhance employment and to improve economic development.</p> ]]> South African government palliative funds for SMMEs during COVID-19: challenges of implementation and suggestions for improvement enwereji prince aluko timothy olaniyi bayai innocent doi: 10.32602/jafas.2023.011 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 18 10.32602/jafas.2023.011 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.011 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.010 Purpose: Over the years, social and environmental reporting has been marred with theories and approaches that lack guidance on how companies can simultaneously uplift lives of social and environmental stakeholders (SEs) while creating measurable economic value. Shared value creation is a new model that promotes simultaneous creation of economic, social and environmental value, in collaboration with social and environmental stakeholders (SEs). This study analyses the level at which Johannesburg Stock Exchange-listed companies (JSE) are collaborating with social and environmental stakeholders in the process of simultaneously creating economic social and environmental value. Methodology: A qualitative interpretive research methodology was used in this study. Random sampling was used for twenty-one interviews from civil society organisations that had participated in protests during the period understudy. Two hundred seventy-eight integrated reports were collected over a period of five years from top 100 JSE-listed companies as soon as they became available. Media reports sample was not predetermined but accumulated as events related to the study occurred. The study adopted grounded theory design for analysing perceptions, experiences of participants and narratives in order to socially construct reality using those interpretations. ATLAS ti software and excel was used to analyse the data. Findings: From the analysis, the study identified weaknesses in collaboration processes. From the interpretations, it emerged that JSE-listed companies intensely involve SE stakeholders in the collection of material concerns but inadequately collaborate with SE stakeholders during implementation process. Originality/Value: The study recommends an improvement in relational collaboration for empowerment of SEs. 06-29-2023 <![CDATA[ <p style="text-align: justify"><strong>Purpose:</strong> Over the years, social and environmental reporting has been marred with theories and approaches that lack guidance on how companies can simultaneously uplift lives of social and environmental stakeholders (SEs) while creating measurable economic value. Shared value creation is a new model that promotes simultaneous creation of economic, social and environmental value, in collaboration with social and environmental stakeholders (SEs). This study analyses the level at which Johannesburg Stock Exchange-listed companies (JSE) are collaborating with social and environmental stakeholders in the process of simultaneously creating economic social and environmental value. <strong>Methodology: </strong>A qualitative interpretive research methodology was used in this study. Random sampling was used for twenty-one interviews from civil society organisations that had participated in protests during the period understudy. Two hundred seventy-eight integrated reports were collected over a period of five years from top 100 JSE-listed companies as soon as they became available. Media reports sample was not predetermined but accumulated as events related to the study occurred. The study adopted grounded theory design for analysing perceptions, experiences of participants and narratives in order to socially construct reality using those interpretations. ATLAS ti software and excel was used to analyse the data. <strong>Findings:</strong> From the analysis, the study identified weaknesses in collaboration processes. From the interpretations, it emerged that JSE-listed companies intensely involve SE stakeholders in the collection of material concerns but inadequately collaborate with SE stakeholders during implementation process.<strong> Originality/Value:</strong> The study recommends an improvement in relational collaboration for empowerment of SEs.</p> ]]> An Analysis of the Level of Collaboration Between Social and Environmental Stakeholders and Johannesburg Stock Exchange-Listed Companies in Creation of Shared Value wadesango ongayi doi: 10.32602/jafas.2023.010 Journal of Accounting, Finance and Auditing Studies 06-29-2023 Journal of Accounting, Finance and Auditing Studies 06-29-2023 2023 9 2 Article 1 10.32602/jafas.2023.010 https://www.acadlore.com/article/JAFAS/2023_9_2/jafas.2023.010 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.009 Purpose: Several studies have empirically investigated and measured firm growth in different aspects. Yet, no studies in Tanzania took advantage of enterprise surveys from World bank micro data to explore the effect of contingent and institutional factors on the firm's revenue growth. This paper will fill the gap by linking revenue growth with contingent and institutional factors. Methodology: By adopting the combined data sets from the World bank enterprise survey in 2006 and 2013, this paper regresses revenue growth measured by the log percentage change of sales against different kinds of contingent and institutional factors using Pooled Ordinary Least Square model. Findings: On average, contingent factors such as competition, small size and corruption positively affect revenue growth. Moreover, firms owned by a female, pressure from government regulations, tax rates, access to finance and skilled workforce are institutional factors significantly affecting the firms' revenue growth. The robust results indicate that these factors affect firms in the service industry more. Practical implications: The paper recommends that the government should have a mutual talk with firms' owners and review the regulations for firms' operations. Financial institutions should take an opportunity by giving loans to service firms to boost their liquidity, ultimately improving their revenue. Also, firms should construct a good recruitment policy that will enable them to hire skilled workers. Originality/Value: This paper used an updated World bank enterprise survey on firms in Tanzania cities. The results are robust to different categories of firms' sectors and industries. 03-30-2023 <![CDATA[ <p><strong>Purpose:</strong> Several studies have empirically investigated and measured firm growth in different aspects. Yet, no studies in Tanzania took advantage of enterprise surveys from World bank micro data to explore the effect of contingent and institutional factors on the firm's revenue growth. This paper will fill the gap by linking revenue growth with contingent and institutional factors. <strong>Methodology:</strong> By adopting the combined data sets from the World bank enterprise survey in 2006 and 2013, this paper regresses revenue growth measured by the log percentage change of sales against different kinds of contingent and institutional factors using Pooled Ordinary Least Square model. <strong>Findings:</strong> On average, contingent factors such as competition, small size and corruption positively affect revenue growth. Moreover, firms owned by a female, pressure from government regulations, tax rates, access to finance and skilled workforce are institutional factors significantly affecting the firms' revenue growth. The robust results indicate that these factors affect firms in the service industry more. <strong>Practical implications:</strong> The paper recommends that the government should have a mutual talk with firms' owners and review the regulations for firms' operations. Financial institutions should take an opportunity by giving loans to service firms to boost their liquidity, ultimately improving their revenue. Also, firms should construct a good recruitment policy that will enable them to hire skilled workers. <strong>Originality/Value:</strong> This paper used an updated World bank enterprise survey on firms in Tanzania cities. The results are robust to different categories of firms' sectors and industries.</p> ]]> Influencing Attributes on Revenue Growth: An Empirical Analysis from SMEs in Tanzania frank a. mwombeki doi: 10.32602/jafas.2023.009 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 199 10.32602/jafas.2023.009 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.009 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.008 Purpose: This study aimed to test the relationship between corporate governance and firm performance, as well as the mediating role of board size and working capital management in the relationship. The sample in this study are manufacturing companies listed on the Indonesia Stock Exchange for the period of 2017-2021. Methodology: The panel regression method was used to analyse research data. In this study, corporate governance was proxied by independent commissioners and ownership structure, while firm performance was measured by ROA and ROE. Meanwhile, the mediating variable, board size was measured by the number of board of directors and working capital management was measured by average payment period. Findings: The results showed that independent commissioners had a significant positive effect as measured by ROA and ROE. While ownership structure also had a significant positive effect as measured by ROA. In addition, working capital management was proven to have a partial mediating role in the relationship between independent commissioners and ROA. However, working capital management was not proven to have a mediating role in the relationship between ownership structure and firm performance, and board size was also not proven to have a mediating role. Practical Implications: This study helps companies understand the significance of corporate board structure and ownership in the effort of achieving a good corporate governance to maximize firm performance. Originality/Value: This study contributes to studies on the effect of corporate governance on firm performance, where the novelty lies in working capital management and board size as mediating variables in the relationship between corporate governance and firm performance. 03-30-2023 <![CDATA[ <p><strong>Purpose:</strong> This study aimed to test the relationship between corporate governance and firm performance, as well as the mediating role of board size and working capital management in the relationship. The sample in this study are manufacturing companies listed on the Indonesia Stock Exchange for the period of 2017-2021. <strong>Methodology: </strong>The panel regression method was used to analyse research data. In this study, corporate governance was proxied by independent commissioners and ownership structure, while firm performance was measured by ROA and ROE. Meanwhile, the mediating variable, board size was measured by the number of board of directors and working capital management was measured by average payment period. <strong>Findings:</strong> The results showed that independent commissioners had a significant positive effect as measured by ROA and ROE. While ownership structure also had a significant positive effect as measured by ROA. In addition, working capital management was proven to have a partial mediating role in the relationship between independent commissioners and ROA. However, working capital management was not proven to have a mediating role in the relationship between ownership structure and firm performance, and board size was also not proven to have a mediating role. <strong>Practical Implications: </strong>This study helps companies understand the significance of corporate board structure and ownership in the effort of achieving a good corporate governance to maximize firm performance. <strong>Originality/Value:</strong> This study contributes to studies on the effect of corporate governance on firm performance, where the novelty lies in working capital management and board size as mediating variables in the relationship between corporate governance and firm performance.</p> ]]> The Mediating Role of Board Size and Working Capital Management in Corporate Governance on Firm Performance iskandar itan bella angellina doi: 10.32602/jafas.2023.008 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 172 10.32602/jafas.2023.008 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.008 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.007 Purpose: The purpose of this research is to analyze the effect of internal control and financial distress on earnings management and add the CEO’s reputation as a moderating variable. The object of this study is to determine the companies that listed on Indonesia Stock Exchanges between 2019 and 2020. The research data were tested and analyzed using panel regression analysis on SmartPLS software. Methodology: The research sample is chosen using the purposive sampling technique. Data analysis for the study employed the SmartPLS program. This research used accrual earnings management to measure the earnings management, springate model to measure financial distress, internal control index to measure internal control and CEO’s reputation index is used to measure CEO’s reputation. Findings: The research results found that financial distress and internal control positively affect earnings management. In addition, this research results also found that a CEO’s reputation can have a moderately significant and positive effect on the relationship between financial distress and earnings management. Originality/Value: This research finding is helpful for corporate governance in maximizing investment strategies. The consideration of the value of internal control is also a reference when investing. As such, it tends to assist company management in executing investment strategies to see the value of the CEO's reputation and internal controls. The novelty research provides new insight into how CEO’s reputation moderates the relationship between financial distress and earning management. 03-30-2023 <![CDATA[ <p><strong>Purpose</strong>: The purpose of this research is to analyze the effect of internal control and financial distress on earnings management and add the CEO’s reputation as a moderating variable. The object of this study is to determine the companies that listed on Indonesia Stock Exchanges between 2019 and 2020. The research data were tested and analyzed using panel regression analysis on SmartPLS software. Methodology: The research sample is chosen using the purposive sampling technique. Data analysis for the study employed the SmartPLS program. This research used accrual earnings management to measure the earnings management, springate model to measure financial distress, internal control index to measure internal control and CEO’s reputation index is used to measure CEO’s reputation. <strong>Findings</strong>: The research results found that financial distress and internal control positively affect earnings management. In addition, this research results also found that a CEO’s reputation can have a moderately significant and positive effect on the relationship between financial distress and earnings management. <strong>Originality/Value</strong>: This research finding is helpful for corporate governance in maximizing investment strategies. The consideration of the value of internal control is also a reference when investing. As such, it tends to assist company management in executing investment strategies to see the value of the CEO's reputation and internal controls. The novelty research provides new insight into how CEO’s reputation moderates the relationship between financial distress and earning management.</p> ]]> The Relation between CEO Reputation, Financial Distress, Internal Control, and Earnings Management edi edi venorika doi: 10.32602/jafas.2023.007 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 154 10.32602/jafas.2023.007 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.007 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.006 Purpose: A notable observation in the literature of financial markets is the debate on market contagion and causality. During periods of financial distress, global financial markets experience record low market prices partly due to the spread of fear. It was therefore necessary to investigate market contagions using causality relationships during periods of financial distress. Methodology: A unit root test, Granger causality and Test for equality of means was used as the blueprint. The sample periods where December 1, 2007 to June 30, 2009 and January 1, 2020 to December 31, 2021. Findings: Contrary to the perceptions that prevails in most stock markets during distress, there was little empirical evidence to support market contagions. Although very few markets are indeed related. Originality/Value: The implications of this study extends the efficient market hypothesis concept to market efficiency during periods of financial distress. It is evident that financial markets display greater efficiencies during periods of financial distress. This study is the first to investigate market contagion during periods of distress as per author’s knowledge. 03-30-2023 <![CDATA[ <p><strong>Purpose</strong>: A notable observation in the literature of financial markets is the debate on market contagion and causality. During periods of financial distress, global financial markets experience record low market prices partly due to the spread of fear. It was therefore necessary to investigate market contagions using causality relationships during periods of financial distress. <strong>Methodology</strong>: A unit root test, Granger causality and Test for equality of means was used as the blueprint. The sample periods where December 1, 2007 to June 30, 2009 and January 1, 2020 to December 31, 2021. <strong>Findings</strong>: Contrary to the perceptions that prevails in most stock markets during distress, there was little empirical evidence to support market contagions. Although very few markets are indeed related. <strong>Originality/Value</strong>: The implications of this study extends the efficient market hypothesis concept to market efficiency during periods of financial distress. It is evident that financial markets display greater efficiencies during periods of financial distress. This study is the first to investigate market contagion during periods of distress as per author’s knowledge.</p> ]]> Investigating Causality And Market Contagion During Periods Of Financial Distress And Its Implications samuel tabot enow doi: 10.32602/jafas.2023.006 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 140 10.32602/jafas.2023.006 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.006 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.005 Purpose: The financial market liquidity of an asset has always been an important concept in banking and financial markets because it keeps leveraging in check. The objective of this study was to investigate the market liquidity of the level 2B common equity in the Liquidity Coverage Ratio and Net Stable Fund Ratio. Market liquidity measures where modelled and tested empirically to validate whether the LCR and NSFR needs to be improved. Methodology: This study used a sample period from May 2016 – May 2021, and a fixed effect model to investigate the market liquidity of the selected level 2B High Quality Liquid Assets. Findings: The findings of this study indicates that the common equity securities that qualifies to be included in level 2B HQLA category lack market depth. This was evident in the significant relationship between the independent and dependent variables used in this study although there was no significant relationship between transaction cost and price effect. Therefore, there was sufficient evidence that the LCR and NSFR measures for liquidity management in the banking sector needs to be improved. Originality/Value: An improved LCR and NSFR was suggested in addition to a specialist system in order to capture the volatility of the level 2B equity securities and improve the market liquidity of these assets. As per the author’s knowledge, this study is the first study to empirically investigate the liquidity of the selected level 2B HQLAs. 03-30-2023 <![CDATA[ <p><strong>Purpose</strong>: The financial market liquidity of an asset has always been an important concept in banking and financial markets because it keeps leveraging in check. The objective of this study was to investigate the market liquidity of the level 2B common equity in the Liquidity Coverage Ratio and Net Stable Fund Ratio. Market liquidity measures where modelled and tested empirically to validate whether the LCR and NSFR needs to be improved. <strong>Methodology</strong>: This study used a sample period from May 2016 – May 2021, and a fixed effect model to investigate the market liquidity of the selected level 2B High Quality Liquid Assets. <strong>Findings</strong>: The findings of this study indicates that the common equity securities that qualifies to be included in level 2B HQLA category lack market depth. This was evident in the significant relationship between the independent and dependent variables used in this study although there was no significant relationship between transaction cost and price effect. Therefore, there was sufficient evidence that the LCR and NSFR measures for liquidity management in the banking sector needs to be improved. <strong>Originality/Value</strong>: An improved LCR and NSFR was suggested in addition to a specialist system in order to capture the volatility of the level 2B equity securities and improve the market liquidity of these assets. As per the author’s knowledge, this study is the first study to empirically investigate the liquidity of the selected level 2B HQLAs.</p> ]]> The Market Liquidity Of Designated 2B Equity Securities Under The Basel Accord: Empirical Evidence From South African Commercial Banks samuel tabot enow sophie kasse jobo dubihlela doi: 10.32602/jafas.2023.005 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 111 10.32602/jafas.2023.005 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.005 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.004 Purpose: Microcredits will remain crucial to rural households over a long period as they provide small loans to the needy, making it an essential aspect of rural finance. Due to the rural credit market's structure and financial inclusion problem, rural households often have trouble accessing microcredit. This paper analyzes the influence of financial literacy (FL) on microcredit accessibility in rural households in Tanzania. Methodology: Using a large dataset of Finscope households survey in Tanzania, a binary logit estimation technique was utilized to determine the influence of financial literacy on credit accessing decisions of rural households. In addition, a descriptive analysis was done from the selected sample. Findings: Generally, the analysis showed that financial literacy had a negative and significant effect on the micro-credit accessibility decision of rural households in Tanzania. Education level has a significant positive influence on micro-credit attaining decisions. Practical implication: The outcome of this research is helpful to policymakers and micro-credit institutions as they provide an insight into the influence of financial literacy on microcredit accessibility. The study recommends financial literacy programmes be established in rural areas to enlighten the citizens about the benefit and proper uses of borrowed money. Originality/Value: This paper used actual surveyed data from Tanzanians in all regions. The results are robust to different categories of households and control variables that can also affect micro-credit accessibility decisions. 03-30-2023 <![CDATA[ <p><strong>Purpose</strong>: Microcredits will remain crucial to rural households over a long period as they provide small loans to the needy, making it an essential aspect of rural finance. Due to the rural credit market's structure and financial inclusion problem, rural households often have trouble accessing microcredit. This paper analyzes the influence of financial literacy (FL) on microcredit accessibility in rural households in Tanzania. <strong>Methodology</strong>: Using a large dataset of Finscope households survey in Tanzania, a binary logit estimation technique was utilized to determine the influence of financial literacy on credit accessing decisions of rural households. In addition, a descriptive analysis was done from the selected sample. <strong>Findings</strong>: Generally, the analysis showed that financial literacy had a negative and significant effect on the micro-credit accessibility decision of rural households in Tanzania. Education level has a significant positive influence on micro-credit attaining decisions. <strong>Practical implication</strong>: The outcome of this research is helpful to policymakers and micro-credit institutions as they provide an insight into the influence of financial literacy on microcredit accessibility. The study recommends financial literacy programmes be established in rural areas to enlighten the citizens about the benefit and proper uses of borrowed money. <strong>Originality/Value</strong>: This paper used actual surveyed data from Tanzanians in all regions. The results are robust to different categories of households and control variables that can also affect micro-credit accessibility decisions.</p> ]]> Influence of Financial Literacy on Micro-Credit Accessibility Among Rural Households in Tanzania frank mwombeki ibrahim magwana doi: 10.32602/jafas.2023.004 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 94 10.32602/jafas.2023.004 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.004 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.003 Purpose: To analyze the usefulness or quality of annual reports formulated by the municipalities in the context of decision-making and accountability in the KwaZulu-Natal province in South Africa. Methodology: In this study, we employ a 21-index research tool designed by Beest, Braam, and Boelens (2009). Findings: The results of the study indicate that the quality of the KwaZulu-Natal municipalities' annual reports is quite satisfactory. However, there is scope for enhancement as far as the quality of the annual reports is concerned. Originality/Value: This study contributes to the current body of knowledge and further contributes to the enhancement in the usefulness and quality of financial reporting in public sector and belyond. This study has also provided a very robust plan for future researchers. 03-30-2023 <![CDATA[ <p><strong>Purpose:</strong> To analyze the usefulness or quality of annual reports formulated by the municipalities in the context of decision-making and accountability in the KwaZulu-Natal province in South Africa. <strong>Methodology:</strong> In this study, we employ a 21-index research tool designed by Beest, Braam, and Boelens (2009). <strong>Findings:</strong> The results of the study indicate that the quality of the KwaZulu-Natal municipalities' annual reports is quite satisfactory. However, there is scope for enhancement as far as the quality of the annual reports is concerned. <strong>Originality/Value:</strong> This study contributes to the current body of knowledge and further contributes to the enhancement in the usefulness and quality of financial reporting in public sector and belyond. This study has also provided a very robust plan for future researchers.</p> ]]> The Usefulness of Local Government Annual Reports for Decision-Making and Accountability Purposes in South Africa nkosinathi e. radebe mahomed razak bomi. c. nomlala jean d. mvunabandi doi: 10.32602/jafas.2023.003 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 61 10.32602/jafas.2023.003 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.003 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.002 Purpose: This study investigates accounting graduates' skills gap and the required market skills from the perception of accounting faculty and professionals in accounting firms in Saudi Arabia. It also explores the challenges accounting programmes and faculty face in due rapid changes. Methodology: The research uses a combination of methods and data sources. Findings: The findings show a gap between accounting education and the labour market demands. Accounting programs focus on technical skills and less on other general skills. Accounting graduates lack interpersonal, dialogue, and language skills. These employability skills should be integrated into accounting education to narrow the gap. The results show that the accounting graduates' willingness to learn beyond classrooms and university is one of the critical challenges to equip them with the required skills. Originality/Value: The study contributed to the understanding of the accounting education. Understanding the graduate skills gap and the challenges will be helpful to professional bodies, university administrators, business school deans, accounting faculty, careers guidance professionals in Saudi Arabia. 03-30-2023 <![CDATA[ <p><strong>Purpose:</strong> This study investigates accounting graduates' skills gap and the required market skills from the perception of accounting faculty and professionals in accounting firms in Saudi Arabia. It also explores the challenges accounting programmes and faculty face in due rapid changes. <strong>Methodology:</strong> The research uses a combination of methods and data sources. <strong>Findings:</strong> The findings show a gap between accounting education and the labour market demands. Accounting programs focus on technical skills and less on other general skills. Accounting graduates lack interpersonal, dialogue, and language skills. These employability skills should be integrated into accounting education to narrow the gap. The results show that the accounting graduates' willingness to learn beyond classrooms and university is one of the critical challenges to equip them with the required skills. <strong>Originality/Value:</strong> The study contributed to the understanding of the accounting education. Understanding the graduate skills gap and the challenges will be helpful to professional bodies, university administrators, business school deans, accounting faculty, careers guidance professionals in Saudi Arabia.</p> ]]> Expectations Gap, Market Skills, and Challenges of Accounting Education in Saudi Arabia sulaiman a. alsughayer nuha alsultan doi: 10.32602/jafas.2023.002 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 22 10.32602/jafas.2023.002 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.002 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.001 Purpose: The aim of this study is to examine the mediating role of loneliness between the internet addictions of accountants with their burnout levels. Methodology: Using the survey method, 231 responses were solicited from accountants in Turkiye. A partial least squares structural equation model was constructed in order to test both the reliability and the validity of the measurement, as well as the structural model. Findings: The results indicated that loneliness partially mediated the relationship between internet addiction with emotional exhaustion and depersonalization, and reduced personal accomplishment levels of burnout. Originality/Value: This empirical study investigates the mediating role of loneliness between internet addiction and burnout levels among accountants, using the Partial Least Squares (PLS) regression analysis approach. 03-30-2023 <![CDATA[ <p><strong>Purpose</strong>: The aim of this study is to examine the mediating role of loneliness between the internet addictions of accountants with their burnout levels. <strong>Methodology</strong>: Using the survey method, 231 responses were solicited from accountants in Turkiye. A partial least squares structural equation model was constructed in order to test both the reliability and the validity of the measurement, as well as the structural model. <strong>Findings</strong>: The results indicated that loneliness partially mediated the relationship between internet addiction with emotional exhaustion and depersonalization, and reduced personal accomplishment levels of burnout. <strong>Originality/Value</strong>: This empirical study investigates the mediating role of loneliness between internet addiction and burnout levels among accountants, using the Partial Least Squares (PLS) regression analysis approach.</p> ]]> The Mediating Role of Loneliness on the Relationship Between Internet Addiction and Burnout Levels: A PLS-SEM Approach cemil kuzey muhammet sait dinc ali haydar güngörmüş solomon antony doi: 10.32602/jafas.2023.001 Journal of Accounting, Finance and Auditing Studies 03-30-2023 Journal of Accounting, Finance and Auditing Studies 03-30-2023 2023 9 1 Article 1 10.32602/jafas.2023.001 https://www.acadlore.com/article/JAFAS/2023_9_1/jafas.2023.001 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.040 Purpose: (i) Analyze and test CEO Narcissism Against Corporate Value and Earnings Management; (ii) Analyzing and testing the effect of CEO Narcissism Intervening on Company Value and Earnings Management in Manufacturing Companies in the Industrial Sector Listed on the Indonesia Stock Exchange for period 2016-2020.Methodology: This study uses descriptive analysis, a type of quantitative research, which, when viewed from the data analysis method. The data analysis technique used in the study used linear regression. Then for the company's value using the Tobin's Q ratio and to assess the level of earnings management using the Modified Jones Model.Findings: CEO narcissism has a positive effect on firm value, which means that every increase in CEO narcissism will increase firm value. CEO narcissism has a positive and significant effect on earnings management which this result explains that every increase in CEO narration will increase earnings management. CEO narcissism has a positive and significant effect on earnings management which this result explains that every increase in CEO narration will increase earnings management.Originality/Value: This research is to have a view terms of the Effect of CEO Narcissism on Company Value and Earnings Management as an Intervening Variable in Manufacturing Companies in the Industrial Sector Listed on the Indonesia Stock Exchange for the 2016-2020 period in terms of contributions in the field of education and research results by the hypothesis, therefore That's the formulation for further research to consider the sector and additional variables. 12-30-2022 <![CDATA[ <p style="text-align: justify">Purpose: (i) Analyze and test CEO Narcissism Against Corporate Value and Earnings Management; (ii) Analyzing and testing the effect of CEO Narcissism Intervening on Company Value and Earnings Management in Manufacturing Companies in the Industrial Sector Listed on the Indonesia Stock Exchange for period 2016-2020.</p><p style="text-align: justify">Methodology: This study uses descriptive analysis, a type of quantitative research, which, when viewed from the data analysis method. The data analysis technique used in the study used linear regression. Then for the company's value using the Tobin's Q ratio and to assess the level of earnings management using the Modified Jones Model.</p><p style="text-align: justify">Findings: CEO narcissism has a positive effect on firm value, which means that every increase in CEO narcissism will increase firm value. CEO narcissism has a positive and significant effect on earnings management which this result explains that every increase in CEO narration will increase earnings management. CEO narcissism has a positive and significant effect on earnings management which this result explains that every increase in CEO narration will increase earnings management.</p><p style="text-align: justify">Originality/Value: This research is to have a view terms of the Effect of CEO Narcissism on Company Value and Earnings Management as an Intervening Variable in Manufacturing Companies in the Industrial Sector Listed on the Indonesia Stock Exchange for the 2016-2020 period in terms of contributions in the field of education and research results by the hypothesis, therefore That's the formulation for further research to consider the sector and additional variables.</p> ]]> CEO Narcissism, Company Value and Earnings Management in Industrial Sector of Indonesia intan kumala sari luk luk fuadah yusnainic doi: 10.32602/jafas.2022.040 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 334 10.32602/jafas.2022.040 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.040 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.039 Purpose: As contended in prior literature, the weekend anomaly is the tendency for financial markets or security prices to be lower on Mondays than on previous Fridays. The aim of this study was to empirically investigate the weekend anomaly in seven international financial markets namely; NASDAQ Index, CAC 40 Index, DAX Index, JPX-Nikkei Index 400, SSE Index, BIST and JSE Index. Methodology: This study made use of the F- statistics test for the most recent 5 years August 22, 2017 to August 22, 2022. Findings: Contrary to the findings in the literature, there is no evidence to support the weekend anomaly. This was evident in the p- values for the F-statistics test in all the financial markets under consideration to be statistically insignificant. Originality/Value: Although this concept may have existed, it is no longer applicable hence traders and market participants should avoid regular or pure arbitrage strategy as it may result in significant losses. As per the author’s knowledge, this study is the first to empirically investigate the weekend anomaly in seven international markets using the most recentdata. 12-30-2022 <![CDATA[ <p><strong>Purpose:</strong> As contended in prior literature, the weekend anomaly is the tendency for financial markets or security prices to be lower on Mondays than on previous Fridays. The aim of this study was to empirically investigate the weekend anomaly in seven international financial markets namely; NASDAQ Index, CAC 40 Index, DAX Index, JPX-Nikkei Index 400, SSE Index, BIST and JSE Index. <strong>Methodology:</strong> This study made use of the F- statistics test for the most recent 5 years August 22, 2017 to August 22, 2022. <strong>Findings: </strong>Contrary to the findings in the literature, there is no evidence to support the weekend anomaly. This was evident in the p- values for the F-statistics test in all the financial markets under consideration to be statistically insignificant. <strong>Originality/Value: </strong>Although this concept may have existed, it is no longer applicable hence traders and market participants should avoid regular or pure arbitrage strategy as it may result in significant losses. As per the author’s knowledge, this study is the first to empirically investigate the weekend anomaly in seven international markets using the most recentdata.</p> ]]> Investigating The Weekend Anomaly and Its Implications: Evidence From International Financial Markets samuel tabot enow doi: 10.32602/jafas.2022.039 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 322 10.32602/jafas.2022.039 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.039 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.038 Purpose: The aim of this study was to investigate the impact of monetary policy on the real sector and to assess the effectiveness of various monetary policy transmission channels in Zambia. Methodology: The Johansen cointegration approach, Error Correction Model (ECM), and Granger causality test were undertaken to achieve the study objectives. Findings: The study results reveal that economic growth proxied by Gross Domestic Product (GDP) in Zambia is negatively affected by lending rates, inflation, and an increase in private sector credit, while exchange rate and deposit rates were found to have a positive impact on the other hand. These results confirm the presence of exchange rate and credit channels of monetary policy transmission in Zambia. Originality/Value: The study contributes to the theoretical and empirical literature on the impact of monetary policy on the real sector. Further, the study provides, through the results of the study, the effectiveness of various monetary policy transmission channels in Zambia. Therefore, the study is part of the studies the Central Bank and academic institutions and research think tanks can make reference to during further research andpractice. 12-30-2022 <![CDATA[ <p><strong>Purpose: </strong>The aim of this study was to investigate the impact of monetary policy on the real sector and to assess the effectiveness of various monetary policy transmission channels in Zambia. <strong>Methodology: </strong>The Johansen cointegration approach, Error Correction Model (ECM), and Granger causality test were undertaken to achieve the study objectives. <strong>Findings: </strong>The study results reveal that economic growth proxied by Gross Domestic Product (GDP) in Zambia is negatively affected by lending rates, inflation, and an increase in private sector credit, while exchange rate and deposit rates were found to have a positive impact on the other hand. These results confirm the presence of exchange rate and credit channels of monetary policy transmission in Zambia. <strong>Originality/Value: </strong>The study contributes to the theoretical and empirical literature on the impact of monetary policy on the real sector. Further, the study provides, through the results of the study, the effectiveness of various monetary policy transmission channels in Zambia. Therefore, the study is part of the studies the Central Bank and academic institutions and research think tanks can make reference to during further research andpractice.</p> ]]> An Empirical Investigation of the Impact of Monetary Policy on Economic Growth in Zambia austin mwange doi: 10.32602/jafas.2022.038 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 306 10.32602/jafas.2022.038 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.038 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.037 Purpose: We herein investigate the effect of quality of audit on management of earnings in Nigerian listed firms by (i) ascertaining the effect of audit quality on discretionary accruals, (ii) determining the effect of audit quality on earnings smoothing, as well as (iii) establishing the effect of audit quality on earnings per share. Methodology: The study follows an ex-post facto research design. It draws data from the annual reports of 10 firms. These consisted of five financial and five non-financial firms, purposively selected for a period of 10 years (2010-2019). Descriptive and inferential analyses were employed in data analyses. Findings: The findings indicate that audit quality significantly affected earnings smoothing. Moreover, audit quality did not significantly affect discretionary accruals and earnings per share. Furthermore, it is recommended that management of firms should put in place policies for predicting earnings (in profit) to help forecast future earnings, which can be achieved by audit quality. Originality/Value: This study is meant to raise awareness on the need to improve the financial statement/reporting practices of publicly listed companies with respect to earnings management; discretionary accrual, earnings smoothing and earnings per share. It is hoped that the forwarded recommendations support the competent authorities in addressing the identified existing issues, thus enabling them to enhance the financial reporting practices and render them improved vehicles for development in publicly listed companies. 12-30-2022 <![CDATA[ <p><strong>Purpose:</strong> We herein investigate the effect of quality of audit on management of earnings in Nigerian listed firms by (i) ascertaining the effect of audit quality on discretionary accruals, (ii) determining the effect of audit quality on earnings smoothing, as well as (iii) establishing the effect of audit quality on earnings per share. <strong>Methodology: </strong>The study follows an ex-post facto research design. It draws data from the annual reports of 10 firms. These consisted of five financial and five non-financial firms, purposively selected for a period of 10 years (2010-2019). Descriptive and inferential analyses were employed in data analyses. <strong>Findings: </strong>The findings indicate that audit quality significantly affected earnings smoothing. Moreover, audit quality did not significantly affect discretionary accruals and earnings per share. Furthermore, it is recommended that management of firms should put in place policies for predicting earnings (in profit) to help forecast future earnings, which can be achieved by audit quality. <strong>Originality/Value:</strong> This study is meant to raise awareness on the need to improve the financial statement/reporting practices of publicly listed companies with respect to earnings management; discretionary accrual, earnings smoothing and earnings per share. It is hoped that the forwarded recommendations support the competent authorities in addressing the identified existing issues, thus enabling them to enhance the financial reporting practices and render them improved vehicles for development in publicly listed companies.</p> ]]> Audit Quality and Earnings Management by Listed Firms in Nigeria alu n. a. chituru shiyanbola a. alice olurin t. oluwatoyosi moses a. grace doi: 10.32602/jafas.2022.037 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 278 10.32602/jafas.2022.037 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.037 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.036 Purpose: This study aims to determine the effect of the acquisition company's managerial ability on the company's performance after mergers and acquisitions. CEO overconfidence was added as a moderating effect in this study. The sample data of this study include companies listed on the IDX that carried out corporate actions in the 2014-2018 period. Methodology: The sampling technique used is purposive sampling, and the data analysis method used is the SPSS and Smart PLS applications. This research used return-on-assets, cash flow from operations and market-to-book ratio to measeure the firm’s operational performance and buy-and-hold abnormal return to measure company’s stock return. Findings: The results of this study indicate that managerial ability affects the firm’s operational performance. This study also shows that CEO overconfidence can strengthen the relationship between managerial ability and the firm’s operational performance along with the rate of the acquiring companies stock returns. Originality/Value: The managerial implications of this study suggest that companies should prioritize CEO overconfidence in the fit-and-proper test. CEO overconfidence can bring the company forward and earn higher returns. Novelty in this study provides a new insight of corporate action that CEO overconfidence can moderate the relationship between managerial ability and the firm’s operational performance and the company's stock return. 12-30-2022 <![CDATA[ <p><strong>Purpose:</strong> This study aims to determine the effect of the acquisition company's managerial ability on the company's performance after mergers and acquisitions. CEO overconfidence was added as a moderating effect in this study. The sample data of this study include companies listed on the IDX that carried out corporate actions in the 2014-2018 period. <strong>Methodology:</strong> The sampling technique used is purposive sampling, and the data analysis method used is the SPSS and Smart PLS applications. This research used return-on-assets, cash flow from operations and market-to-book ratio to measeure the firm’s operational performance and buy-and-hold abnormal return to measure company’s stock return. <strong>Findings:</strong> The results of this study indicate that managerial ability affects the firm’s operational performance. This study also shows that CEO overconfidence can strengthen the relationship between managerial ability and the firm’s operational performance along with the rate of the acquiring companies stock returns. <strong>Originality/Value:</strong> The managerial implications of this study suggest that companies should prioritize CEO overconfidence in the fit-and-proper test. CEO overconfidence can bring the company forward and earn higher returns. Novelty in this study provides a new insight of corporate action that CEO overconfidence can moderate the relationship between managerial ability and the firm’s operational performance and the company's stock return.</p> ]]> The Role of Managerial Ability on Operational Performance and Stock Return Moderated by CEO Overconfidence edi edi ermi wijaya doi: 10.32602/jafas.2022.036 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 258 10.32602/jafas.2022.036 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.036 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.035 Since it was discovered that the main cause of market anomalies, which traditional theories are insufficient to explain, is human behavior, the eyes turned to behavioral theories have now started to search for the causes of these behavioral errors in very different disciplines. This search, which seems justified when it comes to human behavior, has pushed researchers to interdisciplinary studies and these studies have added new concepts to the literature. The Lollapalooza effect is one of these concepts. This concept, put forward by Charles Munger, can be expressed as the cause of behavioral anomalies, which are caused by the coexistence of more than one prejudice affecting human behavior, that turns the brain into mush. The aim of this study is to examine the behavioral biases of the Lollapalooza effect, as well as to demonstrate the inclusion of genetic factors for an extended Lollapalooza effect. Looking at the results of the study, it is revealed that genetic information may be one of the reasons for economic and financial decisions. In addition, although there are many studies in the literature in which cognitive errors, which occur with the effect of psychological and sociological factors, are discussed individually and their causes and results are discussed in detail, it has been revealed that the causes and consequences of considering all of them together should be investigated. Since dopamine receptor genes are known to be closely related to human behavior, it is clear that these genes can expand the limits of lollapalooza effect in financial decisions. In this way, it is revealed that the causes and consequences of investor behavior should be addressed not only psychologically, but also genetically and even neurologically. 12-30-2022 <![CDATA[ <p>Since it was discovered that the main cause of market anomalies, which traditional theories are insufficient to explain, is human behavior, the eyes turned to behavioral theories have now started to search for the causes of these behavioral errors in very different disciplines. This search, which seems justified when it comes to human behavior, has pushed researchers to interdisciplinary studies and these studies have added new concepts to the literature. The Lollapalooza effect is one of these concepts. This concept, put forward by Charles Munger, can be expressed as the cause of behavioral anomalies, which are caused by the coexistence of more than one prejudice affecting human behavior, that turns the brain into mush. The aim of this study is to examine the behavioral biases of the Lollapalooza effect, as well as to demonstrate the inclusion of genetic factors for an extended Lollapalooza effect. Looking at the results of the study, it is revealed that genetic information may be one of the reasons for economic and financial decisions. In addition, although there are many studies in the literature in which cognitive errors, which occur with the effect of psychological and sociological factors, are discussed individually and their causes and results are discussed in detail, it has been revealed that the causes and consequences of considering all of them together should be investigated. Since dopamine receptor genes are known to be closely related to human behavior, it is clear that these genes can expand the limits of lollapalooza effect in financial decisions. In this way, it is revealed that the causes and consequences of investor behavior should be addressed not only psychologically, but also genetically and even neurologically. </p> ]]> Proposal of Extended Lollapalooza Effect for Behavioral Finance: Are Dopamin Receptors a Good Candidate in Genoeconomis? sezen güngör hatice er doi: 10.32602/jafas.2022.035 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 234 10.32602/jafas.2022.035 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.035 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.034 The study sought to investigate the viability of tax e-services in ensuring tax compliance and increased revenue collection using ZIMRA Harare headquarters as a case study. Scholars shared their different ideas regarding the relationship between tax e-services and tax compliance and most of them were in agreement that the two variables yield a positive relationship. The descriptive design, which is a component of the mixed approach, was adopted since it incorporates both quantitative and qualitative approaches. Questioners and interviews were used to collect data. The results revealed that there is a positive relationship between e-filing, revenue collection and tax compliance. It emerged that e filing, tax compliance and revenue collection have a strong positive relationship. Companies should adopt the electronic tax filing system to enable better tax compliance levels and revenue collection. 12-30-2022 <![CDATA[ <p>The study sought to investigate the viability of tax e-services in ensuring tax compliance and increased revenue collection using ZIMRA Harare headquarters as a case study. Scholars shared their different ideas regarding the relationship between tax e-services and tax compliance and most of them were in agreement that the two variables yield a positive relationship. The descriptive design, which is a component of the mixed approach, was adopted since it incorporates both quantitative and qualitative approaches. Questioners and interviews were used to collect data. The results revealed that there is a positive relationship between e-filing, revenue collection and tax compliance. It emerged that e filing, tax compliance and revenue collection have a strong positive relationship. Companies should adopt the electronic tax filing system to enable better tax compliance levels and revenue collection. </p> ]]> The Viability of Tax E-services in Ensuring Taxpayer Compliance and Its Impact on Revenue Collection: A Case Study of ZIMRA faith nyaradzo mapope newman wadesango sitcha l doi: 10.32602/jafas.2022.034 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 219 10.32602/jafas.2022.034 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.034 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.033 Purpose: The Study to test the effect of integrity, objectivity and management support on the effectiveness of Internal Audit of the government sector in the Covid-19 pandemic conditions. Methodology: This study used descriptive analysis, namely the form of quantitative research that employs the Likert scale measurement when evaluated from the perspective of the data analysis method. This study used primary sources of data. In the South Sumatra region, questionnaires were distributed to government internal auditors employed by the Financial and Development Supervisory Agency (BPKP). The primary data will be collected directly from study respondents (BPKP internal auditors) by use of a questionnaire containing questions containing indications of the variables employed. In the meanwhile, secondary data included of interviews with BPKP internal auditors. Findings: Integrity has a positive and significant effect on internal audit effectiveness. The auditor performs the examination task with integrity, and the audit results will be of high quality. Integrity requires that the auditor performs all tasks with azaz honesty, without violating the principles and limits of the agreed-upon examination object, and while overcoming personal interests. Internal audit effectiveness is significantly and positively impacted by objectivity. Objectiveness is a criterion that distinguishes the auditor profession from other accounting professions. The auditor must conduct a balanced assessment and evaluation in both Covid-19 Pandemic conditions and regular conditions, so as not to be influenced by personal or third-party interests. Under normal conditions, management support has a positive but insignificant effect on the effectiveness of internal audit. However, under Pandemic Covid-19 conditions, management support has a positive and significant effect on the effectiveness of internal audit. Training, introducing new technology, providing suitable facilities, and supporting an internal audit process with a commitment to develop and communicate additional value for the success of internal audit must be provided to management support. Originality/Value: This research aims to increase the efficiency of the internal auditors of the Financial and Development Supervisory Agency (BPKP) in the South Sumatra region in terms of contributions regarding the integrity, objectivity, and support of management to the efficiency of the government sector internal audit under the COVID-19 pandemic. In accordance with the hypothesis, the formulation of the research Furthermore, it is hoped that internal auditors in BPKP in South Sumatra can increase the integrity and objectivity of internal audit by holding or involving all internal auditors in training activities, seminars, and socialization pertaining to the auditor profession, or by addressing the issues contained in this internal audit on a regular basis. 12-30-2022 <![CDATA[ <p><strong>Purpose:</strong> The Study to test the effect of integrity, objectivity and management support on the effectiveness of Internal Audit of the government sector in the Covid-19 pandemic conditions. <strong>Methodology: </strong>This study used descriptive analysis, namely the form of quantitative research that employs the Likert scale measurement when evaluated from the perspective of the data analysis method. This study used primary sources of data. In the South Sumatra region, questionnaires were distributed to government internal auditors employed by the Financial and Development Supervisory Agency (BPKP). The primary data will be collected directly from study respondents (BPKP internal auditors) by use of a questionnaire containing questions containing indications of the variables employed. In the meanwhile, secondary data included of interviews with BPKP internal auditors. <strong>Findings: </strong>Integrity has a positive and significant effect on internal audit effectiveness. The auditor performs the examination task with integrity, and the audit results will be of high quality. Integrity requires that the auditor performs all tasks with azaz honesty, without violating the principles and limits of the agreed-upon examination object, and while overcoming personal interests. Internal audit effectiveness is significantly and positively impacted by objectivity. Objectiveness is a criterion that distinguishes the auditor profession from other accounting professions. The auditor must conduct a balanced assessment and evaluation in both Covid-19 Pandemic conditions and regular conditions, so as not to be influenced by personal or third-party interests. Under normal conditions, management support has a positive but insignificant effect on the effectiveness of internal audit. However, under Pandemic Covid-19 conditions, management support has a positive and significant effect on the effectiveness of internal audit. Training, introducing new technology, providing suitable facilities, and supporting an internal audit process with a commitment to develop and communicate additional value for the success of internal audit must be provided to management support. <strong>Originality/Value: </strong>This research aims to increase the efficiency of the internal auditors of the Financial and Development Supervisory Agency (BPKP) in the South Sumatra region in terms of contributions regarding the integrity, objectivity, and support of management to the efficiency of the government sector internal audit under the COVID-19 pandemic. In accordance with the hypothesis, the formulation of the research Furthermore, it is hoped that internal auditors in BPKP in South Sumatra can increase the integrity and objectivity of internal audit by holding or involving all internal auditors in training activities, seminars, and socialization pertaining to the auditor profession, or by addressing the issues contained in this internal audit on a regular basis.</p> ]]> The Effect of Integrity, Objectivity and Management Support on the Effectiveness of Internal Audit of The Government Sector in The Covid-19 Pandemic Condition anggun soraya dyhati tertiarto wahyudi azwardi doi: 10.32602/jafas.2022.033 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 197 10.32602/jafas.2022.033 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.033 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.032 Purpose: This is a review that seeks to identify and critically analyze major emerging problems in accounting theory and practice. The paper also describes the benefits and challenges of adopting and applying the key themes. Additionally, this paper strives to recommend some viable solutions on how to address the challenges associated with each emerging problem. Methodology: Methodology: Several journal articles and other scholarly literature from databases and directories such as Google Scholar, JSTOR, Ebsco Host and ScienceDirect were the main sources of literature on this emerging topic in accounting. Findings: The survey considers the following as some of the most important emerging issues in accounting and the accounting profession. Cloud-based technology in accounting. automated accounting; outsourcing of accounting functions; Changes in accounting standards. forensic accounting; value-based accounting; big data accounting; blockchain technology in accounting; accounting with artificial intelligence; impact of Covid-19 on accounting practices and accounting professionals. Originality/Value: This paper is the result of a literature review on emerging accounting issues. This paper provides essential knowledge as business organizations seek to adapt to the new accounting regime. Knowledge and skills acquired by outlining major emerging issues in accounting. This study, through its findings, contributes to key determinants in choosing some of the new methods of performing accounting and financial functions. 12-30-2022 <![CDATA[ <p><strong>Purpose: </strong>This is a review that seeks to identify and critically analyze major emerging problems in accounting theory and practice. The paper also describes the benefits and challenges of adopting and applying the key themes. Additionally, this paper strives to recommend some viable solutions on how to address the challenges associated with each emerging problem. <strong>Methodology: </strong>Methodology: Several journal articles and other scholarly literature from databases and directories such as Google Scholar, JSTOR, Ebsco Host and ScienceDirect were the main sources of literature on this emerging topic in accounting. <strong>Findings:</strong> The survey considers the following as some of the most important emerging issues in accounting and the accounting profession. Cloud-based technology in accounting. automated accounting; outsourcing of accounting functions; Changes in accounting standards. forensic accounting; value-based accounting; big data accounting; blockchain technology in accounting; accounting with artificial intelligence; impact of Covid-19 on accounting practices and accounting professionals. <strong>Originality/Value:</strong> This paper is the result of a literature review on emerging accounting issues. This paper provides essential knowledge as business organizations seek to adapt to the new accounting regime. Knowledge and skills acquired by outlining major emerging issues in accounting. This study, through its findings, contributes to key determinants in choosing some of the new methods of performing accounting and financial functions.</p> ]]> Emerging Issues In Accounting: A Theoretical Review austin mwange moses chansa doi: 10.32602/jafas.2022.032 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 172 10.32602/jafas.2022.032 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.032 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.031 Purpose: The primary research objective was to establish how the university management used the risk register as part of the process to achieve strategic objectives, manage risk and assess performance. Methodology: The study followed a mixed-methods design. It commenced with the qualitative collection of data through the analysis of the current literature to establish whether the risk register has the characteristics of a management tool. Based on the qualitative data collection and analysis, a structured questionnaire was developed to collect quantitative data to achieve the primary research objective, namely to establish how the university’s management currently uses the risk register to achieve strategic objectives, manage risk and assess performance. Findings: The findings indicated that management realized the value of integrating strategy with risk and performance management, but not through using the risk register. Furthermore, 79.5% of the participants agreed that the risk register was populated to manage risk, 40.2% agreed that it was populated to comply with legal requirements, and 25.2% completed the risk register to comply with executive management requirements. Originality/Value: This study is meant to raise the awareness that the risk register can be used as a tool to integrate strategy and risk and performance management as it includes the strategic objectives, the risk, and the controls to prevent the risk from arising. 12-30-2022 <![CDATA[ <p>Purpose: The primary research objective was to establish how the university management used the risk register as part of the process to achieve strategic objectives, manage risk and assess performance. Methodology: The study followed a mixed-methods design. It commenced with the qualitative collection of data through the analysis of the current literature to establish whether the risk register has the characteristics of a management tool. Based on the qualitative data collection and analysis, a structured questionnaire was developed to collect quantitative data to achieve the primary research objective, namely to establish how the university’s management currently uses the risk register to achieve strategic objectives, manage risk and assess performance. Findings: The findings indicated that management realized the value of integrating strategy with risk and performance management, but not through using the risk register. Furthermore, 79.5% of the participants agreed that the risk register was populated to manage risk, 40.2% agreed that it was populated to comply with legal requirements, and 25.2% completed the risk register to comply with executive management requirements. Originality/Value: This study is meant to raise the awareness that the risk register can be used as a tool to integrate strategy and risk and performance management as it includes the strategic objectives, the risk, and the controls to prevent the risk from arising.</p> ]]> Current Use of the Risk Register to Integrate Strategy and Risk- and Performance Management: A Case of a University of Technology in South Africa louis smidt cindy pretorius d p van der nest doi: 10.32602/jafas.2022.031 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 140 10.32602/jafas.2022.031 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.031 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.030 Purpose: This study was conducted to examine the effect of CEO characteristics and firm reputation on firm performance after conducting mergers and acquisition. The object of this research is companies that carry out mergers and acquisitions listed on the Indonesia Stock Exchange (IDX) from 2014-2018. Design/methodology/approach: In selecting the sample, this research used a purposive sampling method. This study uses the SmartPLS program to analyze the data. Company performance is measured by Buy and Hold Abnormal Return. This study uses acquisition experience, previous acquisitions with positive performance, average acquisitions, acquisition success rate, experience in acquiring the same industry, and political connections to measure CEO characteristics. The Firm Reputation is measured by price earning ratio. Findings: The results of this research indicate that choosing a CEO who has high experience, knowledge, and capability will increase the firm's reputation and performance. Practical implications: The findings in this study will greatly help management to maximize the firm's performance when conducting mergers and acquisitions and management can also minimize failures by choosing a CEO who has the capability and is more experienced. Originality/value: The novelty of this research is implementing the theory of hubris and RBV by adding firm reputation as a mediating variable that strengthens the relationship between CEO characteristics and CEO political connections on firm performance after mergers and acquisitions. 12-30-2022 <![CDATA[ <p>Purpose: This study was conducted to examine the effect of CEO characteristics and firm reputation on firm performance after conducting mergers and acquisition. The object of this research is companies that carry out mergers and acquisitions listed on the Indonesia Stock Exchange (IDX) from 2014-2018. Design/methodology/approach: In selecting the sample, this research used a purposive sampling method. This study uses the SmartPLS program to analyze the data. Company performance is measured by Buy and Hold Abnormal Return. This study uses acquisition experience, previous acquisitions with positive performance, average acquisitions, acquisition success rate, experience in acquiring the same industry, and political connections to measure CEO characteristics. The Firm Reputation is measured by price earning ratio. Findings: The results of this research indicate that choosing a CEO who has high experience, knowledge, and capability will increase the firm's reputation and performance. Practical implications: The findings in this study will greatly help management to maximize the firm's performance when conducting mergers and acquisitions and management can also minimize failures by choosing a CEO who has the capability and is more experienced. Originality/value: The novelty of this research is implementing the theory of hubris and RBV by adding firm reputation as a mediating variable that strengthens the relationship between CEO characteristics and CEO political connections on firm performance after mergers and acquisitions.</p> ]]> The Role of Firm Reputation Between The Relationship of CEO Characteristics and Firm Performance After Merger and Acquisition edi edi nur hidayah doi: 10.32602/jafas.2022.030 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 117 10.32602/jafas.2022.030 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.030 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.029 Purpose: Reporting is one of the most basic functions of the accounting information system. Financial information of entities is transferred to financial statement users through the reporting function. Also, the audit process, which ensures the reliability of the accounting information system, ends with reporting. In today’s world with the changes in the economic, cultural, social, and technological areas, the standard reporting approach has changed, the scope of reporting activities has expanded and the diversity of the items to be reported has increased. This study aims to consider the matter of irony caused by these changes in the nature of financial reporting system and make a propasal to this matter. Methodology: This study was based on theoretical research. Research papers prepared and issued by big four audit companies and information obtained from literature were used in the study. In the scope of the study, changing reporting approaches and new types of reportings were considered based on the changes in the reporting function which is one of the main functions of accounting and auditing and a matter of irony in the nature of the financial reporting system that caused by these changes was discussed, theoretically. Findings: Recommendations and proposals were presented at the end of the study for dealing with the matter of irony in the financial reporting system. Originality/Value: Unlike the previous studies in the literature which focused on changes, advantages, and usefulness of new reporting approaches and new trends in reporting systems, this study focused on raising awareness of problems of new reporting approaches and trends and attracting attention to a matter of irony caused by these approaches and trends in the reporting system. 12-30-2022 <![CDATA[ <p><strong>Purpose: </strong>Reporting is one of the most basic functions of the accounting information system. Financial information of entities is transferred to financial statement users through the reporting function. Also, the audit process, which ensures the reliability of the accounting information system, ends with reporting. In today’s world with the changes in the economic, cultural, social, and technological areas, the standard reporting approach has changed, the scope of reporting activities has expanded and the diversity of the items to be reported has increased. This study aims to consider the matter of irony caused by these changes in the nature of financial reporting system and make a propasal to this matter. <strong>Methodology:</strong> This study was based on theoretical research. Research papers prepared and issued by big four audit companies and information obtained from literature were used in the study. In the scope of the study, changing reporting approaches and new types of reportings were considered based on the changes in the reporting function which is one of the main functions of accounting and auditing and a matter of irony in the nature of the financial reporting system that caused by these changes was discussed, theoretically. <strong>Findings:</strong> Recommendations and proposals were presented at the end of the study for dealing with the matter of irony in the financial reporting system. <strong>Originality/Value: </strong>Unlike the previous studies in the literature which focused on changes, advantages, and usefulness of new reporting approaches and new trends in reporting systems, this study focused on raising awareness of problems of new reporting approaches and trends and attracting attention to a matter of irony caused by these approaches and trends in the reporting system.</p> ]]> The Irony of Financial Reporting n. gözde bircan doi: 10.32602/jafas.2022.029 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 98 10.32602/jafas.2022.029 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.029 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.028 Purpose: In recent years, businesses that have been faced with a very meticulous and much more demanding consumer group tend to include consumers in the marketing and production processes of the goods and services they produce. They feel that they are more interested in, owning more, and valuing more of the things that have contributed to the creation of customers. The IKEA effect, which emerged with the idea that not only consuming but also producing creates a great sense of pleasure in people, is a cognitive bias. What makes the IKEA effect interesting, which has three main principles: “need for competence”, “justification of effort” and “endowment effect”, is that one thinks that labor alone is enough to increase the value of the product. The main purpose of this study, which distinguishes it from other similar studies, is to measure the IKEA effect of an individual against someone else's effort. Design/methodology/approach: This study is a research article that includes an extensive literature review. Findings: The results show that people value not only their own efforts but also the efforts of others, and in this way, they are exposed to the IKEA effect. Originality/value: What distinguishes this study from other similar studies is that it measures the IKEA effect of the individual against someone else's effort. In addition, the participants were asked the questions about “liking, difficulty, entertainment, talent and disposition” about the product they made, and it was also tried to determine to what extent they were exposed to the IKEA effect. 12-30-2022 <![CDATA[ <p>Purpose: In recent years, businesses that have been faced with a very meticulous and much more demanding consumer group tend to include consumers in the marketing and production processes of the goods and services they produce. They feel that they are more interested in, owning more, and valuing more of the things that have contributed to the creation of customers. The IKEA effect, which emerged with the idea that not only consuming but also producing creates a great sense of pleasure in people, is a cognitive bias. What makes the IKEA effect interesting, which has three main principles: “need for competence”, “justification of effort” and “endowment effect”, is that one thinks that labor alone is enough to increase the value of the product. The main purpose of this study, which distinguishes it from other similar studies, is to measure the IKEA effect of an individual against someone else's effort. Design/methodology/approach: This study is a research article that includes an extensive literature review. Findings: The results show that people value not only their own efforts but also the efforts of others, and in this way, they are exposed to the IKEA effect. Originality/value: What distinguishes this study from other similar studies is that it measures the IKEA effect of the individual against someone else's effort. In addition, the participants were asked the questions about “liking, difficulty, entertainment, talent and disposition” about the product they made, and it was also tried to determine to what extent they were exposed to the IKEA effect.</p> ]]> Looking at the IKEA Effect with Someone Else's Labor: Do the Values We Set for Our Work and Someone Else's Work Differentiate? kader erol doi: 10.32602/jafas.2022.028 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 82 10.32602/jafas.2022.028 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.028 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.027 Purpose: This desktop study sought to investigate the impact of IMTT on performance of SMEs. Methodology: Documentary research approach, which consists of reviewing, analysing and examining information, recorded media and texts were adopted for the study. In terms of data collection, the authors sourced and reviewed literature on the topic. Among others, these sources included journal articles, books, magazines and newspapers. Findings: The study revealed that IMTT has negative impact on frequency of transactions and that transactions increased where they were below minimum threshold. Furthermore, it emerged that IMTT has negative impact on suppliers’ payments and that suppliers’ payments were delayed and use of cash was urged due to IMTT. In the same vein, the study showed that IMTT has negative impact on firm performance meaning that profitability decreased due to the adoption of IMTT. Originality/Value: Management should try to minimize frequency of transactions by weighing the benefits with the costs of paying taxes. In addition, financial performance should be enhanced by focusing on proper pricing and cost minimization. The suppliers’ payment should be done on timely fashion to maintain constant supply and good relations rather than practicing tax avoidance. 12-30-2022 <![CDATA[ <p><strong>Purpose: </strong>This desktop study sought to investigate the impact of IMTT on performance of SMEs. <strong>Methodology:</strong> Documentary research approach, which consists of reviewing, analysing and examining information, recorded media and texts were adopted for the study. In terms of data collection, the authors sourced and reviewed literature on the topic. Among others, these sources included journal articles, books, magazines and newspapers. <strong>Findings:</strong> The study revealed that IMTT has negative impact on frequency of transactions and that transactions increased where they were below minimum threshold. Furthermore, it emerged that IMTT has negative impact on suppliers’ payments and that suppliers’ payments were delayed and use of cash was urged due to IMTT. In the same vein, the study showed that IMTT has negative impact on firm performance meaning that profitability decreased due to the adoption of IMTT. <strong>Originality/Value: </strong>Management should try to minimize frequency of transactions by weighing the benefits with the costs of paying taxes. In addition, financial performance should be enhanced by focusing on proper pricing and cost minimization. The suppliers’ payment should be done on timely fashion to maintain constant supply and good relations rather than practicing tax avoidance.</p> ]]> Literature Review of the Impact of Intermediate Money Transfer Tax (IMTT) On Performance of SMES vimbainashe chizana newman wadesango doi: 10.32602/jafas.2022.027 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 59 10.32602/jafas.2022.027 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.027 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.026 Purpose: To ascertain whether there are relationships among occupational fraud risk evident in fast-moving-consumer-goods South African SMMEs, these business entities’ economic sustainability and the key characteristics of employees. Methodology: Empirical and exploratory research, complemented by survey research. A quantitative research methodology was used to collect and analyse data from 120 members of management of South African SMMEs who had to adhere to relevant delineation criteria. Findings: Statistically significant relationships were found to exist between the economic sustainability of SMMEs and key employee characteristics; between occupational fraud risks. In addition, some variables were found to predict others. Originality/Value: The study provides new perspectives on phenomena which can be tested through empirical research. 12-30-2022 <![CDATA[ <p><strong>Purpose: </strong>To ascertain whether there are relationships among occupational fraud risk evident in fast-moving-consumer-goods South African SMMEs, these business entities’ economic sustainability and the key characteristics of employees. <strong>Methodology:</strong> Empirical and exploratory research, complemented by survey research. A quantitative research methodology was used to collect and analyse data from 120 members of management of South African SMMEs who had to adhere to relevant delineation criteria. <strong>Findings: </strong>Statistically significant relationships were found to exist between the economic sustainability of SMMEs and key employee characteristics; between occupational fraud risks. In addition, some variables were found to predict others. <strong>Originality/Value: </strong>The study provides new perspectives on phenomena which can be tested through empirical research.</p> ]]> The Perceptions of South African Small, Medium and Micro Enterprise Management on Occupational Fraud Risk, Economic Sustainability and Key Employee Characteristics: What are the Relationships? juan-pierré bruwer ashwin petersen doi: 10.32602/jafas.2022.026 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 29 10.32602/jafas.2022.026 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.026 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.025 Purpose: Transfer pricing has largely been viewed in the context of cross- border transactions of multinational enterprises. Zimbabwe recently revised its transfer pricing rules to include domestic transactions. This study sought to explore the challenges and implications of transfer pricing legislation for SMEs. Methodology: A qualitative inquiry is applied with the use of in-depth interviews and a questionnaire survey. Thematic analysis was used to analyse both interview and questionnaire data. Findings: The findings revealed that the paradox of observing fairness as a canon of taxation by equally taxing domestic and cross-border transactions has both economic and social implications for the Zimbabwean economy. It was evident that SMEs find themselves unduly burdened with compliance costs, capacity limitations as well as knowledge constraints in complying with the rules. Originality or Value: The implications of transfer pricing rules on SMEs have not been explored in the Zimbabwean context. The study explores a critical sector that has often been neglected in the transfer pricing discourse. It recommends that the government revisit the applicability of domestic transfer pricing legislation to SMEs. 12-30-2022 <![CDATA[ <p><strong>Purpose: </strong>Transfer pricing has largely been viewed in the context of cross- border transactions of multinational enterprises. Zimbabwe recently revised its transfer pricing rules to include domestic transactions. This study sought to explore the challenges and implications of transfer pricing legislation for SMEs.<strong> Methodology: </strong>A qualitative inquiry is applied with the use of in-depth interviews and a questionnaire survey. Thematic analysis was used to analyse both interview and questionnaire data. <strong>Findings:</strong> The findings revealed that the paradox of observing fairness as a canon of taxation by equally taxing domestic and cross-border transactions has both economic and social implications for the Zimbabwean economy. It was evident that SMEs find themselves unduly burdened with compliance costs, capacity limitations as well as knowledge constraints in complying with the rules. <strong>Originality or Value: </strong>The implications of transfer pricing rules on SMEs have not been explored in the Zimbabwean context. The study explores a critical sector that has often been neglected in the transfer pricing discourse. It recommends that the government revisit the applicability of domestic transfer pricing legislation to SMEs.</p> ]]> Challenges and Implications of Applying the Zimbabwean Domestic Transfer Pricing Rules: An SME Perspective eukeria wealth joseph o akande favourate y mpofu doi: 10.32602/jafas.2022.025 Journal of Accounting, Finance and Auditing Studies 12-30-2022 Journal of Accounting, Finance and Auditing Studies 12-30-2022 2022 8 4 Article 1 10.32602/jafas.2022.025 https://www.acadlore.com/article/JAFAS/2022_8_4/jafas.2022.025 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.024 Purpose: (i) Analyze and test the effect of auditor independence and complexity on audit quality; (ii) Analyze and test the effect of auditor reputation in mediating independence and audit quality. Methodology: This study uses descriptive analysis, a type of quantitative research, which, when viewed from the data analysis method used, uses a Likert scale measurement. This study uses primary data sources. The survey method is distributing questionnaires to auditors who work at BPK RI Representatives of South Sumatra. Findings: Audit independence has a positive and significant effect on audit quality. the increasing independence of auditors will improve audit quality, audit independence has a positive and significant effect on the reputation of the institution. This is with increasing auditor independence will improve the reputation of the institution, the complexity of the audit has a positive and significant effect on audit quality means that every increase in audit complexity will improve audit quality, audit complexity has a positive and significant impact on the reputation of the institution. This condition means that every increase in audit complexity will increase the reputation of the institution. , Audit quality has a positive and significant effect on the reputation of the institution. The condition means that every increase in audit quality will improve the reputation of the institution. Originality/Value: This study is to improve the quality of the financial auditing agency in the South Sumatra region in terms of contributions regarding the independence and complexity of auditors on audit quality and their impact on the reputation of the auditor institution where it is necessary to increase audit complexity in connection with improving audit quality in addition to audit complexity. in accordance with the hypothesis, therefore the formulation of further research for. The recommendations are expected to be why audit complexity is proven to provide an increase in audit quality and not the other way around. As for the variables of independence and audit quality, it is proven to have a positive effect on the reputation of the institution, thus recommendations to the agency to improve the reputation of the institution in terms of independence and audit quality. 09-29-2022 <![CDATA[ <p><strong>Purpose:</strong> (i) Analyze and test the effect of auditor independence and complexity on audit quality; (ii) Analyze and test the effect of auditor reputation in mediating independence and audit quality. <strong>Methodology: </strong>This study uses descriptive analysis, a type of quantitative research, which, when viewed from the data analysis method used, uses a Likert scale measurement. This study uses primary data sources. The survey method is distributing questionnaires to auditors who work at BPK RI Representatives of South Sumatra. <strong>Findings:</strong> Audit independence has a positive and significant effect on audit quality. the increasing independence of auditors will improve audit quality, audit independence has a positive and significant effect on the reputation of the institution. This is with increasing auditor independence will improve the reputation of the institution, the complexity of the audit has a positive and significant effect on audit quality means that every increase in audit complexity will improve audit quality, audit complexity has a positive and significant impact on the reputation of the institution. This condition means that every increase in audit complexity will increase the reputation of the institution. , Audit quality has a positive and significant effect on the reputation of the institution. The condition means that every increase in audit quality will improve the reputation of the institution. <strong>Originality/Value: </strong>This study is to improve the quality of the financial auditing agency in the South Sumatra region in terms of contributions regarding the independence and complexity of auditors on audit quality and their impact on the reputation of the auditor institution where it is necessary to increase audit complexity in connection with improving audit quality in addition to audit complexity. in accordance with the hypothesis, therefore the formulation of further research for. The recommendations are expected to be why audit complexity is proven to provide an increase in audit quality and not the other way around. As for the variables of independence and audit quality, it is proven to have a positive effect on the reputation of the institution, thus recommendations to the agency to improve the reputation of the institution in terms of independence and audit quality.</p> ]]> The Effect of Auditor Independence and Complexity on Audit Quality and Its Impact on the Reputation of the Auditor Institution – Survey of the Supreme Audit Agency (BPK) Representative of South Sumatra heni hafizah tertiarto wahyudi azwardi doi: 10.32602/jafas.2022.024 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 210 10.32602/jafas.2022.024 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.024 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.023 Purpose: The accelerated process of digitalization is a challenge, and at the same time an opportunity to apply modern and practical solutions in audit engagements. The purpose of this paper is to elaborate the application of big data and data analytics as one of the most advanced disruptive technologies in public sector auditing. Methodology: Qualitative and quantitative research was made on big data and data analytics as technologies that can modernize public sector auditing in Republic of North Macedonia. A survey method was used to identify the perception and attitude of the public sector auditors who are part of the State Audit Office and the internal auditors in public sector departments. The processing of the collected data was done through several statistical methods and tests, using SPSS software. Findings: In general, our research shows the positive attitude and perception of public sector auditors in the Macedonian practice for modernization and automation through the application of advanced data analytics tools in current and future audit engagements. Originality/Value: To the best of our knowledge, this paper is the only one that explores the potential of big data and data analytics technologies in Macedonian practice and presents early results that provide a good basis for further in-depth research. 09-29-2022 <![CDATA[ <p><strong>Purpose:</strong> The accelerated process of digitalization is a challenge, and at the same time an opportunity to apply modern and practical solutions in audit engagements. The purpose of this paper is to elaborate the application of big data and data analytics as one of the most advanced disruptive technologies in public sector auditing. <strong>Methodology:</strong> Qualitative and quantitative research was made on big data and data analytics as technologies that can modernize public sector auditing in Republic of North Macedonia. A survey method was used to identify the perception and attitude of the public sector auditors who are part of the State Audit Office and the internal auditors in public sector departments. The processing of the collected data was done through several statistical methods and tests, using SPSS software. <strong>Findings:</strong> In general, our research shows the positive attitude and perception of public sector auditors in the Macedonian practice for modernization and automation through the application of advanced data analytics tools in current and future audit engagements. <strong>Originality/Value: </strong>To the best of our knowledge, this paper is the only one that explores the potential of big data and data analytics technologies in Macedonian practice and presents early results that provide a good basis for further in-depth research.</p> ]]> How to Improve Performance in Public Sector Auditing Through the Power of Big Data and Data Analytics? – The Case of the Republic of North Macedonia zorica bozhinovska lazarevska todor tocev ivan dionisijev doi: 10.32602/jafas.2022.023 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 187 10.32602/jafas.2022.023 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.023 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.022 Purpose: The equity premium influences investors' investing decisions, as well as their savings, spending habits, and portfolio allocation between risk-free and risky assets. Researchers have used different economic variables as potential predictors of the equity premium. However, research on determinants of equity risk premiums in emerging markets is less studied. This study aims at investigating the influence of fundamental (debt/equity ratio, dividend pay-out ratio), stock market (beta, stocks price volatility, liquidity), and macroeconomics factors (inflation and exchange rate) on the equity premium in Indonesia.Methodology: Data was collected from a 213 sample of stocks listed in the Indonesia Stock Market for January 2007 to December 2014. Data panel regression was performed to evaluate the impact of fundamental and stock market factors, measured in 16 semesters. Time-series regression was conducted to assess the impact of macro- economic factors, measured monthly.Findings: We find that debt ratio, dividend ratio, beta, stock prices volatility, and exchange rate are positively related to the equity premium while inflation had a negative relationship. Stocks liquidity did not play a significant role in explaining the equity premium.Originality/Value: This study offers insights for investors to determine reasonable returns based on information about the significant determinants in the Indonesia Stock Market. 09-29-2022 <![CDATA[ <p><strong>Purpose: </strong>The equity premium influences investors' investing decisions, as well as their savings, spending habits, and portfolio allocation between risk-free and risky assets. Researchers have used different economic variables as potential predictors of the equity premium. However, research on determinants of equity risk premiums in emerging markets is less studied. This study aims at investigating the influence of fundamental (debt/equity ratio, dividend pay-out ratio), stock market (beta, stocks price volatility, liquidity), and macroeconomics factors (inflation and exchange rate) on the equity premium in Indonesia.</p><p><strong>Methodology:</strong> Data was collected from a 213 sample of stocks listed in the Indonesia Stock Market for January 2007 to December 2014. Data panel regression was performed to evaluate the impact of fundamental and stock market factors, measured in 16 semesters. Time-series regression was conducted to assess the impact of macro- economic factors, measured monthly.</p><p><strong>Findings:</strong> We find that debt ratio, dividend ratio, beta, stock prices volatility, and exchange rate are positively related to the equity premium while inflation had a negative relationship. Stocks liquidity did not play a significant role in explaining the equity premium.</p><p><strong>Originality/Value:</strong> This study offers insights for investors to determine reasonable returns based on information about the significant determinants in the Indonesia Stock Market.</p> ]]> Fundamental, Stock Market, and Macroeconomic Factors on Equity Premium – Evidence from Indonesia Stock Exchange basri basri hadri kusuma zainal arifin dwipraptono agus hardjito doi: 10.32602/jafas.2022.022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 161 10.32602/jafas.2022.022 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.022 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.021 Purpose: W The objectives of the paper are to assess the effectiveness of mergers and acquisitions (M&A) in Maltese listed companies on acquirers’ financial performance, to examine the market reactions to M&A announcements and to seek to obtain further insights on the perceived value arising from M&A activity.Methodology: The methodology involved an Event Study on acquirers’ share price movements and semi-structured interviews with relevant company representatives and Maltese stockbrokers.Findings: The findings of the paper indicate that the few M&A cases wherein profitability -measured by growth in earnings before EBITDA - was enhanced and operational efficiency was improved took sound financing decisions despite facing challenging circumstances. The Maltese market was generally non-reactive within relatively short timeframes around announcements although with positive reactions within longer estimation periods. Furthermore, the perceived value by acquirers and stockbrokers varied considerably, yet such value was commonly attributed to effective due diligence and successful integration. The study therefore concludes that recent M& A activity in Malta has often been limited in its effectiveness towards enhancing shareholder value.Originality/Value: the paper provides both corporate managers and stockbrokers with insights into M&A activity particularly in a small-state market. 09-29-2022 <![CDATA[ <p><strong>Purpose:</strong> W The objectives of the paper are to assess the effectiveness of mergers and acquisitions (M&A) in Maltese listed companies on acquirers’ financial performance, to examine the market reactions to M&A announcements and to seek to obtain further insights on the perceived value arising from M&A activity.</p><p><strong>Methodology:</strong> The methodology involved an Event Study on acquirers’ share price movements and semi-structured interviews with relevant company representatives and Maltese stockbrokers.</p><p><strong>Findings:</strong> The findings of the paper indicate that the few M&A cases wherein profitability -measured by growth in earnings before EBITDA - was enhanced and operational efficiency was improved took sound financing decisions despite facing challenging circumstances. The Maltese market was generally non-reactive within relatively short timeframes around announcements although with positive reactions within longer estimation periods. Furthermore, the perceived value by acquirers and stockbrokers varied considerably, yet such value was commonly attributed to effective due diligence and successful integration. The study therefore concludes that recent M& A activity in Malta has often been limited in its effectiveness towards enhancing shareholder value.</p><p><strong>Originality/Value:</strong> the paper provides both corporate managers and stockbrokers with insights into M&A activity particularly in a small-state market.</p> ]]> Effectiveness of Mergers and Acquisitions in Maltese Listed Companies: Financial Performance, Market Reactions and Shareholder Value peter j. baldacchino amy camilleri anna magrin simon grima doi: 10.32602/jafas.2022.021 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 141 10.32602/jafas.2022.021 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.021 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.020 Purpose: Starting from the goal of economic development associated with environmental protection activities, this study examines the factors affecting the application of environmental accounting (EA) in manufacturing enterprises in Vietnam.Methodology: This study is conducted using a combination of qualitative research methods (review of previous theories and research papers related to the research) and a quantitative research model (testing the degree of the appropriateness of the scale and the theoretical model through Cronbach's Alpha reliability coefficient, exploratory factor analysis (EFA), multivariable regression analysis to determine the relationship between factors affecting the application environmental accounting in manufacturing enterprises in Vietnam.Results: Multivariable regression analysis shows that all factors (six factors) included in the study have an impact on the application of environmental accounting in manufacturing enterprises in Vietnam. Which stakeholder pressure has the strongest impact and financial resources have the weakest effect on the application of EA in these enterprises.Originality/Value: This study provides empirical evidence about the impact of each factor on the application of environmental accounting, thereby helping state management agencies, professional associations, and businesses in the process of developing and promulgating policies affecting these factors to promote the application of environmental accounting in Vietnamese enterprises. 09-29-2022 <![CDATA[ <p style="text-align: justify">Purpose: Starting from the goal of economic development associated with environmental protection activities, this study examines the factors affecting the application of environmental accounting (EA) in manufacturing enterprises in Vietnam.</p><p style="text-align: justify">Methodology: This study is conducted using a combination of qualitative research methods (review of previous theories and research papers related to the research) and a quantitative research model (testing the degree of the appropriateness of the scale and the theoretical model through Cronbach's Alpha reliability coefficient, exploratory factor analysis (EFA), multivariable regression analysis to determine the relationship between factors affecting the application environmental accounting in manufacturing enterprises in Vietnam.</p><p style="text-align: justify">Results: Multivariable regression analysis shows that all factors (six factors) included in the study have an impact on the application of environmental accounting in manufacturing enterprises in Vietnam. Which stakeholder pressure has the strongest impact and financial resources have the weakest effect on the application of EA in these enterprises.</p><p style="text-align: justify">Originality/Value: This study provides empirical evidence about the impact of each factor on the application of environmental accounting, thereby helping state management agencies, professional associations, and businesses in the process of developing and promulgating policies affecting these factors to promote the application of environmental accounting in Vietnamese enterprises.</p> ]]> Factors Affecting the Application of Environmental Accounting in Manufacturing Enterprises in Vietnam thi kim xuyen dinh thanh dat nguyen thu hien nguyen doi: 10.32602/jafas.2022.020 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 115 10.32602/jafas.2022.020 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.020 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.019 Purpose: Audit failures around the world, have contributed to high-profile corporate scandals, severely impeding global economic growth. We investigate the extent to which the public trust, the public interest and the audit expectation gap, impact global financial stability and economic growth, contributing to understanding the purpose of external oversight over audit activities. These critical components of the audit environment, represent the essential elements necessary for regulating the global audit profession.Methodology: The proportion of revenue derived from audit services and non-audit services of the big four audit firms, is used as a proxy to measure the ‘audit expectation gap’. The resultant ‘audit expectation gap’ for the period 2005 to 2020, is juxtaposed against the global GDP growth for the same period, supporting the conceptual assertion that proper regulation of the audit expectation gap enables a stable financial environment, conducive for promoting economic growth.Findings: The study finds that the audit expectation gap increases during stable economic conditions, as illustrated by the reduction in the proportion of audit revenue to non-audit revenue, conversely reducing during volatile economic conditions.Originality/Value: This paper which uses the audit expectation gap as a proxy for the demand of audit services, contributes to understanding the dynamic relationship between the audit expectation gap and global economic growth, as well as the crucial role of external oversight over audit activities. 09-29-2022 <![CDATA[ <p>Purpose: Audit failures around the world, have contributed to high-profile corporate scandals, severely impeding global economic growth. We investigate the extent to which the public trust, the public interest and the audit expectation gap, impact global financial stability and economic growth, contributing to understanding the purpose of external oversight over audit activities. These critical components of the audit environment, represent the essential elements necessary for regulating the global audit profession.</p><p>Methodology: The proportion of revenue derived from audit services and non-audit services of the big four audit firms, is used as a proxy to measure the ‘audit expectation gap’. The resultant ‘audit expectation gap’ for the period 2005 to 2020, is juxtaposed against the global GDP growth for the same period, supporting the conceptual assertion that proper regulation of the audit expectation gap enables a stable financial environment, conducive for promoting economic growth.</p><p>Findings: The study finds that the audit expectation gap increases during stable economic conditions, as illustrated by the reduction in the proportion of audit revenue to non-audit revenue, conversely reducing during volatile economic conditions.</p><p>Originality/Value: This paper which uses the audit expectation gap as a proxy for the demand of audit services, contributes to understanding the dynamic relationship between the audit expectation gap and global economic growth, as well as the crucial role of external oversight over audit activities.</p> ]]> The Audit Regulatory Dilemma – Should Audit Regulatory Authorities Focus on Regulating the Audit Expectation Gap? darko barry ackers doi: 10.32602/jafas.2022.019 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 86 10.32602/jafas.2022.019 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.019 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.018 Purpose: This study was carried out to analyse the impact of Covid- 19 Lockdown towards working capital management and profitability of companies in Zimbabwe. The main complications faced were loss of market whilst operational costs remained on the same level. Enforcement of lockdown regulations such as curfews and intercity travel bans posed a threat in profit statuses of many firms. A challenge also faced was reduction of workforce to meet World Health Organisation requirements of social distancing and health safety protocols.Methodology: Documentary research approach, which consists of reviewing, analysing, and examining information, recorded media and texts was adopted for the study. In terms of data collection, the authors sourced and reviewed literature on the topic. Among others, these sources included journal articles, books, magazines, and newspapers.Findings: The research found that effective working capital management techniques had to be applied to continue operations. It also emerged that sudden increase in debtors would result in cash shortages to fund other operations and pay the current liabilities.Originality value: The research will bring light to assist financial managers on ways that they can effectively manage their working capital during lockdown periods and improve profitability by doing so. They need to understand good working capital management and its importance in reducing insolvency in the economy. 09-29-2022 <![CDATA[ <p><strong>Purpose: </strong><span>This study was carried out to analyse the impact of Covid- 19 Lockdown towards working capital management and profitability of companies in Zimbabwe. The main complications faced were loss of market whilst operational costs remained on the same level. Enforcement of lockdown regulations such as curfews and intercity travel bans posed a threat in profit statuses of many firms. A challenge also faced was reduction of workforce to meet World Health Organisation requirements of social distancing and health safety protocols.</span></p><p><strong>Methodology:<span style="color: rgb(0, 111, 192)"> </span></strong><span>Documentary research approach, which consists of reviewing, analysing, and examining information, recorded media and texts was adopted for the study. In terms of data collection, the authors sourced and reviewed literature on the topic. Among others, these sources included journal articles, books, magazines, and newspapers.</span></p><p><strong>Findings:</strong> <span>The research found that effective working capital management techniques had to be applied to continue operations. It also emerged that sudden increase in debtors would result in cash shortages to fund other operations and pay the current liabilities.</span></p><p><strong>Originality value: </strong><span>The research will bring light to assist financial managers on ways that they can effectively manage their working capital during lockdown periods and improve profitability by doing so. They need to understand good working capital management and its importance in reducing insolvency in the economy</span><span style="font-family: Times New Roman, serif">.</span></p> ]]> Literature Review of the Impact of Covid-19 Lockdown on the Working Captital Management and Profitability of Firms victor jones wadesango newman sitsha lovemore wadesango ongai doi: 10.32602/jafas.2022.018 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 64 10.32602/jafas.2022.018 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.018 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.017 Purpose: The study aims to understand what CEOs (Chief Executive Officers) of Maltese PIEs (Public Interest Entities) expect from their CFOs (Chief Financial Officers). Furthermore, the study seeks to establish whether CFOs are expected to focus solely on finance, or whether they should also participate in strategy and planning. The study aims to identify the factors and skills that lead to a more effective CEO-CFO relationship.Methodology: The study follows a qualitative approach. Primary data was collected from semi-structured interviews conducted with active and former CEOs and CFOs of Maltese PIEs.Findings: Despite focusing primarily on their traditional finance roles, CFOs of Maltese PIEs are indeed dedicating a significant amount of time to strategic functions, as expected by CEOs. Strategic functions rank high on the average CFO’s agenda, with organisational transformation, strategic leadership and performance management ranking second, third and fourth, respectively. The research establishes that the strategic and the finance roles complement each other, such that an effective CFO is one who can establish an optimal balance between the two roles. In their CFO, CEOs seek a qualified and experienced person of integrity who is capable of: understanding, supporting and challenging them, complementing their skillset and of leading.Originality/Value: It is anticipated that this research will give finance professionals, who are increasingly assuming high management positions, a strong insight into a critical relationship they may sometime play a role in. 09-29-2022 <![CDATA[ <p><strong>Purpose:</strong> <span>The study aims to understand what CEOs (Chief Executive Officers) of Maltese PIEs (Public Interest Entities) expect from their CFOs (Chief Financial Officers). Furthermore, the study seeks to establish whether CFOs are expected to focus solely on finance, or whether they should also participate in strategy and planning. The study aims to identify the factors and skills that lead to a more effective CEO-CFO relationship.</span></p><p><strong>Methodology:</strong> <span>The study follows a qualitative approach. Primary data was collected from semi-structured interviews conducted with active and former CEOs and CFOs of Maltese PIEs.</span></p><p><strong>Findings:<span style="color: rgb(0, 111, 192)"> </span></strong><span>Despite focusing primarily on their traditional finance roles, CFOs of Maltese PIEs are indeed dedicating a significant amount of time to strategic functions, as expected by CEOs. Strategic functions rank high on the average CFO’s agenda, with organisational transformation, strategic leadership and performance management ranking second, third and fourth, respectively. The research establishes that the strategic and the finance roles complement each other, such that an effective CFO is one who can establish an optimal balance between the two roles. In their CFO, CEOs seek a qualified and experienced person of integrity who is capable of: understanding, supporting and challenging them, complementing their skillset and of leading.</span></p><p><strong>Originality/Value:<span style="color: rgb(0, 111, 192)"> </span></strong><span>It is anticipated that this research will give finance professionals, who are increasingly assuming high management positions, a strong insight into a critical relationship they may sometime play a role in.</span></p> ]]> The CEO’s Ideal CFO: A Study in Maltese PIEs lauren ellul gianluca naudi doi: 10.32602/jafas.2022.017 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 30 10.32602/jafas.2022.017 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.017 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.016 Purpose: The aim of this research is to provide a critical review of literature on the factors influencing accounting students’ career choice to be public accountants and develop a conceptual framework.Methodology: The study follows a qualitative mythological approach by reviewing the relevant literature pertaining to factors such as financial rewards, prestige in the society, work environment, continuous education opportunities, professional independence opportunities, family and closest friends, GPA or grade of the students, labour market considerations, students’ future educational plan, self-motivation, cultural, and social media along with the relevant applicable theories.Findings: These factors indicate the trending pattern which influences the decision choices of accounting students to become public accountants. The analysis indicates that in previous studies, several factors showed a positive and significant influence on accounting students’ career choices to be public accountants. The analysis also provides implications of these studies’ findings and directions for future research by incorporating new variables in future studies.Originality/Value: This literature review is meant to raise more awareness on the critical factors influencing the accounting students’ career choice to be public accountants. The suggested conceptual framework will help the researchers to provide new evidence on the critical factors. College and university Professors should be able to execute activities that back and help the students to have a positive attitude about public accountancy courses. Universities can produce policies and procedures focusing on students’ extrinsic motivation, career exposure, social values, etc. which can help in motivating them to choose a public accountancy career. Building a strong network with professional bodies such as ACCA, CIMA, and Institute of Chartered Accountancy by developing a synergistic relationship with the real business world. 09-29-2022 <![CDATA[ <p style="text-align: justify">Purpose: The aim of this research is to provide a critical review of literature on the factors influencing accounting students’ career choice to be public accountants and develop a conceptual framework.</p><p style="text-align: justify">Methodology: The study follows a qualitative mythological approach by reviewing the relevant literature pertaining to factors such as financial rewards, prestige in the society, work environment, continuous education opportunities, professional independence opportunities, family and closest friends, GPA or grade of the students, labour market considerations, students’ future educational plan, self-motivation, cultural, and social media along with the relevant applicable theories.</p><p style="text-align: justify">Findings: These factors indicate the trending pattern which influences the decision choices of accounting students to become public accountants. The analysis indicates that in previous studies, several factors showed a positive and significant influence on accounting students’ career choices to be public accountants. The analysis also provides implications of these studies’ findings and directions for future research by incorporating new variables in future studies.</p><p style="text-align: justify">Originality/Value: This literature review is meant to raise more awareness on the critical factors influencing the accounting students’ career choice to be public accountants. The suggested conceptual framework will help the researchers to provide new evidence on the critical factors. College and university Professors should be able to execute activities that back and help the students to have a positive attitude about public accountancy courses. Universities can produce policies and procedures focusing on students’ extrinsic motivation, career exposure, social values, etc. which can help in motivating them to choose a public accountancy career. Building a strong network with professional bodies such as ACCA, CIMA, and Institute of Chartered Accountancy by developing a synergistic relationship with the real business world.</p> ]]> A Conceptual Framework for the Factors Influencing the Accounting Students’ Career Choice as Public Accountants prem lal joshi doi: 10.32602/jafas.2022.016 Journal of Accounting, Finance and Auditing Studies 09-29-2022 Journal of Accounting, Finance and Auditing Studies 09-29-2022 2022 8 3 Article 1 10.32602/jafas.2022.016 https://www.acadlore.com/article/JAFAS/2022_8_3/jafas.2022.016 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.015 Purpose: Increasing financial performance requires the application of adequate internal audit practices. Aiming to this study, was requested to determine the effect of internal audit on financial performance in insurance companies in Kosovo. Methodology: The return on assets (ROA) ratio was used to mea-sure financial performance. Data for this dependent variable were obtained from the six-month statements of insurance companies operating in Kosovo during the period 2015 - 2021. Internal audit was viewed from the perspective of internal auditing standards, the professional competence of the internal auditor, the independence of the internal auditor and the efficiency of internal audit, which were also taken as independent variables. The researcher applies a survey questionnaire to each member of the target population consisting of members of the Board of Directors, members of the Audit Commi-ttee, managers of various departments, internal audit officers, legal officers and finance officers. Also, three control variables (growth, size and age of the company) were taken. As data analysis techniques are used quantitative analysis and regression analysis. Findings: From the findings, the study concludes that professional competence had a significant positive impact, in contrast to the effi-ciency of internal audit, which had a negative impact on the financial performance of insurance companies. The study also found that the other two independent variables (internal audit standards and inter-nal auditor independence) had a negative correlation with financial performance but not significant. The size of the insurance company also had a significant positive relationship, in contrast to the age of the company which had a negative and significant impact on the financial performance of insurance companies operating in Kosovo. Originality/Value: The study aims to increase the importance of internal audit for insurance companies, as in general, the importance is given only to external audit and its reports. It is also hoped that the recommendations will support decision-making authorities in addressing and identifying current problems and taking measures to eliminate them. Based on the above findings, this study provides insights to regulators and policymakers about the importance of audit quality in enhancing financial performance. 06-29-2022 <![CDATA[ <p><strong>Purpose:</strong> Increasing financial performance requires the application of adequate internal audit practices. Aiming to this study, was requested to determine the effect of internal audit on financial performance in insurance companies in Kosovo. <strong>Methodology: </strong>The return on assets (ROA) ratio was used to mea-sure financial performance. Data for this dependent variable were obtained from the six-month statements of insurance companies operating in Kosovo during the period 2015 - 2021. Internal audit was viewed from the perspective of internal auditing standards, the professional competence of the internal auditor, the independence of the internal auditor and the efficiency of internal audit, which were also taken as independent variables. The researcher applies a survey questionnaire to each member of the target population consisting of members of the Board of Directors, members of the Audit Commi-ttee, managers of various departments, internal audit officers, legal officers and finance officers. Also, three control variables (growth, size and age of the company) were taken. As data analysis techniques are used quantitative analysis and regression analysis. <strong>Findings:</strong> From the findings, the study concludes that professional competence had a significant positive impact, in contrast to the effi-ciency of internal audit, which had a negative impact on the financial performance of insurance companies. The study also found that the other two independent variables (internal audit standards and inter-nal auditor independence) had a negative correlation with financial performance but not significant. The size of the insurance company also had a significant positive relationship, in contrast to the age of the company which had a negative and significant impact on the financial performance of insurance companies operating in Kosovo. <strong>Originality/Value:</strong> The study aims to increase the importance of internal audit for insurance companies, as in general, the importance is given only to external audit and its reports. It is also hoped that the recommendations will support decision-making authorities in addressing and identifying current problems and taking measures to eliminate them. Based on the above findings, this study provides insights to regulators and policymakers about the importance of audit quality in enhancing financial performance.</p> ]]> Impact of internal audit quality on the financial performance of insurance companies: Evidence from Kosovo ardi ahmeti albina kalimashi skender ahmeti muhamet aliu doi: 10.32602/jafas.2022.015 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 175 10.32602/jafas.2022.015 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.015 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.014 Purpose: This work was conducted in one of the 500 largest companies in Turkey to study the impact of the Covıd-19 pandemic on the budgeting process in companies. Methodology: The interview technique was preferred as the research method. Data were collected through one-on-one interviews with the budget manager. Findings: As a result of the study, it was found that the company acted in accordance with general budgeting principles, invested in technologies to professionalize the budgeting process, and benefited from modern budgeting methods. The Covıd-19 pandemic process required constant revisions and flexibility in the budgeting process. Originality/Value: The study contributes to the literature by examining the impact of Covid-19 on the budgeting process. 06-29-2022 <![CDATA[ <p><strong>Purpose: </strong>This work was conducted in one of the 500 largest companies in Turkey to study the impact of the Covıd-19 pandemic on the budgeting process in companies. <strong>Methodology:</strong> The interview technique was preferred as the research method. Data were collected through one-on-one interviews with the budget manager. <strong>Findings:</strong> As a result of the study, it was found that the company acted in accordance with general budgeting principles, invested in technologies to professionalize the budgeting process, and benefited from modern budgeting methods. The Covıd-19 pandemic process required constant revisions and flexibility in the budgeting process. <strong>Originality/Value:</strong> The study contributes to the literature by examining the impact of Covid-19 on the budgeting process.</p> ]]> The Effect of the Covıd-19 Pandemic on the Budgeting Process in Companies: Implementation in a Manufacturing Company that Actı̇vate in ICI 500 mehmet murat gutnu doi: 10.32602/jafas.2022.014 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 149 10.32602/jafas.2022.014 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.014 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.013 Purpose: The purpose of this paper is to examine the relationships between two dimensions of electronic service quality influencing ease of use and emotional benefit in internet banking service quality, together with the subsequent effects on behavioral intention in Turkey. Methodology: Accountants who use internet the banking services of banks in Turkey completed a self-administered questionnaire. Data obtained from 206 accountants were analyzed using diverse data analysis approaches, including univariate analysis with descriptive statistics as well as multivariate analysis with correlation, regression, moderation analyses. Also, the initial results were tested using Partial Least Square (PLS) based Structural Equation Modeling (SEM) approach. Findings: The results revealed that Graphic Quality and Layout Clarity have a significant positive association with Behavioral Intentions, Ease of Use and Control and Emotional Benefit. Moreover, Ease of Use and Control is a significant moderator upon the relationship of Graphic Quality and Layout Clarity with Behavioral Intentions. Originality/value: This research uniquely investigates the subdimensions of the electronic service environment that influence the behavioral perceptions of accountants using internet banking services in Turkey, with outcome quality dimensions. 06-29-2022 <![CDATA[ <p><strong>Purpose</strong>: The purpose of this paper is to examine the relationships between two dimensions of electronic service quality influencing ease of use and emotional benefit in internet banking service quality, together with the subsequent effects on behavioral intention in Turkey. <strong>Methodology</strong>: Accountants who use internet the banking services of banks in Turkey completed a self-administered questionnaire. Data obtained from 206 accountants were analyzed using diverse data analysis approaches, including univariate analysis with descriptive statistics as well as multivariate analysis with correlation, regression, moderation analyses. Also, the initial results were tested using Partial Least Square (PLS) based Structural Equation Modeling (SEM) approach. <strong>Findings</strong>: The results revealed that Graphic Quality and Layout Clarity have a significant positive association with Behavioral Intentions, Ease of Use and Control and Emotional Benefit. Moreover, Ease of Use and Control is a significant moderator upon the relationship of Graphic Quality and Layout Clarity with Behavioral Intentions. <strong>Originality/value</strong>: This research uniquely investigates the subdimensions of the electronic service environment that influence the behavioral perceptions of accountants using internet banking services in Turkey, with outcome quality dimensions.</p> ]]> The Effect of e-Service Quality Dimensions on Behavioral Intensions of Accountants: The Moderating Roles of Ease of Use and Emotional Benefits cemil kuzey muhammet sait dinç denise o'shaughnessy doi: 10.32602/jafas.2022.013 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 124 10.32602/jafas.2022.013 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.013 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.012 Purpose: The study sought to review literature on tax incentives in developing countries, with the objective of assessing whether tax incentives were a problem or a solution to fostering economic growth and development in developing countries. The research sought to explore the controversy surrounding the offering of incentives in developing country contexts in order to contribute to the ongoing debate on the desirability and non-desirability of tax incentives. Methodology: This study was a critical literature review, therefore used literature review as a stand-alone methodology. Literature was collected from databases that include the Google Scholar database and. Thematic analysis was used to guide the analysis of the findings from the review. These were grouped into two major themes and these were the arguments in favour of tax incentives and those against. Several sub-themes were explored under each main theme as they emerged from the literature review. Findings: The revealed the controversy and contradiction surrounding offering incentives, their effectiveness and their influence on economic growth, spill over gains, the revenue mobilisation efforts (tax base) and future tax compliance. The review accentuated the research gaps that emanate from the lack of consensus among scholars on the effect of awarding tax incentives in developing countries. Originality or Value: Developing countries continue to offer tax incentives yet the outcry on their relevance; contribution and effect on the tax base continue to be debatable among researchers. This study sought to contribute to this body of knowledge on the effect of tax incentives in developing countries. 06-29-2022 <![CDATA[ <p><strong>Purpose</strong>: The study sought to review literature on tax incentives in developing countries, with the objective of assessing whether tax incentives were a problem or a solution to fostering economic growth and development in developing countries. The research sought to explore the controversy surrounding the offering of incentives in developing country contexts in order to contribute to the ongoing debate on the desirability and non-desirability of tax incentives. <strong>Methodology</strong>: This study was a critical literature review, therefore used literature review as a stand-alone methodology. Literature was collected from databases that include the Google Scholar database and. Thematic analysis was used to guide the analysis of the findings from the review. These were grouped into two major themes and these were the arguments in favour of tax incentives and those against. Several sub-themes were explored under each main theme as they emerged from the literature review. <strong>Findings</strong>: The revealed the controversy and contradiction surrounding offering incentives, their effectiveness and their influence on economic growth, spill over gains, the revenue mobilisation efforts (tax base) and future tax compliance. The review accentuated the research gaps that emanate from the lack of consensus among scholars on the effect of awarding tax incentives in developing countries. <strong>Originality or Value</strong>: Developing countries continue to offer tax incentives yet the outcry on their relevance; contribution and effect on the tax base continue to be debatable among researchers. This study sought to contribute to this body of knowledge on the effect of tax incentives in developing countries.</p> ]]> Tax incentives: A Panacea or Problem to Enhancing Economic Growth in Developing Countries favourate y. sebele-mpofu delight gomera bonface sibanda doi: 10.32602/jafas.2022.012 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 90 10.32602/jafas.2022.012 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.012 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.011 Purpose: The purpose of this study is effectiveness of village-owned enterprise optimization, village wealth management, and village government performance management on the early increase in village income in Badung Regency. Methodology: This survey was conducted in seven villages in Badung Regency. This study used purposive sampling, by determining the sample with certain criteria, namely the village selected as the sample is a village that has a village-owned business entity and its operational activities are still active. The sample size of this survey was 61 respondents, that is, staff directly involved in the management of households in the village. This study used multiple regression. Findings: Based on the results of the analysis and testing conducted, optimization of the management performance of Village Owned Enterprises (BUMDesa), Village Asset Management and Village Government will have a positive effect on the increase in the village’s original income of Badung Regency. Originality/Value: This study aims to determine by testing empirically the effect of optimizing village owned business entites, village assets management, and village government managerial, performance on increasing village original income. 06-29-2022 <![CDATA[ <p style="text-align: justify"><strong>Purpose: </strong>The purpose of this study is effectiveness of village-owned enterprise optimization, village wealth management, and village government performance management on the early increase in village income in Badung Regency. <strong>Methodology: </strong>This survey was conducted in seven villages in Badung Regency. This study used purposive sampling, by determining the sample with certain criteria, namely the village selected as the sample is a village that has a village-owned business entity and its operational activities are still active. The sample size of this survey was 61 respondents, that is, staff directly involved in the management of households in the village. This study used multiple regression. <strong>Findings:</strong> Based on the results of the analysis and testing conducted, optimization of the management performance of Village Owned Enterprises (BUMDesa), Village Asset Management and Village Government will have a positive effect on the increase in the village’s original income of Badung Regency. <strong>Originality/Value: </strong>This study aims to determine by testing empirically the effect of optimizing village owned business entites, village assets management, and village government managerial, performance on increasing village original income.</p> ]]> The Effect of Optimizing Village Owned Business Entities, Village Assets Management, And Village Government Managerial Performance on Increasing Village Original Income ni luh supadmi i. d. g. dharma suputra doi: 10.32602/jafas.2022.011 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 67 10.32602/jafas.2022.011 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.011 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.010 Purpose: This paper purpose is to report the differences between U.S. GAAP and IFRS by presenting a review of literature available on the topic. Methodology: This paper is based on review of 27 research papers. This paper is divided into two parts. First part presents the previous studies focused on business aspects (companies can ill afford the cost of an increasing number of GAAP standards and impact on investors) and second part presents the previous studies focused on fundamental differences between U.S. GAAP and IFRS. Findings: This paper is based on review of literature that present the differences between U.S. GAAP and International Financial Reporting Standards (IFRS). As per the studies done, U.S. GAAP contains more detailed, specific requirements than IFRS. In some instances, IFRS does not contain any corresponding guidance and, in others, IFRS contains higher-level or general guidance that is not directly comparable to the U.S. GAAP requirement. Originality/Value: This paper findings are based on 27 research papers only. As accounting standards are changing due to change in current economic situations, there is a large scope for the future studies based on U.S. GAAP and IFRS differences and impact of those difference on the investors. 06-29-2022 <![CDATA[ <p style="text-align: justify"><strong>Purpose: </strong>This paper purpose is to report the differences between U.S. GAAP and IFRS by presenting a review of literature available on the topic. <strong>Methodology:</strong> This paper is based on review of 27 research papers. This paper is divided into two parts. First part presents the previous studies focused on business aspects (companies can ill afford the cost of an increasing number of GAAP standards and impact on investors) and second part presents the previous studies focused on fundamental differences between U.S. GAAP and IFRS. <strong>Findings:</strong> This paper is based on review of literature that present the differences between U.S. GAAP and International Financial Reporting Standards (IFRS). As per the studies done, U.S. GAAP contains more detailed, specific requirements than IFRS. In some instances, IFRS does not contain any corresponding guidance and, in others, IFRS contains higher-level or general guidance that is not directly comparable to the U.S. GAAP requirement. <strong>Originality/Value: </strong>This paper findings are based on 27 research papers only. As accounting standards are changing due to change in current economic situations, there is a large scope for the future studies based on U.S. GAAP and IFRS differences and impact of those difference on the investors.</p> ]]> U.S. GAAP or IFRS - A Review of Literature shalu bansal doi: 10.32602/jafas.2022.010 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 54 10.32602/jafas.2022.010 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.010 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.009 Purpose: The Purpose of this study was to analyse the effect of accounting which is integrity, objectivity, competence, confidentiality, and professionality behavior toward the quality of financial report. The sample selected for this study are university lectures in accounting department, accountant who work in consulting firms such as public accounting firm, audit agencies, and accounting services firm. The purposive sampling method is used to select the research sample. The study use SPSS program to analyze data. The measurement of each variable are using primary questionnaire data measured with likert scale. The results of this study show that integrity, objectivity, competence and confidentiality have a significant effect to the quality of financial statement. This article provides a new understanding of how important an accountant’s ethic in producing a high quality financial report and how to enhance accountant’s ethic to make sure the quality of financial report. 06-29-2022 <![CDATA[ <p>Purpose: The Purpose of this study was to analyse the effect of accounting which is integrity, objectivity, competence, confidentiality, and professionality behavior toward the quality of financial report. The sample selected for this study are university lectures in accounting department, accountant who work in consulting firms such as public accounting firm, audit agencies, and accounting services firm. The purposive sampling method is used to select the research sample. The study use SPSS program to analyze data. The measurement of each variable are using primary questionnaire data measured with likert scale. The results of this study show that integrity, objectivity, competence and confidentiality have a significant effect to the quality of financial statement. This article provides a new understanding of how important an accountant’s ethic in producing a high quality financial report and how to enhance accountant’s ethic to make sure the quality of financial report.</p> ]]> Analyzing the Effect of Accounting Ethics Toward the Quality of Financial Report edi edi irin enzelin doi: 10.32602/jafas.2022.009 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 36 10.32602/jafas.2022.009 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.009 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.008 (i) to ascertain and analyze the funding of the Central Co-operative Fund (CCF); (ii) to assess whether the CCF has achieved its intended role of utilizing its funds optimally and why, or why not, this is so, and (iii) to evaluate and recommend ways on how the role of the CCF may be improved. The study made use of a mixed-methods research methodology. Semi-structured interviews were conducted with four CCF representatives, seven co-operative experts and nine co-operative representatives. These were followed by a review of the financial statements of the CCF for the period 2012-2019. The findings indicate that over the years, the CCF has managed to accumulate a substantial amount of funds. The financing role of the CCF is essential for the co-operative movement in Malta. Despite the numerous financial difficulties faced by Maltese co-operatives, the use of CCF financing by co-operatives as against other non-CCF financing has been relatively poor. The study concludes that the Maltese CCF is adequately funded via the 5% annual co-operative contributions. With respect to its utilization of funds, the CCF has clearly not achieved this objective optimally in that it has not played its expected role in the financing of Maltese co-operatives. The study concludes that the CCF has potential for a much-increased role than it has at present in assisting co-operatives in their financing requirements. This study is meant to raise public sector awareness on the need to improve Maltese CCF practices with respect to their definability, formulation and monitoring. It is hoped that the recommendations of this study support the competent authorities in addressing the identified existing deficiencies, thus enabling them to enhance CCFs and render them improved vehicles for sector development. Ultimately, an improved CCF would aid in the financing difficulties faced by Maltese co-operatives. This, in turn, would support the growth and development of the Maltese co-operative movement. 06-29-2022 <![CDATA[ <p>(i) to ascertain and analyze the funding of the Central Co-operative Fund (CCF); (ii) to assess whether the CCF has achieved its intended role of utilizing its funds optimally and why, or why not, this is so, and (iii) to evaluate and recommend ways on how the role of the CCF may be improved. The study made use of a mixed-methods research methodology. Semi-structured interviews were conducted with four CCF representatives, seven co-operative experts and nine co-operative representatives. These were followed by a review of the financial statements of the CCF for the period 2012-2019. The findings indicate that over the years, the CCF has managed to accumulate a substantial amount of funds. The financing role of the CCF is essential for the co-operative movement in Malta. Despite the numerous financial difficulties faced by Maltese co-operatives, the use of CCF financing by co-operatives as against other non-CCF financing has been relatively poor. The study concludes that the Maltese CCF is adequately funded via the 5% annual co-operative contributions. With respect to its utilization of funds, the CCF has clearly not achieved this objective optimally in that it has not played its expected role in the financing of Maltese co-operatives. The study concludes that the CCF has potential for a much-increased role than it has at present in assisting co-operatives in their financing requirements. This study is meant to raise public sector awareness on the need to improve Maltese CCF practices with respect to their definability, formulation and monitoring. It is hoped that the recommendations of this study support the competent authorities in addressing the identified existing deficiencies, thus enabling them to enhance CCFs and render them improved vehicles for sector development. Ultimately, an improved CCF would aid in the financing difficulties faced by Maltese co-operatives. This, in turn, would support the growth and development of the Maltese co-operative movement. </p> ]]> The Maltese Central Co-operative Fund and its Financing of Co-operatives: An Analysis peter j. baldacchino anna marie cini norbert tabone simon grima doi: 10.32602/jafas.2022.008 Journal of Accounting, Finance and Auditing Studies 06-29-2022 Journal of Accounting, Finance and Auditing Studies 06-29-2022 2022 8 2 Article 1 10.32602/jafas.2022.008 https://www.acadlore.com/article/JAFAS/2022_8_2/jafas.2022.008 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.007 Purpose: This research was conducted to test whether ownership structure has an influence on earnings management using the control variables of leverage, company size, profitability, and company growth. Moreover, this research aims to find out what type of ownership has more influence on earnings management in Indonesia therefore the authors focus on all types of company ownership as independent variables. Design/methodology/approach: The purposive sampling method is used for the selection of the research samples. This research uses non-financial companies listed on the Indonesia Stock Exchange from 2016 to 2019 as research objects. Earnings management is measured using discretionary accruals which is a Modified Jones Model. The ownership structure is calculated from the percentage of each share ownership in the company. Findings: The results of this research indicate that there is no significant effect of ownership structure on earnings management in Indonesia. Only leverage, company size, and company growth have a significant positive effect on earnings management. Practical implications: This research is useful for improving decision making for corporate governance, as well as providing information to academics about the influence of the supervisory role of ownership structure on earnings management. Originality/value: This article expands on previous research by including the type of ownership structure as an independent variable and examines its effect on earnings management in developing countries. 03-30-2022 <![CDATA[ <p><strong>Purpose: </strong>This research was conducted to test whether ownership structure has an influence on earnings management using the control variables of leverage, company size, profitability, and company growth. Moreover, this research aims to find out what type of ownership has more influence on earnings management in Indonesia therefore the authors focus on all types of company ownership as independent variables. <strong>Design/methodology/approach: </strong>The purposive sampling method is used for the selection of the research samples. This research uses non-financial companies listed on the Indonesia Stock Exchange from 2016 to 2019 as research objects. Earnings management is measured using discretionary accruals which is a Modified Jones Model. The ownership structure is calculated from the percentage of each share ownership in the company. <strong>Findings: </strong>The results of this research indicate that there is no significant effect of ownership structure on earnings management in Indonesia. Only leverage, company size, and company growth have a significant positive effect on earnings management. <strong>Practical implications:</strong> This research is useful for improving decision making for corporate governance, as well as providing information to academics about the influence of the supervisory role of ownership structure on earnings management. <strong>Originality/value:</strong> This article expands on previous research by including the type of ownership structure as an independent variable and examines its effect on earnings management in developing countries.</p> ]]> The Impact of Ownership Structure on Earnings Management: Evidence from the Indonesian Stock Exchange erna wati olivia rebeca tamaris gultom doi: 10.32602/jafas.2022.007 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 152 10.32602/jafas.2022.007 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.007 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.006 Purpose: The present study examines the relationship between profit quality and return and risk. Design/methodology/approach: The research hypotheses are tested using a sample consisting of six industries listed on the Tehran Stock Exchange during the years 2014 to 2019 and using multiple regression based on the technique of integrated data and t-test. Findings: The findings indicate that there is a significant positive relationship between profit quality and return and investment risk. The first hypothesis of the effect of return and risk on the quality of profit is accepted and the second hypothesis rejected. Practical implications: The capital market, by directing stagnant micro-capitals to the production process, has played an important role in the economies of countries and acts as an important economic indicator. Therefore, it is necessary to pay attention to the basic decision- making principles of this type of market, especially in Iran, which has a young literature on this subject. 03-30-2022 <![CDATA[ <p><strong>Purpose:</strong> The present study examines the relationship between profit quality and return and risk. <strong>Design/methodology/approach:</strong> The research hypotheses are tested using a sample consisting of six industries listed on the Tehran Stock Exchange during the years 2014 to 2019 and using multiple regression based on the technique of integrated data and t-test. <strong>Findings:</strong> The findings indicate that there is a significant positive relationship between profit quality and return and investment risk. The first hypothesis of the effect of return and risk on the quality of profit is accepted and the second hypothesis rejected. <strong>Practical implications:</strong> The capital market, by directing stagnant micro-capitals to the production process, has played an important role in the economies of countries and acts as an important economic indicator. Therefore, it is necessary to pay attention to the basic decision- making principles of this type of market, especially in Iran, which has a young literature on this subject.</p> ]]> The Effect of Risk and Stock Returns on the Quality of Profits of Industries Listed on the Tehran Stock Exchange najafi afrooz najafi manuchehr doi: 10.32602/jafas.2022.006 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 132 10.32602/jafas.2022.006 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.006 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.005 Purpose: This study was motivated by the fact that despite several recommendations being proffered by researchers, some of these noble suggestions just remain in paper. Furthermore, the problem of transfer pricing (TP) manipulation is more detrimental to the African continent as well as the fact that it is far from being addressed. Through a scoping review, this study sought to synthesise research evidence on the possible solutions to minimise transfer pricing manipulation in African countries through categorisation of these recommendations into key themes. Methodology: This study employed a qualitative research approach through a scoping review. Through a comprehensive review of literature, the nature and extent of the possible solutions to curbing illicit financial flows through transfer pricing was identified, assessed and evaluated for applicability. Considering that transfer pricing is a hot topic and legislation is still in its infancy in African countries, database searches were done through Google scholar for both peer reviewed articles and grey literature. Findings: The findings revealed that solutions can be grouped into three categories, which include politically oriented, legislative focused and administrative recommendations. It was evident that there is need for political commitment by governments, improvements to the current legislation as well as enhanced administrative capacities of revenue authorities in order to reduce TP abuse. Originality or Value: Transfer pricing manipulation in international trade is a challenge in most developing economies. Transfer pricing and tax evasion are important and topical concerns as they relate to base erosion and profit shifting in developing countries. This is linked to the fact that ethical practices, corruption, illicit financial flows and other similar concepts speak to Sustainable Development Goal 16 (peace, justice and strong institutions). In response to challenges of transfer pricing and the need to ensure maximum revenue mobilisation, developing countries have put in place transfer pricing legislation to regulate transfer pricing activities and to reduce the tax revenue losses resulting from transfer pricing manipulation by multinational enterprises. Several studies have been carried out in African countries to investigate the transfer pricing exploitation strategies, assess the effectiveness of transfer pricing legislation in curbing Base Erosion and Profit Shifting. This study sought to provide an aggregated synopsis of recommendations on how to enhance legislation and effectiveness of the regulation, with the hope that this summary would provide policymakers with a one-stop shop for possible solutions as well as evaluating their applicability. 03-30-2022 <![CDATA[ <p><strong>Purpose: </strong>This study was motivated by the fact that despite several recommendations being proffered by researchers, some of these noble suggestions just remain in paper. Furthermore, the problem of transfer pricing (TP) manipulation is more detrimental to the African continent as well as the fact that it is far from being addressed. Through a scoping review, this study sought to synthesise research evidence on the possible solutions to minimise transfer pricing manipulation in African countries through categorisation of these recommendations into key themes. <strong>Methodology:</strong> This study employed a qualitative research approach through a scoping review. Through a comprehensive review of literature, the nature and extent of the possible solutions to curbing illicit financial flows through transfer pricing was identified, assessed and evaluated for applicability. Considering that transfer pricing is a hot topic and legislation is still in its infancy in African countries, database searches were done through Google scholar for both peer reviewed articles and grey literature. <strong>Findings:</strong> The findings revealed that solutions can be grouped into three categories, which include politically oriented, legislative focused and administrative recommendations. It was evident that there is need for political commitment by governments, improvements to the current legislation as well as enhanced administrative capacities of revenue authorities in order to reduce TP abuse. <strong>Originality or Value:</strong> Transfer pricing manipulation in international trade is a challenge in most developing economies. Transfer pricing and tax evasion are important and topical concerns as they relate to base erosion and profit shifting in developing countries. This is linked to the fact that ethical practices, corruption, illicit financial flows and other similar concepts speak to Sustainable Development Goal 16 (peace, justice and strong institutions). In response to challenges of transfer pricing and the need to ensure maximum revenue mobilisation, developing countries have put in place transfer pricing legislation to regulate transfer pricing activities and to reduce the tax revenue losses resulting from transfer pricing manipulation by multinational enterprises. Several studies have been carried out in African countries to investigate the transfer pricing exploitation strategies, assess the effectiveness of transfer pricing legislation in curbing Base Erosion and Profit Shifting. This study sought to provide an aggregated synopsis of recommendations on how to enhance legislation and effectiveness of the regulation, with the hope that this summary would provide policymakers with a one-stop shop for possible solutions as well as evaluating their applicability.</p> ]]> Enhancing the Effectiveness of Transfer Pricing Regulation Enforcement in Reducing Base Erosion and Profit Shifting in African Countries. A Scoping Review favourate y sebele-mpofu eukeria mashiri siboniso warima doi: 10.32602/jafas.2022.005 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 99 10.32602/jafas.2022.005 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.005 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.004 Purpose: Cost behaviour is the response of costs to changes in the volume of activity of businesses. In the literature, cost behaviour is discussed in two ways: symmetrical and asymmetrical. Firstly, this study aims to analyze the data on sales revenue and cost items related to sales of Small and Medium-Sized Enterprises (SMEs) with the help of the ABJ model in terms of cost stickiness. Another aim of the study is to determine the decision-making styles of the managers who make investment decisions in these enterprises. Thus, cost stickiness can be interpreted in terms of the manager’s decision- making style in the companies that make up the sample. Methodology: A balanced panel data analysis method was used to test the cost stickiness levels in the study. The decision-making styles scale was used to determine the decision-making styles of the managers. Findings: The study concluded that the cost stickiness theory was valid for all variables in a one-year period, while the stickiness level of only general management expenses decreased in a two-year period. In addition, it has been determined that the managers of the enterprises adopt the rational decision-making style. Originality/Value: To measure the cost stickiness level of a business, various cost and revenue figures that occur in that business over long periods are needed. Companies do not want to share this data with third parties or institutions for various reasons. For this reason, studies on cost stickiness have been carried out on large- scale enterprises that have to offer their financial statements to the public. The originality of this study is that it tests the theory of cost stickiness for small and medium-sized enterprises. In addition, it is thought that the study is important in terms of considering cost stickiness together with the decision-making style of the manager. 03-30-2022 <![CDATA[ <p><strong>Purpose</strong>: Cost behaviour is the response of costs to changes in the volume of activity of businesses. In the literature, cost behaviour is discussed in two ways: symmetrical and asymmetrical. Firstly, this study aims to analyze the data on sales revenue and cost items related to sales of Small and Medium-Sized Enterprises (SMEs) with the help of the ABJ model in terms of cost stickiness. Another aim of the study is to determine the decision-making styles of the managers who make investment decisions in these enterprises. Thus, cost stickiness can be interpreted in terms of the manager’s decision- making style in the companies that make up the sample. <strong>Methodology</strong>: A balanced panel data analysis method was used to test the cost stickiness levels in the study. The decision-making styles scale was used to determine the decision-making styles of the managers. <strong>Findings</strong>: The study concluded that the cost stickiness theory was valid for all variables in a one-year period, while the stickiness level of only general management expenses decreased in a two-year period. In addition, it has been determined that the managers of the enterprises adopt the rational decision-making style. <strong>Originality/Value</strong>: To measure the cost stickiness level of a business, various cost and revenue figures that occur in that business over long periods are needed. Companies do not want to share this data with third parties or institutions for various reasons. For this reason, studies on cost stickiness have been carried out on large- scale enterprises that have to offer their financial statements to the public. The originality of this study is that it tests the theory of cost stickiness for small and medium-sized enterprises. In addition, it is thought that the study is important in terms of considering cost stickiness together with the decision-making style of the manager.</p> ]]> The Validity of the Cost Stickiness Theory in SMEs and The Decision-Making Styles of Managers: Evidence from Turkey hakan yazarkan sema yiğit bahadır baş doi: 10.32602/jafas.2022.004 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 75 10.32602/jafas.2022.004 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.004 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.003 Purpose: The purpose of this study is to find out how the influence of the disclosure of sustainability reporting on the value of state-owned enterprises (SOEs). Research Methodology: The research approach used quantitative. This research sample selection method uses a purposive sampling method with a total of 8 SOEs listed in IDX that meet the criteria. Results: sustainability reporting has a significant negative effect on firm value, this indicates that the disclosure of Corporate Social Responsibility (CSR) by the company reduces the value of state-owned companies listed on the BEI. Most companies only focus on financial factors and companies pay less attention to non-financial factors such as CSR, it can be seen that the level of CSR disclosure made by the company is very low. Limitations: Data limitations then this study only uses a sample of SOEs listed in IDX and does not add good corporate governance variables to improve the relationship between sustainability reporting and company’s value. Contribution: based on stakeholder theory to improve the relationship between stakeholder and company, SOEs must disclose CSR activities to improve the organization image and impact on the increasing value of the firms. Adding GCG as a moderation variable can maximize sustainability reporting in SOEs. 03-30-2022 <![CDATA[ <p><strong>Purpose</strong>: The purpose of this study is to find out how the influence of the disclosure of sustainability reporting on the value of state-owned enterprises (SOEs). <strong>Research Methodology</strong>: The research approach used quantitative. This research sample selection method uses a purposive sampling method with a total of 8 SOEs listed in IDX that meet the criteria. <strong>Results</strong>: sustainability reporting has a significant negative effect on firm value, this indicates that the disclosure of Corporate Social Responsibility (CSR) by the company reduces the value of state-owned companies listed on the BEI. Most companies only focus on financial factors and companies pay less attention to non-financial factors such as CSR, it can be seen that the level of CSR disclosure made by the company is very low. <strong>Limitations</strong>: Data limitations then this study only uses a sample of SOEs listed in IDX and does not add good corporate governance variables to improve the relationship between sustainability reporting and company’s value. <strong>Contribution</strong>: based on stakeholder theory to improve the relationship between stakeholder and company, SOEs must disclose CSR activities to improve the organization image and impact on the increasing value of the firms. Adding GCG as a moderation variable can maximize sustainability reporting in SOEs.</p> ]]> Sustainability Reporting and Company’s Value diyah santi hariyani wenni wahyuandari louse happy amira salatnaya doi: 10.32602/jafas.2022.003 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 60 10.32602/jafas.2022.003 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.003 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.002 Purpose: The purpose of this research was to investigate the relationship of a CEO’s organizational and personal characteristics and firm performance. This study also examines how debt-to-equity ratio (capital structure) mediates the impact of CEO’s characteristics toward firm performance. Manufacturing companies listed on Bursa Efek Indonesia (BEI) between 2016 and 2019 are the focus of this study. Design/methodology/approach: The research sample is chosen using the purposive sampling approach. The SmartPLS software was used to evaluate the data in this investigation. This study uses Tobin’s Q as measurement of firm performance. The tenure, age, gender, and education of a CEO are all factors to CEO’s characteristics. Debt to equity ratio will be used as capital structure. Findings: The results of this study show that CEO’s tenure has significant positive impact on firm performance. CEO’s characteristics (age, gender, education) show a positive but insignificant impact on firm performance. Finally, the debt-to-equity ratio does not serve as a mediating factor in the link between CEO's characteristics and firm performance. Practical implications: These findings will be extremely beneficial to management in terms of improving a firm's performance by controlling the qualities of a CEO. Originality/value: This article adds to the body of knowledge in the field of firm performance research which explored the function of capital structure in mediating the influence of CEO’s characteristics on firm performance. 03-30-2022 <![CDATA[ <p><strong>Purpose</strong>: The purpose of this research was to investigate the relationship of a CEO’s organizational and personal characteristics and firm performance. This study also examines how debt-to-equity ratio (capital structure) mediates the impact of CEO’s characteristics toward firm performance. Manufacturing companies listed on Bursa Efek Indonesia (BEI) between 2016 and 2019 are the focus of this study. <strong>Design/methodology/approach</strong>: The research sample is chosen using the purposive sampling approach. The SmartPLS software was used to evaluate the data in this investigation. This study uses Tobin’s Q as measurement of firm performance. The tenure, age, gender, and education of a CEO are all factors to CEO’s characteristics. Debt to equity ratio will be used as capital structure. <strong>Findings</strong>: The results of this study show that CEO’s tenure has significant positive impact on firm performance. CEO’s characteristics (age, gender, education) show a positive but insignificant impact on firm performance. Finally, the debt-to-equity ratio does not serve as a mediating factor in the link between CEO's characteristics and firm performance. <strong>Practical implications</strong>: These findings will be extremely beneficial to management in terms of improving a firm's performance by controlling the qualities of a CEO. <strong>Originality/value</strong>: This article adds to the body of knowledge in the field of firm performance research which explored the function of capital structure in mediating the influence of CEO’s characteristics on firm performance.</p> ]]> Does Capital Structure Mediates the Link between CEO Characteristics and Firm Performance? supriyanto kennily kho doi: 10.32602/jafas.2022.002 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 38 10.32602/jafas.2022.002 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.002 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.001 Purpose: The study set out to understand how auditors assess a company’s tone at the top, as an integral component of audit risk which is a significant part of forming an audit opinion. Methodology: The study followed a qualitative exploratory multiple-case research design, using individual semi-structured interviews to collect data from audit partners and a group interview to collect data from inspectors from the audit regulatory body. Findings: The findings provided insights into the procedures how ethical leadership and an ethical organisational culture, which were deemed central to a company’s tone at the top, were assessed. Despite these assessments being done before and throughout an audit, assessments before an audit seemed to be emphasised. While the audit engagement partner took responsibility for tone-at-the-top assessments, audit files contained limited evidence of such involvement. Originality/Value: The insights from this study could be useful to auditing firms in enhancing their audit methodologies and training programmes on assessing a company’s tone at the top and the documentation thereof, specifically during the planning of an audit and to evidence audit engagement partner involvement. The findings may also inform the audit regulatory body in providing best-practice guidelines to auditors on the assessment of a company’s tone at the top. Despite the study’s South African orientation, the findings are globally relevant, given the inclusion of the Big 4 auditing firms and firms adhering to the International Standards on Auditing. 03-30-2022 <![CDATA[ <p><strong>Purpose</strong>: The study set out to understand how auditors assess a company’s tone at the top, as an integral component of audit risk which is a significant part of forming an audit opinion. <strong>Methodology</strong>: The study followed a qualitative exploratory multiple-case research design, using individual semi-structured interviews to collect data from audit partners and a group interview to collect data from inspectors from the audit regulatory body. <strong>Findings</strong>: The findings provided insights into the procedures how ethical leadership and an ethical organisational culture, which were deemed central to a company’s tone at the top, were assessed. Despite these assessments being done before and throughout an audit, assessments before an audit seemed to be emphasised. While the audit engagement partner took responsibility for tone-at-the-top assessments, audit files contained limited evidence of such involvement. <strong>Originality/Value</strong>: The insights from this study could be useful to auditing firms in enhancing their audit methodologies and training programmes on assessing a company’s tone at the top and the documentation thereof, specifically during the planning of an audit and to evidence audit engagement partner involvement. The findings may also inform the audit regulatory body in providing best-practice guidelines to auditors on the assessment of a company’s tone at the top. Despite the study’s South African orientation, the findings are globally relevant, given the inclusion of the Big 4 auditing firms and firms adhering to the International Standards on Auditing.</p> ]]> Assessing a Company’s Tone at the Top: Evidence from South African Auditing Firms faeeza jaffer elza odendaal hans theron doi: 10.32602/jafas.2022.001 Journal of Accounting, Finance and Auditing Studies 03-30-2022 Journal of Accounting, Finance and Auditing Studies 03-30-2022 2022 8 1 Article 1 10.32602/jafas.2022.001 https://www.acadlore.com/article/JAFAS/2022_8_1/jafas.2022.001 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.038 Customer relationship management is not a project but is a strategy that every business aims to realize and manage the needs of current and potential customers of the company. This research aims to identify the factors that affect Customer Relationship Management, to provide a more detailed analysis of the importance of customer relationship management, how much businesses invest in meeting customer needs, whether they use the right methods to maintain customers. Through this research we have managed to identify several factors that affect the management of consumer behavior. Where intelligent customer management and care generates two main benefits for companies; reducing marketing costs and better penetration to customers. This paper contains theoretical and practical part including literature of various local and foreign authors and scientific publications. Also, the remarks and suggestions given by various local and international authors and organizations, relevant literature and reports, various research articles and other data are critically analyzed. The findings from this scientific research paper will be a good guide for the research of all researchers and a contribution to enrich the international scientific literature. 12-30-2021 <![CDATA[ <p>Customer relationship management is not a project but is a strategy that every business aims to realize and manage the needs of current and potential customers of the company. This research aims to identify the factors that affect Customer Relationship Management, to provide a more detailed analysis of the importance of customer relationship management, how much businesses invest in meeting customer needs, whether they use the right methods to maintain customers. Through this research we have managed to identify several factors that affect the management of consumer behavior. Where intelligent customer management and care generates two main benefits for companies; reducing marketing costs and better penetration to customers. This paper contains theoretical and practical part including literature of various local and foreign authors and scientific publications. Also, the remarks and suggestions given by various local and international authors and organizations, relevant literature and reports, various research articles and other data are critically analyzed. The findings from this scientific research paper will be a good guide for the research of all researchers and a contribution to enrich the international scientific literature.</p> ]]> Customer Relationship Management in the Purchase Decision Process drita krasniqi kastriote vlahna bletrona krasniqi doi: 10.32602/jafas.2021.038 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 151 10.32602/jafas.2021.038 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.038 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.037 Purpose: This paper analyses the impact that performance audit has on improving procurement activities which lead to enhanced value for money. Therefore, the goal was to establish whether or not procurement-focused performance audits generally had an impact on undertaking positive actions/changes within the audited institutions in Kosovo. Methodology: OLM model is used to test the hypothesis raised that what kind of impact did performance audits have on changes undertaken within the entity that would enhance the value for money in the procurement process. The data was obtained through a questionnaire administered with 86 officials within institutions which were subject to performance audits carried out by the KNAO. Findings: We have managed to illustrate which were the changes undertaken by the audited entities after the audit and also determine that auditees’ perceptions are generally positive concerning the role of the Kosovo National Audit Office (KNAO) as a factor in improving performance and undertaking changes within entities. As well, the model results shows a positive and significant relationship between performance audit and changes undertaken by auditee institutions, confirming once again the positive role of the Kosovo NAO. Originality/Value: The main contribution of our research is to draw attention to the impact of performance audit in countries with high levels of corruption and irregularities, such as Kosovo. In addition, this research reveals audit entities key persons’ perceptions, on the factors that influence the undertaking of changes that derive from performance audits. 12-30-2021 <![CDATA[ <p><strong>Purpose: </strong>This paper analyses the impact that performance audit has on improving procurement activities which lead to enhanced value for money. Therefore, the goal was to establish whether or not procurement-focused performance audits generally had an impact on undertaking positive actions/changes within the audited institutions in Kosovo. <strong>Methodology: </strong>OLM model is used to test the hypothesis raised that what kind of impact did performance audits have on changes undertaken within the entity that would enhance the value for money in the procurement process. The data was obtained through a questionnaire administered with 86 officials within institutions which were subject to performance audits carried out by the KNAO. <strong>Findings: </strong>We have managed to illustrate which were the changes undertaken by the audited entities after the audit and also determine that auditees’ perceptions are generally positive concerning the role of the Kosovo National Audit Office (KNAO) as a factor in improving performance and undertaking changes within entities. As well, the model results shows a positive and significant relationship between performance audit and changes undertaken by auditee institutions, confirming once again the positive role of the Kosovo NAO. <strong>Originality/Value: </strong>The main contribution of our research is to draw attention to the impact of performance audit in countries with high levels of corruption and irregularities, such as Kosovo. In addition, this research reveals audit entities key persons’ perceptions, on the factors that influence the undertaking of changes that derive from performance audits.</p> ]]> Does Performance Audit Recognise Improvements in Procurement Activities Leading to Enhanced Value for Money? armin bushati pranvera dalloshi doi: 10.32602/jafas.2021.037 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 134 10.32602/jafas.2021.037 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.037 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.036 Introduction: The Republic of Kosovo, as a new democratic state and independent in 2008, has managed to create a stable financial system over the last decade. The importance of this scientific research lies in the fact that through this study we understand the impact of public debt on economic growth, debt management by past governments and the destination of these funds in capital investments as internal, external and very important sources of financing the economy of Kosovo. Purpose: This scientific paper aims to analyze the impact of public debt on Kosovo's economic growth during the period 2007-2019. Through various analyzes related to the country's public debt, we will be able to conclude the effect of public debt on Kosovo's economic growth. To analyze the public debt of the country, the following variables are included: GDP as a dependent variable, while as independent variables are the internal debt (DD) and external debt (EXD) of the Republic of Kosovo. Methodology: This paper is mainly based on the collection of data from secondary sources which are provided by the annual public debt reports published by the Ministry of Finance, the reports of the Central Bank of Kosovo and the World Bank in a period of 13 years, while the review of the literature in terms of content includes studies of various authors regarding the impact of public debt on economic growth. The collected data will be analyzed, processed and interpreted through econometric models using the STATA software. Findings: Based on the results and findings of the study of this scientific research we can conclude that public debt has a positive impact on economic growth, implying that the low level of public debt has ensured financial stability at the national level and the use of debt to a large extent for capital investments has caused a positive substantive impact on the economic growth of the country during this period. Practical implications: Through the results of this study, we recommend that for the needs of financing the economy and capital projects, the Republic of Kosovo has the opportunity to use public debt for economic needs up to the allowable limit while maintaining financial and macroeconomic stability of the country. Originality/Value: This scientific research presents real and sustainable findings regarding the public debt of the Republic of Kosovo as an impact on economic growth for the analyzed period. 12-30-2021 <![CDATA[ <p><strong>Introduction:</strong> The Republic of Kosovo, as a new democratic state and independent in 2008, has managed to create a stable financial system over the last decade. The importance of this scientific research lies in the fact that through this study we understand the impact of public debt on economic growth, debt management by past governments and the destination of these funds in capital investments as internal, external and very important sources of financing the economy of Kosovo. <strong>Purpose: </strong>This scientific paper aims to analyze the impact of public debt on Kosovo's economic growth during the period 2007-2019. Through various analyzes related to the country's public debt, we will be able to conclude the effect of public debt on Kosovo's economic growth. To analyze the public debt of the country, the following variables are included: GDP as a dependent variable, while as independent variables are the internal debt (DD) and external debt (EXD) of the Republic of Kosovo. <strong>Methodology: </strong>This paper is mainly based on the collection of data from secondary sources which are provided by the annual public debt reports published by the Ministry of Finance, the reports of the Central Bank of Kosovo and the World Bank in a period of 13 years, while the review of the literature in terms of content includes studies of various authors regarding the impact of public debt on economic growth. The collected data will be analyzed, processed and interpreted through econometric models using the STATA software. <strong>Findings: </strong>Based on the results and findings of the study of this scientific research we can conclude that public debt has a positive impact on economic growth, implying that the low level of public debt has ensured financial stability at the national level and the use of debt to a large extent for capital investments has caused a positive substantive impact on the economic growth of the country during this period. <strong>Practical implications: </strong>Through the results of this study, we recommend that for the needs of financing the economy and capital projects, the Republic of Kosovo has the opportunity to use public debt for economic needs up to the allowable limit while maintaining financial and macroeconomic stability of the country. <strong>Originality/Value: </strong>This scientific research presents real and sustainable findings regarding the public debt of the Republic of Kosovo as an impact on economic growth for the analyzed period.</p> ]]> The Impact of Public Debt on Economic Growth: Evidence From Kosovo (2007- 2019) valdrin misiri fisnik morina halit shabani doi: 10.32602/jafas.2021.036 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 119 10.32602/jafas.2021.036 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.036 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.035 Purpose: The objective of this study is to examines the impact of financial leverage on the performance of listed manufacturing companies in Sri Lanka. Methodology: The present study employed ratio analysis to examine whether the financial leverage in listed manufacturing firms in Sri Lanka affected their performance involving the financial performance indicators of return on assets (ROA), return on operating assets (ROOA), return on net operating assets (RNOA), return on equity (ROE) and the impact on the financial level indicators as the debt to equity (DE) and financial spread. Findings: The results found both a positive and negative relationship between financial leverage and the firms’ performance using two different methods of analysis (overall business analysis and main business analysis). The overall business analysis showed a positive relationship between financial leverage and firm performance, which supports the agency cost theory of financial leverage, whereas the main business analysis showed a negative relationship between financial leverage and the firms’ performance Originality/Value: The article presents significant evidence in terms of its scrupulous approach towards checking the toughness of results. The article offers insights to the capital structure and the performance of manufacturing companies in Sri Lanka which helps to investors, managers and debtors on their investment decision. 12-30-2021 <![CDATA[ <p>Purpose: The objective of this study is to examines the impact of financial leverage on the performance of listed manufacturing companies in Sri Lanka. Methodology: The present study employed ratio analysis to examine whether the financial leverage in listed manufacturing firms in Sri Lanka affected their performance involving the financial performance indicators of return on assets (ROA), return on operating assets (ROOA), return on net operating assets (RNOA), return on equity (ROE) and the impact on the financial level indicators as the debt to equity (DE) and financial spread. Findings: The results found both a positive and negative relationship between financial leverage and the firms’ performance using two different methods of analysis (overall business analysis and main business analysis). The overall business analysis showed a positive relationship between financial leverage and firm performance, which supports the agency cost theory of financial leverage, whereas the main business analysis showed a negative relationship between financial leverage and the firms’ performance Originality/Value: The article presents significant evidence in terms of its scrupulous approach towards checking the toughness of results. The article offers insights to the capital structure and the performance of manufacturing companies in Sri Lanka which helps to investors, managers and debtors on their investment decision.</p> ]]> The Relationship between Financial Leverage and the Performance of Sri Lankan Listed Manufacturing Companies dona ganeesha priyangika kaluarachchi a. a. j. fernando raveendra mallawarachchi doi: 10.32602/jafas.2021.035 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 99 10.32602/jafas.2021.035 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.035 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.034 Purpose: The purpose of this study was to determine the direct or indirect effect of the Balancing Fund and Capital Expenditure on the Financial Performance of Local Governments through Regional Original Income as an Intervening Variable. The object of this research is the report on the realization of the APBD of 17 districts/Cities in the Province of South Sumatra from 2016-2020. Design/methodology/approach: The data used is secondary data from the website of the Directorate General of Fiscal Balance of the Republic of Indonesia (www.djpk.depkeu.go.id) in the form of quantitative data with the type of data, namely time series, which is during the period 2016-2020. The research population used is 17 regencies/cities in South Sumatra Province and the sample used is 85 samples. Data analysis techniques in this research are descriptive analysis, classical assumption test, hypothesis testing and path analysis using SPSS for Windows version 26.0 software. Findings: The results of this study indicate that the Balancing Fund does not directly affect Regional Original Revenue, Directly Capital Expenditure affects Regional Original Income, Directly the Balancing Fund, Capital Expenditure, and Regional Original Income cannot affect Regional Government Financial Performance, Indirectly the Balancing Fund variable and Capital Expenditures affect the Financial Performance of Regional Governments through Regional Original Revenues as Intervening Variables. Practical implications: This research is expected to be an evaluation material for Local Governments in improving Government Financial Performance. Originality/value: The conclusion of this study is that indirectly Locally Generated Revenue plays an important role in increasing the effectiveness of local government financial performance. If the Regional Original Revenue gets a large contribution, the level of dependence on the central government will decrease. Government financial performance can be considered effective if the regions do not depend much on the center. Then if the revenue of Regional Original Income is high, the region is able to finance infrastructure development evenly in an effort to improve the welfare of the community. 12-30-2021 <![CDATA[ <p>Purpose: The purpose of this study was to determine the direct or indirect effect of the Balancing Fund and Capital Expenditure on the Financial Performance of Local Governments through Regional Original Income as an Intervening Variable. The object of this research is the report on the realization of the APBD of 17 districts/Cities in the Province of South Sumatra from 2016-2020. Design/methodology/approach: The data used is secondary data from the website of the Directorate General of Fiscal Balance of the Republic of Indonesia (www.djpk.depkeu.go.id) in the form of quantitative data with the type of data, namely time series, which is during the period 2016-2020. The research population used is 17 regencies/cities in South Sumatra Province and the sample used is 85 samples. Data analysis techniques in this research are descriptive analysis, classical assumption test, hypothesis testing and path analysis using SPSS for Windows version 26.0 software. Findings: The results of this study indicate that the Balancing Fund does not directly affect Regional Original Revenue, Directly Capital Expenditure affects Regional Original Income, Directly the Balancing Fund, Capital Expenditure, and Regional Original Income cannot affect Regional Government Financial Performance, Indirectly the Balancing Fund variable and Capital Expenditures affect the Financial Performance of Regional Governments through Regional Original Revenues as Intervening Variables. Practical implications: This research is expected to be an evaluation material for Local Governments in improving Government Financial Performance. Originality/value: The conclusion of this study is that indirectly Locally Generated Revenue plays an important role in increasing the effectiveness of local government financial performance. If the Regional Original Revenue gets a large contribution, the level of dependence on the central government will decrease. Government financial performance can be considered effective if the regions do not depend much on the center. Then if the revenue of Regional Original Income is high, the region is able to finance infrastructure development evenly in an effort to improve the welfare of the community.</p> ]]> The Effect of Locally Generated Revenue as an Intervening Variable on the Financial Performance of the Regional Government of South Sumatra Province periansya evada dewata yuliana sari fadillia nouvanti doi: 10.32602/jafas.2021.034 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 80 10.32602/jafas.2021.034 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.034 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.033 Purpose: In an ever changing professional environment, the auditing profession could not have remained unaffected. Globalization and the increasingly higher levels of competition are among the major parameters contributing to the ongoing changes in the auditing profession. The view that the accounting profession presents a shift from “professionalism” to “commercialism” is often encountered in relevant literature. In case this assertion holds true, then serious issues related to the quality of audit work arise; therefore, the tendency of auditors towards “professionalism” or “commercialism” comes up as a major issue to be investigated, so that both the regulative authorities and all other interested parties may take the appropriate measures. Within this context, the purpose of the present study is the investigation of the tendency of Greek auditors towards “professionalism” or “commercialism”. In this respect, a structured questionnaire has been employed, addressed to active auditors in Greece and directly relevant to auditors’ decisions during the client acceptance and continuance procedures - given that such a tendency may clearly become apparent even from the very first stage of the external audit process. Methodology: A structured questionnaire was employed to collect information on the attitudes, opinions and perceptions of Greek auditors. Descriptive and inferential statistical methods were used to analyse the data. Findings: The findings showed that despite the fact that audit firms present a tendency towards “professionalism”, the auditors tend to deviate from this, turning towards the “commercialism” of auditing services they provide. In addition to that, it became apparent that auditors working for the Big6 audit firms in Greece, as well as auditors with less professional experience/ briefer length of service verge towards “professionalism” to a greater extent in comparison to others. Originality/Value: While the subject of the paper remains a major and ongoing issue, this study examine it through a different prism emphasizing on the first stage of external audit, covering a gap in literature. 12-30-2021 <![CDATA[ <p><strong>Purpose: </strong>In an ever changing professional environment, the auditing profession could not have remained unaffected. Globalization and the increasingly higher levels of competition are among the major parameters contributing to the ongoing changes in the auditing profession. The view that the accounting profession presents a shift from “professionalism” to “commercialism” is often encountered in relevant literature. In case this assertion holds true, then serious issues related to the quality of audit work arise; therefore, the tendency of auditors towards “professionalism” or “commercialism” comes up as a major issue to be investigated, so that both the regulative authorities and all other interested parties may take the appropriate measures. Within this context, the purpose of the present study is the investigation of the tendency of Greek auditors towards “professionalism” or “commercialism”. In this respect, a structured questionnaire has been employed, addressed to active auditors in Greece and directly relevant to auditors’ decisions during the client acceptance and continuance procedures - given that such a tendency may clearly become apparent even from the very first stage of the external audit process. <strong>Methodology: </strong>A structured questionnaire was employed to collect information on the attitudes, opinions and perceptions of Greek auditors. Descriptive and inferential statistical methods were used to analyse the data. <strong>Findings: </strong>The findings showed that despite the fact that audit firms present a tendency towards “professionalism”, the auditors tend to deviate from this, turning towards the “commercialism” of auditing services they provide. In addition to that, it became apparent that auditors working for the Big6 audit firms in Greece, as well as auditors with less professional experience/ briefer length of service verge towards “professionalism” to a greater extent in comparison to others. <strong>Originality/Value:</strong> While the subject of the paper remains a major and ongoing issue, this study examine it through a different prism emphasizing on the first stage of external audit, covering a gap in literature.</p> ]]> Are Auditors More “Commercialists” Than “Professionalists”? An Empirical Study in Greece sofia papadopoulou doi: 10.32602/jafas.2021.033 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 50 10.32602/jafas.2021.033 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.033 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.032 Purpose: This study aims to determine the effect of perceptions of the values karma phala teachings and psychological costs on the compliance of hotel tax payments that have been collected by hotel taxpayers in the Badung Regency. Methodology: This research was conducted at 226 star hotels in the Badung Regency. The sampling technique in this study used a probability sampling method and the sample size was calculated using the Slovin formula. The number of samples analyzed in this study was 52 respondents. The data analysis technique uses multiple linear regression. Findings: Based on the results of the research analysis found that the perception of the values of the teachings of karma phala and psychological costs have a positive effect on the compliance of hotel tax payments in the Badung Regency. Originality/Value: This study aims to determine by testing empirically the effect of perceptions of the values of Karma Phala teaching and psychological costs on hotel tax payment compliance that has been collected by hotel taxpayers in the Badung regency. 12-30-2021 <![CDATA[ <p><strong>Purpose: </strong>This study aims to determine the effect of perceptions of the values karma phala teachings and psychological costs on the compliance of hotel tax payments that have been collected by hotel taxpayers in the Badung Regency. <strong>Methodology: </strong>This research was conducted at 226 star hotels in the Badung Regency. The sampling technique in this study used a probability sampling method and the sample size was calculated using the Slovin formula. The number of samples analyzed in this study was 52 respondents. The data analysis technique uses multiple linear regression. <strong>Findings: </strong>Based on the results of the research analysis found that the perception of the values of the teachings of karma phala and psychological costs have a positive effect on the compliance of hotel tax payments in the Badung Regency. <strong>Originality/Value: </strong>This study aims to determine by testing empirically the effect of perceptions of the values of Karma Phala teaching and psychological costs on hotel tax payment compliance that has been collected by hotel taxpayers in the Badung regency.</p> ]]> The Effect Of Perception Values Of Karma Phala And Psychological Costs On Hotel Tax Deposition Compliance ni luh supadmi i. d. g. dharma suputra doi: 10.32602/jafas.2021.032 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 23 10.32602/jafas.2021.032 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.032 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.031 Purpose: The study sought to identify and measure the tax compliance costs incurred by SMEs in Ghana. It further sought to ascertain the compliance benefits earned by taxpayers. Methodology: Data was collected through a self-administered survey of 116 SMEs in five regions in Ghana. Findings: The study found that SMEs incur a gross compliance cost of GHC2 315 annually (excluding technological cost) or GHC4 687 where technological cost is included. The breakdown of the gross TCC by components showed the Internal Cost of GHC1 048, Incidental Cost of GHC121 and External Cost of GHC1 146. This study could not estimate the tax compliance benefits, even though most of the respondents agreed to the existence of benefits irrespective of their size. Small businesses were found to spend mostly on tax computational activities while medium and larger firms spent on tax planning activities. The results also depict the regressive nature of income tax in Ghana. Originality/Value: Very little is known about the magnitude of resource SMEs in Ghana devote to complying with tax. The paper thus provides a reference point for tax compliance cost against which future studies and improvement to the tax system could be measured. This study fills the literature gap on TCC in Ghana. 12-30-2021 <![CDATA[ <p><strong>Purpose: </strong>The study sought to identify and measure the tax compliance costs incurred by SMEs in Ghana. It further sought to ascertain the compliance benefits earned by taxpayers. <strong>Methodology:</strong> Data was collected through a self-administered survey of 116 SMEs in five regions in Ghana. <strong>Findings:</strong> The study found that SMEs incur a gross compliance cost of GHC2 315 annually (excluding technological cost) or GHC4 687 where technological cost is included. The breakdown of the gross TCC by components showed the Internal Cost of GHC1 048, Incidental Cost of GHC121 and External Cost of GHC1 146. This study could not estimate the tax compliance benefits, even though most of the respondents agreed to the existence of benefits irrespective of their size. Small businesses were found to spend mostly on tax computational activities while medium and larger firms spent on tax planning activities. The results also depict the regressive nature of income tax in Ghana. <strong>Originality/Value: </strong>Very little is known about the magnitude of resource SMEs in Ghana devote to complying with tax. The paper thus provides a reference point for tax compliance cost against which future studies and improvement to the tax system could be measured. This study fills the literature gap on TCC in Ghana.</p> ]]> Tax Compliance Cost of SMEs in Ghana ernest bruce-twum danie schutte doi: 10.32602/jafas.2021.031 Journal of Accounting, Finance and Auditing Studies 12-30-2021 Journal of Accounting, Finance and Auditing Studies 12-30-2021 2021 7 4 Article 1 10.32602/jafas.2021.031 https://www.acadlore.com/article/JAFAS/2021_7_4/jafas.2021.031 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.030 Purpose: Internal auditing has recently become a profession with great potential and each time is being developed and improved to extend its impact to a better management of public money. So, in recent years we see an evolution of function of internal audit as elsewhere in Kosovo, becoming an element of important public internal financial control. Methodology: Data sources from the accounts of one were used to carry out the work significant samples of budget organizations in the Republic of Kosovo as well as a questionnaire dedicated to this topic. Secondary data are also used as laws, regulations, guidelines, standards, codes of ethics, and best professional practices for internal audit, as well as the way budgets are spent in certain organizations budgets also reflected in the external audits that have been done over the years. Findings: This paper describes and analyzes the current state of internal audit in monitoring of public finances, looking at it from a normative point of view, implementing institutional capacity and to the concrete effects that this important function of the link gives to the view of public finance surveillance. Originality/Value: Aware that the internal audit function is not the only instrument of public finance oversight, above all it has an important role to play within the public sector organization and aims at advisory activity independent and objective in providing reasonable assurance, aimed at adding value and improving the functioning of the public sector entity, namely the budget organization. It also assists the subject in meeting the objectives, providing a systematic approach to discipline, evaluate and improve the effectiveness of management processes risk, control and governance in general. 09-29-2021 <![CDATA[ <p><strong>Purpose: </strong>Internal auditing has recently become a profession with great potential and each time is being developed and improved to extend its impact to a better management of public money. So, in recent years we see an evolution of function of internal audit as elsewhere in Kosovo, becoming an element of important public internal financial control. <strong>Methodology:</strong> Data sources from the accounts of one were used to carry out the work significant samples of budget organizations in the Republic of Kosovo as well as a questionnaire dedicated to this topic. Secondary data are also used as laws, regulations, guidelines, standards, codes of ethics, and best professional practices for internal audit, as well as the way budgets are spent in certain organizations budgets also reflected in the external audits that have been done over the years. <strong>Findings:</strong> This paper describes and analyzes the current state of internal audit in monitoring of public finances, looking at it from a normative point of view, implementing institutional capacity and to the concrete effects that this important function of the link gives to the view of public finance surveillance. <strong>Originality/Value:</strong> Aware that the internal audit function is not the only instrument of public finance oversight, above all it has an important role to play within the public sector organization and aims at advisory activity independent and objective in providing reasonable assurance, aimed at adding value and improving the functioning of the public sector entity, namely the budget organization. It also assists the subject in meeting the objectives, providing a systematic approach to discipline, evaluate and improve the effectiveness of management processes risk, control and governance in general.</p> ]]> Internal Audit Analysis in Monitoring of Public Finances - The Case of Kosovo ylber prekazi doi: 10.32602/jafas.2021.030 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 281 10.32602/jafas.2021.030 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.030 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.029 Purpose: The purpose of this study is to analyze in detail one of the new cost approaches, time driven activity-based costing (TDABC), and in this context the cost of a mold manufacturing company is analyzed.Methodology: For this research, we used primary and secondary sources. Direct observation, interviews with relevant departments and computer analysis methods were used as data collection method. A software and online database especially developed for the project was used in order to ease data collection.Findings: Different than traditional volume-based cost methods, with TDABC, based on data analysis, we have identified idle capacities for each department. Which means, TDABC method can be used as an effective management tool as well as for financial reporting purposes.Originality/Value: This paper aims to provide empirical evidence in the implementation of TDABC in project-based manufacturing industry, especially in mold sector and give a contribution to researchers in this field. 09-29-2021 <![CDATA[ <p><strong>Purpose:</strong> The purpose of this study is to analyze in detail one of the new cost approaches, time driven activity-based costing (TDABC), and in this context the cost of a mold manufacturing company is analyzed.</p><p><strong>Methodology:</strong> For this research, we used primary and secondary sources. Direct observation, interviews with relevant departments and computer analysis methods were used as data collection method. A software and online database especially developed for the project was used in order to ease data collection.</p><p><strong>Findings:</strong> Different than traditional volume-based cost methods, with TDABC, based on data analysis, we have identified idle capacities for each department. Which means, TDABC method can be used as an effective management tool as well as for financial reporting purposes.</p><p><strong>Originality/Value: </strong>This paper aims to provide empirical evidence in the implementation of TDABC in project-based manufacturing industry, especially in mold sector and give a contribution to researchers in this field.</p> ]]> An Application of Time-Driven Activity Based Costing Method in the Mold Manufacturing Industry ender boyar mehmet basti doi: 10.32602/jafas.2021.029 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 260 10.32602/jafas.2021.029 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.029 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.028 Purpose: The focus of the study was to investigate whether acquisition and merger as a tool of recapitalization improves Ecobank Ghana limited performance in the long run. This study precisely examined the effect of acquisition and merger on return on assets, return on capital employed, shareholders equity to total assets, debt to equity and total liabilities to total assets.Methodology: The study adopted a descriptive research model with quantitative analysis. Financial ratios over a 12-year period (2006- 2018, excluding 2012) were extracted from financial statements of the bank. The inferential and descriptive statistics were employed for the data analysis. The hypothesis of the study was tested by employing the independent sample test. Also, the Levene’s test was employed to test for the variance homogeneity.Findings: Results from the t-test for equality of means revealed that acquisition and merger had an insignificant relation with the return on equity, return on capital employed, shareholders equity to total assets, debt to equity and total liabilities to total asset.Originality/Value: This paper seeks to add up to the existing empirical evidence on the impact of mergers and acquisitions on the financial performance of Ecobank Ghana Limited. The study further recommend that the processes involve in mergers should be strategically planned and executed not ignoring the valuation process. 09-29-2021 <![CDATA[ <p><strong>Purpose: </strong>The focus of the study was to investigate whether acquisition and merger as a tool of recapitalization improves Ecobank Ghana limited performance in the long run. This study precisely examined the effect of acquisition and merger on return on assets, return on capital employed, shareholders equity to total assets, debt to equity and total liabilities to total assets.</p><p><strong>Methodology: </strong>The study adopted a descriptive research model with quantitative analysis. Financial ratios over a 12-year period (2006- 2018, excluding 2012) were extracted from financial statements of the bank. The inferential and descriptive statistics were employed for the data analysis. The hypothesis of the study was tested by employing the independent sample test. Also, the Levene’s test was employed to test for the variance homogeneity.</p><p><strong>Findings:</strong> Results from the t-test for equality of means revealed that acquisition and merger had an insignificant relation with the return on equity, return on capital employed, shareholders equity to total assets, debt to equity and total liabilities to total asset.</p><p><strong>Originality/Value: </strong>This paper seeks to add up to the existing empirical evidence on the impact of mergers and acquisitions on the financial performance of Ecobank Ghana Limited. The study further recommend that the processes involve in mergers should be strategically planned and executed not ignoring the valuation process.</p> ]]> The impact of Mergers and Acquisitions on the Financial Performance of Ecobank Ghana Limited nyantakyi george cao wei uchenwoke ogockwuku nneka doi: 10.32602/jafas.2021.028 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 243 10.32602/jafas.2021.028 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.028 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.027 Purpose: The study examined the impact of non-performing loans on Kosovo banks' profitability over a time span of 2010 to 2019.Methodology: The traditional profit theory was employed to formulate profit, measured by Return on Assets as a function of the ratio of Non-Performing Loans, Liquidity Risk, and Bank Size as control variables. We have employed multivariable linear regression to estimate the determination of the profit function.Findings: The results showed that the effect of non-performing loans on the profitability is statistically significant and shows that for each 1% increase in NPL, the Return of Assets decreases by 0.19%, holding other variables constant.Originality/Value: The commercial banks in Kosovo, it is recommend following a balanced approach between portfolio growth and credit risk exposure. 09-29-2021 <![CDATA[ <p style="text-align: justify">Purpose: The study examined the impact of non-performing loans on Kosovo banks' profitability over a time span of 2010 to 2019.</p><p style="text-align: justify">Methodology: The traditional profit theory was employed to formulate profit, measured by Return on Assets as a function of the ratio of Non-Performing Loans, Liquidity Risk, and Bank Size as control variables. We have employed multivariable linear regression to estimate the determination of the profit function.</p><p style="text-align: justify">Findings: The results showed that the effect of non-performing loans on the profitability is statistically significant and shows that for each 1% increase in NPL, the Return of Assets decreases by 0.19%, holding other variables constant.</p><p style="text-align: justify">Originality/Value: The commercial banks in Kosovo, it is recommend following a balanced approach between portfolio growth and credit risk exposure.</p> ]]> Impact of Non-Performing Loans on Bank’s Profitability: Empirical Evidence from Commercial Banks in Kosovo besmir çollaku muhamet aliu doi: 10.32602/jafas.2021.027 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 226 10.32602/jafas.2021.027 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.027 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.025 Purpose: This paper sought to investigate the applicability of the course experience questionnaire through its implementation of accounting students in Saudi universities.Methodology: Between a three-month period (January 2020-march 2020) which marks the 2019/2020 session in the Saudi higher education system, a total of 396 accounting students at 7 Saudi state universities. The instrument reliability and validity was assessed using exploratory factor analysis. Internal consistency was measured using Cronbach’s alpha. Criterion validity was assessed by examining the correlation between CEQ scales and one single item of Overall Satisfaction Scale and examined the correlation coefficient between sub-scales using Pearson’s bivariate correlation analysis.Findings: A four-factor model supported an adequate fit with the data. The findings showed good internal consistency reliability of the instrument as a whole. While four of the five sub-scales of the CEQ showed good internal consistency reliability, just one subscale showed unsatisfactory reliability. The following results were obtained for the four-factor model: Values of sampling appropriateness (KMO = 0.948) and Bartlett test of sphericity (x2 = 4575,038, p Originality/Value: This study is meant to take advantage of the Australian experience to apply the CEQ as a measure of perceived course quality so as to help the HEIs in planning a better model of both courses and institutions in Saudi. The present study suggests the need for further studies of the CEQ for application in several majors. So, the expansion of the study population in future research to include several majors can further validate the factor structure of the CEQ for use in Saudi and as benchmarking in the Middle East. 09-29-2021 <![CDATA[ <p><strong>Purpose:<span> </span></strong><span>This paper sought to investigate the applicability of the course experience questionnaire through its implementation of accounting students in Saudi universities.</span></p><p><strong>Methodology:<span style="color: rgb(0, 111, 192)"> </span></strong><span>Between a three-month period (January 2020-march 2020) which marks the 2019/2020 session in the Saudi higher education system, a total of 396 accounting students at 7 Saudi state universities. The instrument reliability and validity was assessed using exploratory factor analysis. Internal consistency was measured using Cronbach’s alpha. Criterion validity was assessed by examining the correlation between CEQ scales and one single item of Overall Satisfaction Scale and examined the correlation coefficient between sub-scales using Pearson’s bivariate correlation analysis.</span></p><p><strong>Findings:<span style="color: rgb(0, 111, 192)"> </span></strong><span>A four-factor model supported an adequate fit with the data. The findings showed good internal consistency reliability of the instrument as a whole. While four of the five sub-scales of the CEQ showed good internal consistency reliability, just one subscale showed unsatisfactory reliability. The following results were obtained for the four-factor model: Values of sampling appropriateness (KMO = 0.948) and Bartlett test of sphericity (x2 = 4575,038, p < 0.001). The findings of the present study showed the inapplicability of the CEQ in accounting education due to the low reliability of Clear goals and standards and unstable factor of Appropriate workload.</span></p><p><strong>Originality/Value:</strong> <span>This study is meant to take advantage of the Australian experience to apply the CEQ as a measure of perceived course quality so as to help the HEIs in planning a better model of both courses and institutions in Saudi. The present study suggests the need for further studies of the CEQ for application in several majors. So, the expansion of the study population in future research to include several majors can further validate the factor structure of the CEQ for use in Saudi and as benchmarking in the Middle East.</span></p> ]]> The Applicability of the Course Experience Questionnaire in Accounting Education in Saudi Arabia fahd taha haidar doi: 10.32602/jafas.2021.025 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 184 10.32602/jafas.2021.025 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.025 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.024 Purpose: This study investigated, from a practice-theory perspective, whether audit committee best practice influences sound governance, applying the proxy of the external audit outcome.Methodology: Binary logistic analysis was applied to determine a relationship between audit committee best practice and the external audit outcome, within a sample of South African private sector and public sector organisations, employing optimal scaling to reduce the items to a workable number of variables.Findings: The results indicated that there is a statistically significant relationship between some audit committee ‘best practice’ practices and the external audit outcome – supporting practice theory.Originality/Value: Although studies have investigated the relationship between certain audit committee characteristics and the external audit outcome, no study could be found where the influence of audit committee best practice on the external audit outcome was examined, supporting the worth of an effective audit committee in a time of regular corporate failures. 09-29-2021 <![CDATA[ <p><strong>Purpose:</strong> <span>This study investigated, from a practice-theory perspective, whether audit committee best practice influences sound governance, applying the proxy of the external audit outcome.</span></p><p><strong>Methodology:<span style="color: rgb(0, 111, 192)"> </span></strong><span>Binary logistic analysis was applied to determine a relationship between audit committee best practice and the external audit outcome, within a sample of South African private sector and public sector organisations, employing optimal scaling to reduce the items to a workable number of variables.</span></p><p><strong>Findings:<span style="color: rgb(0, 111, 192)"> </span></strong><span>The results indicated that there is a statistically significant relationship between some audit committee ‘best practice’ practices and the external audit outcome – supporting practice theory.</span></p><p><strong>Originality/Value:<span> </span></strong><span>Although studies have investigated the relationship between certain audit committee characteristics and the external audit outcome, no study could be found where the influence of audit committee best practice on the external audit outcome was examined, supporting the worth of an effective audit committee in a time of regular corporate failures.</span></p> ]]> The Relationship between Audit Committee Best Practice and Good Governance lourens j. erasmus philna coetzee adéle du preez clara d. msiza doi: 10.32602/jafas.2021.024 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 158 10.32602/jafas.2021.024 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.024 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.023 Purpose: This paper proposes a management accounting framework for Small and Medium Enterprises (SMEs) operating in developing countries. The development of the framework was motivated by the existing low uptake of management accounting and inconsistent use of Management Accounting Practices (MAPs) by SMEs, especially in emerging economies. The model framework advanced in this paper is meant to regularise and systematise the use of MAPs by SMEs.Methodology: The study adopted a qualitative research approach using semi-structured interviews. A total of thirteen focus group meetings, nineteen face-to-face in-depth interviews and twenty-one key informant interviews were conducted in five provinces in Zimbabwe. Data was analysed following a reflexive thematic analysis through content analysis using Atlas. ti.Findings: The paper proposed a six staged systematic implementation method that makes the application of MAPs less cumbersome and easy to implement. The framework can be applied to other similar contexts in the Global South. It is highly recommended that SMEs should apply management accounting as it use promotes competitive advantage and success for an entity.Originality/Value: The framework is envisaged to increase the usage of management accounting among SMEs as well as reducing inconsistencies in the application of MAPs among SMEs. 09-29-2021 <![CDATA[ <p style="text-align: justify">Purpose: This paper proposes a management accounting framework for Small and Medium Enterprises (SMEs) operating in developing countries. The development of the framework was motivated by the existing low uptake of management accounting and inconsistent use of Management Accounting Practices (MAPs) by SMEs, especially in emerging economies. The model framework advanced in this paper is meant to regularise and systematise the use of MAPs by SMEs.</p><p style="text-align: justify">Methodology: The study adopted a qualitative research approach using semi-structured interviews. A total of thirteen focus group meetings, nineteen face-to-face in-depth interviews and twenty-one key informant interviews were conducted in five provinces in Zimbabwe. Data was analysed following a reflexive thematic analysis through content analysis using Atlas. ti.</p><p style="text-align: justify">Findings: The paper proposed a six staged systematic implementation method that makes the application of MAPs less cumbersome and easy to implement. The framework can be applied to other similar contexts in the Global South. It is highly recommended that SMEs should apply management accounting as it use promotes competitive advantage and success for an entity.</p><p style="text-align: justify">Originality/Value: The framework is envisaged to increase the usage of management accounting among SMEs as well as reducing inconsistencies in the application of MAPs among SMEs.</p> ]]> The Development of a Management Accounting Framework for Small and Medium Enterprises Operating in Emerging Economies banele dlamini daniel schutte doi: 10.32602/jafas.2021.023 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 136 10.32602/jafas.2021.023 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.023 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.022 Purpose: This comparison case comprises theoretical and numerical data. Theoretical data were analysed through the SWOT matrix, while numerical data were extracted using IFE and EFE matrixes for both Golden Eagle and Red Bull.Methodology: The methodology utilize in this research is based on the literature study and comparative analysis associate to drinks branding. Two brands “Red Bull and Golden Eagle” was chosen because they are in the same product/service category that are competing for the same target consumers. These two brands (Red Bull and Golden Eagle) have been compared with each other using SWOT, IFE and EFE matrix. The SWOT analysis data of both brands has shown that in addition to the advantages that these two brands possess, they also have weaknesses, opportunities and threats which can be avoided by using different types of strategies (SO, WO, ST, WT).Findings: The results of IFE and EFE matrix also have revealed the positions of these two brands in internal and external aspects. The data derived from the results of the IFE matrix showed the evaluation aspects of internal factors from both brands. From the data of the IFE matrix, it appears that both Golden Eagle and Red Bull have the same total weighting of points 2.5. The result 2.5 is an average score, so the IFE internal factor rating matrix is positive for both brands. The results obtained from the EFE matrix showed that the evaluation aspect of external factors Golden Eagle and Red Bull differ from each other. The overall weighting of points from the EFE matrix for the Golden Eagle brand turns out to be 2.91 while for the Red Bull brand it is 3.3. The results 2.91 and 3.3 are above average that means that two brands are using to the maximum the external possibilities and minimizing the various risks with which can be faced.Originality/Value: In this study, has been made the comparison of beverage brands Red Bull and Golden Eagle. The addition of Golden Eagle, who is operated in Kosovo, has brought originality to the study and this study is aimed to be an example for other studies to be carried out in the region. 09-29-2021 <![CDATA[ <p style="text-align: justify">Purpose: This comparison case comprises theoretical and numerical data. Theoretical data were analysed through the SWOT matrix, while numerical data were extracted using IFE and EFE matrixes for both Golden Eagle and Red Bull.</p><p style="text-align: justify">Methodology: The methodology utilize in this research is based on the literature study and comparative analysis associate to drinks branding. Two brands “Red Bull and Golden Eagle” was chosen because they are in the same product/service category that are competing for the same target consumers. These two brands (Red Bull and Golden Eagle) have been compared with each other using SWOT, IFE and EFE matrix. The SWOT analysis data of both brands has shown that in addition to the advantages that these two brands possess, they also have weaknesses, opportunities and threats which can be avoided by using different types of strategies (SO, WO, ST, WT).</p><p style="text-align: justify">Findings: The results of IFE and EFE matrix also have revealed the positions of these two brands in internal and external aspects. The data derived from the results of the IFE matrix showed the evaluation aspects of internal factors from both brands. From the data of the IFE matrix, it appears that both Golden Eagle and Red Bull have the same total weighting of points 2.5. The result 2.5 is an average score, so the IFE internal factor rating matrix is positive for both brands. The results obtained from the EFE matrix showed that the evaluation aspect of external factors Golden Eagle and Red Bull differ from each other. The overall weighting of points from the EFE matrix for the Golden Eagle brand turns out to be 2.91 while for the Red Bull brand it is 3.3. The results 2.91 and 3.3 are above average that means that two brands are using to the maximum the external possibilities and minimizing the various risks with which can be faced.</p><p style="text-align: justify">Originality/Value: In this study, has been made the comparison of beverage brands Red Bull and Golden Eagle. The addition of Golden Eagle, who is operated in Kosovo, has brought originality to the study and this study is aimed to be an example for other studies to be carried out in the region.</p> ]]> A Comparative Analysis Between Two Energy Drink Brands: Red Bull and Golden Eagle qendrim bytyqi luan vardari doi: 10.32602/jafas.2021.022 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 121 10.32602/jafas.2021.022 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.022 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.021 Purpose: This study aims to investigate the causal relationships between Bitcoin prices and developed and developing country stock markets.Design/methodology/approach: In the analysis part of the study, the causality test developed by Hacker and Hatemi (2006) was used to identify the causality relationship between Bitcoin and developed and developing country stock markets. Findings: As a result of the analysis, a two-way causality was found between BTC and DJI, among the developed country stock markets. On the other hand, there was a causality relationship from FCHI to BTC, while there was no causality from BTC to FCHI. There was a causality relationship from BTC to N225, while there was no causality from N225 to BTC. Finally, no causality relationship was found between DAX and BTC. Looking at the developing country stock markets, however, there was no causality relationship from BIST to BTC, there was a causality relationship from BTC to BIST. There was no causality relationship from BVSP to BTC, but there was a causality relationship from BTC to BVSP. There was no causality from MOEX to BTC, but there was a causality relationship from BTC to MOEX. There was no causality from BSE to BTC, but it was found that there was a causality relationship from BTC to BSE. As can be seen from the results, it is seen that Bitcoin prices are the cause of the stock markets of developing countries. It has been determined that Bitcoin historical values are effective on BIST, BOVESPA, MOEX Russia and BSE Sensex 30. The findings of the study were discussed in the results section. Originality/value: It is of great importance for investors to follow the developments in the stock market indices subject to researchsimultaneouslywiththeBitcoinprices.Itisimportant that investors who will invest in these markets do not ignore the relationship between these markets in portfolio diversification. 09-29-2021 <![CDATA[ <p><strong>Purpose: </strong>This study aims to investigate the causal relationships between Bitcoin prices and developed and developing country stock markets.</p><p><strong>Design/methodology/approach:</strong> In the analysis part of the study, the causality test developed by Hacker and Hatemi (2006) was used to identify the causality relationship between Bitcoin and developed and developing country stock markets. <strong>Findings: </strong>As a result of the analysis, a two-way causality was found between BTC and DJI, among the developed country stock markets. On the other hand, there was a causality relationship from FCHI to BTC, while there was no causality from BTC to FCHI. There was a causality relationship from BTC to N225, while there was no causality from N225 to BTC. Finally, no causality relationship was found between DAX and BTC. Looking at the developing country stock markets, however, there was no causality relationship from BIST to BTC, there was a causality relationship from BTC to BIST. There was no causality relationship from BVSP to BTC, but there was a causality relationship from BTC to BVSP. There was no causality from MOEX to BTC, but there was a causality relationship from BTC to MOEX. There was no causality from BSE to BTC, but it was found that there was a causality relationship from BTC to BSE. As can be seen from the results, it is seen that Bitcoin prices are the cause of the stock markets of developing countries. It has been determined that Bitcoin historical values are effective on BIST, BOVESPA, MOEX Russia and BSE Sensex 30. The findings of the study were discussed in the results section. <strong>Originality/value:</strong> It is of great importance for investors to follow the developments in the stock market indices subject to researchsimultaneouslywiththeBitcoinprices.Itisimportant that investors who will invest in these markets do not ignore the relationship between these markets in portfolio diversification.</p> ]]> An Empirical Investigation of the Relationship between Bitcoin and Developed and Developing Country Stock Markets turgay münyas feryat atasoy doi: 10.32602/jafas.2021.021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 104 10.32602/jafas.2021.021 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.021 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.020 Purpose: The main objective of this study is to measure the effect of managerial ability on financial reporting timeliness in Egypt. Methodology: We analyzed a sample of Egyptian firms listed on the EGX100 index, the final sample was 62 firms during the period 2014 - 2018, we measured managerial ability depending on data envelope analysis (DEA) presented by Demerjian et al. (2012). The data was analyzed through the OLS method. Findings: Under the resource-based theory, we expect that higher ability managers own the utmost human capital, they are more able to maintain good internal control systems and provide higher earnings quality. Consequently, we predict that higher ability managers provide financial statements in a timely manner. The results confirm a negative relationship between managerial ability and financial reporting lag. Originality/Value: Our results provide insights to researchers, investors, regulators, auditors, and other stakeholders in emerging economies to understand and perceivetheimplicationsofmanagerialabilityonfinancial reportingtimeliness. 09-29-2021 <![CDATA[ <p><strong>Purpose:</strong> The main objective of this study is to measure the effect of managerial ability on financial reporting timeliness in Egypt. <strong>Methodology:</strong> We analyzed a sample of Egyptian firms listed on the EGX100 index, the final sample was 62 firms during the period 2014 - 2018, we measured managerial ability depending on data envelope analysis (DEA) presented by Demerjian et al. (2012). The data was analyzed through the OLS method. <strong>Findings: </strong>Under the resource-based theory, we expect that higher ability managers own the utmost human capital, they are more able to maintain good internal control systems and provide higher earnings quality. Consequently, we predict that higher ability managers provide financial statements in a timely manner. The results confirm a negative relationship between managerial ability and financial reporting lag. <strong>Originality/Value:</strong> Our results provide insights to researchers, investors, regulators, auditors, and other stakeholders in emerging economies to understand and perceivetheimplicationsofmanagerialabilityonfinancial reportingtimeliness.</p> ]]> The Effect of Managerial Ability on Financial Reporting Timeliness: Egypt Evidence aref m. eissa tarek m. hashad doi: 10.32602/jafas.2021.020 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 86 10.32602/jafas.2021.020 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.020 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.019 Purpose: This study was conducted to examine the impact of corporate governance and CEO’s reputation toward value relevance. This study also examines how CEO’s reputation moderates the impact of corporate governance toward value relevance. The object of this research are banks that listed in Bursa Efek Indonesia (BEI) from 2016 and 2019. Design/methodology/approach: The purposive sampling method is used to select the research sample. The study use SmartPLS program to analyze data. The measurement of value relevance are share price, earning per share and net asset value per share. This study used board size, board independence, board activity, board gender diversity and staggered board to measure corporate governance. CEO’s reputation index is used to measure CEO’s reputation. Findings: The results of this study show that by maximizing the board size can improve the value relevance of banks at Indonesia. Practical implications: These findings will be very helpful to management to increase the company's value relevance by managing board of directors. Originality/value: This article provides a new insight of value relevance research as to how CEO’s reputation moderates the impact of corporate governance to value relevance. 09-29-2021 <![CDATA[ <p><strong>Purpose:</strong> This study was conducted to examine the impact of corporate governance and CEO’s reputation toward value relevance. This study also examines how CEO’s reputation moderates the impact of corporate governance toward value relevance. The object of this research are banks that listed in Bursa Efek Indonesia (BEI) from 2016 and 2019. <strong>Design/methodology/approach:</strong> The purposive sampling method is used to select the research sample. The study use SmartPLS program to analyze data. The measurement of value relevance are share price, earning per share and net asset value per share. This study used board size, board independence, board activity, board gender diversity and staggered board to measure corporate governance. CEO’s reputation index is used to measure CEO’s reputation. <strong>Findings:</strong> The results of this study show that by maximizing the board size can improve the value relevance of banks at Indonesia. <strong>Practical implications:</strong> These findings will be very helpful to management to increase the company's value relevance by managing board of directors. <strong>Originality/value:</strong> This article provides a new insight of value relevance research as to how CEO’s reputation moderates the impact of corporate governance to value relevance.</p> ]]> The Effect of Corporate Governance on Value Relevance Moderated by CEO’s Reputation edi edi jefveny kho doi: 10.32602/jafas.2021.019 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 60 10.32602/jafas.2021.019 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.019 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.018 Purpose: The study addressed Value Added Tax compliance challenges facing small and medium enterprises in Saudi Arabia and rank these challenges based on their relative impacts. The research addressed four major challenges: the complexity of VAT system design, lack of VAT knowledge of taxpayers, high compliance cost, and multiple fines and audits. Methodology: A survey research design was employed to collect relevant data from SMEs using a self-designed questionnaire, which was sent to 200 enterprises of which 97 was returned. Findings: Results revealed that out of the four challenges, imposing rigorous fines was the most VAT compliance challenge facing SMEs, and compliance cost was the least. The study showed that equipping taxpayers with adequate tax knowledge and proper education reduces compliance costs and fines and increases compliance. Originality/Value: The study contributed to the understanding of the VAT system and possible mediation of challenges that enhance the level of VAT compliance. It is hoped that the forwarded recommendations can be helpful for researchers and policymakers investigating the implications of VAT and the enhancement of compliance. 09-29-2021 <![CDATA[ <p><strong>Purpose: </strong>The study addressed Value Added Tax compliance challenges facing small and medium enterprises in Saudi Arabia and rank these challenges based on their relative impacts. The research addressed four major challenges: the complexity of VAT system design, lack of VAT knowledge of taxpayers, high compliance cost, and multiple fines and audits. <strong>Methodology:</strong> A survey research design was employed to collect relevant data from SMEs using a self-designed questionnaire, which was sent to 200 enterprises of which 97 was returned. <strong>Findings:</strong> Results revealed that out of the four challenges, imposing rigorous fines was the most VAT compliance challenge facing SMEs, and compliance cost was the least. The study showed that equipping taxpayers with adequate tax knowledge and proper education reduces compliance costs and fines and increases compliance. <strong>Originality/Value:</strong> The study contributed to the understanding of the VAT system and possible mediation of challenges that enhance the level of VAT compliance. It is hoped that the forwarded recommendations can be helpful for researchers and policymakers investigating the implications of VAT and the enhancement of compliance.</p> ]]> VAT Compliance Challenges Among SMEs: Evidence from Saudi Arabia sulaiman a. alsughayer doi: 10.32602/jafas.2021.018 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 34 10.32602/jafas.2021.018 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.018 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.017 Purpose: This study seeks to assess how data analytics (DA) can be implemented within the scope of Maltese external public sector audits in order to enhance the value obtained from these audits. We herein explore the use of descriptive, diagnostic, predictive and prescriptive DA within Malta’s National Audit Office (NAO). The research follows a mixed methodology approach. Empirical evidence was gathered through the conduct of semi-structured interviews and the distribution of questionnaires to NAO auditors across all audit units. The findings indicate that that while the NAO has started to integrate DA in its operations, the use of DA by the Office is still limited. The study suggests that all units across the NAO stand to benefit from the implementation of DA. In order for the NAO to take advantage of DA, the Office should fully commit to making the necessary investments to prepare for the future of auditing. Additionally, a DA strategy, which maps out the direction the NAO intends to take, should be drawn up, addressing the immediatie, medium and long-term. Training for NAO auditors is also key for addressing any lack of expertise in this area. The study aims to shed light on how Supreme Audit Institutions can incorporate DA into their operations, in order to increase the efficiency, effectiveness as well as the level of insights gained from the audits they carry out. 09-29-2021 <![CDATA[ <p>Purpose: This study seeks to assess how data analytics (DA) can be implemented within the scope of Maltese external public sector audits in order to enhance the value obtained from these audits. We herein explore the use of descriptive, diagnostic, predictive and prescriptive DA within Malta’s National Audit Office (NAO). The research follows a mixed methodology approach. Empirical evidence was gathered through the conduct of semi-structured interviews and the distribution of questionnaires to NAO auditors across all audit units. The findings indicate that that while the NAO has started to integrate DA in its operations, the use of DA by the Office is still limited. The study suggests that all units across the NAO stand to benefit from the implementation of DA. In order for the NAO to take advantage of DA, the Office should fully commit to making the necessary investments to prepare for the future of auditing. Additionally, a DA strategy, which maps out the direction the NAO intends to take, should be drawn up, addressing the immediatie, medium and long-term. Training for NAO auditors is also key for addressing any lack of expertise in this area. The study aims to shed light on how Supreme Audit Institutions can incorporate DA into their operations, in order to increase the efficiency, effectiveness as well as the level of insights gained from the audits they carry out.</p> ]]> Benefits and Challenges of Applying Data Analytics in Government Auditing lauren ellul raissa buttigieg doi: 10.32602/jafas.2021.017 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 1 10.32602/jafas.2021.017 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2021.017 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.016 Purpose: The purpose of this research was to examine the methodological factors that judges perceive as reasons for excluding the expert testimony of forensic accountants in order to map this rationale onto the Daubert standard. Methodology: A case study research design using a qualitative content analysis of 34 federal cases involving methodological violations of the Daubert standard was selected. Open and axial coding was applied to the judicial statements to ascertain the general themes as well as the specific categories that constituted those themes. Findings: Judges primarily excluded testimony based on deficiencies in evidence, methods, and reasoning. Deficiencies in evidence and method were isomorphic with the Daubert standard, whereas deficiencies in reasoning were unique to this analysis. Further, these thematic categories were interconnected in ways not explicitly expressed in the Federal Rules of Evidence. Originality/Value: This study provided a detailed understanding of how judges understood methodological deficiencies when applying the Daubert standard in order to exclude the testimony of forensic accountants. Practical insights on what forensic accountants should focus on when analyzing their own methodological concerns is obtained. 06-29-2021 <![CDATA[ <p><strong>Purpose:</strong> The purpose of this research was to examine the methodological factors that judges perceive as reasons for excluding the expert testimony of forensic accountants in order to map this rationale onto the Daubert standard. <strong>Methodology: </strong>A case study research design using a qualitative content analysis of 34 federal cases involving methodological violations of the Daubert standard was selected. Open and axial coding was applied to the judicial statements to ascertain the general themes as well as the specific categories that constituted those themes. <strong>Findings:</strong> Judges primarily excluded testimony based on deficiencies in evidence, methods, and reasoning. Deficiencies in evidence and method were isomorphic with the Daubert standard, whereas deficiencies in reasoning were unique to this analysis. Further, these thematic categories were interconnected in ways not explicitly expressed in the Federal Rules of Evidence. <strong>Originality/Value:</strong> This study provided a detailed understanding of how judges understood methodological deficiencies when applying the Daubert standard in order to exclude the testimony of forensic accountants. Practical insights on what forensic accountants should focus on when analyzing their own methodological concerns is obtained.</p> ]]> Methodological Deficiencies in the Expert Testimony of Forensic Accountants: A Qualitative Content Analysis of Judicial Statements Pertaining to Daubert Exclusions ronnie abukhalaf melissa m. aldridge james a. smith doi: 10.32602/jafas.2021.016 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 109 10.32602/jafas.2021.016 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.016 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.015 Purpose: This research will aim to provide a more complete view of the IAS implementation process by large enterprises in Kosovo and its impact on their financial position. Methodology: For this research, we used primary and secondary sources. We conducted quantitative research through a customized questionnaire, which was completed by the accountants of 102 chosen companies, regarding the implementation of IAS and its impact on the company’s financial position. Findings: Based on data analysis, we have identified that the level of implementation of IAS is average, and the main factors of this are the complexity of IAS, cost of implementation, lack of knowledge, and adequate certifications about IAS. Originality/Value: This paper aims to provide empirical evidence in the implementation of IAS in Kosovo and give a contribution to researchers in this field. 06-29-2021 <![CDATA[ <p><strong>Purpose</strong>: This research will aim to provide a more complete view of the IAS implementation process by large enterprises in Kosovo and its impact on their financial position. <strong>Methodology</strong>: For this research, we used primary and secondary sources. We conducted quantitative research through a customized questionnaire, which was completed by the accountants of 102 chosen companies, regarding the implementation of IAS and its impact on the company’s financial position.<strong> Findings</strong>: Based on data analysis, we have identified that the level of implementation of IAS is average, and the main factors of this are the complexity of IAS, cost of implementation, lack of knowledge, and adequate certifications about IAS. <strong>Originality/Value</strong>: This paper aims to provide empirical evidence in the implementation of IAS in Kosovo and give a contribution to researchers in this field.</p> ]]> Level of Implementation of International Accounting Standards by Large Enterprises in Kosovo lyra osmani skender ahmeti muhamet aliu doi: 10.32602/jafas.2021.015 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 96 10.32602/jafas.2021.015 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.015 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.014 Purpose: The purpose of this paper is to determine financial ratios, which affect stock returns of manufacturing industry companies listed in Borsa Istanbul (BIST) 100 during the period of 2008-2019. Methodology: In this study, panel data analysis is applied by using data of manufacturing companies listed in BIST 100 during the period of 2008-2019. Findings: According to the findings of the study, the variables of Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA)/Total Assets, Market Value/Book Value and Market Value/Net Sales have a positive and significant effect on stock returns. Moreover the negative and significant effect of the variables of Gross Profit Margin, Current Ratio, Current Asset Turnover Rate and Total Debt/Equity on stock returns are among the other findings of the study. Significance of the Study: The determining financial ratios affecting stock returns has importance as it helps investment decisions of investors. 06-29-2021 <![CDATA[ <p><strong>Purpose</strong>: The purpose of this paper is to determine financial ratios, which affect stock returns of manufacturing industry companies listed in Borsa Istanbul (BIST) 100 during the period of 2008-2019. <strong>Methodology</strong>: In this study, panel data analysis is applied by using data of manufacturing companies listed in BIST 100 during the period of 2008-2019.<strong> Findings</strong>: According to the findings of the study, the variables of Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA)/Total Assets, Market Value/Book Value and Market Value/Net Sales have a positive and significant effect on stock returns. Moreover the negative and significant effect of the variables of Gross Profit Margin, Current Ratio, Current Asset Turnover Rate and Total Debt/Equity on stock returns are among the other findings of the study. <strong>Significance of the Study</strong>: The determining financial ratios affecting stock returns has importance as it helps investment decisions of investors.</p> ]]> Determining Factors Affecting Stock Returns by Panel Data Analysis Method: An Application on Manufacturing Industry Companies Listed in BIST 100 murat mat mehmet cihangir doi: 10.32602/jafas.2021.014 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 80 10.32602/jafas.2021.014 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.014 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.013 Purpose: The aim of the study is to analyze domestic and international macro-economic factors affecting the profitability rates of the Turkish banking sector, in the period 2010-2020 as capital movements are quite volatile. Methodology: Thus, it will be investigated whether global factors or domestic economic conditions are more effective on bank vulnerability. ARDL and Error Correction Models were used to analyze the short and long term relationships between variables. Findings: ARDL bounds test findings show that there is a cointegration relationship between bank profitability and selected macro-economic variables in the long run. In this respect, we can say that there is a causal link between all variables considered in the number one functional relationship and ROA. Originality/Value: This study contributed to the Turkish literature by examining the macroeconomic determinants of bank profitability with ARDL method. 06-29-2021 <![CDATA[ <p><strong>Purpose:</strong> The aim of the study is to analyze domestic and international macro-economic factors affecting the profitability rates of the Turkish banking sector, in the period 2010-2020 as capital movements are quite volatile. <strong>Methodology:</strong> Thus, it will be investigated whether global factors or domestic economic conditions are more effective on bank vulnerability. ARDL and Error Correction Models were used to analyze the short and long term relationships between variables. <strong>Findings: </strong>ARDL bounds test findings show that there is a cointegration relationship between bank profitability and selected macro-economic variables in the long run. In this respect, we can say that there is a causal link between all variables considered in the number one functional relationship and ROA. <strong>Originality/Value: </strong>This study contributed to the Turkish literature by examining the macroeconomic determinants of bank profitability with ARDL method.</p> ]]> Analysis Of The Macroeconomic Factors Determining The Asset Profitability of The Turkish Banking System in The Period of 2010-2020 özgür özkana doi: 10.32602/jafas.2021.013 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 64 10.32602/jafas.2021.013 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.013 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.012 Purpose: Energy efficiency projects can save money for companies but are not always accepted with great enthusiasm. High risk may be the reason of hesitancy. Current research designed model that can assesses risk by considering volatile factors that affect value of the project and evaluated energy efficiency investments. Methodology: Model calculated Value at Risk using Monte Carlo simulation. Financial risk of two heavy equipment energy efficiency projects in Georgia was evaluated. Findings: Results indicated that if investment costs are high compared with present value of energy savings (90%) risk may be substantial but its level drops to the low level if investment costs are lower (70%). Significance: Research and elaborated model can help manages to quantify risks and make thorough decisions regarding investment in energy efficiency projects. 06-29-2021 <![CDATA[ <p style="text-align: justify"><strong>Purpose: </strong>Energy efficiency projects can save money for companies but are not always accepted with great enthusiasm. High risk may be the reason of hesitancy. Current research designed model that can assesses risk by considering volatile factors that affect value of the project and evaluated energy efficiency investments. <strong>Methodology:</strong> Model calculated Value at Risk using Monte Carlo simulation. Financial risk of two heavy equipment energy efficiency projects in Georgia was evaluated. <strong>Findings:</strong> Results indicated that if investment costs are high compared with present value of energy savings (90%) risk may be substantial but its level drops to the low level if investment costs are lower (70%). <strong>Significance:</strong> Research and elaborated model can help manages to quantify risks and make thorough decisions regarding investment in energy efficiency projects.</p> ]]> Assessment of a Value at Risk in Heavy Construction Equipment Energy Efficiency Projects vakhtang berishvili doi: 10.32602/jafas.2021.012 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 53 10.32602/jafas.2021.012 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.012 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.011 Purpose: Despite significance of boards of directors, very few studies have examined their influences. This paper investigates the effect of board on corporate social responsibility reporting of quoted companies in Nigeria. Methodology: Although, the study is empirical, the research design is correlational in nature. Panel data of 329 observations was extracted from 47 firms over 7 years (2013-2019). The data was tested for descriptive analysis (mean, number of observations, standard deviations, minimum and maximum means, normality, multicollinearity, and heteroskedasticity. Findings: Results reveal that board size, diligence and independence failed to show significant effects. However, board gender diversity, firm size and leverage show significant effect. It also shows that social disclosure index is superior to corporate social responsibility disclosure model. Originality/Value: The paper concludes that female directors, firm size and debt are the key elements of corporate social responsibility reporting of quoted firms in Nigeria. Therefore, shareholders should appoint more women on the board. Management should increase firm size by acquiring additional assets and take advantage of cheap debt opportunities in the capital market. 06-29-2021 <![CDATA[ <p><strong>Purpose: </strong>Despite significance of boards of directors, very few studies have examined their influences. This paper investigates the effect of board on corporate social responsibility reporting of quoted companies in Nigeria. <strong>Methodology:</strong> Although, the study is empirical, the research design is correlational in nature. Panel data of 329 observations was extracted from 47 firms over 7 years (2013-2019). The data was tested for descriptive analysis (mean, number of observations, standard deviations, minimum and maximum means, normality, multicollinearity, and heteroskedasticity. <strong>Findings: </strong>Results reveal that board size, diligence and independence failed to show significant effects. However, board gender diversity, firm size and leverage show significant effect. It also shows that social disclosure index is superior to corporate social responsibility disclosure model. <strong>Originality/Value: </strong>The paper concludes that female directors, firm size and debt are the key elements of corporate social responsibility reporting of quoted firms in Nigeria. Therefore, shareholders should appoint more women on the board. Management should increase firm size by acquiring additional assets and take advantage of cheap debt opportunities in the capital market.</p> ]]> Board of Directors and Corporate Social Responsibility Reporting of Quoted Companies in Nigeria onipe adabenege yahaya james apochi doi: 10.32602/jafas.2021.011 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 38 10.32602/jafas.2021.011 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.011 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.010 Purpose: Globally and historically, internal auditing has been used to enhance the efficiency and effectiveness of organisations. The internal audit process helps to achieve the desired objectives of organisations including local governments by preventing irregularities in operations. Guided by institutional theory and based on primary data as well as employing the interpretive research philosophy, the paper examined the internal audit process of selected local government institutions in the Central Region of Ghana. Methodology: Purposive sampling technique was used to select seven key informants for interview by the use of interview guide. The data were analysed using pattern matching and content analysis based on themes. Findings: The main finding was that the internal auditors hardly performed all tasks involved in the internal audit process due to irregularities in operations. This constrained the achievement of assignment objectives. The recommendation was that the Head of Local Government Service should sanction auditors who flout the process. Originality/Value: This study is meant to raise awareness of stakeholders of local governments on the need to improve internal audit practices for effective and efficient resource utilisation to enhance service delivery to the citizens. 06-29-2021 <![CDATA[ <p><strong>Purpose:</strong> Globally and historically, internal auditing has been used to enhance the efficiency and effectiveness of organisations. The internal audit process helps to achieve the desired objectives of organisations including local governments by preventing irregularities in operations. Guided by institutional theory and based on primary data as well as employing the interpretive research philosophy, the paper examined the internal audit process of selected local government institutions in the Central Region of Ghana. <strong>Methodology:</strong> Purposive sampling technique was used to select seven key informants for interview by the use of interview guide. The data were analysed using pattern matching and content analysis based on themes. <strong>Findings:</strong> The main finding was that the internal auditors hardly performed all tasks involved in the internal audit process due to irregularities in operations. This constrained the achievement of assignment objectives. The recommendation was that the Head of Local Government Service should sanction auditors who flout the process. <strong>Originality/Value: </strong>This study is meant to raise awareness of stakeholders of local governments on the need to improve internal audit practices for effective and efficient resource utilisation to enhance service delivery to the citizens.</p> ]]> Examining Internal Audit Process of Selected Local Governments in the Central Region of Ghana anthony egyir aikins john victor mensah akwasi kumi-kyereme doi: 10.32602/jafas.2021.010 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 16 10.32602/jafas.2021.010 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.010 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.009 Purpose: This research aims to present the process of adoption of International Financial Reporting Standards (IFRS) by large enterprises in Kosovo and main challenges faced during the implementation. Methodology: We conducted a quantitative research through a customized questionnaire regarding the challenges presented during the implementation period ,which was addressed to 138 companies which are required by law to report under IFRS of which 100 valid for research, which were completed by the accountants of those companies. Findings: Based on data analysis, we have identified that the main challenges faced during this process are related to the lack of knowledge of accountants and no continues professional development as well as lack of training and it is evident that the process of implementing IFRS is complex. Originality/Value: The findings of the study provide empirical evidence in the application of IFRS from development countires as well as challanges during adaption phase of IFRS. 06-29-2021 <![CDATA[ <p><strong>Purpose:</strong> This research aims to present the process of adoption of International Financial Reporting Standards (IFRS) by large enterprises in Kosovo and main challenges faced during the implementation. <strong>Methodology:</strong> We conducted a quantitative research through a customized questionnaire regarding the challenges presented during the implementation period ,which was addressed to 138 companies which are required by law to report under IFRS of which 100 valid for research, which were completed by the accountants of those companies. <strong>Findings:</strong> Based on data analysis, we have identified that the main challenges faced during this process are related to the lack of knowledge of accountants and no continues professional development as well as lack of training and it is evident that the process of implementing IFRS is complex. <strong>Originality/Value:</strong> The findings of the study provide empirical evidence in the application of IFRS from development countires as well as challanges during adaption phase of IFRS.</p> ]]> Challenges of Implementing IFRS in Kosovo mimoza guda ferati skender ahmeti muhamet aliu doi: 10.32602/jafas.2021.009 Journal of Accounting, Finance and Auditing Studies 06-29-2021 Journal of Accounting, Finance and Auditing Studies 06-29-2021 2021 7 2 Article 1 10.32602/jafas.2021.009 https://www.acadlore.com/article/JAFAS/2021_7_2/jafas.2021.009 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.008 Purpose of the Study: It is aimed to explain the accounting and presentation of the Sale and Lease Back transactions within the framework of TFRS16-Lease Standard. Methodology of the Study: The principles of TFRS16- Lease Standard are explained within the content of Sale and Buy Back, afterwards; samples are shown related with the accounting of Sale and Buy Back transactions. Findings of the Study: During the accounting process; it is important to evaluate whether the asset involved in the Sale and Buy Back Contract is “subject of sales or not”. Thus, accounting basis is varied due to the reply; whether the Sale and Buy Back Contract is evaluated as a sale or not, within the framework of TFRS 15 Revenue from Contracts with Customers. Importance of the Study: In general; the corporations are observed to benefit the Sale and Buy Back Method, frequently. The samples involved in the study are considered to be informative for the researchers by virtue of being relevant to the current applications. Besides; it is considered that the lack of studies relating the Sale and Buy Back transactions within the literature due to TFRS 16 Standard makes this study more remarkable. 03-30-2021 <![CDATA[ <p><strong>Purpose of the Study: </strong>It is aimed to explain the accounting and presentation of the Sale and Lease Back transactions within the framework of TFRS16-Lease Standard. <strong>Methodology of the Study: </strong>The principles of TFRS16- Lease Standard are explained within the content of Sale and Buy Back, afterwards; samples are shown related with the accounting of Sale and Buy Back transactions. <strong>Findings of the Study:</strong> During the accounting process; it is important to evaluate whether the asset involved in the Sale and Buy Back Contract is “subject of sales or not”. Thus, accounting basis is varied due to the reply; whether the Sale and Buy Back Contract is evaluated as a sale or not, within the framework of TFRS 15 Revenue from Contracts with Customers. <strong>Importance of the Study: </strong>In general; the corporations are observed to benefit the Sale and Buy Back Method, frequently. The samples involved in the study are considered to be informative for the researchers by virtue of being relevant to the current applications. Besides; it is considered that the lack of studies relating the Sale and Buy Back transactions within the literature due to TFRS 16 Standard makes this study more remarkable.</p> ]]> Accounting of Sale - Lease Back Transactions within the Framework of TFRS16 Leases ahmet gökgöz doi: 10.32602/jafas.2021.008 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 155 10.32602/jafas.2021.008 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.008 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.007 Purpose of the study: This paper intended to analyze the sectoral index which can possibly be affected by oil price shocks in Turkey. Research method: The study used Hilbert-Huang transform (HHT) to quantify oil price shock intensities based on daily West Texas Intermediate spot prices obtained from energy information administration website for the year 2000 to 2019 and target shocks were selected for event study. Later event study methodology was used to assess the impact of oil price shocks on sectoral indexes of six sectors in Istanbul stock exchange of Turkey based on data collected from investing.com website. Findings: Empirical results show that oil price shocks negatively affect real estate sector (XGMYO), financials (XUMAL) and transportation (XULAS), but positively affects industrials (XUSIN) and food and beverage (XGIDA) sectors. Originality/Value: The study contributes to theoretical and empirical literature. It also demonstrated that it is reasonable to combine HHT and event study to evaluate sectoral effects of oil price shocks on Turkey. 03-30-2021 <![CDATA[ <p><strong>Purpose of the study:</strong> This paper intended to analyze the sectoral index which can possibly be affected by oil price shocks in Turkey. <strong>Research method:</strong> The study used Hilbert-Huang transform (HHT) to quantify oil price shock intensities based on daily West Texas Intermediate spot prices obtained from energy information administration website for the year 2000 to 2019 and target shocks were selected for event study. Later event study methodology was used to assess the impact of oil price shocks on sectoral indexes of six sectors in Istanbul stock exchange of Turkey based on data collected from investing.com website. <strong>Findings:</strong> Empirical results show that oil price shocks negatively affect real estate sector (XGMYO), financials (XUMAL) and transportation (XULAS), but positively affects industrials (XUSIN) and food and beverage (XGIDA) sectors. <strong>Originality/Value:</strong> The study contributes to theoretical and empirical literature. It also demonstrated that it is reasonable to combine HHT and event study to evaluate sectoral effects of oil price shocks on Turkey.</p> ]]> Impact Of Oil Price Shocks On Stock Returns In Turkey: A Sectoral Analysis Based On Hilbert-Huang Transform And Event Study cho kien bogeh aslıhan ersoy bozcuk doi: 10.32602/jafas.2021.007 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 138 10.32602/jafas.2021.007 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.007 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.006 Purpose: COVID-19 emphasizing its significant existence in our lives has considerable consequences with regard to numerous professions – one of which is auditing. As uncertainty increases, organizations are substantially challenged in their attempt to foresee even the short-term future. Exclusively, auditors are confronted by the difficulties brought by COVID-19 due to countless reasons such as health conditions and travel restrictions. The aim of this paper is to assess the current audit environment by a holistic explore of the past, the Enron times, and the future of the audit profession. Design/methodology/approach: This paper is a conceptual paper with a thorough literature review. Findings: The results of the study exhibit a change in the nature of the profession over time especially in the light of the changes in the financial markets. Originality/value: This study contributes to the accounting and auditing literature to the extent that not only the changing trends in the profession are emphasized; but existence of COVID-19 is highlighted as well. 03-30-2021 <![CDATA[ <p><strong>Purpose:</strong> COVID-19 emphasizing its significant existence in our lives has considerable consequences with regard to numerous professions – one of which is auditing. As uncertainty increases, organizations are substantially challenged in their attempt to foresee even the short-term future. Exclusively, auditors are confronted by the difficulties brought by COVID-19 due to countless reasons such as health conditions and travel restrictions. The aim of this paper is to assess the current audit environment by a holistic explore of the past, the Enron times, and the future of the audit profession. <strong>Design/methodology/approach:</strong> This paper is a conceptual paper with a thorough literature review. <strong>Findings:</strong> The results of the study exhibit a change in the nature of the profession over time especially in the light of the changes in the financial markets. <strong>Originality/value:</strong> This study contributes to the accounting and auditing literature to the extent that not only the changing trends in the profession are emphasized; but existence of COVID-19 is highlighted as well.</p> ]]> The Past, the Enron, and the Future of Audit can tansel kaya doi: 10.32602/jafas.2021.006 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 119 10.32602/jafas.2021.006 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.006 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.005 Purpose: This research aims to present the essential differences during preparation of financial statements according to commercial accounting rules and tax accounting rules; the ability of authorized people to differentiate two categories of reporting, and other findings regarding their orientation of preparation FS under IAS and then use them for the preparation FS under tax rules or inversely. Design/methodology/approach: we have realized questionnaire research which was addressed to certified accountants and others under this qualification to gather the information that will serve our research questions. This paper applied descriptive statistics and analytical-inferential statistics in terms of the application research method. Findings: The findings of this research show that there is a satisfactory level of accountant’s knowledge about the differences between commercial accounting and tax accounting rules. According to the obtained empirical results, we concluded that more than 50% of the respondents prefer to prepare the FS initially according to KCFR requirements followed by adjustments under tax requirements. Originality/value: Few known studies of this type, increase the contribution of this research in terms of drafting regulations related to the preparation of FS according to IAS and preparation of FS according to TAK rules to create a more approximate system of both forms of reporting. 03-30-2021 <![CDATA[ <p><strong>Purpose</strong>: This research aims to present the essential differences during preparation of financial statements according to commercial accounting rules and tax accounting rules; the ability of authorized people to differentiate two categories of reporting, and other findings regarding their orientation of preparation FS under IAS and then use them for the preparation FS under tax rules or inversely. <strong>Design/methodology/approach</strong>: we have realized questionnaire research which was addressed to certified accountants and others under this qualification to gather the information that will serve our research questions. This paper applied descriptive statistics and analytical-inferential statistics in terms of the application research method. <strong>Findings</strong>: The findings of this research show that there is a satisfactory level of accountant’s knowledge about the differences between commercial accounting and tax accounting rules. According to the obtained empirical results, we concluded that more than 50% of the respondents prefer to prepare the FS initially according to KCFR requirements followed by adjustments under tax requirements. <strong>Originality/value</strong>: Few known studies of this type, increase the contribution of this research in terms of drafting regulations related to the preparation of FS according to IAS and preparation of FS according to TAK rules to create a more approximate system of both forms of reporting.</p> ]]> The Convergence of Preparation the Financial Statements According to IAS and Tax Accounting in Kosovo albina sekiraqa skender ahmeti muhamet aliu doi: 10.32602/jafas.2021.005 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 99 10.32602/jafas.2021.005 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.005 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.004 Purpose: The aim of this study is to examine the effect of audit quality on financial reporting quality of deposit money banks listed on the Nigerian stock exhange Methodology: Data were extracted from audited annual reports of all the 11 deposit money banks listed on the Nigerian stock exchange for ten years, 2009-2018. The study used panel multiple regression and employed Hausman's test to choose between Random and fixed- effect model. Random effect model was chosen and interepreted. Findings: We found out that audit firm size, audit tenure, and audit fees affect Financial reporting quality(FRQ), but only the effect of audit fees was statistically significant. Originality/Value: Unlike many previous studies, this study employed the relevance of financial reports based on the time lag between the accounting year-end and the date the report was signed by the external auditor to measure financial reporting quality (FRQ). 03-30-2021 <![CDATA[ <p><strong>Purpose</strong>: The aim of this study is to examine the effect of audit quality on financial reporting quality of deposit money banks listed on the Nigerian stock exhange <strong>Methodology</strong>: Data were extracted from audited annual reports of all the 11 deposit money banks listed on the Nigerian stock exchange for ten years, 2009-2018. The study used panel multiple regression and employed Hausman's test to choose between Random and fixed- effect model. Random effect model was chosen and interepreted. <strong>Findings</strong>: We found out that audit firm size, audit tenure, and audit fees affect Financial reporting quality(FRQ), but only the effect of audit fees was statistically significant. <strong>Originality/Value</strong>: Unlike many previous studies, this study employed the relevance of financial reports based on the time lag between the accounting year-end and the date the report was signed by the external auditor to measure financial reporting quality (FRQ).</p> ]]> Audit Quality and Financial Reporting Quality of Deposit Money Banks Listed on the Nigerian Stock Exchange oluyinka i. ogungbade adeleke c. adekoya deborah i. olugbodi doi: 10.32602/jafas.2021.004 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 77 10.32602/jafas.2021.004 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.004 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.003 Purpose: This paper conducts a general bibliometric analysis review of agency theory in accounting (financial and management). The bibliometric analysis offers historical information on-trend and performance research. Methodology: The study investigated the related literature in the agency theory and accounting (financial and management) from 1999-2019, obtained from the Scopus database. The literature-based documents are on the study of the scientific output and distribution of subject categories and journals. Keywords of the authors also have focused on determining the study hotspots. Findings: The findings of this study show that annual production has increased over the period under investigation. The Critical Perspective on Account is the leading prolific journal and Accounting, Auditing and Accountability is a most influential journal. The result also shows that many top institutions are from the United Kingdom. Simultaneously, the United States of America leads the highest production and cited documents of related scientific articles. Originality /Value: This study contributes on the awareness of using bibliometric analysis study to explore development in the scientific field, that is, the use of keywords to extract information for research growth in terms of the number of production and citations. 03-30-2021 <![CDATA[ <p><strong>Purpose</strong>: This paper conducts a general bibliometric analysis review of agency theory in accounting (financial and management). The bibliometric analysis offers historical information on-trend and performance research. <strong>Methodology</strong>: The study investigated the related literature in the agency theory and accounting (financial and management) from 1999-2019, obtained from the Scopus database. The literature-based documents are on the study of the scientific output and distribution of subject categories and journals. Keywords of the authors also have focused on determining the study hotspots. <strong>Findings</strong>: The findings of this study show that annual production has increased over the period under investigation. The Critical Perspective on Account is the leading prolific journal and Accounting, Auditing and Accountability is a most influential journal. The result also shows that many top institutions are from the United Kingdom. Simultaneously, the United States of America leads the highest production and cited documents of related scientific articles. <strong>Originality /Value</strong>: This study contributes on the awareness of using bibliometric analysis study to explore development in the scientific field, that is, the use of keywords to extract information for research growth in terms of the number of production and citations.</p> ]]> Bibliometric Analysis: Agency Theory in Accounting isaac francis antwi doi: 10.32602/jafas.2021.003 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 56 10.32602/jafas.2021.003 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.003 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.002 Purpose: This study was conducted to determine the effect of expected return, self-efficacy, and perceived risk on investment intention. Methodology: The data used in this study are primary data and using slovin formulas to involve 121 respondents with a master degree in accounting Udayana University because they had learned to extend accounting theory, financial statement analysis and capital market. Data analysis used multiple linear regression using Statistical Package for Social Science (SPSS). Findings: The results show that expected return increases one's interest in investing in the capital market, self-efficacy also increases one's interest in investing in the capital market, while perceived risk reduces one's interest in investing in the capital market. Practical Implication: This article offers advantage that the expected return and owned self-efficacy when investing in the capital market are the reasons someone wants to invest. Meanwhile, the perceived risk hinders one's intention to invest in stocks in the capital market. Significance of the study: This study has a contribution to investment behaviour accounting research, which has a relationship with a person's intention to invest in the capital market, particularly expected return, self-efficacy, and perceived risk. 03-30-2021 <![CDATA[ <p><strong>Purpose</strong>: This study was conducted to determine the effect of expected return, self-efficacy, and perceived risk on investment intention. <strong>Methodology</strong>: The data used in this study are primary data and using slovin formulas to involve 121 respondents with a master degree in accounting Udayana University because they had learned to extend accounting theory, financial statement analysis and capital market. Data analysis used multiple linear regression using Statistical Package for Social Science (SPSS). <strong>Findings</strong>: The results show that expected return increases one's interest in investing in the capital market, self-efficacy also increases one's interest in investing in the capital market, while perceived risk reduces one's interest in investing in the capital market. <strong>Practical Implication</strong>: This article offers advantage that the expected return and owned self-efficacy when investing in the capital market are the reasons someone wants to invest. Meanwhile, the perceived risk hinders one's intention to invest in stocks in the capital market. <strong>Significance of the study</strong>: This study has a contribution to investment behaviour accounting research, which has a relationship with a person's intention to invest in the capital market, particularly expected return, self-efficacy, and perceived risk.</p> ]]> Effect of Expected Return, Self Efficacy, and Perceived Risk on Investment Intention: An Empirical Study on Accounting Master Degree in Udayana University, Bali p. iwan kurniawan doi: 10.32602/jafas.2021.002 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 40 10.32602/jafas.2021.002 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.002 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.001 Purpose: We herein examine the private public partrnership (PPPs) in Malta by (i) ascertaining the nature and assessing their definability, (ii) identifying and analysing the main alternative ways of formulating PPPs and finding the optimal ways of doing so, as well as (iii) assessing PPP monitoring and analysing any factors which may render such monitoring more effective. Methodology: The study follows a qualitative mixed-methods design. It draws data from semi-structured interviews conducted with fourteen experts within the Maltese PPP scenario. These consisted of representatives from consultancy firms and from Government entities and private sector firms involved in PPPs. Findings: The findings indicate that, if a formal statutory PPP definition were to be adopted, this would likely face substantial resistance. Moreover, specific case studies and detailed risk assessments are sine qua nons for optimal PPP formulations. Furthermore, at the PPP contract drafting stage, dilemmas too often arise regarding the inclusion of the appropriate level of detail about the different aspects of such contracts if one is not to render them too complex. In SPs procurement, respondents preferred the inclusion of a pre-qualification stage. Furthermore, while it is generally agreed that further skills and resources are required for effective Government monitoring, differences of opinion emerged as to how and when such monitoring is to be performed. Originality/Value: This study is meant to raise public sector awareness on the need to improve Maltese PPP practices with respect to their definability, formulation and monitoring. It is hoped that the forwarded recommendations support the competent authorities in addressing the identified existing deficiencies, thus enabling them to enhance PPPs and render them improved vehicles for public sector development. 03-30-2021 <![CDATA[ <p><strong>Purpose:</strong> We herein examine the private public partrnership (PPPs) in Malta by (i) ascertaining the nature and assessing their definability, (ii) identifying and analysing the main alternative ways of formulating PPPs and finding the optimal ways of doing so, as well as (iii) assessing PPP monitoring and analysing any factors which may render such monitoring more effective. <strong>Methodology:</strong> The study follows a qualitative mixed-methods design. It draws data from semi-structured interviews conducted with fourteen experts within the Maltese PPP scenario. These consisted of representatives from consultancy firms and from Government entities and private sector firms involved in PPPs. <strong>Findings:</strong> The findings indicate that, if a formal statutory PPP definition were to be adopted, this would likely face substantial resistance. Moreover, specific case studies and detailed risk assessments are sine qua nons for optimal PPP formulations. Furthermore, at the PPP contract drafting stage, dilemmas too often arise regarding the inclusion of the appropriate level of detail about the different aspects of such contracts if one is not to render them too complex. In SPs procurement, respondents preferred the inclusion of a pre-qualification stage. Furthermore, while it is generally agreed that further skills and resources are required for effective Government monitoring, differences of opinion emerged as to how and when such monitoring is to be performed. <strong>Originality/Value:</strong> This study is meant to raise public sector awareness on the need to improve Maltese PPP practices with respect to their definability, formulation and monitoring. It is hoped that the forwarded recommendations support the competent authorities in addressing the identified existing deficiencies, thus enabling them to enhance PPPs and render them improved vehicles for public sector development.</p> ]]> Public Private Partnerships and their Applicability in Malta: An Analysis peter j. baldacchino norbert tabone daniel galea simon grima doi: 10.32602/jafas.2021.001 Journal of Accounting, Finance and Auditing Studies 03-30-2021 Journal of Accounting, Finance and Auditing Studies 03-30-2021 2021 7 1 Article 1 10.32602/jafas.2021.001 https://www.acadlore.com/article/JAFAS/2021_7_1/jafas.2021.001 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.19 Aim of the Study: In wars, epidemics and similar disasters, with the concern of meeting domestic needs, the first thing that comes to mind is usually to improve the import as much as possible by restricting exports. This kind of behavioral models of countries means getting away from the general atmosphere of Globalization and entering the atmosphere of Nationalization. In this study, we will evaluate how Nationalization can be instead of Globalization, what should be understood from nationalization by the "National Economy" approach and application of Hjalmar Schacht, which can be accepted as a good nationalization practice. In the light of all this information, the effect of nationalization on financial statements will be studied.Methodology of the Study: After the relationship and differences between globalization and nationalization are put forward in a theoretical dimension, the case of Hjalmar Schacht, which presents a concrete practical application of the phenomenon of “nationhood”, which is the basis of nationalization, will be analyzed.Findings of the Study: Based on the fact that globalization and nationalization have some specific advantages and disadvantages, it is theoretically has been revealed that nationalization has a strong fan population when undesirable situations occur, the globalization advocates sound stronger in the good and problem-free periods, and the globalization- nationalization duality has effects and important changes on the financial structure.Importance of the Study: This is a multi-titled study that deals with a wide range of diverse and multifaceted issues, such as the concepts of globalization and nationalization, national economy for nationalization, handling of Hjalmar Schaht’s national economy application in particular to national economy and the impact of bad and troubled periods (wars, epidemics etc.), which are the trigger of localization, on the financial structure, and evaluated together by establishing a relation between them. 09-29-2020 <![CDATA[ <p><strong>Aim of the Study:<span style="color: rgb(0, 111, 192)"> </span></strong><span>In wars, epidemics and similar disasters, with the concern of meeting domestic needs, the first thing that comes to mind is usually to improve the import as much as possible by restricting exports. This kind of behavioral models of countries means getting away from the general atmosphere of Globalization and entering the atmosphere of Nationalization. In this study, we will evaluate how Nationalization can be instead of Globalization, what should be understood from nationalization by the "National Economy" approach and application of Hjalmar Schacht, which can be accepted as a good nationalization practice. In the light of all this information, the effect of nationalization on financial statements will be studied.</span></p><p><strong>Methodology of the Study: </strong><span>After the relationship and differences between globalization and nationalization are put forward in a theoretical dimension, the case of Hjalmar Schacht, which presents a concrete practical application of the phenomenon of “nationhood”, which is the basis of nationalization, will be analyzed.</span></p><p><strong>Findings</strong> <strong>of<span> </span>the<span> </span>Study:<span> </span></strong><span>Based on the fact that globalization and nationalization have some specific advantages and disadvantages, it is theoretically has been revealed that nationalization has a strong fan population when undesirable situations occur, the globalization advocates sound stronger in the good and problem-free periods, and the globalization- nationalization duality has effects and important changes on the financial structure.</span></p><p><strong>Importance of the Study: </strong><span>This is a multi-titled study that deals with a wide range of diverse and multifaceted issues, such as the concepts of globalization and nationalization, national economy for nationalization, handling of Hjalmar Schaht’s national economy application in particular to national economy and the impact of bad and troubled periods (wars, epidemics etc.), which are the trigger of localization, on the financial structure, and evaluated together by establishing a relation between them.</span></p> ]]> Effects Of Globalization Versus Nationalization on Financial Structure: An Evaluation of Hjalmar Schacht's National Economy Practice cemal eli̇taş doi: 10.32602/jafas.2020.19 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 93 10.32602/jafas.2020.19 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.19 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.035 Market efficiency is the most important factor affecting the situation as to whether to obtain excessive profits of the investors. In the study, the return of BIST-100 Index and the efficiency of its sub-indices Industrial, Technology, Financial and Service Indices were examined. Used Harvey linearity test, beside other tests analysis linearity without any pre-condition. This increases the power of the test. The data set used in this study is the period between 07.03.2000 and 09.22.2015 consists of 3723 observations. The results of the study say that the analyzed variables are nonlinear. According to the results of the nonlinear unit root test, all the variables examined have a stationary structure. The excess returns are concerned. Therefore, the efficient market hypothesis in weak form in the markets is not valid. 12-30-2020 <![CDATA[ <p>Market efficiency is the most important factor affecting the situation as to whether to obtain excessive profits of the investors. In the study, the return of BIST-100 Index and the efficiency of its sub-indices Industrial, Technology, Financial and Service Indices were examined. Used Harvey linearity test, beside other tests analysis linearity without any pre-condition. This increases the power of the test. The data set used in this study is the period between 07.03.2000 and 09.22.2015 consists of 3723 observations. The results of the study say that the analyzed variables are nonlinear. According to the results of the nonlinear unit root test, all the variables examined have a stationary structure. The excess returns are concerned. Therefore, the efficient market hypothesis in weak form in the markets is not valid.</p> ]]> Corrigendum to “Analysis of Market Efficiency at Borsa İstanbul: Harvey Linearity Test” [Journal of Accounting, Finance and Auditing Studies 2/1 (2016) 113-124] gürkan malcıoğlu mücahit aydın doi: 10.32602/jafas.2020.035 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 188 10.32602/jafas.2020.035 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.035 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.034 Purpose: The purpose of the study was to investigate the long run relationship existing between petroleum profit and companies’ income taxes and economic growth in Nigeria in the period of 1980 to 2018. This is premised on realizing the role of taxation as a critical aspect of an economy’s fiscal policy framework. Design/Methodology/Approach: The secondary data for 39 years period. The analytical tools were Augmented Dickey- Fuller (ADF) unit root-test, Engle Granger Procedure Co- integration test, Parsimonious Error Correction Mechanism (ECM), Durbin-Watson statistic and over parameterized model. Findings: The results of the analysis reveal a positively significant association of studied variables with (0.9844) and (0.9471) co-efficients for petroleum profit tax and companies income tax respectively in relation independent variables integrate with the dependent variable at first order. This indicates long run relationship. Also, the parsimonious results shows a positive co-efficients of (3.6344) and (2.7644) and (2.7629) for t-values of CIT and PPT on economic growth. Originality/Value: In view of the results, government’s tactful handling of issues that are tax related was recommended so as to stimulate additional investments, entrepreneurial activities and innovations. The study contributes to the taxation and fiscal policy research by increasing our knowledge and understanding on the relationship subsisting between taxation revenue and economic growth. 12-30-2020 <![CDATA[ <p><strong>Purpose:</strong> The purpose of the study was to investigate the long run relationship existing between petroleum profit and companies’ income taxes and economic growth in Nigeria in the period of 1980 to 2018. This is premised on realizing the role of taxation as a critical aspect of an economy’s fiscal policy framework. <strong>Design/Methodology/Approach:</strong> The secondary data for 39 years period. The analytical tools were Augmented Dickey- Fuller (ADF) unit root-test, Engle Granger Procedure Co- integration test, Parsimonious Error Correction Mechanism (ECM), Durbin-Watson statistic and over parameterized model. <strong>Findings:</strong> The results of the analysis reveal a positively significant association of studied variables with (0.9844) and (0.9471) co-efficients for petroleum profit tax and companies income tax respectively in relation independent variables integrate with the dependent variable at first order. This indicates long run relationship. Also, the parsimonious results shows a positive co-efficients of (3.6344) and (2.7644) and (2.7629) for t-values of CIT and PPT on economic growth. <strong>Originality/Value:</strong> In view of the results, government’s tactful handling of issues that are tax related was recommended so as to stimulate additional investments, entrepreneurial activities and innovations. The study contributes to the taxation and fiscal policy research by increasing our knowledge and understanding on the relationship subsisting between taxation revenue and economic growth.</p> ]]> Petroleum Profits Tax, Company Income Tax and Economic Growth in Nigeria 1980–2018 etim osim etim austine u. nweze nsima j. umoffong doi: 10.32602/jafas.2020.034 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 164 10.32602/jafas.2020.034 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.034 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.033 The perceived ineffectiveness of applicable regulations at its best promotes susceptibility of statutory auditors to compromise independence. Unlike most of the existing studies, this study investigated auditor independence regulations in Nigeria with a view to appraising their effectiveness in promoting independence of audit practitioners. Survey research design was employed to enable collection of relevant data from relevant practitioners using structured questionnaire. Descriptive method, Relative Importance/Significance Index (RII) and Mean Index Score (MIS) were employed for ranking and assessment of auditor independence regulations according to their effectiveness using a five-point Likert. Results revealed that the most effective auditor independence regulation as perceived by the experts was restriction on advertising with Relative Importance Index (RII) and Mean Index Score (MIS) of 0.82 and 4.08 respectively. Independent review by peers (RII = 0.68, MIS = 3.40) and rotation of audit partners (RII = 0.67, MIS = 3.37) were considered to be ineffective among others. Being the first known study on audit regulation effectiveness in the country, the study provided valuable insights for urgent intervention by relevant regulators to enforce compliance with applicable audit regulations in the interest of investors. 12-30-2020 <![CDATA[ <p>The perceived ineffectiveness of applicable regulations at its best promotes susceptibility of statutory auditors to compromise independence. Unlike most of the existing studies, this study investigated auditor independence regulations in Nigeria with a view to appraising their effectiveness in promoting independence of audit practitioners. Survey research design was employed to enable collection of relevant data from relevant practitioners using structured questionnaire. Descriptive method, Relative Importance/Significance Index (RII) and Mean Index Score (MIS) were employed for ranking and assessment of auditor independence regulations according to their effectiveness using a five-point Likert. Results revealed that the most effective auditor independence regulation as perceived by the experts was restriction on advertising with Relative Importance Index (RII) and Mean Index Score (MIS) of 0.82 and 4.08 respectively. Independent review by peers (RII = 0.68, MIS = 3.40) and rotation of audit partners (RII = 0.67, MIS = 3.37) were considered to be ineffective among others. Being the first known study on audit regulation effectiveness in the country, the study provided valuable insights for urgent intervention by relevant regulators to enforce compliance with applicable audit regulations in the interest of investors.</p> ]]> Auditor Independence Regulations: A Case of Nigeria mary kehinde salawu doi: 10.32602/jafas.2020.033 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 145 10.32602/jafas.2020.033 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.033 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.032 The purpose of this research is to determine the effect of intellectual capital on price to book value (PBV) and moderation form of good corporate governance (GCG) in relation of intellectual capital on PBV. This research used quantitative approach that uses data from companies incorporated in the Indonesia Stock Exchange (IDX) and companies assessed by Indonesian Institute for Corporate Directorship (IICD) during the 20162018 period. The sampling method was purposive sampling method and obtained 53 companies with 159 observations in total. The analysis technique of this research is moderated regression analysis (MRA) using Statistical Package for Social Science (SPSS). The results show that intellectual capital has a positive significant effect on PBV, and also shows that the higher GCG, the relation of intellectual capital on PBV will be more positive. Companies can increase the use of intellectual capital followed by the implementation of good GCG principles in order to increase investors' perceptions of the company's future prospects as reflected in the PBV ratio. Investors who wish to invest in a company can pay attention to the company's ability to utilize intellectual capital in an effort to increase added value for the company and implement good GCG. This research contributes to the financial accounting research by expanding the knowledge on the price to book ratio and financial performance of capital market companies especially in managing the company resources. 12-30-2020 <![CDATA[ <p>The purpose of this research is to determine the effect of intellectual capital on price to book value (PBV) and moderation form of good corporate governance (GCG) in relation of intellectual capital on PBV. This research used quantitative approach that uses data from companies incorporated in the Indonesia Stock Exchange (IDX) and companies assessed by Indonesian Institute for Corporate Directorship (IICD) during the 20162018 period. The sampling method was purposive sampling method and obtained 53 companies with 159 observations in total. The analysis technique of this research is moderated regression analysis (MRA) using Statistical Package for Social Science (SPSS). The results show that intellectual capital has a positive significant effect on PBV, and also shows that the higher GCG, the relation of intellectual capital on PBV will be more positive. Companies can increase the use of intellectual capital followed by the implementation of good GCG principles in order to increase investors' perceptions of the company's future prospects as reflected in the PBV ratio. Investors who wish to invest in a company can pay attention to the company's ability to utilize intellectual capital in an effort to increase added value for the company and implement good GCG. This research contributes to the financial accounting research by expanding the knowledge on the price to book ratio and financial performance of capital market companies especially in managing the company resources. </p> ]]> The Effect of Intellectual Capital on Price to Book Value with Good Corporate Governance as a Moderating Variable made dwi mardhiana doi: 10.32602/jafas.2020.032 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 131 10.32602/jafas.2020.032 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.032 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.031 Objective of the Study: The main purpose of the study is to investigate the "underdog" effect, which is expressed as sympathy for the disadvantaged on financial behavior. Ethnocentrism positioned as the moderator variable in the established research model. Methodology of the Study: The study was conducted with two different participant groups and each group was faced with the same questionnaire. The difference between the two participant groups was only the companies to choose for investing. In the control group, two different foreign company names were given regarding whether the "underdog" effect has an impact on financial investment decisions. Limited information about companies has been provided for "underdog" effect manipulation. Ethnocentrism scale was used for control purposes. In the experimental group, only the company names were changed in the questionnaire form, which was exactly the same as in the control group, and a Turkish company name of a foreign origin was given. The applied ethnocentrism scale used as a moderator variable role in the research model of this group. Findings of the Study: The results show that the participants in both groups are exposed to the "underdog" effect when making financial investment choices. According to the results of multiple regression analysis performed for the experimental group, the effect of ethnocentrism could only be mentioned in the first stage of the questionnaire form. Significance of the Study: The study is important in terms of presenting a different perspective on the functioning of decision- making behavior in financial investments, which is discussed in almost every field of social sciences. Additionally, it is important that the study examines the underdog effect, which is a phenomenon belonging to the field of psychology, together with the topic of ethnocentrism, which has recently started to be studied in the fields of marketing and business. 12-30-2020 <![CDATA[ <p><strong>Objective of the Study: </strong>The main purpose of the study is to investigate the "underdog" effect, which is expressed as sympathy for the disadvantaged on financial behavior. Ethnocentrism positioned as the moderator variable in the established research model. <strong>Methodology of the Study: </strong>The study was conducted with two different participant groups and each group was faced with the same questionnaire. The difference between the two participant groups was only the companies to choose for investing. In the control group, two different foreign company names were given regarding whether the "underdog" effect has an impact on financial investment decisions. Limited information about companies has been provided for "underdog" effect manipulation. Ethnocentrism scale was used for control purposes. In the experimental group, only the company names were changed in the questionnaire form, which was exactly the same as in the control group, and a Turkish company name of a foreign origin was given. The applied ethnocentrism scale used as a moderator variable role in the research model of this group. <strong>Findings of the Study: </strong>The results show that the participants in both groups are exposed to the "underdog" effect when making financial investment choices. According to the results of multiple regression analysis performed for the experimental group, the effect of ethnocentrism could only be mentioned in the first stage of the questionnaire form. <strong>Significance of the Study:</strong> The study is important in terms of presenting a different perspective on the functioning of decision- making behavior in financial investments, which is discussed in almost every field of social sciences. Additionally, it is important that the study examines the underdog effect, which is a phenomenon belonging to the field of psychology, together with the topic of ethnocentrism, which has recently started to be studied in the fields of marketing and business.</p> ]]> The Underdog Effect and the Impact of Ethnocentrism on Financial Investment Decisions sezen güngör doi: 10.32602/jafas.2020.031 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 111 10.32602/jafas.2020.031 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.031 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.030 Purpose: The purpose of the study was to examine the relationship between corporate governance practices and modified audit opinion in the commercial and manufacturing sector of state owned enterprises in Kenya. Design/Methodology/Approach: The study collected data from 25 companies in the commercial and manufacturing sector covering the period 2013 to 2016. Logistic regression technique was adopted to analyze the variables. Findings: The study findings established negative and significant effect of both board size and board independence on modified audit opinion. This results suggest board size and percentage of independent directors significantly influenced the likelihood of state owned enterprises receiving modified opinion. Results on the effect of control variables; leverage and return on assets were statistically insignificant. Originality/Value: This study contributes to both theoretical literature and empirical evidence in the corporate governance in public sector context. 12-30-2020 <![CDATA[ <p><strong>Purpose: </strong>The purpose of the study was to examine the relationship between corporate governance practices and modified audit opinion in the commercial and manufacturing sector of state owned enterprises in Kenya. <strong>Design/Methodology/Approach:</strong> The study collected data from 25 companies in the commercial and manufacturing sector covering the period 2013 to 2016. Logistic regression technique was adopted to analyze the variables. <strong>Findings:</strong> The study findings established negative and significant effect of both board size and board independence on modified audit opinion. This results suggest board size and percentage of independent directors significantly influenced the likelihood of state owned enterprises receiving modified opinion. Results on the effect of control variables; leverage and return on assets were statistically insignificant. <strong>Originality/Value: </strong>This study contributes to both theoretical literature and empirical evidence in the corporate governance in public sector context.</p> ]]> Corporate Governance and Modified Audit Opinion: Evidence from State Owned Enterprises in Kenya mongeri oruke cyrus iraya luther otieno odhiambo nixon oluoch omoro doi: 10.32602/jafas.2020.030 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 96 10.32602/jafas.2020.030 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.030 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.029 Purpose: The purpose of this study was to analyse the impact of audit quality on firm performance of listed companies in Botswana, and Uganda. As a monitoring mechanism, the role of auditing is to reduce information asymmetry between management and shareholders, thereby bolstering investor confidence which consequently improves firm value. Design/methodology/approach: The study sampled domestically listed financial and non-financial companies on the stock exchanges of Botswana and Uganda for the five years 2014-2018.Using auditor size and audit fees as proxies for audit quality and return on assets, and Tobin's Q as measures of firm performance, the relationship between the variables was determined through regression analysis. The study also controlled for complexity, risk and growth of the companies. Findings: Results of the study show that audit quality is a negative but non-significant predictor of firm performance for financial performance. Originality/value: The findings of the study provide empirical evidence into the effectiveness of auditing as a corporate governance mechanism in the Sub-Saharan capital markets. 12-30-2020 <![CDATA[ <p>Purpose: The purpose of this study was to analyse the impact of audit quality on firm performance of listed companies in Botswana, and Uganda. As a monitoring mechanism, the role of auditing is to reduce information asymmetry between management and shareholders, thereby bolstering investor confidence which consequently improves firm value. Design/methodology/approach: The study sampled domestically listed financial and non-financial companies on the stock exchanges of Botswana and Uganda for the five years 2014-2018.Using auditor size and audit fees as proxies for audit quality and return on assets, and Tobin's Q as measures of firm performance, the relationship between the variables was determined through regression analysis. The study also controlled for complexity, risk and growth of the companies. Findings: Results of the study show that audit quality is a negative but non-significant predictor of firm performance for financial performance. Originality/value: The findings of the study provide empirical evidence into the effectiveness of auditing as a corporate governance mechanism in the Sub-Saharan capital markets.</p> ]]> Audit Quality and Firm Performance: Evidence from Botswana and Uganda gladness l. monametsi ester agasha doi: 10.32602/jafas.2020.029 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 79 10.32602/jafas.2020.029 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.029 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.028 Purpose: This research aims to present the main obstacles of the application and implementation of the IFRS during the transition period from Kosovo Accounting Standards (KAS) to International Financial Reporting Standards (IFRS). Considering that the development of accounting in Kosovo, it has not been an easy transition as can be expected. Design/methodology/approach: We conducted a quantitative research through a customized questionnaire which was addressed to 130 certified accountants and auditors in Kosovo, regarding the challenges presented during this period, of which 77 have resulted in positive answers, but with 2 incomplete answers. Findings: Through this research we have managed to identify some of the main challenges faced by accountants and auditors during the transition period from KAS to IFRS and how many respondents agreed that the transition process is complicated. From the analysis of data and results we can conclude that the need for ongoing training and lack of knowledge and experience needed for accountants and auditors has increased the complexity of the IFRS application process. Originality/value: Findings from this study can be a contribution to the application of IFRS for developing countries as well as a contribution to the literature regarding the practical, legal challenges, continuing education regarding the transition phase and regarding the implementation and application ofIFRS. 12-30-2020 <![CDATA[ <p>Purpose: This research aims to present the main obstacles of the application and implementation of the IFRS during the transition period from Kosovo Accounting Standards (KAS) to International Financial Reporting Standards (IFRS). Considering that the development of accounting in Kosovo, it has not been an easy transition as can be expected. Design/methodology/approach: We conducted a quantitative research through a customized questionnaire which was addressed to 130 certified accountants and auditors in Kosovo, regarding the challenges presented during this period, of which 77 have resulted in positive answers, but with 2 incomplete answers. Findings: Through this research we have managed to identify some of the main challenges faced by accountants and auditors during the transition period from KAS to IFRS and how many respondents agreed that the transition process is complicated. From the analysis of data and results we can conclude that the need for ongoing training and lack of knowledge and experience needed for accountants and auditors has increased the complexity of the IFRS application process. Originality/value: Findings from this study can be a contribution to the application of IFRS for developing countries as well as a contribution to the literature regarding the practical, legal challenges, continuing education regarding the transition phase and regarding the implementation and application ofIFRS.</p> ]]> Professional and practical challenges during the transition period from Kosovo Accounting Standards (KAS) to IFRS besë sadikaj skender ahmeti muhamet aliu hysen ismaili doi: 10.32602/jafas.2020.028 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 64 10.32602/jafas.2020.028 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.028 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.027 Purpose: This paper intended to examine the influence of the e-tax system on tax revenue collection in Tanzania. Design/Methodology/Approach: The study made use of secondary data gathered in two groups, data from 2006-2011 (prior e-tax system) and 2012-2017 (post e-tax system) was used. An ex-post-facto research design with paired sample t-test compared the mean values of the pre and post-e-tax system to confirm if the observation between the two sets of mean is zero or significantly different from zero. Findings: The results depict that the use of the e-tax system has positive significant impact on tax revenue generation. Correspondingly, increase in number of registered large taxpayers has a positive effect on tax revenue. Originality/Value: This study contributes on the awareness to both large taxpayers and the government, that is, the use of the e-tax system had an impact on lessening tax compliance cost and assists the government to collect taxes in cost efficient ways. 12-30-2020 <![CDATA[ <p><strong>Purpose:</strong> This paper intended to examine the influence of the e-tax system on tax revenue collection in Tanzania. <strong>Design/Methodology/Approach: </strong>The study made use of secondary data gathered in two groups, data from 2006-2011 (prior e-tax system) and 2012-2017 (post e-tax system) was used. An ex-post-facto research design with paired sample t-test compared the mean values of the pre and post-e-tax system to confirm if the observation between the two sets of mean is zero or significantly different from zero. <strong>Findings: </strong>The results depict that the use of the e-tax system has positive significant impact on tax revenue generation. Correspondingly, increase in number of registered large taxpayers has a positive effect on tax revenue. <strong>Originality/Value: </strong>This study contributes on the awareness to both large taxpayers and the government, that is, the use of the e-tax system had an impact on lessening tax compliance cost and assists the government to collect taxes in cost efficient ways.</p> ]]> Influence of E-tax System on Tax Revenue Collection in Tanzania Large Taxpayers: A Prior and Posterior Analysis faustine juma masunga harun jeremia mapesa mwakibete andwilile nyalle doi: 10.32602/jafas.2020.027 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 44 10.32602/jafas.2020.027 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.027 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.026 Purpose: The objective of this research paper is to conceptualize the model in examining the moderating effect of awareness on attitude, knowledge, and customers’ acceptance of Islamic micro finance in Kano State, North Western-Nigeria. As, Islamic micro financial institutions deliver loans to small and medium enterprises (SMEs). Since, it serves as a means of curving of some social vices such as poverty, ethno-religious crises, farmers and herdsmen crises, cattle rustling, arm rubbers and kidnappers among others. Despite it great contributions to the growth of the economy there is deprived awareness on Islamic micro finance which leads to inadequate investment and patronage by the people in Kano State. Investors and the general public can use this research for guidance towards investments of their capital into Islamic micro finance for maximum profits. Also, stake holders, SMEs, traders and farmers can utilize the outcome of this study. Similarly, stock exchange commission, Central Bank of Nigeria and other financial institutions can use the results of this study towards making policies and strategies. Design/methodology/approach: Questionnaire was used and data was collected by random sample of 400 selected Islamic micro finance customers in Kano state, Nigeria. PLS- SEM was used in analysing and testing the formulated hypotheses. Findings: Result indicated that knowledge and attitude have positive and significant relationship on acceptance of Islamic micro finance, while, awareness did not moderate relationship between attitudes but moderates knowledge and acceptance of Islamic micro finance. 12-30-2020 <![CDATA[ <p><strong>Purpose: </strong>The objective of this research paper is to conceptualize the model in examining the moderating effect of awareness on attitude, knowledge, and customers’ acceptance of Islamic micro finance in Kano State, North Western-Nigeria. As, Islamic micro financial institutions deliver loans to small and medium enterprises (SMEs). Since, it serves as a means of curving of some social vices such as poverty, ethno-religious crises, farmers and herdsmen crises, cattle rustling, arm rubbers and kidnappers among others. Despite it great contributions to the growth of the economy there is deprived awareness on Islamic micro finance which leads to inadequate investment and patronage by the people in Kano State. Investors and the general public can use this research for guidance towards investments of their capital into Islamic micro finance for maximum profits. Also, stake holders, SMEs, traders and farmers can utilize the outcome of this study. Similarly, stock exchange commission, Central Bank of Nigeria and other financial institutions can use the results of this study towards making policies and strategies. <strong>Design/methodology/approach: </strong>Questionnaire was used and data was collected by random sample of 400 selected Islamic micro finance customers in Kano state, Nigeria. PLS- SEM was used in analysing and testing the formulated hypotheses. <strong>Findings: </strong>Result indicated that knowledge and attitude have positive and significant relationship on acceptance of Islamic micro finance, while, awareness did not moderate relationship between attitudes but moderates knowledge and acceptance of Islamic micro finance.</p> ]]> An Empirical Analysis on Customers’ Acceptance of Islamic Micro Finance in Kano State, North Western-Nigeria: The Moderating Effect of Awareness surajo musa yakubu adamu magaji abubakar ahmed ibrahim mohammed shehu alhaji musa hayatudeen hamza safiyo jakada muhammad bello doi: 10.32602/jafas.2020.026 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 29 10.32602/jafas.2020.026 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.026 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2020.026 Purpose: This study is to examine the private sector demand for CFOs with certain professional accountancy bodies’ qualification in Nigeria’s listed companies from 2012 to 2018, inclusive. Design/methodology/approach: The population of this study comprises non-financial services companies quoted on the Nigerian Stock Exchange. Purposive sampling method was used to select the 49 sample used for the research. Research data were tested using non-parametric statistics and simple regression model. Findings: Results from non-parametric statistics suggest that 89% of all CFOs are ICAN qualified; about 98% of the Nigerian CFOs are ICAN qualified while about 13% of the foreign CFOs hold the ICAN qualification. The evidence further suggests that the ICAN qualification is statistically different from that of non-ICAN qualification. Finally, the evidence indicates that CFOs’ nationalities positively and significantly influence their affiliations. Practical Implications: The paper recommends that ICAN should be empowered to regulate the accountancy profession in Nigeria. In the alternative there should be created a consortium of accountancy bodies to regulate the accountancy profession in Nigeria. Originality/value: This is the first empirical paper to examine the demand for CFOs in private listed companies in Nigeria, and the first to link CFOs nationalities and CFOs affiliations with professional accountancy bodies in Nigeria. 09-29-2021 <![CDATA[ <p style="text-align: justify">Purpose: This study is to examine the private sector demand for CFOs with certain professional accountancy bodies’ qualification in Nigeria’s listed companies from 2012 to 2018, inclusive. Design/methodology/approach: The population of this study comprises non-financial services companies quoted on the Nigerian Stock Exchange. Purposive sampling method was used to select the 49 sample used for the research. Research data were tested using non-parametric statistics and simple regression model. Findings: Results from non-parametric statistics suggest that 89% of all CFOs are ICAN qualified; about 98% of the Nigerian CFOs are ICAN qualified while about 13% of the foreign CFOs hold the ICAN qualification. The evidence further suggests that the ICAN qualification is statistically different from that of non-ICAN qualification. Finally, the evidence indicates that CFOs’ nationalities positively and significantly influence their affiliations. Practical Implications: The paper recommends that ICAN should be empowered to regulate the accountancy profession in Nigeria. In the alternative there should be created a consortium of accountancy bodies to regulate the accountancy profession in Nigeria. Originality/value: This is the first empirical paper to examine the demand for CFOs in private listed companies in Nigeria, and the first to link CFOs nationalities and CFOs affiliations with professional accountancy bodies in Nigeria.</p> ]]> Private Sector Preference for Professional Accountants in Nigeria etumudon ndidi asien doi: 10.32602/jafas.2020.026 Journal of Accounting, Finance and Auditing Studies 09-29-2021 Journal of Accounting, Finance and Auditing Studies 09-29-2021 2021 7 3 Article 208 10.32602/jafas.2020.026 https://www.acadlore.com/article/JAFAS/2021_7_3/jafas.2020.026 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.025 Purpose of the Study: The study aims to determine the factors affecting the tax compliance of accounting professionals who play an important role in the preparation of tax returns and the calculation of taxes and also the power of these factors. Research Method: In the study, initially, theories regarding tax compliance were examined. Then, the questionnaire method was applied with the questions prepared based on the factors claimed to affect tax compliance by these theories. Answers gathered from 401 accounting professionals who took part in the survey were examined by the explanatory factor analysis one of the quantitative analysis methods. The Importance of the Study: Through this study, the factors affecting the tax compliance of accounting professionals and also the power of these factors were determined. That there hasn’t been an empirical study regarding this issue in the literature of either accounting or finance makes this study even more significant. Findings and Evaluation: The research revealed 7 factors affecting the tax compliance of accounting professionals. These factors were named as; taxpayer and wage pressure, tax regulations, low penalties, insufficient control, tax ethics, perception of professional duty and professional ethics. 12-30-2020 <![CDATA[ <p><strong>Purpose of the Study: </strong>The study aims to determine the factors affecting the tax compliance of accounting professionals who play an important role in the preparation of tax returns and the calculation of taxes and also the power of these factors. <strong>Research Method:</strong> In the study, initially, theories regarding tax compliance were examined. Then, the questionnaire method was applied with the questions prepared based on the factors claimed to affect tax compliance by these theories. Answers gathered from 401 accounting professionals who took part in the survey were examined by the explanatory factor analysis one of the quantitative analysis methods. <strong>The Importance of the Study:</strong> Through this study, the factors affecting the tax compliance of accounting professionals and also the power of these factors were determined. That there hasn’t been an empirical study regarding this issue in the literature of either accounting or finance makes this study even more significant. <strong>Findings and Evaluation:</strong> The research revealed 7 factors affecting the tax compliance of accounting professionals. These factors were named as; taxpayer and wage pressure, tax regulations, low penalties, insufficient control, tax ethics, perception of professional duty and professional ethics.</p> ]]> Evaluation of Elements Affecting Tax Compliance of Accounting Professionals Via Factor Analysis meral erol fidan erdoğan ceylan doi: 10.32602/jafas.2020.025 Journal of Accounting, Finance and Auditing Studies 12-30-2020 Journal of Accounting, Finance and Auditing Studies 12-30-2020 2020 6 4 Article 1 10.32602/jafas.2020.025 https://www.acadlore.com/article/JAFAS/2020_6_4/jafas.2020.025 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.024 Purpose: The major objective of the study is to identify the relationship between financial statement disclosure and shareholder attitude change relating to the investors who have invested in the companies which are registered under the Colombo Stock Exchange.Design/Methodology/Approach: Primary data was collected from 110 investors who invested in Colombo Stock Exchange. The questionnaire was designed to examine the shareholders’ attitude change towards financial statement disclosure by considering their awareness and perception on quality of information disclose in Financial statements. Shareholder’s attitude change is considered as the dependent variable with four indicators; Information Provision, Feedback and Consultation and Communication and Improvement. Financial Statement Disclosure is the independent variable and independent variable explained by four indicators namely, Income Statement Disclosure, Balance Sheet Disclosure, Cash Flow Statement Disclosure and Notes.Findings: The result exposed the fact that income statement disclosure and the cashflow statement disclosure significantly changed the shareholder’s attitude.Practical Implications: The article offers insights to perception and attitude of shareholders to identify the shareholders’ attitude change on financial statement disclosure indicate how shareholders react to financial statement disclosure and disclosure quality of reporting.Originality/Value: The article presents significant evidence in terms of its scrupulous approach towards checking the toughness of results. 09-29-2020 <![CDATA[ <p><strong>Purpose:<span style="color: rgb(0, 111, 192)"> </span></strong>The major objective of the study is to identify the<span> </span>relationship<span> </span>between<span> </span>financial<span> </span>statement<span> </span>disclosure<span> </span>and<span> </span>shareholder attitude change relating to the investors who have<span> </span>invested<span> </span>in<span> </span>the<span> </span>companies<span> </span>which<span> </span>are<span> </span>registered<span> </span>under<span> </span>the<span> </span>Colombo<span> </span>Stock<span> </span>Exchange.</p><p><strong>Design/Methodology/Approach:<span style="color: rgb(0, 111, 192)"> </span></strong>Primary data was collected<span> </span>from 110 investors who invested in Colombo Stock Exchange.<span> </span>The questionnaire was designed to examine the shareholders’<span> </span>attitude<span> </span>change<span> </span>towards<span> </span>financial<span> </span>statement<span> </span>disclosure<span> </span>by<span> </span>considering<span> </span>their<span> </span>awareness<span> </span>and<span> </span>perception<span> </span>on<span> </span>quality<span> </span>of<span> </span>information<span> </span>disclose<span> </span>in<span> </span>Financial<span> </span>statements.<span> </span>Shareholder’s<span> </span>attitude change is considered as the dependent variable with<span> </span>four<span> </span>indicators;<span> </span>Information<span> </span>Provision,<span> </span>Feedback<span> </span>and<span> </span>Consultation and Communication and Improvement. Financial<span> </span>Statement<span> </span>Disclosure<span> </span>is<span> </span>the<span> </span>independent<span> </span>variable<span> </span>and<span> </span>independent<span> </span>variable<span> </span>explained<span> </span>by<span> </span>four<span> </span>indicators<span> </span>namely,<span> </span>Income Statement Disclosure, Balance Sheet Disclosure, Cash<span> </span>Flow<span> </span>Statement<span> </span>Disclosure and<span> </span>Notes.</p><p><strong>Findings: </strong>The result exposed the fact that income statement<span> </span>disclosure and the cashflow statement disclosure significantly<span> </span>changed<span> </span>the shareholder’s<span> </span>attitude.</p><p><strong>Practical Implications: </strong>The<span> </span>article<span> </span>offers<span> </span>insights<span> </span>to<span> </span>perception<span> </span>and<span> </span>attitude<span> </span>of<span> </span>shareholders<span> </span>to<span> </span>identify<span> </span>the<span> </span>shareholders’<span> </span>attitude<span> </span>change<span> </span>on<span> </span>financial<span> </span>statement<span> </span>disclosure<span> </span>indicate<span> </span>how<span> </span>shareholders<span> </span>react<span> </span>to<span> </span>financial<span> </span>statement<span> </span>disclosure<span> </span>and<span> </span>disclosure<span> </span>quality<span> </span>of<span> </span>reporting.</p><p><strong>Originality/Value: </strong>The<span> </span>article<span> </span>presents<span> </span>significant<span> </span>evidence<span> </span>in<span> </span>terms<span> </span>of<span> </span>its<span> </span>scrupulous<span> </span>approach<span> </span>towards<span> </span>checking<span> </span>the<span> </span>toughness of results.</p> ]]> Shareholders’ Attitude towards Financial Statements Disclosure: Evidence from Sri Lanka dona ganeesha priyangika kaluarachchi doi: 10.32602/jafas.2020.024 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 193 10.32602/jafas.2020.024 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.024 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.023 Purpose: Deposit Taking Saving and Credit Co-operatives facilitates financial intermediation, inclusion and deepening. In spite of this, 30 percent do not operate with prudent credit management practices attributed to unremitted deductions by employer institutions or borrowers’ default and unskilled employees. This makes them prone to de-licensing for being financially vulnerable thus, putting members’ funds at risk. This is still a puzzle even with the investment by the government on an oversight authority that can ensure they are compliant to the regulations so as to maintain financial sustainability. This study was conducted to establish the moderating effect of SACCO size on credit management practice and financial sustainability. The information asymmetry theory was adopted where the study population was the Kenya Deposit Taking Saving and Credit Co- operatives.Design and Methodology: A descriptive cross-sectional survey design with a positivism philosophical paradigm where the sample size was 119 respondents out of which 95 percent responded. Emailed questionnaire and data collection sheet were used in data collection.Findings: A binary logistic regression was carried out where it was established that with presence of a moderator for the independent sub-variables, the strength of relationship between variables didn’t change (Nagelkerke R2 = 20.1 percent) but with introduction of interaction term, the strength of relationship between variables changed (Nagelkerke R2 = 27.2 percent). However, the relationship strength between variables didn’t change with presence of a moderator for the independent variable (Nagelkerke R2 = 19.9 percent).Conclusion and recommendation: This study thus, concluded that SACCO size had a significant moderating effect on the independent sub-variables but the overall independent variable did not show any significance. This study recommended that SACCO size should only be considered while addressing credit risk mitigation and staff competence of DT-SACCOs in an effort to improve their financial sustainability. 09-29-2020 <![CDATA[ <p><strong>Purpose:</strong> Deposit Taking Saving and Credit Co-operatives facilitates financial intermediation, inclusion and deepening. In spite of this, 30 percent do not operate with prudent credit management practices attributed to unremitted deductions by employer institutions or borrowers’ default and unskilled employees. This makes them prone to de-licensing for being financially vulnerable thus, putting members’ funds at risk. This is still a puzzle even with the investment by the government on an oversight authority that can ensure they are compliant to the regulations so as to maintain financial sustainability. This study was conducted to establish the moderating effect of SACCO size on credit management practice and financial sustainability. The information asymmetry theory was adopted where the study population was the Kenya Deposit Taking Saving and Credit Co- operatives.</p><p><strong>Design and Methodology: </strong>A descriptive cross-sectional survey design with a positivism philosophical paradigm where the sample size was 119 respondents out of which 95 percent responded. Emailed questionnaire and data collection sheet were used in data collection.</p><p><strong>Findings:</strong> A binary logistic regression was carried out where it was established that with presence of a moderator for the independent sub-variables, the strength of relationship between variables didn’t change (Nagelkerke R2 = 20.1 percent) but with introduction of interaction term, the strength of relationship between variables changed (Nagelkerke R2 = 27.2 percent). However, the relationship strength between variables didn’t change with presence of a moderator for the independent variable (Nagelkerke R2 = 19.9 percent).</p><p><strong>Conclusion and recommendation:</strong> This study thus, concluded that SACCO size had a significant moderating effect on the independent sub-variables but the overall independent variable did not show any significance. This study recommended that SACCO size should only be considered while addressing credit risk mitigation and staff competence of DT-SACCOs in an effort to improve their financial sustainability.</p> ]]> Credit Management Practice, SACCO Size and Financial Sustainability of Deposit Taking Saving and Credit Co-Operatives in Kenya justus nderitu maina richard muthii kiai teresia ngina kyalo doi: 10.32602/jafas.2020.023 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 175 10.32602/jafas.2020.023 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.023 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.022 Purpose: The manufacturing companies must keep attention over challenges and for the moment of adopt technology and practices instead of observation of competition amongst competitor companies.To create automobile business successful in India, companies are essential to adopt better cost accounting techniques to minimize cost of products and service costs.Design/methodology/approach: This research investigates the application procedure of Target Costing (TC) in automobile companies in India. This study employed Target Costing as a dependent variable while Profitability; Growth; Net Tangibility Assets (NTA); EPS and Firm Size are independent variables. The study adopted convenience sample of top ten automobile companies listed on BSE of India and panel data has covered from 2014-15 to 2018-19 years. Data was analyzed through using statistical techniques of descriptive statistical analysis, Pearson’s Correlation, Simple Regression and Multiple Regression analysis and using the SPSS.Findings: The result of the target costing impact on profitability has reported by Pearson’s correlation result shown a negative relationship. Similarly, Target costing impact on Return on sales examined by simple regression analysis and revealed that there is positive correlation. Finally, Target costing impact on financial performance examined by multiple regression results revealed that there is positive correlation with Revenue from Operation; Profitability; Return on Sales (ROS) and Growth, while negative correlation revealed by Margin from Operation; ROA; Net Tangibility Assets(NTA); EPS and Firm Size.Originality/value: Target Costing has been identified as a popular technique to accomplish automobile company’s goals. Target costing consist exclusive approach to decide target price for the product and services. Target Costing ensure that new product price would be competitive in the market with substantial quality of products and services. This research investigates the application procedure of Target Costing (TC) and examined financial performance of Indian Automobile companies. 06-29-2020 <![CDATA[ <p style="text-align: justify">Purpose: The manufacturing companies must keep attention over challenges and for the moment of adopt technology and practices instead of observation of competition amongst competitor <a target="_blank" rel="noopener noreferrer nofollow" href="http://companies.To">companies.To</a> create automobile business successful in India, companies are essential to adopt better cost accounting techniques to minimize cost of products and service costs.</p><p style="text-align: justify">Design/methodology/approach: This research investigates the application procedure of Target Costing (TC) in automobile companies in India. This study employed Target Costing as a dependent variable while Profitability; Growth; Net Tangibility Assets (NTA); EPS and Firm Size are independent variables. The study adopted convenience sample of top ten automobile companies listed on BSE of India and panel data has covered from 2014-15 to 2018-19 years. Data was analyzed through using statistical techniques of descriptive statistical analysis, Pearson’s Correlation, Simple Regression and Multiple Regression analysis and using the SPSS.</p><p style="text-align: justify">Findings: The result of the target costing impact on profitability has reported by Pearson’s correlation result shown a negative relationship. Similarly, Target costing impact on Return on sales examined by simple regression analysis and revealed that there is positive correlation. Finally, Target costing impact on financial performance examined by multiple regression results revealed that there is positive correlation with Revenue from Operation; Profitability; Return on Sales (ROS) and Growth, while negative correlation revealed by Margin from Operation; ROA; Net Tangibility Assets(NTA); EPS and Firm Size.</p><p style="text-align: justify">Originality/value: Target Costing has been identified as a popular technique to accomplish automobile company’s goals. Target costing consist exclusive approach to decide target price for the product and services. Target Costing ensure that new product price would be competitive in the market with substantial quality of products and services. This research investigates the application procedure of Target Costing (TC) and examined financial performance of Indian Automobile companies.</p> ]]> Application of Target Costing and Performance Analysis: Evidence from Indian Automobile Industry n. narsaiaha doi: 10.32602/jafas.2020.022 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 3 Article 148 10.32602/jafas.2020.022 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.022 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.021 Purpose: The aim of the study is to reveal the relationship between economic growth and tourism receipts between 1995 and 2018 for Turkey.Design/methodology/approach: Econometric analysis method was used in the research. The existence of a long-term relationship between variables was questioned by the Johansen Cointegration Test. Least Squares Method was used for regression analysis.Findings: The results suggest that there is cointegration between economic growth and tourism receipts. In the long-run tourism receipts effect economic growth positively. According to the estimated model with Least Squares Method, each %1 increse in the tourism receipt increases GDP %0.21 and the percentage change in the tourism receipts can explain the %86 of the percentage change in GDP in the %95 confidence interval.Practical implications: This research has significant implications for both policy makers and investors. The government has to consider the effect of the tourism industry while planning the investments, expenditures and incentives.Originality/value: This study allows to make forecast for the future and gives opportunity to make comparison for the subsequent researchers with the latest findings in this field. 06-29-2020 <![CDATA[ <p style="text-align: justify">Purpose: The aim of the study is to reveal the relationship between economic growth and tourism receipts between 1995 and 2018 for Turkey.</p><p style="text-align: justify">Design/methodology/approach: Econometric analysis method was used in the research. The existence of a long-term relationship between variables was questioned by the Johansen Cointegration Test. Least Squares Method was used for regression analysis.</p><p style="text-align: justify">Findings: The results suggest that there is cointegration between economic growth and tourism receipts. In the long-run tourism receipts effect economic growth positively. According to the estimated model with Least Squares Method, each %1 increse in the tourism receipt increases GDP %0.21 and the percentage change in the tourism receipts can explain the %86 of the percentage change in GDP in the %95 confidence interval.</p><p style="text-align: justify">Practical implications: This research has significant implications for both policy makers and investors. The government has to consider the effect of the tourism industry while planning the investments, expenditures and incentives.</p><p style="text-align: justify">Originality/value: This study allows to make forecast for the future and gives opportunity to make comparison for the subsequent researchers with the latest findings in this field.</p> ]]> Long-Run Nexus Between Tourism Receipts And Economic Growth: Empirical Evidence from Turkey rabia aktaş şenkardeşler doi: 10.32602/jafas.2020.021 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 3 Article 135 10.32602/jafas.2020.021 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.021 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.020 Objective: The objective of this study is to theoretically review the existing theoretical and empirical literature on dividend policy to understand the status and applicability of the theory in different economies and to discover any potential knowledge gaps for further research.Study Design and Methodology: This is a descriptive analysis of existing theoretical literature and its application in different economies. The study used a sample of empirical studies to gather empirical evidence. Findings: Dividend policy has a significant role in the firm decision-making process, a uniform dividend policy for all firms may not be feasible because of the differences in firms’ ownership, investor’s preference and firm characteristics, firms maintain a consistent dividend policy to avoid giving wrong signals to investors. The study also confirms inconsistency in the application of existing dividend theory with empirical evidence in different markets. We find that the ownership structure of a firm has greater influence in the firm decision-making process and recommend future studies should explore the extent to which ownership structure influences dividend policy and firm value.Significance of the study: This study provides a framework for evaluating dividend policy practices between developed and developing countries, evaluate the relevance and applicability of dividend theory within the context of developing economies and identify the best dividend policy practices. The study will form part of the body of knowledge in the finance literature that will enable scholars to appreciate the critical issues involved in dividend policy decisions and provide a base for identifying knowledge gaps for further research. 09-29-2020 <![CDATA[ <p><strong>Objective: </strong>The objective of this study is to theoretically review the existing theoretical and empirical literature on dividend policy to understand the status and applicability of the theory in different economies and to discover any potential knowledge gaps for further research<em>.</em></p><p><strong>Study Design and Methodology: </strong>This is a descriptive analysis of existing theoretical literature and its application in different economies. The study used a sample of empirical studies to gather empirical evidence. </p><p><strong>Findings: </strong>Dividend policy has a significant role in the firm decision-making process, a uniform dividend policy for all firms may not be feasible because of the differences in firms’ ownership, investor’s preference and firm characteristics, firms maintain a consistent dividend policy to avoid giving wrong signals to investors. The study also confirms inconsistency in the application of existing dividend theory with empirical evidence in different markets. We find that the ownership structure of a firm has greater influence in the firm decision-making process and recommend future studies should explore the extent to which ownership structure influences dividend policy and firm value.</p><p><strong>Significance of the study</strong><span style="color: rgb(0, 111, 192)">:</span> This study provides a framework for evaluating dividend policy practices between developed and developing countries, evaluate the relevance and applicability of dividend theory within the context of developing economies and identify the best dividend policy practices. The study will form part of the body of knowledge in the finance literature that will enable scholars to appreciate the critical issues involved in dividend policy decisions and provide a base for identifying knowledge gaps for further research.</p> ]]> Dividend Theory and Empirical Evidence: A Theoretical Perspective anthony muriungi mirie mwangi doi: 10.32602/jafas.2020.020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 120 10.32602/jafas.2020.020 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.020 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.018 Objective of the Study: It is aimed in this study to develop a model of cryptocurrency which is applicable in Turkey and suitable for Islamic monetary and financial system, by presenting the condition of cryptocurrency, which has reached a significant size in the world of finance, in the system of Islamic finance. Methodology of the Study: In this study, first of all, the course of money from its invention and first use to the present time has been revealed, and the cases that have emerged in this course since the earliest days of humanity and the Islamic world, and their reactions as well as solutions to these cases have been examined. In the light of these findings, an appropriate model has been tried to be developed. Findings of the Study: With a close review of literature, it has been observed that while there are limited number of studies on cryptocurrencies, and that number is limited when it comes to the studies on Islamic cryptocurrency. It has also been seen that studies on Islamic cryptocurrency are still not ground, discussions on the system still continue, a model that is not agreed upon has not, yet, been put forth, and therefore there is a need to conduct more studies on it. Significance of the Study: In the study, a practicable cryptocurrency modelthatissuitableforIslamicmoneyandfinancialsystemhasbeen proposed. The most important advantage of this model, which contains different elements from those stated in studies available in the literature and which is thought to meet the monetary criteria of Islam, is that it is possible to apply it immediately and that it offers a proposal that enables it to be included in this developing monetary system of the Islamicworld. 09-29-2020 <![CDATA[ <p><strong>Objective of the Study</strong>: It is aimed in this study to develop a model of cryptocurrency which is applicable in Turkey and suitable for Islamic monetary and financial system, by presenting the condition of cryptocurrency, which has reached a significant size in the world of finance, in the system of Islamic finance. <strong>Methodology of the Study</strong>: In this study, first of all, the course of money from its invention and first use to the present time has been revealed, and the cases that have emerged in this course since the earliest days of humanity and the Islamic world, and their reactions as well as solutions to these cases have been examined. In the light of these findings, an appropriate model has been tried to be developed. <strong>Findings of the Study</strong>: With a close review of literature, it has been observed that while there are limited number of studies on cryptocurrencies, and that number is limited when it comes to the studies on Islamic cryptocurrency. It has also been seen that studies on Islamic cryptocurrency are still not ground, discussions on the system still continue, a model that is not agreed upon has not, yet, been put forth, and therefore there is a need to conduct more studies on it. <strong>Significance of the Study</strong>: In the study, a practicable cryptocurrency modelthatissuitableforIslamicmoneyandfinancialsystemhasbeen proposed. The most important advantage of this model, which contains different elements from those stated in studies available in the literature and which is thought to meet the monetary criteria of Islam, is that it is possible to apply it immediately and that it offers a proposal that enables it to be included in this developing monetary system of the Islamicworld.</p> ]]> Convenience of Cryptocurrency in terms of Islamic Monetary System: Proposal of Islamic Cryptocurrency Model Applicable in Turkey hasan erkan hasan kazak orhan çeker doi: 10.32602/jafas.2020.018 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 58 10.32602/jafas.2020.018 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.018 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.017 Purpose: The purpose of this study was to examine the influence of Independence, Integrity, and Professionalism on the Performance of Government External Auditors.Design/methodology/approach: The hypothesis was Independence, Integrity, and Professionalism had positive effect on the Performance of Government External Auditors. The total respondents were 182 auditors in the audit board of Indonesia from the Southern Sumatra region with different roles. Data collection method used questionnaires that were distributed to the auditors. Data analysis technique was multiple linear regression analysis. Correlation and determination coefficient and also partial test (t-test) tested the hypotheses.Finding: The result of the study showed that the basic values of BPK consisting of independence, integrity and professionalism had positive and significant effect on the Performance of Government External Auditors.Originality/value: This study contributed to the public sector auditing research by increasing our knowledge and understanding on the factors that influenced auditor performance. 09-29-2020 <![CDATA[ <p><strong>Purpose: </strong>The purpose of this study was to examine the<span> </span>influence of Independence, Integrity, and Professionalism<span> </span>on<span> </span>the<span> </span>Performance<span> </span>of<span> </span>Government<span> </span>External<span> </span>Auditors.</p><p><strong>Design/methodology/approach:<span> </span></strong>The<span> </span>hypothesis<span> </span>was<span> </span>Independence,<span> </span>Integrity,<span> </span>and<span> </span>Professionalism<span> </span>had<span> </span>positive<span> </span>effect<span> </span>on<span> </span>the<span> </span>Performance<span> </span>of<span> </span>Government<span> </span>External<span> </span>Auditors.<span> </span>The<span> </span>total<span> </span>respondents<span> </span>were<span> </span>182<span> </span>auditors<span> </span>in<span> </span>the<span> </span>audit<span> </span>board<span> </span>of<span> </span>Indonesia<span> </span>from<span> </span>the<span> </span>Southern<span> </span>Sumatra<span> </span>region<span> </span>with<span> </span>different<span> </span>roles.<span> </span>Data<span> </span>collection<span> </span>method<span> </span>used<span> </span>questionnaires<span> </span>that<span> </span>were<span> </span>distributed to the auditors. Data analysis technique was<span> </span>multiple<span> </span>linear<span> </span>regression<span> </span>analysis.<span> </span>Correlation<span> </span>and<span> </span>determination<span> </span>coefficient<span> </span>and<span> </span>also<span> </span>partial<span> </span>test<span> </span>(t-test)<span> </span>tested<span> </span>the hypotheses.</p><p><strong>Finding: </strong>The result of the study showed that the basic<span> </span>values of BPK consisting of independence, integrity and<span> </span>professionalism had positive and significant effect on the<span> </span>Performance<span> </span>of<span> </span>Government<span> </span>External<span> </span>Auditors.</p><p><strong>Originality/value: </strong>This study contributed to the public<span> </span>sector<span> </span>auditing<span> </span>research<span> </span>by<span> </span>increasing<span> </span>our<span> </span>knowledge<span> </span>and understanding on the factors that influenced auditor<span> </span>performance.</p> ]]> The Effect of Independence, Integrity, and Professionalism on the Performance of Government External Auditors: Case Study on the Southern Sumatra Audit Board muzwita fadillah azwardi sa’adah s doi: 10.32602/jafas.2020.017 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 36 10.32602/jafas.2020.017 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.017 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.016 Çalışmanın Amacı: Bu araştırmanın amacı, küresel ölçekte gelişimi ivme kazanan ve bir spor dalı olarak yaygınlaşan e-Sporun önemi üzerinde durarak, son yıllarda ortaya koyduğu ekonomik sonuçları ve gelişimi sayısal veriler ile somutlaştırmaktır. Araştırma Yöntemi: Bu araştırma nitel araştırma yöntemleri kapsamında yer alan doküman analizi yöntemi kullanılarak gerçekleştirilmiştir. Çalışmanın Önemi: Mevcut literatür incelendiğinde, e-Sporun gelişimsel çerçevesinin çizilmeye çalışıldığı ve ekonomik verilerin de bu çalışmalar kapsamında sunulduğu söylenebilir. Salt ekonomik ve ticari çıktılarına ilişkin bilimsel çalışmaların yok denecek kadar az olması bu araştırmanın temel esin kaynağı olmuştur. Bulgular ve Değerlendirme: e-Sporun günümüzde 1.1 milyar dolarlık hacmi ile devasa bir ekonomiye dönüştüğü bir gerçektir. Özellikle küresel ölçekte oyuncu, takım ve ülke gelirleri sürekli artarken; başta teknoloji firmaları olmak üzere birçok firma ve şirket sponsorluk faaliyetleri ile bu endüstrinin içinde yer almaya çalışmaktadır. Ayrıca e-Spor sektörün yayıncılık ve çevrimiçi içerik yayınlarının hızla arttığı da gözle görülebilmektedir. Uluslararası turnuva ve organizasyonlar düzenlenmekte ve milyonlarca dolar ödül dağıtılmaktadır. Dünyanın dijital alt yapısının her geçen gelişmesiyle birlikte e-Spor üretici ve katılımcıları arasında da rekabet giderek şiddetlenmektedir. 09-29-2020 <![CDATA[ <p><strong>Çalışmanın Amacı:</strong> Bu araştırmanın amacı, küresel ölçekte gelişimi ivme kazanan ve bir spor dalı olarak yaygınlaşan e-Sporun önemi üzerinde durarak, son yıllarda ortaya koyduğu ekonomik sonuçları ve gelişimi sayısal veriler ile somutlaştırmaktır. <strong>Araştırma Yöntemi: </strong>Bu araştırma nitel araştırma yöntemleri kapsamında yer alan doküman analizi yöntemi kullanılarak gerçekleştirilmiştir. <strong>Çalışmanın Önemi: </strong>Mevcut literatür incelendiğinde, e-Sporun gelişimsel çerçevesinin çizilmeye çalışıldığı ve ekonomik verilerin de bu çalışmalar kapsamında sunulduğu söylenebilir. Salt ekonomik ve ticari çıktılarına ilişkin bilimsel çalışmaların yok denecek kadar az olması bu araştırmanın temel esin kaynağı olmuştur. <strong>Bulgular ve Değerlendirme: </strong>e-Sporun günümüzde 1.1 milyar dolarlık hacmi ile devasa bir ekonomiye dönüştüğü bir gerçektir. Özellikle küresel ölçekte oyuncu, takım ve ülke gelirleri sürekli artarken; başta teknoloji firmaları olmak üzere birçok firma ve şirket sponsorluk faaliyetleri ile bu endüstrinin içinde yer almaya çalışmaktadır. Ayrıca e-Spor sektörün yayıncılık ve çevrimiçi içerik yayınlarının hızla arttığı da gözle görülebilmektedir. Uluslararası turnuva ve organizasyonlar düzenlenmekte ve milyonlarca dolar ödül dağıtılmaktadır. Dünyanın dijital alt yapısının her geçen gelişmesiyle birlikte e-Spor üretici ve katılımcıları arasında da rekabet giderek şiddetlenmektedir.</p> ]]> An Evaluation on E-Sports Industry and Its Economic Outputs ahmet atalay engin boztepe doi: 10.32602/jafas.2020.016 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 19 10.32602/jafas.2020.016 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.016 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.015 Purpose: The purpose of this paper is to examine the influence of government complexity, weaknesses in the internal control system, and non-compliance with the law on the disclosure of local government financial statements (LKPD) based on Government Regulation No. 71 of 2010. Design/methodology/approach: The secondary data type is panel data with 32 provinces cross-section and time series for 5 years (2012-2016) so that the number of panel data observations is 160 observations. The analytical tool used is panel data regression with the fixed-effect method. Findings: The results of the study show that the complexity of governance has a significant positive influence on the disclosure of local government financial statements, the weakness of the internal control system does not influence the disclosure of local government financial statements and non-compliance with the law has a significant negative influence on the disclosure of local government financial statements. Originality/value: This study contributes to the public sector accounting research by increasing our knowledge and understanding on the disclosure of local government financial statements. 09-29-2020 <![CDATA[ <p><strong>Purpose: </strong>The purpose of this paper is to examine the influence of government complexity, weaknesses in the internal control system, and non-compliance with the law on the disclosure of local government financial statements (LKPD) based on Government Regulation No. 71 of 2010. <strong>Design/methodology/approach: </strong>The secondary data type is panel data with 32 provinces cross-section and time series for 5 years (2012-2016) so that the number of panel data observations is 160 observations. The analytical tool used is panel data regression with the fixed-effect method. <strong>Findings: </strong>The results of the study show that the complexity of governance has a significant positive influence on the disclosure of local government financial statements, the weakness of the internal control system does not influence the disclosure of local government financial statements and non-compliance with the law has a significant negative influence on the disclosure of local government financial statements. <strong>Originality/value:</strong> This study contributes to the public sector accounting research by increasing our knowledge and understanding on the disclosure of local government financial statements.</p> ]]> The influence Of Complexity And Audit Findings On The Disclosure Regional Financial Statements In Indonesia evada dewata hadi jauhari adelia khoirunisa doi: 10.32602/jafas.2020.015 Journal of Accounting, Finance and Auditing Studies 09-29-2020 Journal of Accounting, Finance and Auditing Studies 09-29-2020 2020 6 3 Article 1 10.32602/jafas.2020.015 https://www.acadlore.com/article/JAFAS/2020_6_3/jafas.2020.015 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.014 Aim: The accountancy of Business revenues is an important factor to present the financial results. To make these results comparable at the international level, the new standard IFRS- 15 was developed by the two international standard determinants: The International Financial Accountancy Standards Board and The US GAAP. The new standard TFRS-15 of The Customer Contract Revenue Standard is designed for reconciling between the current two TMS-18 Revenue standard and TMS-11 construction contract and providing better comparison among the businesses, sectors and markets, and complying with the necessary explanations. Methodology: It is much easier to create financial tables by using only one standard. On January 1, 2018, the new standard was replaced with TMS-18 Revenue and TMS-11 Construction Contract standards and their interpretations. The new international standard was introduced on May 28, 2014 after countless international meetings with many participants and so many international discussions and comments taking many years. IASB and FASB postponed the initial starting date from January 1, 2017 to January 1, 2018 and so did Turkey. Thus, the standard will be analyzed and evaluated from this perspective. Findings: The revenue obtained from customers’ contracts should be explained in the deep notes in the new standard based on five stage-model of TFRS-15. Whether the new standard has any impact on business and, if any, how much impact it has on them depends on the industries. It is possible to say that the TFRS-15 standard could not succeed to diminish the discretion of the revenue description. Importance: The purpose of this study is to make cumulative knowledge contribution to the literature by means of explaining and evaluating the subject using enriched and international literature. 06-29-2020 <![CDATA[ <p><strong>Aim</strong>:<strong> </strong>The accountancy of Business revenues is an important factor to present the financial results. To make these results comparable at the international level, the new standard IFRS- 15 was developed by the two international standard determinants: The International Financial Accountancy Standards Board and The US GAAP. The new standard TFRS-15 of The Customer Contract Revenue Standard is designed for reconciling between the current two TMS-18 Revenue standard and TMS-11 construction contract and providing better comparison among the businesses, sectors and markets, and complying with the necessary explanations. <strong>Methodology</strong>: It is much easier to create financial tables by using only one standard. On January 1, 2018, the new standard was replaced with TMS-18 Revenue and TMS-11 Construction Contract standards and their interpretations. The new international standard was introduced on May 28, 2014 after countless international meetings with many participants and so many international discussions and comments taking many years. IASB and FASB postponed the initial starting date from January 1, 2017 to January 1, 2018 and so did Turkey. Thus, the standard will be analyzed and evaluated from this perspective. <strong>Findings</strong>:<strong> </strong>The revenue obtained from customers’ contracts should be explained in the deep notes in the new standard based on five stage-model of TFRS-15. Whether the new standard has any impact on business and, if any, how much impact it has on them depends on the industries. It is possible to say that the TFRS-15 standard could not succeed to diminish the discretion of the revenue description. <strong>Importance</strong>: The purpose of this study is to make cumulative knowledge contribution to the literature by means of explaining and evaluating the subject using enriched and international literature.</p> ]]> A Theoretical Analysis of the Construction Business in the Frame of Revenue Standard in TFRS-15 Customer Contracts cemal eli̇taş doi: 10.32602/jafas.2020.014 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 124 10.32602/jafas.2020.014 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.014 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.013 Purpose: This study aims to look at the influence of religiosity, profit and loss sharing and corporate image on consumer intentions of Muamalat bank financing in Madiun. Design/methodology/approach: this study used a quantitative approach with a sample of 220 Muslim respondents in Madiun. And data analysis used smart PLS. Findings: The results of the analysis found that religiosity has a significant positive effect on consumer intentions, profit and loss sharing has a significant negative effect on customer intentions and corporate image does not affect consumers' intention of Muamalat bank financing in Madiun. Practical implications: From the results will be as a marketing strategy to increase customers financing Muamalat banks, and find out the factors - factors that influence consumer intentions by looking at community religiosity and giving a low perception of profit and loss sharing of Muamalat bank financing in Madiun. Originality/value: The factor of religiosity can increase the consumer's intention of Muamalat bank financing in Madiun and the perception of profit and loss sharing can reduce the consumer's intention of Muamalat bank financing in Madiun. 06-29-2020 <![CDATA[ <p><strong>Purpose: </strong>This study aims to look at the influence of religiosity, profit and loss sharing and corporate image on consumer intentions of Muamalat bank financing in Madiun. <strong>Design/methodology/approach: </strong>this study used a quantitative approach with a sample of 220 Muslim respondents in Madiun. And data analysis used smart PLS. <strong>Findings:</strong> The results of the analysis found that religiosity has a significant positive effect on consumer intentions, profit and loss sharing has a significant negative effect on customer intentions and corporate image does not affect consumers' intention of Muamalat bank financing in Madiun. <strong>Practical implications: </strong>From the results will be as a marketing strategy to increase customers financing Muamalat banks, and find out the factors - factors that influence consumer intentions by looking at community religiosity and giving a low perception of profit and loss sharing of Muamalat bank financing in Madiun. <strong>Originality/value: </strong>The factor of religiosity can increase the consumer's intention of Muamalat bank financing in Madiun and the perception of profit and loss sharing can reduce the consumer's intention of Muamalat bank financing in Madiun.</p> ]]> The Influence Of Religiosity, Profit Loss And Sharing And Corporate Image Toward Consumer Intentions Of Muamalat Bank Financing rizal ula ananta fauzi budiyanto suhermin doi: 10.32602/jafas.2020.013 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 105 10.32602/jafas.2020.013 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.013 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.012 Aim of the Study: The main objective of our research, for the solutions of management, finance and accounting issues and auditing problems of SMEs is to reveal the benefits of independent audit. Methodology of the Study: Administrative, financial, and accounting problems of SMEs will be explained and the role of independent audit in solving these problems will be presented. Findings of the Study: We assume that the findings of this study will contribute towards the enhancement of good corporate governance that alleviates agency problems in business organizations. Importance of the Study: The enterprises have been becoming international along with the rapid transformation in the world trade in recent years. It is now mandatory to develop a common language in the field of accounting and auditing for the reason that enterprises are operating in different countries. At the end of this process, it has been implemented a worldwide uniformity with “International Accounting Standards" and "International auditing standards". The relevant changes were made in independent auditing for SMEs under certain criteria in order to adapt uniformity with new Turkish commercial code in our country. Independent audit as a result of economic change will become unavoidably compulsory for SMEs, which are over a certain scale, beyond that, the independent audit for the SMEs will be made on a voluntary basis in the interests their own in the future. We assume that the findings of this study will contribute towards the enhancement of good corporate governance that alleviates agency problems in business organizations. The findings have several implications regarding board members, managers, and organizations. Establishing corporate governance mechanisms and resolving agency issues are among the boards’ primary responsibilities. 06-29-2020 <![CDATA[ <p><strong>Aim of the Study:</strong> The main objective of our research, for the solutions of management, finance and accounting issues and auditing problems of SMEs is to reveal the benefits of independent audit. <strong>Methodology of the Study:</strong> Administrative, financial, and accounting problems of SMEs will be explained and the role of independent audit in solving these problems will be presented. <strong>Findings of the Study:</strong> We assume that the findings of this study will contribute towards the enhancement of good corporate governance that alleviates agency problems in business organizations. <strong>Importance of the Study: </strong>The enterprises have been becoming international along with the rapid transformation in the world trade in recent years. It is now mandatory to develop a common language in the field of accounting and auditing for the reason that enterprises are operating in different countries. At the end of this process, it has been implemented a worldwide uniformity with “International Accounting Standards" and "International auditing standards". The relevant changes were made in independent auditing for SMEs under certain criteria in order to adapt uniformity with new Turkish commercial code in our country. Independent audit as a result of economic change will become unavoidably compulsory for SMEs, which are over a certain scale, beyond that, the independent audit for the SMEs will be made on a voluntary basis in the interests their own in the future. We assume that the findings of this study will contribute towards the enhancement of good corporate governance that alleviates agency problems in business organizations. The findings have several implications regarding board members, managers, and organizations. Establishing corporate governance mechanisms and resolving agency issues are among the boards’ primary responsibilities.</p> ]]> The Role of Independent Audit in Solving Administrative, Financial, and Accounting Problems in Small and Medium-Sized Enterprises ali haydar güngörmüş doi: 10.32602/jafas.2020.012 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 87 10.32602/jafas.2020.012 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.012 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.011 Aim of the Study: The aim of the study is arguing about the statements, related with the elements to differentiate the profit, mentioned which are mentioned within the footnotes of the financial tables by analyzing those elements differentiating the TAS-TFRS profit from the profit calculated due to statutory records. Further; the savings on TAS-TFRS profit also the matters caused by savings are aimed to be evaluating within the framework of the study. Hence it is targeted to contribute for the discussion and prediction of TAS-TFRS profit. Methodology of the Study: The savings on TAS-TFRS profit are evaluated by analyzing those elements differentiating the TAS-TFRS profit from the profit calculated due to statutory records. Findings of the Study: Financial statements being prepared within the framework of the “Tax Legislation” and “General Communiqué on Accounting System Application (GCASA)” in Turkey are converted to another form those are available for the Turkish Accounting Standards (TAS)-Turkish Financial Reporting Standards (TFRS) by the companies meeting the requirements of reporting due to TAS- TFRS. At the end of the transformation held; the amount of profit calculated according to TAS-TFRS is differentiated from the profit amount within the statutory records. Despite of the existence of numerous reasons for the mentioned differentiation of profit amount, the two substantial elements here are suggested to be “the differences in valuation” besides “deferred taxes occurred because of corporate tax investment incentives”. Importance of the Study: The elements are mentioned within the study to ensure realizing the TAS-TFRS profit and discussing the savings on TAS-TFRS profit according to the users of financial statements. The absence of any academic study relating the topic within the literature makes this research important. 06-29-2020 <![CDATA[ <p><strong>Aim of the Study:</strong> The aim of the study is arguing about the statements, related with the elements to differentiate the profit, mentioned which are mentioned within the footnotes of the financial tables by analyzing those elements differentiating the TAS-TFRS profit from the profit calculated due to statutory records. Further; the savings on TAS-TFRS profit also the matters caused by savings are aimed to be evaluating within the framework of the study. Hence it is targeted to contribute for the discussion and prediction of TAS-TFRS profit. <strong>Methodology of the Study:</strong> The savings on TAS-TFRS profit are evaluated by analyzing those elements differentiating the TAS-TFRS profit from the profit calculated due to statutory records. <strong>Findings of the Study: </strong>Financial statements being prepared within the framework of the “Tax Legislation” and “General Communiqué on Accounting System Application (GCASA)” in Turkey are converted to another form those are available for the Turkish Accounting Standards (TAS)-Turkish Financial Reporting Standards (TFRS) by the companies meeting the requirements of reporting due to TAS- TFRS. At the end of the transformation held; the amount of profit calculated according to TAS-TFRS is differentiated from the profit amount within the statutory records. Despite of the existence of numerous reasons for the mentioned differentiation of profit amount, the two substantial elements here are suggested to be “the differences in valuation” besides “deferred taxes occurred because of corporate tax investment incentives”. <strong>Importance of the Study:</strong> The elements are mentioned within the study to ensure realizing the TAS-TFRS profit and discussing the savings on TAS-TFRS profit according to the users of financial statements. The absence of any academic study relating the topic within the literature makes this research important.</p> ]]> Predicting the TAS - TFRS Profit Attracting the Users of Financial Statements ahmet gökgöz doi: 10.32602/jafas.2020.011 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 70 10.32602/jafas.2020.011 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.011 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.010 Purpose: This study was conducted to examine the impact of financial inclusion and banking performance in Indonesia. The study uses 4 financial inclusion indicators, among others: (i) the ratio of third-party funds to gross domestic income, (ii) the ratio of credit to gross domestic income, (iii) the number of ATMS, (iv) the number of branch offices. Design/methodology/approach: The purposive sampling method is used to select the research sample. The descriptive statistical test and hypothesis test is used to analyze the data using e-eviews program. This research uses the population of data from the National Banking annual report either go public or not during the year 2014 to the year 2018. The study assumed financial inclusion can increase bank performance. Findings: By conducting a regression analysis, researchers found that several indicators of financial inclusion can help improve banking performance using ROA and NIM ratios, as well as some indicators of financial inclusion that do not demonstrate its influence. The results of this study drove banking as one of the formal financial institutions to increase financial inclusion. Banks can earn more profit if financial inclusion increases. Practical implications: These findings will be very helpful to government or management to maximize their firm performance using provides services that are able to accommodate the needs of the society, whether it has a small business (SME) and the overall economic development. Originality/value: This article provides a new insight of some indicators of financial inclusion that do not demonstrate its influence to banking performance. 06-29-2020 <![CDATA[ <p><strong>Purpose:</strong> This study was conducted to examine the impact of financial inclusion and banking performance in Indonesia. The study uses 4 financial inclusion indicators, among others: (i) the ratio of third-party funds to gross domestic income, (ii) the ratio of credit to gross domestic income, (iii) the number of ATMS, (iv) the number of branch offices. <strong>Design/methodology/approach: </strong>The purposive sampling method is used to select the research sample. The descriptive statistical test and hypothesis test is used to analyze the data using e-eviews program. This research uses the population of data from the National Banking annual report either go public or not during the year 2014 to the year 2018. The study assumed financial inclusion can increase bank performance. <strong>Findings: </strong>By conducting a regression analysis, researchers found that several indicators of financial inclusion can help improve banking performance using ROA and NIM ratios, as well as some indicators of financial inclusion that do not demonstrate its influence. The results of this study drove banking as one of the formal financial institutions to increase financial inclusion. Banks can earn more profit if financial inclusion increases. <strong>Practical implications: </strong>These findings will be very helpful to government or management to maximize their firm performance using provides services that are able to accommodate the needs of the society, whether it has a small business (SME) and the overall economic development. <strong>Originality/value: </strong>This article provides a new insight of some indicators of financial inclusion that do not demonstrate its influence to banking performance.</p> ]]> Financial Inclusion and Banking Performance in Indonesia aliffianti safiria ayu ditta arifiansyah saputra doi: 10.32602/jafas.2020.010 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 50 10.32602/jafas.2020.010 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.010 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.009 Purpose: This research is carried out to investigate the influence of firm characteristics and good governance characteristics to earnings management behavior. Furthermore, the research is expanded to determine the predictive discretionary accruals models in Indonesia. The author utilizing firm listed in Indonesia Stock Exchange during 2014 – 2018 as research object. Design/methodology/approach: The research samples is selected by utilizing the purposive sampling method. In addition, the data analyze is conducted through E-Views version 10. Three discretionary accruals models is used to define earnings management behavior. The research assumed firm characteristics factors such as financial performance, firm size, leverage, and share issuance activity and good governance characteristics such as board of directors’ size and auditor’s size. Findings: The research discovers that firm characteristics can accentuate the earnings management behavior significantly. In other hand, in good corporate governance characteristics only big four auditor is significant. The research also find that discretionary accruals model of Jones, Dechow, and Kothari are predictive in Indonesia. Practical implications: The discoveries of this research provide understanding for investors that enforcement on both governance and monitoring mechanism are essential approach to reduce earnings management behavior. Originality/value: The research investigated three models of discretionary accruals’ capability in predicting earnings management behavior, and found out all discretionary accruals model are still relevant to be use in predictive to define earnings management behavior in Indonesia. 06-29-2020 <![CDATA[ <p><strong>Purpose: </strong>This research is carried out to investigate the influence of firm characteristics and good governance characteristics to earnings management behavior. Furthermore, the research is expanded to determine the predictive discretionary accruals models in Indonesia. The author utilizing firm listed in Indonesia Stock Exchange during 2014 – 2018 as research object. <strong>Design/methodology/approach: </strong>The research samples is selected by utilizing the purposive sampling method. In addition, the data analyze is conducted through E-Views version 10. Three discretionary accruals models is used to define earnings management behavior. The research assumed firm characteristics factors such as financial performance, firm size, leverage, and share issuance activity and good governance characteristics such as board of directors’ size and auditor’s size. <strong>Findings:</strong> The research discovers that firm characteristics can accentuate the earnings management behavior significantly. In other hand, in good corporate governance characteristics only big four auditor is significant. The research also find that discretionary accruals model of Jones, Dechow, and Kothari are predictive in Indonesia. <strong>Practical implications:</strong> The discoveries of this research provide understanding for investors that enforcement on both governance and monitoring mechanism are essential approach to reduce earnings management behavior. <strong>Originality/value: </strong>The research investigated three models of discretionary accruals’ capability in predicting earnings management behavior, and found out all discretionary accruals model are still relevant to be use in predictive to define earnings management behavior in Indonesia.</p> ]]> The Effect of Firm Characteristics and Good Corporate Governance Characteristics to Earning Management Behaviors edi vera jessica doi: 10.32602/jafas.2020.009 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 31 10.32602/jafas.2020.009 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.009 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.008 Purpose: This study aims to explore auditor’s perceptions of CEOs overconfidence in Egypt as one of the emerging countries. Design/methodology/approach: A quasi-experimental study is used on a sample comprises of 101 practicing auditors at public accounting firms in Egypt to assess (i) CEO overconfidence in a case scenario, (ii) the quality of earnings that would be provided by this overconfident CEO, and (iii) how overconfident CEO would be considered when they are assessing fraud risk, audit risk, audit effort and audit fees. Findings: The results suggest that not all the auditors in the sample were able to discover the same degree of overconfidence personal traits in a case scenario, and it was done by the sense, and they generally agree that overconfident CEO are more likely to provide lower earnings quality. Accordingly, they raise their assessment for audit fees as a result of an increase in fraud risk, audit risk, and audit effort. Practical implications: This study has significant implications for accounting and auditing professionals, market participants and regulators; where auditors should consider the overconfidence of the CEO during the audit process, market participants should consider managerial overconfidence when they are making investment decisions. Moreover, this study highlights the gap between auditing standards and the professional practice; which requires regulators to consider personal overconfidence traits as an indicator of financial reporting risk. Originality/value: This study helps in filling a gap in the literature; where auditor’s perceptions of CEOs overconfidence have not been fully investigated in emerging economies. 06-29-2020 <![CDATA[ <p><strong>Purpose:</strong> This study aims to explore auditor’s perceptions of CEOs overconfidence in Egypt as one of the emerging countries. <strong>Design/methodology/approach:</strong> A quasi-experimental study is used on a sample comprises of 101 practicing auditors at public accounting firms in Egypt to assess (i) CEO overconfidence in a case scenario, (ii) the quality of earnings that would be provided by this overconfident CEO, and (iii) how overconfident CEO would be considered when they are assessing fraud risk, audit risk, audit effort and audit fees. <strong>Findings:</strong> The results suggest that not all the auditors in the sample were able to discover the same degree of overconfidence personal traits in a case scenario, and it was done by the sense, and they generally agree that overconfident CEO are more likely to provide lower earnings quality. Accordingly, they raise their assessment for audit fees as a result of an increase in fraud risk, audit risk, and audit effort. <strong>Practical implications: </strong>This study has significant implications for accounting and auditing professionals, market participants and regulators; where auditors should consider the overconfidence of the CEO during the audit process, market participants should consider managerial overconfidence when they are making investment decisions. Moreover, this study highlights the gap between auditing standards and the professional practice; which requires regulators to consider personal overconfidence traits as an indicator of financial reporting risk. <strong>Originality/value:</strong> This study helps in filling a gap in the literature; where auditor’s perceptions of CEOs overconfidence have not been fully investigated in emerging economies.</p> ]]> Auditor’s Perceptions of CEOs Overconfidence in Egypt: A Quasi-Experimental Study aref mahmoud kamel eissa doi: 10.32602/jafas.2020.008 Journal of Accounting, Finance and Auditing Studies 06-29-2020 Journal of Accounting, Finance and Auditing Studies 06-29-2020 2020 6 2 Article 1 10.32602/jafas.2020.008 https://www.acadlore.com/article/JAFAS/2020_6_2/jafas.2020.008 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.007 Purpose: This research is aimed to find out the determinant of Price Earning Ratio (PER) in the property and real estate company listed in Indonesian Stock Exchange for the period 2011-2018. Design/methodology/approach: Referring to the developed model by Afza & Tahrir and Amalia by using 6 independent variables including Dividend Payout Ratio, Tobin’s Q, Leverage, Market Return, Earning Growth and Size, are expected to renewal in results in order to obtain variables that influencing the movement of Price Earning Ratio in property and Real Estate Company. Findings: From panel data analysis method, it can be found that fixed effect model is the most suitable model for both the changes of Price Earning Ratio in the property and Real Estate Company. The results of each variable can be explained that Tobin’s Q has positive impact, meanwhile Earning Growth and Size has negative impact. Afterwards, this research is also expected to provide framework of thinking for the policy maker to attract the attention of investor in the property and real estate company sector. Practical implications: The article offers insights to Price Earning Ratio in property and Real Estate Company that listed in Indonesian stock exchange period 2011-2018 simultaneously, partially and identifies the regression model of panel data inside. Originality/value: The article presents there are five significant free variables, including Tobin’s Q, Leverage, Market Return, Earning Growth and Size that influence the Price Earning Ratio in property and Real Estate Company. 03-30-2020 <![CDATA[ <p><strong>Purpose</strong>: This research is aimed to find out the determinant of Price Earning Ratio (PER) in the property and real estate company listed in Indonesian Stock Exchange for the period 2011-2018. <strong>Design/methodology/approach</strong>: Referring to the developed model by Afza & Tahrir and Amalia by using 6 independent variables including Dividend Payout Ratio, Tobin’s Q, Leverage, Market Return, Earning Growth and Size, are expected to renewal in results in order to obtain variables that influencing the movement of Price Earning Ratio in property and Real Estate Company. <strong>Findings</strong>: From panel data analysis method, it can be found that fixed effect model is the most suitable model for both the changes of Price Earning Ratio in the property and Real Estate Company. The results of each variable can be explained that Tobin’s Q has positive impact, meanwhile Earning Growth and Size has negative impact. Afterwards, this research is also expected to provide framework of thinking for the policy maker to attract the attention of investor in the property and real estate company sector. <strong>Practical implications</strong>: The article offers insights to Price Earning Ratio in property and Real Estate Company that listed in Indonesian stock exchange period 2011-2018 simultaneously, partially and identifies the regression model of panel data inside. <strong>Originality/value</strong>: The article presents there are five significant free variables, including Tobin’s Q, Leverage, Market Return, Earning Growth and Size that influence the Price Earning Ratio in property and Real Estate Company.</p> ]]> Determinant of Price Earning Ratio in the Preperty and Real Estate Company: Case Study Listed in Indonesian Stock Exchange 2011-2018 aang aribawa budi sutrisno adhipradana prabu swasito doi: 10.32602/jafas.2020.007 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 119 10.32602/jafas.2020.007 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.007 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.006 Mental accounting, defined as a set of cognitive processes that allows the organization of financial activities and facilitates money management; First of all, it helps people to compare the returns / incomes in return for their expenses and the costs to be incurred, and enables them to make decisions through a different mental account for the income tax or value added tax etc. they will pay in their investments. In the process of mental accounting, self-employed taxpayers may consider the correct declaration of tax, but they can also make different tax calculations, and even obtain information in consultation with their professionals. It is known that some professionals use mental accounting themselves by helping self-employed people fondly. It is impossible today to check whether mental accounting is related to tax knowledge, business and personality traits, and the degree of association with the intended tax behavior. The conclusions have been reached by a study in this regard;- While some taxpayers mentally separate taxes from turnover, others are not (integrators ) ,- Where there are small differences in mental accounting between income tax and VAT, and,- Confirmatory factor analysis, tax information and mental accounting are different structures (Journal of Economic Psychology Nr. 70 , January 2019, P: 125-139).On the other hand, mental accounting is a strategy used in controlling personal spending, consumption, and investments as a cognitive set of operations in monitoring one's financial/financial business (=activity) and transactions. These are classified in mental accounts, meaning that individuals monitor all of their expenses separately and include the process of personal decision making, correction, control or abandonment of decisions. In particular, when multiple options are encountered, they are evaluated jointly-the results of different decisions are combined or evaluated separately. This depends on the emotional and intellectual structures of the person, along with the risk and expenditure criteria that the person undertakes. Because the decision is between sentimentality and thought, and results in rational-real or irrational-non-real results. In fact, they have a positive relationship with education, financial knowledge, money management and tax awareness in mental accounting. A consumer or investor/businessman in the decision process, including most accounting and Finance, Management Accounting, Financial Accounting and tax accounting are associated with, and are affected by them and affect them. These aspects are quite interesting. 03-30-2020 <![CDATA[ <p>Mental accounting, defined as a set of cognitive processes that allows the organization of financial activities and facilitates money management; First of all, it helps people to compare the returns / incomes in return for their expenses and the costs to be incurred, and enables them to make decisions through a different mental account for the income tax or value added tax etc. they will pay in their investments. In the process of mental accounting, self-employed taxpayers may consider the correct declaration of tax, but they can also make different tax calculations, and even obtain information in consultation with their professionals. It is known that some professionals use mental accounting themselves by helping self-employed people fondly. It is impossible today to check whether mental accounting is related to tax knowledge, business and personality traits, and the degree of association with the intended tax behavior. The conclusions have been reached by a study in this regard;</p><p>- While some taxpayers mentally separate taxes from turnover, others are not (integrators ) ,</p><p>- Where there are small differences in mental accounting between income tax and VAT, and,</p><p>- Confirmatory factor analysis, tax information and mental accounting are different structures (Journal of Economic Psychology Nr. 70 , January 2019, P: 125-139).</p><p>On the other hand, mental accounting is a strategy used in controlling personal spending, consumption, and investments as a cognitive set of operations in monitoring one's financial/financial business (=activity) and transactions. These are classified in mental accounts, meaning that individuals monitor all of their expenses separately and include the process of personal decision making, correction, control or abandonment of decisions. In particular, when multiple options are encountered, they are evaluated jointly-the results of different decisions are combined or evaluated separately. This depends on the emotional and intellectual structures of the person, along with the risk and expenditure criteria that the person undertakes. Because the decision is between sentimentality and thought, and results in rational-real or irrational-non-real results. In fact, they have a positive relationship with education, financial knowledge, money management and tax awareness in mental accounting. A consumer or investor/businessman in the decision process, including most accounting and Finance, Management Accounting, Financial Accounting and tax accounting are associated with, and are affected by them and affect them. These aspects are quite interesting.</p> ]]> Financial Evaluation of Mental Accounting mehmet özkan özgür özkana doi: 10.32602/jafas.2020.006 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 86 10.32602/jafas.2020.006 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.006 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.005 Purpose: This research aims to study the impact of local environmental factors on the adoption of International Accounting system in Iraq. So the main objective of the research can be the evaluation of the role of local environmental factors in selecting the best method to adopt International Accounting Standards (IAS), and International Financial Reporting Standards (IFRS). Design/methodology/approach: The researchers prepared a questionnaire contains 28 paragraphs which were coded and divided into 7 parts showing the independent variables of the study (the environmental factors) and the dependent variable (the adoption of IAS/IFRS) Findings: The results of the research show that the local environment factors can effect on the choice of the country to adopt the best method of IAS/IFRS adoption, and the statistical analysis results show that there is a very good level of agreement for the participants about the effect of local environment factors on the adoption of IAS/IFRS. Practical implications: The research offers insights to the need to activate national standards and principles that are appropriate to the local environment in order to adapt with the requirements of IAS/IFRS adoption. Originality/value: The research presents significant pragmatic evidence in terms of its meticulous approach towards checking the robustness of results. 03-30-2020 <![CDATA[ <p><strong>Purpose</strong>: This research aims to study the impact of local environmental factors on the adoption of International Accounting system in Iraq. So the main objective of the research can be the evaluation of the role of local environmental factors in selecting the best method to adopt International Accounting Standards (IAS), and International Financial Reporting Standards (IFRS). <strong>Design/methodology/approach</strong>: The researchers prepared a questionnaire contains 28 paragraphs which were coded and divided into 7 parts showing the independent variables of the study (the environmental factors) and the dependent variable (the adoption of IAS/IFRS) <strong>Findings</strong>: The results of the research show that the local environment factors can effect on the choice of the country to adopt the best method of IAS/IFRS adoption, and the statistical analysis results show that there is a very good level of agreement for the participants about the effect of local environment factors on the adoption of IAS/IFRS. <strong>Practical implications</strong>: The research offers insights to the need to activate national standards and principles that are appropriate to the local environment in order to adapt with the requirements of IAS/IFRS adoption. <strong>Originality/value</strong>: The research presents significant pragmatic evidence in terms of its meticulous approach towards checking the robustness of results.</p> ]]> The Influence of the Environmental Factors on the Adoption of the International Accounting System IAS/IFRS: Case of Iraq salam a. al-nasrawi thabit h. thabit doi: 10.32602/jafas.2020.005 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 66 10.32602/jafas.2020.005 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.005 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.004 Purpose: The study was conducted to assess the implementation of value added tax and related challenges the case of Bench Sheko Zone, SNNPR, Ethiopia. Methodology: The study is based on descriptive data analysis method and the collected primary data has been carefully coded, checked for consistency and entered into the Statistical Package for Social Scientists (SPSS) and the secondary data related to VAT collection performance of the revenue bureau from 2010/11 to 2017/18 analysis also done. Finding: The result of the study shows that there are less awareness creation and educational programs, inadequate competence, inadequate enforcement of tax laws, absence of consistent follow-up to assess and register unregistered traders, inadequate infrastructure, weak monitoring, tax evasion, inefficient tax intelligence work and tax auditing. Practical implication: This article offers insights to regional revenue bureau and ministry of revenue to give unreserved attention on it and improve the implementation gaps of VAT through fulfilling the necessary tax administration logistics, enhancing tax education, reducing organizational bureaucracy and improving tax payers’ trust. Lastly, the revenue bureau shall make continuous monitoring and evaluation, maintain accountability and transparency, conduct adequate intelligence and tax auditing to achieve the desired objectives. Significance of the study: The study would notably reveal the way of intervention to revenue minster and policy makers to fill on the gaps found and improve its performance related to VAT administration and collection practice in future. 03-30-2020 <![CDATA[ <p><strong>Purpose</strong>: The study was conducted to assess the implementation of value added tax and related challenges the case of Bench Sheko Zone, SNNPR, Ethiopia. <strong>Methodology</strong>: The study is based on descriptive data analysis method and the collected primary data has been carefully coded, checked for consistency and entered into the Statistical Package for Social Scientists (SPSS) and the secondary data related to VAT collection performance of the revenue bureau from 2010/11 to 2017/18 analysis also done. <strong>Finding</strong>: The result of the study shows that there are less awareness creation and educational programs, inadequate competence, inadequate enforcement of tax laws, absence of consistent follow-up to assess and register unregistered traders, inadequate infrastructure, weak monitoring, tax evasion, inefficient tax intelligence work and tax auditing. <strong>Practical implication</strong>: This article offers insights to regional revenue bureau and ministry of revenue to give unreserved attention on it and improve the implementation gaps of VAT through fulfilling the necessary tax administration logistics, enhancing tax education, reducing organizational bureaucracy and improving tax payers’ trust. Lastly, the revenue bureau shall make continuous monitoring and evaluation, maintain accountability and transparency, conduct adequate intelligence and tax auditing to achieve the desired objectives. <strong>Significance of the study</strong>: The study would notably reveal the way of intervention to revenue minster and policy makers to fill on the gaps found and improve its performance related to VAT administration and collection practice in future.</p> ]]> Implementation of Value Added Tax and It’s Challenges: Evidence from Bench Sheko Zone, SNNPR, Ethiopia wondimu sebhat tebebu mulatie chanie yitbarek doi: 10.32602/jafas.2020.004 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 49 10.32602/jafas.2020.004 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.004 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.003 Purpose: The purpose of this article is to examine the sector-wise dividend payment of all the listed companies in the Dhaka Stock Exchange (DSE). This paper also indicates the highest and lowest percentage of dividend paid by companies in each sector, as well as illustrates the reason for distributing such amount of dividend. Design/methodology/approach: The empirical analysis was done by using the last fifteen years (i.e., 2004-2018) of dividend payment by all listed firms in DSE. Data was collected from the secondary sources to perform the analysis. On collected data, average dividend amount was calculated for each listed company by adding the percentage of cash and stock dividend paid by those companies. Trend analysis was performed on the average dividend to see which company among all listed companies is distributing a high or low percentage of dividend to their shareholders' over the years. Findings: The results from this article show that companies in the declining industry fail to meet their shareholders’ expectations in terms of dividend payment. On the other hand, companies in booming industries are consistently disbursing dividend for their shareholders’. Besides, companies are in the growth stage, and the multinational companies are distributing a considerable percentage of dividend. Practical implications: The results of this article will be helpful for the fund managers’, investment analysts’ and investors’ who makes decisions to invest in the capital market because the paper presented the historical average dividend payment by listed companies. Originality/value: This article presents the average dividend payment by companies listed in stock exchange in an emerging economy, also finds out sector-wise dividend payment and suggests some remedial for companies. 03-30-2020 <![CDATA[ <p><strong>Purpose:</strong> The purpose of this article is to examine the sector-wise dividend payment of all the listed companies in the Dhaka Stock Exchange (DSE). This paper also indicates the highest and lowest percentage of dividend paid by companies in each sector, as well as illustrates the reason for distributing such amount of dividend. <strong>Design/methodology/approach:</strong> The empirical analysis was done by using the last fifteen years (i.e., 2004-2018) of dividend payment by all listed firms in DSE. Data was collected from the secondary sources to perform the analysis. On collected data, average dividend amount was calculated for each listed company by adding the percentage of cash and stock dividend paid by those companies. Trend analysis was performed on the average dividend to see which company among all listed companies is distributing a high or low percentage of dividend to their shareholders' over the years. <strong>Findings:</strong> The results from this article show that companies in the declining industry fail to meet their shareholders’ expectations in terms of dividend payment. On the other hand, companies in booming industries are consistently disbursing dividend for their shareholders’. Besides, companies are in the growth stage, and the multinational companies are distributing a considerable percentage of dividend. <strong>Practical implications:</strong> The results of this article will be helpful for the fund managers’, investment analysts’ and investors’ who makes decisions to invest in the capital market because the paper presented the historical average dividend payment by listed companies. <strong>Originality/value:</strong> This article presents the average dividend payment by companies listed in stock exchange in an emerging economy, also finds out sector-wise dividend payment and suggests some remedial for companies.</p> ]]> Sector-Wise Dividend Payment by all Listed Companies in Dhaka Stock Exchange: An Empirical Analysis md. humayun kabir s. s. m. sadrul huda rakin tajwar doi: 10.32602/jafas.2020.003 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 33 10.32602/jafas.2020.003 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.003 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.002 Purpose: This study was conducted to examine the impact of the operating synergy, financial synergy and firm reputation toward firm performance in merger and acquisition processes. This study also examines how firm reputation moderates the impact of operating synergy and financial synergy toward firm performance. The object of this research are companies involved in mergers and acquisitions between 2010 and 2016. Design/methodology/approach: The purposive sampling method is used to select the research sample. The descriptive statistical test, outlier test and hypothesis test is used to analyze the data using e-eviews program. The study assumed Buy and Hold Abnormal Return (BHAR) as the performance to measure a successful acquisition, and the factors that have an impact on acquisition performance are taken as being operating synergy, financial synergy and firm reputation. Findings: The results of this study show that by maximizing the operating synergy and firm reputation, this can improve the BHAR of an acquisition event, and a firm will a weak reputation can strengthen the BHAR by maximizing the operating synergy. Practical implications: These findings will be very helpful to management to maximize their firm performance using merger and acquisition as their strategy and firm reputation as their intangible resources. Originality/value: This article provides a new insight of acquisition research as to how firm reputation moderates the impact of acquisition synergy to achieve firm performance. 03-30-2020 <![CDATA[ <p><strong>Purpose:</strong> This study was conducted to examine the impact of the operating synergy, financial synergy and firm reputation toward firm performance in merger and acquisition processes. This study also examines how firm reputation moderates the impact of operating synergy and financial synergy toward firm performance. The object of this research are companies involved in mergers and acquisitions between 2010 and 2016. <strong>Design/methodology/approach: </strong>The purposive sampling method is used to select the research sample. The descriptive statistical test, outlier test and hypothesis test is used to analyze the data using e-eviews program. The study assumed Buy and Hold Abnormal Return (BHAR) as the performance to measure a successful acquisition, and the factors that have an impact on acquisition performance are taken as being operating synergy, financial synergy and firm reputation. <strong>Findings: </strong>The results of this study show that by maximizing the operating synergy and firm reputation, this can improve the BHAR of an acquisition event, and a firm will a weak reputation can strengthen the BHAR by maximizing the operating synergy. Practical implications: These findings will be very helpful to management to maximize their firm performance using merger and acquisition as their strategy and firm reputation as their intangible resources. <strong>Originality/value:</strong> This article provides a new insight of acquisition research as to how firm reputation moderates the impact of acquisition synergy to achieve firm performance.</p> ]]> The Effect of Acquisition Synergy on Firm Perfomance moderated by Firm Reputation edi yuswar zainul basri willy arafah doi: 10.32602/jafas.2020.002 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 16 10.32602/jafas.2020.002 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.002 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.001 Purpose: This study aims to examine the effect of audit quality on firm value in manufacturing companies listed on the Indonesian Stock Exchange in 2013 to 2017. Design/methodology/approach: Population in this study are all manufacturing companies listed on the Indonesian Stock Exchange. Sampling was carried out using a purposive sampling method. Research data were tested using multiple regression analysis. Findings: The results from this study show that audit quality has a positive effect on firm value in manufacturing companies on the Indonesian Stock Exchange. Practical Implications: The Indonesian capital market gives a positive appreciation to companies that have higher quality audits. Higher audit quality is expected to reduce agency costs, reduce information asymmetry and increase firm value. Companies are advised to use higher quality auditors in order to increase firm value in the Indonesian capital market. Originality/value: Audit quality which is proxied by Big 4 and non-big 4 auditors has been proven to have a positive influence on firm value in manufacturing companies on the Indonesia Stock Exchange. 03-30-2020 <![CDATA[ <p><strong>Purpose</strong>: This study aims to examine the effect of audit quality on firm value in manufacturing companies listed on the Indonesian Stock Exchange in 2013 to 2017. Design/methodology/approach: Population in this study are all manufacturing companies listed on the Indonesian Stock Exchange. Sampling was carried out using a purposive sampling method. Research data were tested using multiple regression analysis.<strong> Findings</strong>: The results from this study show that audit quality has a positive effect on firm value in manufacturing companies on the Indonesian Stock Exchange.<strong> Practical Implications</strong>: The Indonesian capital market gives a positive appreciation to companies that have higher quality audits. Higher audit quality is expected to reduce agency costs, reduce information asymmetry and increase firm value. Companies are advised to use higher quality auditors in order to increase firm value in the Indonesian capital market. <strong>Originality/value</strong>: Audit quality which is proxied by Big 4 and non-big 4 auditors has been proven to have a positive influence on firm value in manufacturing companies on the Indonesia Stock Exchange.</p> ]]> The Effect of Audit Quality on Firm Value: A Case in Indonesian Manufacturing Firm anggita langgeng wijaya doi: 10.32602/jafas.2020.001 Journal of Accounting, Finance and Auditing Studies 03-30-2020 Journal of Accounting, Finance and Auditing Studies 03-30-2020 2020 6 1 Article 1 10.32602/jafas.2020.001 https://www.acadlore.com/article/JAFAS/2020_6_1/jafas.2020.001 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.9 This study is concerned with identifying the determinants of credit risk in Ethiopian Commercial Banks. We collected secondary data from the audited financial statement of eight senior commercial banks for the period of 14 years. To analyze the data, a fixed effect ordinary list square model was applied. Finally, the study found out macro-economic and micro-economic variables affect the level of credit risk in Ethiopian commercial banking industry. 03-30-2019 <![CDATA[ <p>This study is concerned with identifying the determinants of credit risk in Ethiopian Commercial Banks. We collected secondary data from the audited financial statement of eight senior commercial banks for the period of 14 years. To analyze the data, a fixed effect ordinary list square model was applied. Finally, the study found out macro-economic and micro-economic variables affect the level of credit risk in Ethiopian commercial banking industry.</p> ]]> Determinates of Credit Risk in Ethiopian Commercial Banks million gizaw tole mohammed sultan jabir haymanot alemayehu wolde doi: 10.32602/jafas.2019.9 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 196 10.32602/jafas.2019.9 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.9 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.8 Multinational Corporations (MNCs) are generally financed with a mixture of internal debt and equity from the parent corporation. Yet, financial theory has relatively little to say regarding the capital structure and its determinants in an international setting. This research empirically examines the major determinants of capital structure decisions of Multinational Corporations listed on the Karachi Stock Exchange for the period 2005-2017. The data was studied using panel data regression analysis. Results suggest that apart from traditional determinants such as profitability, tangibility, size, Non Debt Tax Shield (NDTS) etc., specific international factors such as political risk, exchange rate risk, agency costs and bankruptcy costs are relevant to the multinational capital structure decision. The results are broadly consistent with theory. It is therefore recommended that the management of listed MNCs in Pakistan should always consider their positions using these capital structure determinants as important inputs before embarking on debt financing decision. 03-30-2019 <![CDATA[ <p>Multinational Corporations (MNCs) are generally financed with a mixture of internal debt and equity from the parent corporation. Yet, financial theory has relatively little to say regarding the capital structure and its determinants in an international setting. This research empirically examines the major determinants of capital structure decisions of Multinational Corporations listed on the Karachi Stock Exchange for the period 2005-2017. The data was studied using panel data regression analysis. Results suggest that apart from traditional determinants such as profitability, tangibility, size, Non Debt Tax Shield (NDTS) etc., specific international factors such as political risk, exchange rate risk, agency costs and bankruptcy costs are relevant to the multinational capital structure decision. The results are broadly consistent with theory. It is therefore recommended that the management of listed MNCs in Pakistan should always consider their positions using these capital structure determinants as important inputs before embarking on debt financing decision.</p> ]]> Determinants of Capital Structure: An Empirical Study of KSE Listed MNCs in Pakistan fatima iqbal muhammad bilal ahmad hafiz fawad ali doi: 10.32602/jafas.2019.8 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 173 10.32602/jafas.2019.8 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.8 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.7 The objective of this research was identifying the determinants of financial performance in case of Ethiopian Insurance Companies over the period of 2010 2015. Profitability ratios were used as proxy of financial;performance measurement; return of asset (ROA) and return of equity (ROE). Panel data set from nine insurance companies over the period of six used. The descriptive statistics implied that nonexistence of variation in ROA and ROE since the standard deviation statistics for ROA (34%) and ROE (11%) were below the respective means (63% and 19%). To identify the determinants of financial performance, Ordinary least squire (OLS) estimation method was employed. The estimation result showed that capital adequacy, liquidity, size, age, loss, leverage were the key determinants of financial performance. From this researchers concluded that financial performance mainly driven by firm specific factors. Thus, attention should be given to firm specific variables to have a sound financial performance. 03-30-2019 <![CDATA[ The objective of this research was identifying the determinants of financial performance in case of Ethiopian Insurance Companies over the period of 2010 2015. Profitability ratios were used as proxy of financial;performance measurement; return of asset (ROA) and return of equity (ROE). Panel data set from nine insurance companies over the period of six used. The descriptive statistics implied that nonexistence of variation in ROA and ROE since the standard deviation statistics for ROA (34%) and ROE (11%) were below the respective means (63% and 19%). To identify the determinants of financial performance, Ordinary least squire (OLS) estimation method was employed. The estimation result showed that capital adequacy, liquidity, size, age, loss, leverage were the key determinants of financial performance. From this researchers concluded that financial performance mainly driven by firm specific factors. Thus, attention should be given to firm specific variables to have a sound financial performance. ]]> Determinants of Financial Performance; Evidence from Ethiopia Insurance Companies aster ketema abebe meseret tadesse abera doi: 10.32602/jafas.2019.7 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 155 10.32602/jafas.2019.7 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.7 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.6 This paper investigates the factors that influence bank profitability. Using static and dynamic panel data techniques, a sample of 86 banks from eight countries making up the West African Economic and Monetary Union over the period 2006-2014 is utilized. framework, the size effect is investigated for both determinants of profitability and CAR models, while the time effect is incorporated in the dynamic framework. In regards to the determinants of bank profitability, the results show evidence of significant effects of bank specific factors, as well as bank macroeconomic factors on profitability in WAEMU except two bank-specific factors (ratios of liquid asset to total deposit and nonperforming asset insignificant. Also, due to less competition in the banking sector, the results point to a significant persistence of profit from year to year. Furthermore, the analysis of the bank size effect confirms evidence of significant economies and discectomies of scale in the bankin sector. 03-30-2019 <![CDATA[ This paper investigates the factors that influence bank profitability. Using static and dynamic panel data techniques, a sample of 86 banks from eight countries making up the West African Economic and Monetary Union over the period 2006-2014 is utilized. framework, the size effect is investigated for both determinants of profitability and CAR models, while the time effect is incorporated in the dynamic framework. In regards to the determinants of bank profitability, the results show evidence of significant effects of bank specific factors, as well as bank macroeconomic factors on profitability in WAEMU except two bank-specific factors (ratios of liquid asset to total deposit and nonperforming asset insignificant. Also, due to less competition in the banking sector, the results point to a significant persistence of profit from year to year. Furthermore, the analysis of the bank size effect confirms evidence of significant economies and discectomies of scale in the bankin sector. ]]> Analysis of Factors Influencing Bank Profitability: Evidence from the West African Economic and Monetary Union Banking Sector kokou adalessossi eda oruç erdoğan doi: 10.32602/jafas.2019.6 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 122 10.32602/jafas.2019.6 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.6 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.5 A sound public financial management is vital for efficient and equitable utilization of scarce national resources. However, public financial management specifically on accounting and reporting practices hindered by several problems that lead budgeted resources to deficiency. The objective of the study was to assess public financial management: accounting and reporting practice; MizanTepi University, Bench Maji, Kaffa and Sheka Zones. Descriptive method of data analysis with the help of SPSS version 21 was used. Findings of the study showed that in selected public bodies there is no compliance with directives in preparing report, mismatch of approved budget with expenditure, lack of collaboration between budget and finance section with integration of IBEX system, misapplication of server and lack of IBEX trained experts. Thus, the public bodies have to refer financial manuals, record budget with respective code, correct amount, checking the approved budget balance, hire qualified IBEX experts and configure multi user IBEX system. 03-30-2019 <![CDATA[ <p>A sound public financial management is vital for efficient and equitable utilization of scarce national resources. However, public financial management specifically on accounting and reporting practices hindered by several problems that lead budgeted resources to deficiency. The objective of the study was to assess public financial management: accounting and reporting practice; MizanTepi University, Bench Maji, Kaffa and Sheka Zones. Descriptive method of data analysis with the help of SPSS version 21 was used. Findings of the study showed that in selected public bodies there is no compliance with directives in preparing report, mismatch of approved budget with expenditure, lack of collaboration between budget and finance section with integration of IBEX system, misapplication of server and lack of IBEX trained experts. Thus, the public bodies have to refer financial manuals, record budget with respective code, correct amount, checking the approved budget balance, hire qualified IBEX experts and configure multi user IBEX system.</p> ]]> Assessment of Public Finance Management: Accounting and Reporting Practice: Evidence from Mizan-Tepi University, Bench Maji, Kaffa and Sheka Zone (Finance and Budget Sections) aster ketema abebe idris ali meseret tadesse abera doi: 10.32602/jafas.2019.5 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 100 10.32602/jafas.2019.5 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.5 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.42 Purpose: This study was conducted to examine the impact of the director’s experience on the acquisition performance. This research also focuses on how the experience of director in making future acquisitions. The authors used. The object of this research is the company that made acquisitions in 2013-2017. Design/methodology/approach: The purposive sampling method is used to select the research sample. The descriptive statistical test, outlier test and hypothesis test is used to analyzed the data using SPSS program. Assuming cumulative abnormal return (CAR) are the performance to measure a success acquisition, and the factors that have an impact on acquisition performance are performance are taken number of prior acquisitions with positive CAR, number of prior acquisitions, average number of acquisitions, number of acquisitions with same industry, percentage number of acquisitions with positive CAR, board independent, board size, managerial ownership, firm size, free cash flow, CEO tenure and leverage as independent variable. The purposive sampling method is used to select the research sample. The descriptive statistical test, outlier test and hypothesis test is used to analyzed the data using SPSS program. Findings: The results from this study show that the number of acquisition with positive CAR can improve acquisitions performance in the future, but the number of prior acquisitions can be reduce the acquisitions performance. Practical implications: This finding will be very helpful for management as a condition in choosing a new CEO. By adding acquisition experience as one of the conditions in choosing a CEO. This will increase the level of successful acquisition of the company. Originality/value: This article present the empirical study of how CEO Experience in Acquisition can increase the success rate of acquisition in Indonesia. 12-30-2019 <![CDATA[ <p><strong>Purpose: </strong>This study was conducted to examine the impact of the director’s experience on the acquisition performance. This research also focuses on how the experience of director in making future acquisitions. The authors used. The object of this research is the company that made acquisitions in 2013-2017. <strong>Design/methodology/approach:</strong> The purposive sampling method is used to select the research sample. The descriptive statistical test, outlier test and hypothesis test is used to analyzed the data using SPSS program. Assuming cumulative abnormal return (CAR) are the performance to measure a success acquisition, and the factors that have an impact on acquisition performance are performance are taken number of prior acquisitions with positive CAR, number of prior acquisitions, average number of acquisitions, number of acquisitions with same industry, percentage number of acquisitions with positive CAR, board independent, board size, managerial ownership, firm size, free cash flow, CEO tenure and leverage as independent variable. The purposive sampling method is used to select the research sample. The descriptive statistical test, outlier test and hypothesis test is used to analyzed the data using SPSS program. <strong>Findings:</strong> The results from this study show that the number of acquisition with positive CAR can improve acquisitions performance in the future, but the number of prior acquisitions can be reduce the acquisitions performance. <strong>Practical implications:</strong> This finding will be very helpful for management as a condition in choosing a new CEO. By adding acquisition experience as one of the conditions in choosing a CEO. This will increase the level of successful acquisition of the company. <strong>Originality/value: </strong>This article present the empirical study of how CEO Experience in Acquisition can increase the success rate of acquisition in Indonesia.</p> ]]> The Effect of Director Experience on Acquisition Performance edi erik saputra doi: 10.32602/jafas.2019.42 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 136 10.32602/jafas.2019.42 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.42 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.41 Purpose: The purpose of the study is to examine the effect of operating spread on organizational performances with reference to the listed manufacturing companies in Colombo Stock Exchange. In order to identify the relationship between operating spread and organizational performances, the author used data processed from financial reports of manufacturing companies in Colombo Stock Exchange from 2012 to 2016. Design/methodology/approach: Reformulated financial statement data analysis done using SPSS software, especially correlation and regression analysis. Firms’ performance was measured by ROOA, RNOA and ROE which were depended on Operating Spread. Finding: The result exposed the fact that operating spread positively impact on firm performance, (ROOA, RNOA and ROE). Practical Implications: The article offers insights to manufacturing companies to identify the capacity of debt level and the importance of considering the spread level when making a decision relating to debt capital. Moreover, Invertors can also consider the company spread level when they select a stock to invest. Originality/Value: The article presents significant evidence in terms of its scrupulous approach towards checking the toughness ofresults. 12-30-2019 <![CDATA[ <p><strong>Purpose:</strong> The purpose of the study is to examine the effect of operating spread on organizational performances with reference to the listed manufacturing companies in Colombo Stock Exchange. In order to identify the relationship between operating spread and organizational performances, the author used data processed from financial reports of manufacturing companies in Colombo Stock Exchange from 2012 to 2016. <strong>Design/methodology/approach:</strong> Reformulated financial statement data analysis done using SPSS software, especially correlation and regression analysis. Firms’ performance was measured by ROOA, RNOA and ROE which were depended on Operating Spread. <strong>Finding:</strong> The result exposed the fact that operating spread positively impact on firm performance, (ROOA, RNOA and ROE). <strong>Practical Implications:</strong> The article offers insights to manufacturing companies to identify the capacity of debt level and the importance of considering the spread level when making a decision relating to debt capital. Moreover, Invertors can also consider the company spread level when they select a stock to invest. <strong>Originality/Value:</strong> The article presents significant evidence in terms of its scrupulous approach towards checking the toughness ofresults.</p> ]]> Impact of Operating Spread on Firm’s Performances: Evidence from Sri Lankan Manufacturing Companies dona ganeesha priyangika kaluarachchi doi: 10.32602/jafas.2019.41 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 123 10.32602/jafas.2019.41 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.41 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.40 Purpose: The study discussed how cost and character of information, investors’ appreciation of information and the environment synchronized to influence investors preference ordering. It gives insight to the fact that choice of portfolio in investment is not the privy of capital structure and the classical mean-variance efficient analysis theories that see the decision process to be rational. Cost of information, investor characteristics and the environment cannot be treated in isolation but work in tandem for better investment decision. Design/methodology/approach: The Information Driven Efficent Portfolio Model alongside review of the literature were used to analyse how investors bundle of portfolio in a capital structure of a firm, as the dependent variable, is influenced by risk/reward, utility satisfaction, information and its cost of the investor as independent variables. Findings: It is found that there is trade-off between preference ordering (debt and equity) and risk/reward exposure, cost of information as well as information availability of investors in investment decisions. In environments of information asymmetry with uninformed investors in majority, risk is high and preference for debt instrument is equally high. Practicalimplications: Preference ordering,a product of the trade-off, establishes an optional capital structure, but not as determined by management. Investors’ response to the firm’s behaviour promotes the capital structure. Developing the bond market will grow entrepreneurship. Originality/value: The study has characterized; investors and how informed; information design and cost; utility; and investment environment and how they synchronized in responding to behavior in bundling up capitalstructure. 12-30-2019 <![CDATA[ <p><strong>Purpose:</strong> The study discussed how cost and character of information, investors’ appreciation of information and the environment synchronized to influence investors preference ordering. It gives insight to the fact that choice of portfolio in investment is not the privy of capital structure and the classical mean-variance efficient analysis theories that see the decision process to be rational. Cost of information, investor characteristics and the environment cannot be treated in isolation but work in tandem for better investment decision. <strong>Design/methodology/approach:</strong> The Information Driven Efficent Portfolio Model alongside review of the literature were used to analyse how investors bundle of portfolio in a capital structure of a firm, as the dependent variable, is influenced by risk/reward, utility satisfaction, information and its cost of the investor as independent variables. <strong>Findings:</strong> It is found that there is trade-off between preference ordering (debt and equity) and risk/reward exposure, cost of information as well as information availability of investors in investment decisions. In environments of information asymmetry with uninformed investors in majority, risk is high and preference for debt instrument is equally high. <strong>Practicalimplications:</strong> Preference ordering,a product of the trade-off, establishes an optional capital structure, but not as determined by management. Investors’ response to the firm’s behaviour promotes the capital structure. Developing the bond market will grow entrepreneurship. <strong>Originality/value:</strong> The study has characterized; investors and how informed; information design and cost; utility; and investment environment and how they synchronized in responding to behavior in bundling up capitalstructure.</p> ]]> Investment Decision; Information Driven and Preference Ordering george obeng doi: 10.32602/jafas.2019.40 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 103 10.32602/jafas.2019.40 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.40 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.4 This research aims to analyze and get empirical evidence about the effect of competence, experience, independence, due professional care, and integrity on audit quality with auditor ethics as a moderating variable. The data used in this study are primary data obtained through questionnaires obtained from external auditors in South Sumatra, Indonesia. The sample used was 97 auditors. The analytical tool used in this study is multiple linear regression analysis with moderating variables which are estimated using Ordinary Least Square (OLS). The results of the study show that the variables of competence, due professional care, and integrity significantly affect audit quality, the form of positive influence. Experience and independence variables do not significantly affect audit quality. Auditor ethics variables do not significantly moderate competence, experience, independence, due professional care, integrity to audit quality. 03-30-2019 <![CDATA[ <p>This research aims to analyze and get empirical evidence about the effect of competence, experience, independence, due professional care, and integrity on audit quality with auditor ethics as a moderating variable. The data used in this study are primary data obtained through questionnaires obtained from external auditors in South Sumatra, Indonesia. The sample used was 97 auditors. The analytical tool used in this study is multiple linear regression analysis with moderating variables which are estimated using Ordinary Least Square (OLS). The results of the study show that the variables of competence, due professional care, and integrity significantly affect audit quality, the form of positive influence. Experience and independence variables do not significantly affect audit quality. Auditor ethics variables do not significantly moderate competence, experience, independence, due professional care, integrity to audit quality.</p> ]]> The Effect of Competence, Experience, Independence, Due Professional Care, and Auditor Integrity on Audit Qualitiy with Auditor Ethics as Moderating Variable astro yudha kertarajasa taufiq marwa tertiarto wahyudi doi: 10.32602/jafas.2019.4 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 80 10.32602/jafas.2019.4 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.4 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.39 Aim of the Study: It is aimed to examine the function and practises of the Public Oversight Accounting and Auditing Standards Authority within the context of surveillance concept by explaining the effects of the surveillance concept on accounting and auditing profession. Therefore; evaluating the outputs of the annual analysis of the Public Oversight Accounting and Auditing Standards Authority held on independent auditing institutions and independent auditors by the context of surveillance duty is mentioned within the aim of the study. Methodology of the Study: After explaining the concept of surveillance, substantial information relating the function and practises of the Public Oversight Accounting and Auditing Standards Authority are stated by examining the effects of the surveillance concept on accounting and auditing profession. Hence; the outputs of the analysis on independent auditing institutions and auditors held by the Public Oversight Accounting and Auditing Standards Authority in 2017 are evaluated. Findings of the Study: According to the results of the 2017 Annual Analysis Report held by the Public Oversight Accounting and Auditing Standards Authority; the major matter mostly noticed within the audit is suggested to be the detection of substantial risks besides the lack of auditing procedures applied against the mentioned risks. Importance of the Study: Any study is not detected about the results of the file analysis held by the Public Oversight Accounting and Auditing Standards Authority within the literature. So that; this study is presented as a qualitative evaluation by analyzing file analysis of the Public Oversight Accounting and Auditing Standards Authority in 2017 in the context of affecting independent auditing’s quality by pointing out the findings on matters mostly noticed in the independent auditing. Only 2017 annual report is analyzed in the study since 2018 report of the Public Oversight Accounting and Auditing Standards Authority is not published yet. 12-30-2019 <![CDATA[ <p><strong>Aim of the Study: </strong>It is aimed to examine the function and practises of the Public Oversight Accounting and Auditing Standards Authority within the context of surveillance concept by explaining the effects of the surveillance concept on accounting and auditing profession. Therefore; evaluating the outputs of the annual analysis of the Public Oversight Accounting and Auditing Standards Authority held on independent auditing institutions and independent auditors by the context of surveillance duty is mentioned within the aim of the study. Methodology of the Study: After explaining the concept of surveillance, substantial information relating the function and practises of the Public Oversight Accounting and Auditing Standards Authority are stated by examining the effects of the surveillance concept on accounting and auditing profession. Hence; the outputs of the analysis on independent auditing institutions and auditors held by the Public Oversight Accounting and Auditing Standards Authority in 2017 are evaluated. <strong>Findings of the Study: </strong>According to the results of the 2017 Annual Analysis Report held by the Public Oversight Accounting and Auditing Standards Authority; the major matter mostly noticed within the audit is suggested to be the detection of substantial risks besides the lack of auditing procedures applied against the mentioned risks. <strong>Importance of the Study: </strong>Any study is not detected about the results of the file analysis held by the Public Oversight Accounting and Auditing Standards Authority within the literature. So that; this study is presented as a qualitative evaluation by analyzing file analysis of the Public Oversight Accounting and Auditing Standards Authority in 2017 in the context of affecting independent auditing’s quality by pointing out the findings on matters mostly noticed in the independent auditing. Only 2017 annual report is analyzed in the study since 2018 report of the Public Oversight Accounting and Auditing Standards Authority is not published yet.</p> ]]> A Qualitative Assessment on Public Oversight Accounting and Auditing Standards Authority and Auditor’s Audit within the Context of Surveillance Concept ahmet gökgöz doi: 10.32602/jafas.2019.39 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 87 10.32602/jafas.2019.39 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.39 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.38 Purpose: The aim of this study is to determine the relationship between the propagation of high-magnitude crises since the late 1990s and emergence of cryptocurrencies in the aftermath of the global financial crisis of 2008. Design and Methodology: The study was based on a literature review of the interaction between financial crises and evolution of money in the digital age. A high-level technical overview of Libra and blockchain is provided. The broad analysis of Libra coin looks at various models and categories of implementation approaches. The study discusses the components of blockchain technology and provides illustrative visuals when possible. We also compare consensus models used in the Libra and Bitcoin blockchain networks. The analysis also touches on the use ofblockchain technology in applications such as smart contracts. Findings: The study shows that cryptocurrencies are not only a natural but an inevitable transformation in the evolution of money. As with any new technology, Facebook’s Libra is going to cause a great deal of disruption in the existing ecosystem of cryptocurrencies that has taken a decade to form. On the other hand, Libra’s financial inclusion and global stability as a public good promises to revolutionize the cryptocurrency world. Practical Implications: If Facebook’s Libra doesn’t sputter out, it will spur central banks to introduce their own cryptocurrency projects. Libra’s vast scale will make access to intermediation by banks easier, faster, and cheaper. Unlike Bitcoin, Libra will be backed by a basket of stable currencies as well as low-risk government bonds and central bank reserve assets. Originality/Value: This study presents a clear picture of both advantages and potential risks of Libra which is considered to be a new invention eventhough Bitcoin has been around more than a decade. The study warns regulators and law makers along with central banks who are running headlong into backlash to Libra can harm consumers more than protect them. Punishing Facebook with a troubled past for violation of privacy and exploitation of users’ data could adversely affect innovation and discourage developments of cryptocurrencies. 12-30-2019 <![CDATA[ <p><strong>Purpose: </strong>The aim of this study is to determine the relationship between the propagation of high-magnitude crises since the late 1990s and emergence of cryptocurrencies in the aftermath of the global financial crisis of 2008. <strong>Design and Methodology:</strong> The study was based on a literature review of the interaction between financial crises and evolution of money in the digital age. A high-level technical overview of Libra and blockchain is provided. The broad analysis of Libra coin looks at various models and categories of implementation approaches. The study discusses the components of blockchain technology and provides illustrative visuals when possible. We also compare consensus models used in the Libra and Bitcoin blockchain networks. The analysis also touches on the use ofblockchain technology in applications such as smart contracts. <strong>Findings: </strong>The study shows that cryptocurrencies are not only a natural but an inevitable transformation in the evolution of money. As with any new technology, Facebook’s Libra is going to cause a great deal of disruption in the existing ecosystem of cryptocurrencies that has taken a decade to form. On the other hand, Libra’s financial inclusion and global stability as a public good promises to revolutionize the cryptocurrency world. <strong>Practical Implications: </strong>If Facebook’s Libra doesn’t sputter out, it will spur central banks to introduce their own cryptocurrency projects. Libra’s vast scale will make access to intermediation by banks easier, faster, and cheaper. Unlike Bitcoin, Libra will be backed by a basket of stable currencies as well as low-risk government bonds and central bank reserve assets. <strong>Originality/Value: </strong>This study presents a clear picture of both advantages and potential risks of Libra which is considered to be a new invention eventhough Bitcoin has been around more than a decade. The study warns regulators and law makers along with central banks who are running headlong into backlash to Libra can harm consumers more than protect them. Punishing Facebook with a troubled past for violation of privacy and exploitation of users’ data could adversely affect innovation and discourage developments of cryptocurrencies.</p> ]]> This Time is Different: Facebook’s Libra Can Improve Both Financial Inclusion and Global Financial Stability as a Viable Alternative Currency to the U.S. Dollar john taskinsoy doi: 10.32602/jafas.2019.38 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 67 10.32602/jafas.2019.38 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.38 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.37 Purpose: The study attempts to analyze the impact of economic and non-economic factors on the Turkish economy which was plunged plunged into a currency crisis in August 2018 due in most part to sanctions and tariffs imposed by the U.S. Design and Methodology: Turkey’s economy is characterized as one with high inflation and persistent chronic deficits. The study was based on a literature review of the adverse impact of America’s weaponizing dollar and abuse of sanction power on Turkish economy. The study analyzes developments that laid the foundation for the collapse of Turkey’s a decade-long credit- fueled economy. The broad analysis of Turkey’s most severe currency shock since the unprecedented 2001 economic crisis looks at various exogeneous and endogenous aspects. Findings: The study shows that Turkish economy possesses instability-inflicting imbalances such as high inflation, growing budget deficit, massive dollarization, alarming levels of external debt, and chronic current account deficit. The study concludes that the causes of Turkey’s gloomy economic situation are not all homegrown, its lackluster performance is blamed on attacks of non-economic basis. Another key finding is that Turkey is in desperate need of foreign capital flows as Turkey’s options to service its massive esternal debt through foreign barrowing have become substantially limited since the 2018 August rout. Practical Implications: In general terms, interest rates are of great importance as a monetary policy tool, but in Turkey, the relationship between the U.S. and Turkey sometimes plays a more pivotal role in determining the interest rate elevation and the consequent spike in inflation. The article offers insights to government authorities who should commit to structural and fiscal reforms to put the economy back on the right track for a faster recovery, or else let it collapse beyond repair. Originality/Value: The conclusions and findings in this study impact the perspective of the Turkish central bank with regard to policy responses under economic and financial distress that may arise from economic, non-economic, political and non- political driving and contributing factors. Because of premature and late responses, Turkish citizens are a lot poorer now than they were prior to the August rout in 2018. 12-30-2019 <![CDATA[ <p><strong>Purpose: </strong>The study attempts to analyze the impact of economic and non-economic factors on the Turkish economy which was plunged plunged into a currency crisis in August 2018 due in most part to sanctions and tariffs imposed by the U.S. <strong>Design and Methodology: </strong>Turkey’s economy is characterized as one with high inflation and persistent chronic deficits. The study was based on a literature review of the adverse impact of America’s weaponizing dollar and abuse of sanction power on Turkish economy. The study analyzes developments that laid the foundation for the collapse of Turkey’s a decade-long credit- fueled economy. The broad analysis of Turkey’s most severe currency shock since the unprecedented 2001 economic crisis looks at various exogeneous and endogenous aspects. <strong>Findings:</strong> The study shows that Turkish economy possesses instability-inflicting imbalances such as high inflation, growing budget deficit, massive dollarization, alarming levels of external debt, and chronic current account deficit. The study concludes that the causes of Turkey’s gloomy economic situation are not all homegrown, its lackluster performance is blamed on attacks of non-economic basis. Another key finding is that Turkey is in desperate need of foreign capital flows as Turkey’s options to service its massive esternal debt through foreign barrowing have become substantially limited since the 2018 August rout. <strong>Practical Implications: </strong>In general terms, interest rates are of great importance as a monetary policy tool, but in Turkey, the relationship between the U.S. and Turkey sometimes plays a more pivotal role in determining the interest rate elevation and the consequent spike in inflation. The article offers insights to government authorities who should commit to structural and fiscal reforms to put the economy back on the right track for a faster recovery, or else let it collapse beyond repair. <strong>Originality/Value: </strong>The conclusions and findings in this study impact the perspective of the Turkish central bank with regard to policy responses under economic and financial distress that may arise from economic, non-economic, political and non- political driving and contributing factors. Because of premature and late responses, Turkish citizens are a lot poorer now than they were prior to the August rout in 2018.</p> ]]> A Hiccup in Turkey’s Prolonged Credit Fueled Economic Transition: A Comparative Analysis of Before and After the August Rout john taskinsoy doi: 10.32602/jafas.2019.37 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 46 10.32602/jafas.2019.37 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.37 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.36 Purpose: The purpose of this article is to construct a framework, called fraud evasion triangle, which explains why today’s business environment cannot detect fraud. After identifying the factors that prevent fraud from being detected, radical solutions to fight fraud are proposed for each of these three factors. Design/methodology/approach: A qualitative research approach is selected conducting interviews with certified public accountants, independent auditors and finance officers in different sectors. They ara asked open-ended questions to explain the types of frauds they have witnessed, the reasons for frauds happened, the reasons why frauds could not be prevented and possible measures to prevent frauds. Findings: The findings show that today’s business tools to combat with fraud are not sufficient. Most of the literature and research papers show the reasons of fraud, and don’t explain why fraudulent activities are not prevented. In fact, knowing the motives of fraudsters are not essentials for detecting the fraud. The paper put the obstructive factors of fraud detection into three categories, namely crafty perpetrators, dependent internal auditors, and external audit design. Practical implications: The increasing tendency of fraud is not reversed although regulators put standards, and firms allocate more funds to combat with fraud. The article proposes solutions for each of the three factors of the fraud evasion triangle. Most of the proposed solutions can be easily implemented while some solutions require global consensus and legislation change. Originality/value: This paper explains why it is difficult to detect frauds in a new explanatory framework, and offers radical solutions to fight fraud. 12-30-2019 <![CDATA[ <p><strong>Purpose: </strong>The purpose of this article is to construct a framework, called fraud evasion triangle, which explains why today’s business environment cannot detect fraud. After identifying the factors that prevent fraud from being detected, radical solutions to fight fraud are proposed for each of these three factors. <strong>Design/methodology/approach: </strong>A qualitative research approach is selected conducting interviews with certified public accountants, independent auditors and finance officers in different sectors. They ara asked open-ended questions to explain the types of frauds they have witnessed, the reasons for frauds happened, the reasons why frauds could not be prevented and possible measures to prevent frauds. <strong>Findings: </strong>The findings show that today’s business tools to combat with fraud are not sufficient. Most of the literature and research papers show the reasons of fraud, and don’t explain why fraudulent activities are not prevented. In fact, knowing the motives of fraudsters are not essentials for detecting the fraud. The paper put the obstructive factors of fraud detection into three categories, namely crafty perpetrators, dependent internal auditors, and external audit design. <strong>Practical implications: </strong>The increasing tendency of fraud is not reversed although regulators put standards, and firms allocate more funds to combat with fraud. The article proposes solutions for each of the three factors of the fraud evasion triangle. Most of the proposed solutions can be easily implemented while some solutions require global consensus and legislation change. <strong>Originality/value: </strong>This paper explains why it is difficult to detect frauds in a new explanatory framework, and offers radical solutions to fight fraud.</p> ]]> Fraud Evasion Triangle: Why Can Fraud Not Be Detected? emre ergin i̇lkay ejder erturan doi: 10.32602/jafas.2019.36 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 35 10.32602/jafas.2019.36 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.36 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.35 Purpose: The purpose of our study is to explain that satisfaction in some features of e-tax system can increase the perception of service tax climate toward tax institution. In the era of modern technology, taxpayers assess tax institution services through the e-tax system, rather than face-to-face services. The e-tax system represents Director General of Taxes (DGT) services to taxpayers in the digital era. Design/methodology/approach: The method of data collection uses a survey in 2019 with a total sample of 94 taxpayers from the cities of Surabaya, Jakarta, Denpasar, and Semarang who have used the e-tax system at least three times. The analysis technique used SEM with WarpPLS software. The results showed that e-tax system satisfaction related to privacy- security and convenience of life affected the perception of service tax climate. Findings: We found that the system's security risk was the most important indicator of privacy-security, according to the taxpayers. We also found that indicator of "can be used anytime and anywhere" was significant to the taxpayers, especially to the respondent of Millennials and X generation in our study. We also found that privacy-security, job productivity, and convenience of life affect overall e-tax satisfaction. Practical implications: The research offers insights to the tax institution who should focus to enhance more rapid response in e-tax system so that the problems of taxpayers could be resolved effectively and efficiently. Originality/value: This is the first study that examines the influence of e-tax satisfaction, in terms of privacy-security, job productivity, and convenience of life, to the perception of service tax climate toward the tax institution. 12-30-2019 <![CDATA[ <p><strong>Purpose:</strong> The purpose of our study is to explain that satisfaction in some features of e-tax system can increase the perception of service tax climate toward tax institution. In the era of modern technology, taxpayers assess tax institution services through the e-tax system, rather than face-to-face services. The e-tax system represents Director General of Taxes (DGT) services to taxpayers in the digital era. <strong>Design/methodology/approach:</strong> The method of data collection uses a survey in 2019 with a total sample of 94 taxpayers from the cities of Surabaya, Jakarta, Denpasar, and Semarang who have used the e-tax system at least three times. The analysis technique used SEM with WarpPLS software. The results showed that e-tax system satisfaction related to privacy- security and convenience of life affected the perception of service tax climate. <strong>Findings: </strong>We found that the system's security risk was the most important indicator of privacy-security, according to the taxpayers. We also found that indicator of "can be used anytime and anywhere" was significant to the taxpayers, especially to the respondent of Millennials and X generation in our study. We also found that privacy-security, job productivity, and convenience of life affect overall e-tax satisfaction. <strong>Practical implications:</strong> The research offers insights to the tax institution who should focus to enhance more rapid response in e-tax system so that the problems of taxpayers could be resolved effectively and efficiently. <strong>Originality/value:</strong> This is the first study that examines the influence of e-tax satisfaction, in terms of privacy-security, job productivity, and convenience of life, to the perception of service tax climate toward the tax institution.</p> ]]> The Influence of E-Tax User Satisfaction on Perception of Service Tax Climate and Overall Satisfaction elisa tjondro effie kurniati prayogo yoke amanda doi: 10.32602/jafas.2019.35 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 15 10.32602/jafas.2019.35 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.35 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.34 Purpose: The purpose of this study is to examine the effect of income diversification on the financial performance of commercial banks in Kenya. Design/methodology/approach: The study used a sample of 31 commercial banks and panel data for the period 2008-2017. Data was extracted from the individual bank’s financial reports and the Central Bank of Kenya’s bank supervision annual reports. The data was analyzed through descriptive and inferential statistics, while the hypothesis was tested using fixed effect regression based on the results of the Hausman test. Financial performance was measured as return on assets (ROA), while Herfindahl-Hirschman Index (HHI) was used to measure income diversification. The study controlled for firm size, firm age and lending strategy. Findings: The findings indicated that income diversification had a positive and significant effect on banks’ financial performance in Kenya. The control variables had varied effects; firm size had a positive effect, while firm age and lending strategy had a negative effect. Practical implications: The article offers insights to bank managers and the regulator. First managers should consider an optimal level of diversification to compensate for the deteriorating interest revenue. Second, the regulator should relax laws that limit the extent banks can diversify their revenue streams. Originality/value: Unlike previous studies which focused on developed and emerging economies, this study centered on a developing economy, and the findings are consistent with the propositions of the modern portfolio theory. 12-30-2019 <![CDATA[ <p><strong>Purpose: </strong>The purpose of this study is to examine the effect of income diversification on the financial performance of commercial banks in Kenya. <strong>Design/methodology/approach:</strong> The study used a sample of 31 commercial banks and panel data for the period 2008-2017. Data was extracted from the individual bank’s financial reports and the Central Bank of Kenya’s bank supervision annual reports. The data was analyzed through descriptive and inferential statistics, while the hypothesis was tested using fixed effect regression based on the results of the Hausman test. Financial performance was measured as return on assets (ROA), while Herfindahl-Hirschman Index (HHI) was used to measure income diversification. The study controlled for firm size, firm age and lending strategy. <strong>Findings: </strong>The findings indicated that income diversification had a positive and significant effect on banks’ financial performance in Kenya. The control variables had varied effects; firm size had a positive effect, while firm age and lending strategy had a negative effect. <strong>Practical implications:</strong> The article offers insights to bank managers and the regulator. First managers should consider an optimal level of diversification to compensate for the deteriorating interest revenue. Second, the regulator should relax laws that limit the extent banks can diversify their revenue streams. <strong>Originality/value:</strong> Unlike previous studies which focused on developed and emerging economies, this study centered on a developing economy, and the findings are consistent with the propositions of the modern portfolio theory.</p> ]]> Income Diversification and Financial Perfomance. Should Banks Trade? peter nderitu githaiga josephat cheboi yegon joyce kimosop komen doi: 10.32602/jafas.2019.34 Journal of Accounting, Finance and Auditing Studies 12-30-2019 Journal of Accounting, Finance and Auditing Studies 12-30-2019 2019 5 4 Article 1 10.32602/jafas.2019.34 https://www.acadlore.com/article/JAFAS/2019_5_4/jafas.2019.34 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.33 Amaç: Bu çalışmanın amacı işletmelerdeki iç denetim etkinlik düzeyi ile kurumsal yönetim düzeyi arasındaki ilişkinin tespit edilmesidir. Tasarım ve Metodoloji: Verileri toplamak için bir anket çalışması yapılmıştır. Veriler yöneticilerle yapılan doğrudan görüşmeler, çevrimiçi gönderme, telefon ile önceden iş adamı derneklerinden alınan adreslerin aranarak firmalara anketin ulaştırılması şeklinde toplanmıştır. Bu çalışmada modelin hipotetik ilişkisini test etmek için PLS-SEM yöntemi kullanılmıştı. Bulgular: Çalışmada iki adet hipotez geliştirilerek test edilmiştir. İşletmelerde iç denetim sisteminin etkinliği arttıkça. Objektiflik, şeffaflık ve resmiyet düzeyinin yükseldiği tespit edilmiştir. Uygulamaya Etkileri: Son yıllarda işletmelerin çokuluslu hale gelmesi, halka açılarak sermaye gücünü artırma istekleri farklı çıkar gruplarının işletmeler üzerindeki etkisini ve beklentilerini arttırmıştır. İşletmelerin bu çıkar grupları tarafından kontrol edilmek istenmesi ile birlikte şeffaflık, hesap verilebilirlik, güvenilirlik kavramları önemli bir kriter haline gelmiştir. Özellikle uluslararası çapta yaşanan işletme skandalları ile birlikte kurumsal yönetim kavramı hayata geçmiş işletmelerin hesap verilebilirliği noktasında uluslararası bir kriter olarak kullanılmaya başlanmıştır. İşletmelerde kurumsal yönetim ilkelerinin etkinliğinin artırılmasında iç denetim önemli bir fonksiyon icra etmektedir. Gelecekteki skandallardan kaçınmak için, bu çalışma iç denetim sistemi ile kurumsal yönetim arasındaki ilişkiyi incelemektedir. Çalışmanın Önemi: Bu çalışmanın bulgularının, ticari organizasyonlardaki yönetsel sorunları azaltarak kurumsal yönetimin geliştirilmesine katkı sağlamasını amaçlıyoruz. Ortaya konan bulguların yönetim kurulu üyeleri, yöneticiler ve işletme ile ilgili çeşitli etkileri vardır. Kurumsal yönetim mekanizmalarının oluşturulması ve sorunlarının çözülmesi kurulların öncelikli sorumlulukları arasındadır. Bunu sağlamak için yöneticiler, bağımsız denetim yoluyla dış kontrolü davet etmeden önce iç raporlama prosedürleri ve iç kontrol ve izleme sistemleri oluşturmalıdır. 09-29-2019 <![CDATA[ <p><strong>Amaç: </strong>Bu çalışmanın amacı işletmelerdeki iç denetim etkinlik düzeyi ile kurumsal yönetim düzeyi arasındaki ilişkinin tespit edilmesidir. <strong>Tasarım ve Metodoloji: </strong>Verileri toplamak için bir anket çalışması yapılmıştır. Veriler yöneticilerle yapılan doğrudan görüşmeler, çevrimiçi gönderme, telefon ile önceden iş adamı derneklerinden alınan adreslerin aranarak firmalara anketin ulaştırılması şeklinde toplanmıştır. Bu çalışmada modelin hipotetik ilişkisini test etmek için PLS-SEM yöntemi kullanılmıştı. <strong>Bulgular:</strong> Çalışmada iki adet hipotez geliştirilerek test edilmiştir. İşletmelerde iç denetim sisteminin etkinliği arttıkça. Objektiflik, şeffaflık ve resmiyet düzeyinin yükseldiği tespit edilmiştir. <strong>Uygulamaya Etkileri:</strong> Son yıllarda işletmelerin çokuluslu hale gelmesi, halka açılarak sermaye gücünü artırma istekleri farklı çıkar gruplarının işletmeler üzerindeki etkisini ve beklentilerini arttırmıştır. İşletmelerin bu çıkar grupları tarafından kontrol edilmek istenmesi ile birlikte şeffaflık, hesap verilebilirlik, güvenilirlik kavramları önemli bir kriter haline gelmiştir. Özellikle uluslararası çapta yaşanan işletme skandalları ile birlikte kurumsal yönetim kavramı hayata geçmiş işletmelerin hesap verilebilirliği noktasında uluslararası bir kriter olarak kullanılmaya başlanmıştır. İşletmelerde kurumsal yönetim ilkelerinin etkinliğinin artırılmasında iç denetim önemli bir fonksiyon icra etmektedir. Gelecekteki skandallardan kaçınmak için, bu çalışma iç denetim sistemi ile kurumsal yönetim arasındaki ilişkiyi incelemektedir. <strong>Çalışmanın Önemi: </strong>Bu çalışmanın bulgularının, ticari organizasyonlardaki yönetsel sorunları azaltarak kurumsal yönetimin geliştirilmesine katkı sağlamasını amaçlıyoruz. Ortaya konan bulguların yönetim kurulu üyeleri, yöneticiler ve işletme ile ilgili çeşitli etkileri vardır. Kurumsal yönetim mekanizmalarının oluşturulması ve sorunlarının çözülmesi kurulların öncelikli sorumlulukları arasındadır. Bunu sağlamak için yöneticiler, bağımsız denetim yoluyla dış kontrolü davet etmeden önce iç raporlama prosedürleri ve iç kontrol ve izleme sistemleri oluşturmalıdır.</p> ]]> İşletmelerde İç Denetimin Kurumsal Yönetim Düzeyi Üzerine Etkisi ali haydar güngörmüş doi: 10.32602/jafas.2019.33 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 88 10.32602/jafas.2019.33 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.33 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.32 Purpose: In this paper, an update is provided on the on-going debate between audit retention and audit rotation in different parts of the world. Design and Methodology: This update is provided based on a systematic review of recent scholarship that have explored the supposed benefits or drawbacks of audit rotation amidst a climate of declining confidence in audited financial statements due to a series of financial scandals over the last few years. 28 articles were examined along four key categories, including the geographical distribution of the articles, article type, research themes and research methods. Findings: The findings of the review revealed that the debate between audit rotation and retention has no end in sight with empirical studies finding conflicting results regarding the merits or demerits of adopting a mandatory audit rotation regime in various countries. A recurring message amongst many of the studies is that perhaps time has come for the auditing profession to seek an alternative solution for maintain auditor independence. Practical Implications: A recurring message amongst many of the studies is that perhaps time has come for the auditing profession to seek an alternative solution for maintaining auditor independence. The Significance of The Study: Thisstudyrevealsthatauditor independence cannot be obtained merely by regulation. This is evidenced by the fact that audit-related financial scandals have continued to occur over this long period of time, despite the adoption of mandatory audit rotation in many parts of the world. 09-29-2019 <![CDATA[ <p><strong>Purpose:</strong> In this paper, an update is provided on the on-going debate between audit retention and audit rotation in different parts of the world. <strong>Design and Methodology: </strong>This update is provided based on a systematic review of recent scholarship that have explored the supposed benefits or drawbacks of audit rotation amidst a climate of declining confidence in audited financial statements due to a series of financial scandals over the last few years. 28 articles were examined along four key categories, including the geographical distribution of the articles, article type, research themes and research methods. <strong>Findings: </strong>The findings of the review revealed that the debate between audit rotation and retention has no end in sight with empirical studies finding conflicting results regarding the merits or demerits of adopting a mandatory audit rotation regime in various countries. A recurring message amongst many of the studies is that perhaps time has come for the auditing profession to seek an alternative solution for maintain auditor independence. <strong>Practical Implications: </strong>A recurring message amongst many of the studies is that perhaps time has come for the auditing profession to seek an alternative solution for maintaining auditor independence. <strong>The Significance of The Study: </strong>Thisstudyrevealsthatauditor independence cannot be obtained merely by regulation. This is evidenced by the fact that audit-related financial scandals have continued to occur over this long period of time, despite the adoption of mandatory audit rotation in many parts of the world.</p> ]]> Audit Retention Versus Audit Rotation – an Update of the Debate umaru zubairu abdulhafeez ochepa hadiza umar ruth kolo jaafar umar asma’u usman doi: 10.32602/jafas.2019.32 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 76 10.32602/jafas.2019.32 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.32 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.31 Purpose: Kosovo’s legal framework requires from businesses to implement IFRS when preparing financial statements. Based on this, the study aims to reflect the current situation regarding the recognition of IFRS by the accountants and the level of their implementation when preparing the financial statements, their attitudes and opinions regarding the effect they have on the quality and relevance of financial reporting for business directors and for all users of accounting information. Design and Methodology: The study was carried out with data collected from 264 businesses with turnover of over 1 million € selected as a research sample and processed through descriptive statistics and the quantitative analytical method. The design of the study involves two essential steps. The first step was a secondary data survey whose purpose was to research and analyze the framework of financial reporting of businesses. Meanwhile, the second step is the primary research conducted through questionnaires filled out in businesses and addressed to accountants (one employee in each business, a total of 264 accountants interviewed). Findings: The research results showed Kosovo's economic reality as far as financial reporting is concerned, which implies that businesses prepare accounting information according to the IFRS and publish it through publicly available financial statements under the regulatory requirements for accounting, financial reporting and auditing. In addition, the study highlights the level of awareness of accountants that the IFRS affect the quality and relevance of accounting information that will be used by third parties for economic decision- making. Practical Implications: Recognition of IFRS by accountants and their full implementation provides a qualitative and transparent financial information, useful to all users of that information, as well as to business executives. Unification of accounting language exceeds group interests by penetrating the capital market in and out of the country. The Significance of The tudy: This study presents a clear picture of the level of implementation of IFRS in Kosovo and the identification of factors affecting this level. In this respect, the study has raised the importance of enforcing standards by professionals, contributing to the improvement of financial reporting. 09-29-2019 <![CDATA[ <p><strong>Purpose:</strong> Kosovo’s legal framework requires from businesses to implement IFRS when preparing financial statements. Based on this, the study aims to reflect the current situation regarding the recognition of IFRS by the accountants and the level of their implementation when preparing the financial statements, their attitudes and opinions regarding the effect they have on the quality and relevance of financial reporting for business directors and for all users of accounting information. <strong>Design and Methodology:</strong> The study was carried out with data collected from 264 businesses with turnover of over 1 million € selected as a research sample and processed through descriptive statistics and the quantitative analytical method. The design of the study involves two essential steps. The first step was a secondary data survey whose purpose was to research and analyze the framework of financial reporting of businesses. Meanwhile, the second step is the primary research conducted through questionnaires filled out in businesses and addressed to accountants (one employee in each business, a total of 264 accountants interviewed). <strong>Findings:</strong> The research results showed Kosovo's economic reality as far as financial reporting is concerned, which implies that businesses prepare accounting information according to the IFRS and publish it through publicly available financial statements under the regulatory requirements for accounting, financial reporting and auditing. In addition, the study highlights the level of awareness of accountants that the IFRS affect the quality and relevance of accounting information that will be used by third parties for economic decision- making. <strong>Practical Implications:</strong> Recognition of IFRS by accountants and their full implementation provides a qualitative and transparent financial information, useful to all users of that information, as well as to business executives. Unification of accounting language exceeds group interests by penetrating the capital market in and out of the country. <strong>The Significance of The tudy: </strong>This study presents a clear picture of the level of implementation of IFRS in Kosovo and the identification of factors affecting this level. In this respect, the study has raised the importance of enforcing standards by professionals, contributing to the improvement of financial reporting.</p> ]]> Implementation of IFRS in Kosovo: Effect on the Quality and Relevance of Financial Reporting nexhmie berisha vokshi rrustem asllanaj doi: 10.32602/jafas.2019.31 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 54 10.32602/jafas.2019.31 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.31 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.30 Purpose: Mergers and acquisitions are forms of corporate restructuring. This study was conducted to examine the firm's performance after the company carried out a merger and/or acquisition during the period 2010-2014. Design and Methodology: The variables used in this study are financial ratios such as Gross profit margin ratio, Operating profit margin ratio, Net profit margin ratio, Return on capital employed, Earning per share, Return on assets, Return on equity and Return on net worth. This study also focuses on how the quality of firm earnings changed following a merger and/or acquisitions to know whether the changes in firm profit will also affect the quality of profit. The sample was selected using a non-probability purposive sampling method. Data is analyzed using a descriptive statistical test, outlier test, normality test and hypothesis test (t-test). This study used paired sample t-test to analyze two different paired samples using the SPSS program. Findings: The results from this study show that the firm’s performance has decreased after mergers and acquisitions, but the quality of earnings after mergers and acquisitions have insignificant increases. Practical Implications: Management must discipline themselves to ensure good corporate governance, develop a good approach to the management of assets and liabilities, and pay attention to the knowledge transfer and technology transfer that the company gets for the benefit of the company to be able achieve the synergy of acquisition in order to increase profitability. The Significance of The Study: Statistical evidence found that company profitability will be declining significantly after a merger and acquisition occurred. But separately, this decline also makes the profits that are generated of better quality. This also means that the decrease of profitability is also increasing the better quality of their earnings. 09-29-2019 <![CDATA[ <p><strong>Purpose:</strong> Mergers and acquisitions are forms of corporate restructuring. This study was conducted to examine the firm's performance after the company carried out a merger and/or acquisition during the period 2010-2014. <strong>Design and Methodology:</strong> The variables used in this study are financial ratios such as Gross profit margin ratio, Operating profit margin ratio, Net profit margin ratio, Return on capital employed, Earning per share, Return on assets, Return on equity and Return on net worth. This study also focuses on how the quality of firm earnings changed following a merger and/or acquisitions to know whether the changes in firm profit will also affect the quality of profit. The sample was selected using a non-probability purposive sampling method. Data is analyzed using a descriptive statistical test, outlier test, normality test and hypothesis test (t-test). This study used paired sample t-test to analyze two different paired samples using the SPSS program. <strong>Findings:</strong> The results from this study show that the firm’s performance has decreased after mergers and acquisitions, but the quality of earnings after mergers and acquisitions have insignificant increases. <strong>Practical Implications:</strong> Management must discipline themselves to ensure good corporate governance, develop a good approach to the management of assets and liabilities, and pay attention to the knowledge transfer and technology transfer that the company gets for the benefit of the company to be able achieve the synergy of acquisition in order to increase profitability. <strong>The Significance of The Study:</strong> Statistical evidence found that company profitability will be declining significantly after a merger and acquisition occurred. But separately, this decline also makes the profits that are generated of better quality. This also means that the decrease of profitability is also increasing the better quality of their earnings.</p> ]]> How Merger and Acquisition Affect Firm Performance and Its Quality edi leony irayanti doi: 10.32602/jafas.2019.30 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 42 10.32602/jafas.2019.30 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.30 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.3 This research aims to determine the influence of the independent commissioners, audit committee, institutional ownership, firm size and leverage against the integrity of the financial reporting information. This research is quantitative research with the causal approach. This study uses secondary data and panel data regression analysis method. The research results prove that audit committee, institutional ownership and leverage have effect on the integrity of the financial reporting information. But it does not prove that the independent commissioner and firm size effect on the integrity of the financial reporting information. 03-30-2019 <![CDATA[ <p>This research aims to determine the influence of the independent commissioners, audit committee, institutional ownership, firm size and leverage against the integrity of the financial reporting information. This research is quantitative research with the causal approach. This study uses secondary data and panel data regression analysis method. The research results prove that audit committee, institutional ownership and leverage have effect on the integrity of the financial reporting information. But it does not prove that the independent commissioner and firm size effect on the integrity of the financial reporting information.</p> ]]> Integrity of Financial Statement: Big and Independent Are Not Guarantee endra pradika jan hoesada doi: 10.32602/jafas.2019.3 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 59 10.32602/jafas.2019.3 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.3 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.29 The study attempts to establish a theoretical basis for the interaction between financial risk management and value of the firm among private capital firms. Design and Methodology: The study was based on a theoretical review of the interaction between financial risk management and value of the firm focusing on the applicability of agency theory, trade-off theory and credit metrics model in anchoring capital management risk, liquidity risk and credit risk Findings: The study shows that although private equity firms are not publicly listed, they face financial risks associated with defaults on loans advanced, volatility of interest rates, liquidity management and capital management. The agency theory explains the role of capital management risk and liquidity risk by incurring agency costs to deter the management from engaging in activities hindering achievement of wealth maximization goal. Similarly, companies balance between threat of bankruptcy and tax benefits of debt by finding an understanding between the advantages and the disadvantages that come with debt as outlined in the trade-off theory while credit metrics model help firms to quantify credit risk on loans, fixed income instruments, commercial contracts. Practical Implications: Private equity firms must constantly be engaged in risk mitigation activities by extensively evaluating their financial, legal and business environments. The management of private equity companies must also always try to balance between the threat of bankruptcy and the tax benefits of debt in the formulation of capital structure by finding a compromise between the benefits and costs of raising debt. The management should also carefully consider credit risks during the credit appraisal and credit awarding process by using appropriate credit appraisal models such as credit metrics model. The Significance of the Study: The conclusions reached in this study significantly impacts the perspective of the management with regard to risk management particularly in the banking sector which is predominantly adversely affected by credit risk, liquidity risk and capital management risks. Consequently the management would be in a better position to manage their risks using appropriate models and improve organizational efficiency and performance. 09-29-2019 <![CDATA[ <p>The study attempts to establish a theoretical basis for the interaction between financial risk management and value of the firm among private capital firms. </p><p>Design and Methodology: The study was based on a theoretical review of the interaction between financial risk management and value of the firm focusing on the applicability of agency theory, trade-off theory and credit metrics model in anchoring capital management risk, liquidity risk and credit risk </p><p>Findings: The study shows that although private equity firms are not publicly listed, they face financial risks associated with defaults on loans advanced, volatility of interest rates, liquidity management and capital management. The agency theory explains the role of capital management risk and liquidity risk by incurring agency costs to deter the management from engaging in activities hindering achievement of wealth maximization goal. Similarly, companies balance between threat of bankruptcy and tax benefits of debt by finding an understanding between the advantages and the disadvantages that come with debt as outlined in the trade-off theory while credit metrics model help firms to quantify credit risk on loans, fixed income instruments, commercial contracts. </p><p>Practical Implications: Private equity firms must constantly be engaged in risk mitigation activities by extensively evaluating their financial, legal and business environments. The management of private equity companies must also always try to balance between the threat of bankruptcy and the tax benefits of debt in the formulation of capital structure by finding a compromise between the benefits and costs of raising debt. The management should also carefully consider credit risks during the credit appraisal and credit awarding process by using appropriate credit appraisal models such as credit metrics model. </p><p>The Significance of the Study: The conclusions reached in this study significantly impacts the perspective of the management with regard to risk management particularly in the banking sector which is predominantly adversely affected by credit risk, liquidity risk and capital management risks. Consequently the management would be in a better position to manage their risks using appropriate models and improve organizational efficiency and performance.</p> ]]> Interaction between Financial Risk Management and Value of the Firm among Private Equity Firms in Frontier Markets: A Theoretical Perspective k. florence waithereroa muchina s. wanyoike macharia s. muriu doi: 10.32602/jafas.2019.29 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 30 10.32602/jafas.2019.29 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.29 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.28 The principal objective of this study is to analyse the impact of macroeconomic factors on the level of deposits in the banking sector in Western Balkan countries. The impact of macroeconomic factors on the levels of deposits in the countries mentioned will be analyzed through econometric models. With reference to the applied models, the dependent variable will be the level of deposits, whilst the independent variables will be the interest rate on deposits, marginal rates, GDP, inflation and broad money. In order to achieve the research target set, the research will be based on secondary data which will be analyzed through the STATA program. The interest rate plays a key role in banking systems because it determines the benefits of the difference between the interest rate on loans and the interest rate on deposits. However, exposure to risk is often present because banks provide long-term loans financed by short-term deposits, and this involves the socalled interest rate risk. One of the most important channels of monetary policy transmission in an economy is interest rates. Macroeconomic factors and the financial sector structure in the economy of a country have a significant impact on determining the interest rate elevation. The analyzed period (2005-2017) is a compelling period for competent conclusions. 09-29-2019 <![CDATA[ <p>The principal objective of this study is to analyse the impact of macroeconomic factors on the level of deposits in the banking sector in Western Balkan countries. The impact of macroeconomic factors on the levels of deposits in the countries mentioned will be analyzed through econometric models. With reference to the applied models, the dependent variable will be the level of deposits, whilst the independent variables will be the interest rate on deposits, marginal rates, GDP, inflation and broad money. In order to achieve the research target set, the research will be based on secondary data which will be analyzed through the STATA program. The interest rate plays a key role in banking systems because it determines the benefits of the difference between the interest rate on loans and the interest rate on deposits. However, exposure to risk is often present because banks provide long-term loans financed by short-term deposits, and this involves the socalled interest rate risk. One of the most important channels of monetary policy transmission in an economy is interest rates. Macroeconomic factors and the financial sector structure in the economy of a country have a significant impact on determining the interest rate elevation. The analyzed period (2005-2017) is a compelling period for competent conclusions. </p> ]]> The Impact of Macroeconomic Factors on the Level of Deposits in the Banking Sector, an Empirical Analysis in the Western Balkan Countries fisnik morina rufi osmani doi: 10.32602/jafas.2019.28 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 16 10.32602/jafas.2019.28 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.28 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.27 Purpose: The purpose of this study is to analyze the factors that influence the main performance of commercial banks in the Republic of Kosovo. In order to assess the main performance of commercial banks, the authors used side data processed from financial reports of commercial banks as the main segment of Kosovo financial sector over a decade (2008-2018). Design/methodology/approach: Data processing for financial reports included in the econometric analysis is done using the STATA software program, specifically using linear regression, fixed effect, random effect, Hausman Taylor Regression and GMM Model. Assuming that the profitability of a commercial bank is a key factor in measuring its financial performance, then internal factors that have an impact on financial performance are taken as econometric variables. The return on assets (ROA) has been taken as a subordinated variable, while the independent variables are: bank capital adequacy, bank liquidity rate, and operational efficiency of the bank. Findings: The results show that the profitability of commercial banks in Kosovo has a positive impact on capital adequacy and liquidity of commercial banks, while the commercial banks' operational efficiency has a negative impact. Practical implications: The article offers insights to commercial banks who should intensify their efforts to increase efficiency in rational management with operational and administrative costs, as well as, adapt the business model to market needs. Originality/value: The article presents significant pragmatic evidence in terms of its meticulous approach towards checking the robustness of results. 09-29-2019 <![CDATA[ <p><strong>Purpose:</strong> The purpose of this study is to analyze the factors that influence the main performance of commercial banks in the Republic of Kosovo. In order to assess the main performance of commercial banks, the authors used side data processed from financial reports of commercial banks as the main segment of Kosovo financial sector over a decade (2008-2018). <strong>Design/methodology/approach: </strong>Data processing for financial reports included in the econometric analysis is done using the STATA software program, specifically using linear regression, fixed effect, random effect, Hausman Taylor Regression and GMM Model. Assuming that the profitability of a commercial bank is a key factor in measuring its financial performance, then internal factors that have an impact on financial performance are taken as econometric variables. The return on assets (ROA) has been taken as a subordinated variable, while the independent variables are: bank capital adequacy, bank liquidity rate, and operational efficiency of the bank. <strong>Findings: </strong>The results show that the profitability of commercial banks in Kosovo has a positive impact on capital adequacy and liquidity of commercial banks, while the commercial banks' operational efficiency has a negative impact.<strong> Practical implications:</strong> The article offers insights to commercial banks who should intensify their efforts to increase efficiency in rational management with operational and administrative costs, as well as, adapt the business model to market needs. <strong>Originality/value: </strong>The article presents significant pragmatic evidence in terms of its meticulous approach towards checking the robustness of results.</p> ]]> The Key Performance of Commercial Banks: Evidence from Republic of Kosovo rufi osmani fisnik morina doi: 10.32602/jafas.2019.27 Journal of Accounting, Finance and Auditing Studies 09-29-2019 Journal of Accounting, Finance and Auditing Studies 09-29-2019 2019 5 3 Article 1 10.32602/jafas.2019.27 https://www.acadlore.com/article/JAFAS/2019_5_3/jafas.2019.27 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.26 Expected losses approach is developed to estimate the loss provision relating trade receivables by enactment of TFRS 9 (Turkish Financial Reporting Standards, Financial Instruments Standard). The expected losses relating trade receivables means the average losses weighted due to credit risk. Therefore; estimation the credit risks related with trade receivables is substantial before calculation of expected losses relating trade receivables. Hence; the aim of this study is examining the following matters: Estimation of credit risks relating the trade receivables within the framework of TFRS 9 Financial Instruments Standard, Calculation of expected losses due to credit risks and Accounting of the expected credit losses being estimated. 06-29-2019 <![CDATA[ <p>Expected<span> </span>losses<span> </span>approach<span> </span>is<span> </span>developed<span> </span>to<span> </span>estimate<span> </span>the<span> </span>loss<span> </span>provision relating trade receivables by enactment of TFRS 9<span> </span>(Turkish Financial Reporting Standards, Financial Instruments<span> </span>Standard).<span> </span>The<span> </span>expected<span> </span>losses<span> </span>relating<span> </span>trade<span> </span>receivables<span> </span>means<span> </span>the<span> </span>average<span> </span>losses<span> </span>weighted<span> </span>due<span> </span>to<span> </span>credit<span> </span>risk.<span> </span>Therefore;<span> </span>estimation<span> </span>the<span> </span>credit<span> </span>risks<span> </span>related<span> </span>with<span> </span>trade<span> </span>receivables is substantial before calculation of expected losses<span> </span>relating<span> </span>trade<span> </span>receivables.<span> </span>Hence;<span> </span>the<span> </span>aim<span> </span>of<span> </span>this<span> </span>study<span> </span>is<span> </span>examining<span> </span>the<span> </span>following<span> </span>matters:<span> </span>Estimation<span> </span>of<span> </span>credit<span> </span>risks<span> </span>relating the trade receivables within the framework of TFRS 9<span> </span>Financial Instruments Standard, Calculation of expected losses<span> </span>due to credit risks and Accounting of the expected credit losses<span> </span>being<span> </span>estimated.</p> ]]> TFRS 9 Finansal Araçlar Standardı Çerçevesinde Ticari Alacaklara İlişkin Beklenen Kredi Zararlarının Tespiti ve Muhasebeleştirilmesi (Estimation and Accounting of Expected Losses Relating the Trade Receivables within the Framework of TFRS 9 Financial Instruments Standard) ahmet gökgöz doi: 10.32602/jafas.2019.26 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 163 10.32602/jafas.2019.26 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.26 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.25 Auditors are required to provide high levels of assurance that financial statements are free of material misstatements. This paper contributes to the literature on the field of audit sampling, by proposing a procedure to estimate the proportion of misstated records in a numerical audit data set based on stratified sampling, which can also be of assistance in financial fraud detection. Stratification rules based on the expected profile of misstated records and on Benford's law are evaluated and compared through an empirical experiment. The results show that: 1) the examined stratification rules perform significantly better than a simple random sampling approach; 2) when using Benford’s law, combining it with other methods does not seem to improve the performance of the estimation. The proposed procedure can be embedded in an audit software and contribute to enhance the effectiveness of audits and fraud detection. 06-29-2019 <![CDATA[ <p><span>Auditors are required to provide high levels of assurance that financial statements are free of material misstatements. This paper contributes to the literature on the field of audit sampling, by proposing a procedure to estimate the proportion of misstated records in a numerical audit data set based on stratified sampling, which can also be of assistance in financial fraud detection. Stratification rules based on the expected profile of misstated records and on Benford's law are evaluated and compared through an empirical experiment. The results show that: 1) the examined stratification rules perform significantly better than a simple random sampling approach; 2) when using Benford’s law, combining it with other methods does not seem to improve the performance of the estimation. The proposed procedure can be embedded in an audit software and contribute to enhance the effectiveness of audits and fraud detection.</span></p> ]]> Estimating the Proportion of Misstated Records in an Audit Data Set Using Benford’s Law carlos gomes da silva pedro manuel rodrigues carreira doi: 10.32602/jafas.2019.25 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 146 10.32602/jafas.2019.25 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.25 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.24 This study aimed to examine the firm-specific and macro- economic variables which can affect the liquidity position of private commercial banks in Ethiopia. For the current study, secondary data were extracted from audited annual financial reports of eight purposefully selected private commercial banks covering the period of 2011-2017. The panel data was analyzed by adopting the balanced panel fixed effect regression model. The study revealed that firm (bank) specific factors namely the size of banks, loan growth and deposit are found to be significant determinants of the banks' liquidity. Moreover, macroeconomic determinants consisting of interest rate margin, national bank bills purchase, GDP and annual inflation have a significant influence on the liquidity of private commercial banks of Ethiopia. This study recommends that private commercial banks in Ethiopia should be more concerned with the macroeconomic environment in addition to the internal environment in formulating strategies to enhance their liquidity position. Despite its limitations, this study contributes to the scarce knowledge of firm-specific and macro-economic determinants of banks liquidity by giving equal attention to the long aged banks and banks that were emerged on later periods. 06-29-2019 <![CDATA[ <p>This study aimed to examine the firm-specific and macro- economic variables which can affect the liquidity position of private commercial banks in Ethiopia. For the current study, secondary data were extracted from audited annual financial reports of eight purposefully selected private commercial banks covering the period of 2011-2017. The panel data was analyzed by adopting the balanced panel fixed effect regression model. The study revealed that firm (bank) specific factors namely the size of banks, loan growth and deposit are found to be significant determinants of the banks' liquidity. Moreover, macroeconomic determinants consisting of interest rate margin, national bank bills purchase, GDP and annual inflation have a significant influence on the liquidity of private commercial banks of Ethiopia. This study recommends that private commercial banks in Ethiopia should be more concerned with the macroeconomic environment in addition to the internal environment in formulating strategies to enhance their liquidity position. Despite its limitations, this study contributes to the scarce knowledge of firm-specific and macro-economic determinants of banks liquidity by giving equal attention to the long aged banks and banks that were emerged on later periods.</p> ]]> Firm-Specific and Macroeconomic Determinants of Banks Liquidity: Empirical Investigation from Ethiopian Private Commercial Banks abdu mohammed assfaw doi: 10.32602/jafas.2019.24 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 123 10.32602/jafas.2019.24 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.24 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.23 This study is conducted with the purpose of analyzing the opportunities and challenges of electronic banking system in commercial bank of Ethiopia founds at Gurage zone. It was conducted based on data mainly collected from staff and customers of the bank through questionnaires and focused group discussion. The study identified benefits of electronic banking that a customer gets as a result of using e-banking services as well as the benefits the bank gets as a result of providing e-banking services. It also investigated the major challenges for the electronic banking services in commercial bank of Ethiopia as of infrastructural, legal and regulatory, socio-cultural, and illiteracy related challenges. To address various challenges identified on the study, the study suggests a series of measures which could be taken by government as well as commercial bank of Ethiopia. 06-29-2019 <![CDATA[ <p>This study is conducted with the purpose of analyzing the opportunities and challenges of electronic banking system in commercial bank of Ethiopia founds at Gurage zone. It was conducted based on data mainly collected from staff and customers of the bank through questionnaires and focused group discussion. The study identified benefits of electronic banking that a customer gets as a result of using e-banking services as well as the benefits the bank gets as a result of providing e-banking services. It also investigated the major challenges for the electronic banking services in commercial bank of Ethiopia as of infrastructural, legal and regulatory, socio-cultural, and illiteracy related challenges. To address various challenges identified on the study, the study suggests a series of measures which could be taken by government as well as commercial bank of Ethiopia.</p> ]]> Opportunity and Challenges of Electronic-Banking System in Commercial Bank of Ethiopia (A Case Study on Gurage Zone) abdulselam fetu doi: 10.32602/jafas.2019.23 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 106 10.32602/jafas.2019.23 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.23 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.22 Liquidity crunch is one of the greatest challenges that deposit money banks are confronted with which negatively affect their strength and stability and ultimately leading to collapse of some. Arising from this, the study focused on the “effect of income mix on liquidity of Nigerian deposit money banks.”The study adopted an ex post facto research design, while ten out of all the listed banks were purposefully selected. The study obtained secondary data from the annual reports and accounts of the sampled banks from 2008 to 2017. Series of preliminary analyses involving descriptive and correlation analyses were conducted while generalized method of moment was employed in testing the hypotheses. The study found that all the variables of interest on income mix individually exhibit no significant effect on liquidity (P > 0.05), in effect, ratio of interest income, fee and commission income, foreign exchange income and other income were found to influence liquidity negatively while investment income was found to exert positive effect on liquidity. The study’s conclusion arising from the findings is that income mix has significant positive joint effect on liquidity management. Arising from the conclusion, the study recommends that bank should keep diversifying their income base as such strategy significantly improves liquidity, while also improving on the interest income, fee and commission income, foreign exchange income and other income. 06-29-2019 <![CDATA[ <p><span>Liquidity crunch is one of the greatest challenges that deposit money banks are confronted with which negatively affect their strength and stability and ultimately leading to collapse of some. Arising from this, the study focused on the “effect of income mix on liquidity of Nigerian deposit money banks.”The study adopted an </span><em><span>ex post facto </span></em><span>research design, while ten out of all the listed banks were purposefully selected. The study obtained secondary data from the annual reports and accounts of the sampled banks from 2008 to 2017. Series of preliminary analyses involving descriptive and correlation analyses were conducted while generalized method of moment was employed in testing the hypotheses. The study found that all the variables of interest on income mix individually exhibit no significant effect on liquidity (P > 0.05), in effect, ratio of interest income, fee and commission income, foreign exchange income and other income were found to influence liquidity negatively while investment income was found to exert positive effect on liquidity. The study’s conclusion arising from the findings is that income mix has significant positive joint effect on liquidity management. Arising from the conclusion, the study recommends that bank should keep diversifying their income base as such strategy significantly improves liquidity, while also improving on the interest income, fee and commission income, foreign exchange income and other income.</span></p> ]]> Income Mix and Liquidity of Nigerian Deposit Money Banks: Evidence from Dynamic Panel Models wasiu a. sanyaolu akinbiyi o. akintaro adeyinka t. adebayo ibrahim t. adefolu doi: 10.32602/jafas.2019.22 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 88 10.32602/jafas.2019.22 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.22 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.21 Profit maximization is in the foundations of the decisions of a firm’s management. In order to achieve this, it is important to reveal the skills that exist within the firm and the firm’s performance. It is expected for the market value of the firm to increase in the case that its performance is analyzed well. Performance analysis aims to determine the firm’s strategies and apply these strategies in a rational and the most economical way. Decision-makers at firms use analyses that are carried out with different Multi Criteria Decision-Making methods to determine their corporate strategies and make the most accurate decisions. Analysis methods that provide the maximum utility by using financial data are preferred. The purpose of this study is to use the PROMETHEE method to determine the relationship between the market values and financial performances of firms in Turkey that are traded at BİST 100 (Borsa Istanbul 100 Index). For this purpose, financial performance and market value analyses were carried out based on the balance sheets and income statements of the first 100 firms that are traded at Borsa Istanbul for the year 2017. According to the results of the analyses, among all the firms traded at BİST 100, the banking sector was at the top in the year 2017 in terms of financial performance and market value. 06-29-2019 <![CDATA[ <p style="text-align: justify"><span style="font-family: Cambria, serif">Profit maximization is in the foundations of the decisions of a firm’s</span><span> </span>management. In order to achieve this, it is important to reveal the<span> </span>skills<span> </span>that<span> </span>exist<span> </span>within<span> </span>the<span> </span>firm<span> </span>and<span> </span>the<span> </span>firm’s<span> </span>performance.<span> </span>It<span> </span>is<span> </span>expected for the market value of the firm to increase in the case that<span> </span>its<span> </span>performance<span> </span>is<span> </span>analyzed<span> </span>well.<span> </span>Performance<span> </span>analysis<span> </span>aims<span> </span>to<span> determine the firm’s </span>strategies<span> </span>and<span> </span>apply<span> </span>these<span> </span>strategies<span> </span>in<span> </span>a<span> </span>rational<span> </span>and the most economical way. Decision-makers at firms use analyses<span> </span>that are carried out<span> </span>with<span> </span>different Multi Criteria Decision-Making<span> </span>methods to determine their corporate strategies and make the most<span> </span>accurate<span> </span>decisions.<span> </span>Analysis<span> </span>methods<span> </span>that<span> </span>provide<span> </span>the<span> </span>maximum<span> </span>utility<span> </span>by<span> </span>using<span> </span>financial<span> </span>data<span> </span>are<span> </span>preferred.<span> </span>The<span> </span>purpose<span> </span>of<span> </span>this<span> </span>study<span> </span>is<span> </span>to<span> </span>use<span> </span>the<span> </span>PROMETHEE<span> </span>method<span> </span>to<span> </span>determine<span> </span>the<span> </span>relationship<span> </span>between the market values and financial performances of firms in<span> </span>Turkey that are traded at BİST 100 (Borsa Istanbul 100 Index). For<span> </span>this purpose, financial performance and market value analyses were<span> </span>carried<span> </span>out<span> </span>based<span> </span>on<span> </span>the<span> </span>balance<span> </span>sheets<span> </span>and<span> </span>income<span> </span>statements<span> </span>of<span> </span>the<span> </span>first 100 firms that are traded at Borsa Istanbul for the year 2017.<span> </span>According to the results of the analyses, among all the firms traded at<span> </span>BİST 100, the banking sector was at the top in the year 2017 in terms<span> </span>of<span> </span>financial performance<span> </span>and market<span> </span>value.</p> ]]> Türkiye’deki İşletmelerin PROMETHEE Yöntemi İle Finansal Performans-Piyasa Değeri Analizi (Financial Performance - Market Value Analysis of BİST 100 Firms by the PROMETHEE Method) nalan ece doi: 10.32602/jafas.2019.21 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 73 10.32602/jafas.2019.21 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.21 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.20 Enterprises have been becoming internationalized in tandem with the rapid transformation in the world trade in recent years. It has now become mandatory to develop a common language in the field of accounting and auditing for the reason that many enterprises are now operating in different countries. At the end of this process, a worldwide uniformity has been implemented through “International Accounting Standards" and "International auditing standards". The relevant changes in independent auditing for SMEs under certain criteria were made in order to adapt conformity with the new Turkish commercial code in our country. While these developments proceed, it is essential to understand the factors affecting the perspectives of Turkish SMEs regarding independent auditing and to manage the process in light of this information. The main objective of this study is to investigate the factors affecting the approach being made by SMEs towards independent audit. 06-29-2019 <![CDATA[ <p>Enterprises have been becoming internationalized in tandem<span> </span>with<span> </span>the<span> </span>rapid<span> </span>transformation<span> </span>in<span> </span>the<span> </span>world<span> </span>trade<span> </span>in<span> </span>recent<span> </span>years. It has now become mandatory to develop a common<span> </span>language in the field of accounting and auditing for the reason<span> </span>that<span> </span>many<span> </span>enterprises<span> </span>are<span> </span>now<span> </span>operating<span> </span>in<span> </span>different<span> </span>countries.<span> </span>At the end of this process, a worldwide uniformity has been<span> </span>implemented<span> </span>through<span> </span>“International<span> </span>Accounting<span> </span>Standards"<span> </span>and "International auditing standards".<span> </span>The relevant changes<span> </span>in independent auditing for SMEs under certain criteria were<span> </span>made<span> </span>in<span> </span>order<span> </span>to<span> </span>adapt<span> </span>conformity<span> </span>with<span> </span>the<span> </span>new<span> </span>Turkish<span> </span>commercial code<span> </span>in<span> </span>our country. While<span> </span>these<span> </span>developments<span> </span>proceed, it is essential to understand the factors affecting the<span> </span>perspectives of Turkish SMEs regarding independent auditing<span> and </span>to<span> </span>manage<span> </span>the<span> </span>process<span> </span>in<span> </span>light<span> </span>of<span> </span>this<span> </span>information.<span> </span>The<span> </span>main<span> </span>objective of this study is to investigate the factors affecting the<span> </span>approach<span> </span>being<span> </span>made<span> </span>by<span> </span>SMEs towards independent<span> </span>audit.</p> ]]> Küçük Ve Orta Ölçekli İşletmelerin Bağımsız Denetime Yaklaşımlarını Etkileyen Faktörler: İlgili Literatür Kapsamında Bir Derleme Çalışması (The Factors Affecting The Approaches Towards Independent Auditing Of Small And Medium-Sized Enterprises: A Literature Review) ali haydar güngörmüş doi: 10.32602/jafas.2019.20 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 57 10.32602/jafas.2019.20 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.20 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.2 Despite the fact that tax is an important stream of revenue for government of any country, there is tax avoidance and tax evasion which are constraints serving as a bottlenecks for efficient tax collection performance. Therefore, this study examines tax compliance and its determinants in Kaffa, Bench Maji and Sheka Zones category ‘B’ business income tax payers, Ethiopia. To do this, data was collected with the aid of structured questionnaires, administered to 311 respondents using proportionate simple random sampling procedure. The data was examined with the use of descriptive statistics and econometric model particularly ordered logit model. The result of ordered logistic regression showed that, among different variables tested, tax compliance was positively affected by education level of tax payers, tax knowledge and awareness of tax payers, simplicity of the tax system, attitude of tax payers towards tax, perceived role of government expenditure, and rewarding scheme for loyal tax payers. It is therefore recommended that the tax authority ought to conduct effective and sustainable awareness creation programmes and tax education to the general public in general and to tax payers in particular through printed and electronic medias and face-to-face cessions. The tax authority should also simplify the tax system particularly the tax return, tax forms and tax laws so that they become easily and clearly understandable to tax payers. Moreover, the government should consider provisions of trophy in terms of tax rewards and inducements to honest and dedicated tax payers. Lastly, the government shall maintain accountability and transparency on how the revenue collected from taxation was being disbursed and provide social services efficiently and effectively to the society so that tax payers will have trust and positive attitude towards the tax that they pay and become loyal to the tax system. 03-30-2019 <![CDATA[ <p>Despite the fact that tax is an important stream of revenue for government of any country, there is tax avoidance and tax evasion which are constraints serving as a bottlenecks for efficient tax collection performance. Therefore, this study examines tax compliance and its determinants in Kaffa, Bench Maji and Sheka Zones category ‘B’ business income tax payers, Ethiopia. To do this, data was collected with the aid of structured questionnaires, administered to 311 respondents using proportionate simple random sampling procedure. The data was examined with the use of descriptive statistics and econometric model particularly ordered logit model. The result of ordered logistic regression showed that, among different variables tested, tax compliance was positively affected by education level of tax payers, tax knowledge and awareness of tax payers, simplicity of the tax system, attitude of tax payers towards tax, perceived role of government expenditure, and rewarding scheme for loyal tax payers. It is therefore recommended that the tax authority ought to conduct effective and sustainable awareness creation programmes and tax education to the general public in general and to tax payers in particular through printed and electronic medias and face-to-face cessions. The tax authority should also simplify the tax system particularly the tax return, tax forms and tax laws so that they become easily and clearly understandable to tax payers. Moreover, the government should consider provisions of trophy in terms of tax rewards and inducements to honest and dedicated tax payers. Lastly, the government shall maintain accountability and transparency on how the revenue collected from taxation was being disbursed and provide social services efficiently and effectively to the society so that tax payers will have trust and positive attitude towards the tax that they pay and become loyal to the tax system.</p> ]]> Analysis of Tax Compliance and Its Determinants: Evidence from Kaffa, Bench Maji and Sheka Zones Category B Tax Payers, SNNPR, Ethiopia abdu mohammed assfaw wondimu sebhat doi: 10.32602/jafas.2019.2 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 32 10.32602/jafas.2019.2 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.2 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.19 This study was conducted to examine the effect of individual taxpayer attitudes in Palembang City regarding the implementation of tax administration sanctions, service from account representative (tax service officer) and the ability to pay tax amnesty ransom to individual taxpayer compliance. The total sample of this study consisted of 402 individual taxpayers in the city of Palembang, Indonesia with a variety of professions. Data analysis was performed by multiple regression analysis techniques. The hypothesis was tested using the coefficient of determination (R²), t and F test statistics. The results showed that the attitude of taxpayers related to tax administration sanctions, service from Account Representative and the ability to pay tax amnesty ransom had a positive effect on individual taxpayer compliance in Palembang , Indonesia. 06-29-2019 <![CDATA[ <p><span>This study was conducted to examine the effect of individual taxpayer attitudes in Palembang City regarding the implementation of tax administration sanctions, service from account representative (tax service officer) and the ability to pay tax amnesty ransom to individual taxpayer compliance. The total sample of this study consisted of 402 individual taxpayers in the city of Palembang, Indonesia with a variety of professions. Data analysis was performed by multiple regression analysis techniques. The hypothesis was tested using the coefficient of determination (R²), t and F test statistics. The results showed that the attitude of taxpayers related to tax administration sanctions, service from Account Representative and the ability to pay tax amnesty ransom had a positive effect on individual taxpayer compliance in Palembang , Indonesia.</span></p> ]]> The Influence of Personal Taxpayer Attitudes Related to the Implementation of Administrative Sanctions, Account Representative Services and Ability to Pay Tax Amnesty Ransom to the Compliance of Individual Taxpayers in Palembang City, Indonesia belgie intrada tertiarto wahyudi azwardi doi: 10.32602/jafas.2019.19 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 38 10.32602/jafas.2019.19 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.19 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.18 This research aimed to test the influence of leverage, density of fixed assets, and independent commissioners on Effective Tax Rate in manufacturing companies listed on Indonesia Stock Exchange year 2011-2015. Purposive sampling technique was utilized to select the study’s sample and 42 companies were taken for a total 210 data observation. Multiple linear regression analysis is employed to test the hypotheses within this research. The results of this study indicated that leverage, density of fixed assets, and independent commissioners simultaneously influence ETR. Partially, the result showed that leverage and independent commissioners do not affect ETR. Meanwhile, density of fixed assets had a negative effect on ETR. 06-29-2019 <![CDATA[ <p>This<span> </span>research<span> </span>aimed<span> </span>to<span> </span>test<span> </span>the<span> </span>influence<span> </span>of<span> </span>leverage,<span> </span>density of fixed assets, and independent commissioners<span> </span>on<span> </span>Effective<span> </span>Tax<span> </span>Rate<span> </span>in<span> </span>manufacturing companies<span> </span>listed on Indonesia<span> </span>Stock<span> </span>Exchange<span> </span>year<span> </span>2011-2015.<span> </span>Purposive sampling technique was utilized to select the<span> </span>study’s sample and 42 companies were taken for a total<span> </span>210 data observation. Multiple linear regression analysis<span> </span>is employed to test the hypotheses within this research.<span> </span>The<span> </span>results<span> </span>of<span> </span>this<span> </span>study<span> </span>indicated<span> </span>that<span> </span>leverage,<span> </span>density<span> </span>of<span> </span>fixed<span> </span>assets,<span> </span>and<span> </span>independent<span> </span>commissioners<span> simultaneously influence </span>ETR.<span> </span>Partially,<span> </span>the<span> </span>result<span> </span>showed<span> </span>that<span> </span>leverage<span> </span>and<span> </span>independent<span> </span>commissioners<span> </span>do<span> </span>not<span> </span>affect<span> </span>ETR.<span> </span>Meanwhile,<span> </span>density<span> </span>of<span> </span>fixed<span> </span>assets<span> </span>had<span> </span>a<span> </span>negative effect on ETR.</p> ]]> The Influence of Leverage, Density of Fixed Assets and Independent Commissioners on Effective Companies Tax Rate in Indonesia maskanah islahuddin doi: 10.32602/jafas.2019.18 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 24 10.32602/jafas.2019.18 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.18 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.17 This objective of this study is to examine the impact of audit quality on accounting conservatism in Turkey. Using three different measures of accounting conservatism, we report that audit quality, in terms of brand name auditor and industry specialist auditor, is positively related to conservatism. Our results hold after controlling for operating cash flow, leverage, firm age and sales growth. Overall, the evidence is consistent that accounting conservatism complements firms in the Turkish business environment that engage with high quality auditors to mitigate agency costs. 06-29-2019 <![CDATA[ <p>This objective of this study is to examine the impact of audit quality on accounting conservatism in Turkey. Using three different measures of accounting conservatism, we report that audit quality, in terms of brand name auditor and industry specialist auditor, is positively related to conservatism. Our results hold after controlling for operating cash flow, leverage, firm age and sales growth. Overall, the evidence is consistent that accounting conservatism complements firms in the Turkish business environment that engage with high quality auditors to mitigate agency costs.</p> ]]> Audit Quality and Accounting Conservatism nishtiman h. mohammed ku nor izah ku ismail noor afza amran doi: 10.32602/jafas.2019.17 Journal of Accounting, Finance and Auditing Studies 06-29-2019 Journal of Accounting, Finance and Auditing Studies 06-29-2019 2019 5 2 Article 1 10.32602/jafas.2019.17 https://www.acadlore.com/article/JAFAS/2019_5_2/jafas.2019.17 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.16 In order to operate, firms can acquire the necessary properties by leasing method as well as buying them. The companies those do not choose spending their funds on an asset or the firms which are lack of sufficient amount of funds prefer leasing process. Accounting of rental transactions were held due to Turkish Accounting Standards TAS 17 Leasing Standard. Meanwhile The Turkish Financial Reporting Standards TFRS 16 Leases Standard is published and TAS 17 is repealed simultaneously. Then TFRS 16 principles are ruled to operate the rental transactions. The most important improvement by TFRS 16 is the necessity of indicating the operating leases within the balance sheet. The aim of the study is e accounting of leasing process due to leaser and lessee within the framework of TFRS 16 Leases Standard. 03-30-2019 <![CDATA[ <p>In order to operate, firms can acquire the necessary properties by leasing method as well as buying them. The companies those do not choose spending their funds on an asset or the firms which are lack of sufficient amount of funds prefer leasing process. Accounting of rental transactions were held due to Turkish Accounting Standards TAS 17 Leasing Standard. Meanwhile The Turkish Financial Reporting Standards TFRS 16 Leases Standard is published and TAS 17 is repealed simultaneously. Then TFRS 16 principles are ruled to operate the rental transactions. The most important improvement by TFRS 16 is the necessity of indicating the operating leases within the balance sheet. The aim of the study is e accounting of leasing process due to leaser and lessee within the framework of TFRS 16 Leases Standard.</p> ]]> Accounting of Rental Transactions within the Framework of TFRS16 Leases ahmet gökgöz doi: 10.32602/jafas.2019.16 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 318 10.32602/jafas.2019.16 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.16 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.15 Voluntary disclosure is provided in the corporate annual reports by the management of an organization in order to maintain an effective internal control system and a decision useful environment to the investors. This paper envisages the association of voluntary disclosure practices with firm-specific characteristics. A total of 120 companies have been selected for the purpose of the paper both from service and manufacturing sector. For the purpose of the paper, the annual report of the sample companies is gone through several times with skeptic angle using content analysis technique. A Voluntary Disclosure Reporting Index (VDRI) containing 28 themes has been developed and used for the paper. The result of the paper shows that firm-specific characteristics such as size of the business, profitability, leverage and age positively affects voluntary disclosure reporting practices and industry type have negative effect in the practice by the companies. Size of the business, profitability, leverage and industry type has significant impact in the voluntary reporting practices by the listed companies of Bangladesh. The voluntary disclosure being nonstatutory requirements should encompass the socioeconomic variables and the various demands of the stakeholder group. 03-30-2019 <![CDATA[ <p>Voluntary disclosure is provided in the corporate annual reports by the management of an organization in order to maintain an effective internal control system and a decision useful environment to the investors. This paper envisages the association of voluntary disclosure practices with firm-specific characteristics. A total of 120 companies have been selected for the purpose of the paper both from service and manufacturing sector. For the purpose of the paper, the annual report of the sample companies is gone through several times with skeptic angle using content analysis technique. A Voluntary Disclosure Reporting Index (VDRI) containing 28 themes has been developed and used for the paper. The result of the paper shows that firm-specific characteristics such as size of the business, profitability, leverage and age positively affects voluntary disclosure reporting practices and industry type have negative effect in the practice by the companies. Size of the business, profitability, leverage and industry type has significant impact in the voluntary reporting practices by the listed companies of Bangladesh. The voluntary disclosure being nonstatutory requirements should encompass the socioeconomic variables and the various demands of the stakeholder group.</p> ]]> Firm- Specific Characteristics and Voluntary Disclosure Reporting: An Empirical Research on Listed Companies of Bangladesh mohammad rakiv doi: 10.32602/jafas.2019.15 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 298 10.32602/jafas.2019.15 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.15 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.14 Fire insurance is a type of insurance that guarantees private and commercial purposed buildings together with household goods against unintentional fire, thunder and explosion as well as other damages resultig from these. Despite the fire insurance is the oldest insurance branch, it is not grown up in our country. The reasons of this situation are that fair premium rates could not being determined and most accurate risk analysis could not being made. While determining fair premium rates, probability of risk realisation is important too besides structural properties and material value of the building. For this reason, the topic of determinig to fire insurance premium and probability of risk realisation was studied as close to real situation. While calculation of differentiating risk, analytic hierarchy process that flexible method was used. Obtained risk scores and other factors which affecting premium are was combined. Thus, suitable premium rates for building was achieved. Risk and premium points were calculated for 230 houses in three different cities by the developed method. 03-30-2019 <![CDATA[ <p>Fire insurance is a type of insurance that guarantees private and commercial purposed buildings together with household goods against unintentional fire, thunder and explosion as well as other damages resultig from these. Despite the fire insurance is the oldest insurance branch, it is not grown up in our country. The reasons of this situation are that fair premium rates could not being determined and most accurate risk analysis could not being made. While determining fair premium rates, probability of risk realisation is important too besides structural properties and material value of the building. For this reason, the topic of determinig to fire insurance premium and probability of risk realisation was studied as close to real situation. While calculation of differentiating risk, analytic hierarchy process that flexible method was used. Obtained risk scores and other factors which affecting premium are was combined. Thus, suitable premium rates for building was achieved. Risk and premium points were calculated for 230 houses in three different cities by the developed method.</p> ]]> Yangın Sigortası Risk ve Prim Hesaplaması Üzerine Bir Uygulama (An Application on Risk and Premium Calculation of Fire Insurance) fatih gümüş feyza uzekmek doi: 10.32602/jafas.2019.14 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 269 10.32602/jafas.2019.14 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.14 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.13 This research is the first study to examine the relationship between aversion based behavioral finance biases and resilience. The aim of the study is to find out whether there is any significant relationship between selected aversion based behavioral finance biases and resilience or not. In this study, in order to measure ambiguity aversion, loss aversion and regret aversion behavioral finance biases, two questions for each biases with 5-point Likert-type response scale and in order to measure the resilience, the Turkish version of the Resilience Scale for Adults were used. The findings show that there is a negative significant relationship between aversion based behavioral finance biases and resilience. In the study, although it is found that there is a significant relationship between aversion based behavioral finance biases and age; no significant relationship is found between aversion based behavioral finance biases and gender, marital status and education level. The statistically meaningful relationship between aversion based behavioral finance biases and resilience suggests that; by using some methods for empowering the resilience which is a developable competency; it could be thought that some effects could be created in order to reduce the anomalies as a result of aversion based behavioral finance biases. 03-30-2019 <![CDATA[ <p>This research is the first study to examine the relationship between aversion based behavioral finance biases and resilience. The aim of the study is to find out whether there is any significant relationship between selected aversion based behavioral finance biases and resilience or not. In this study, in order to measure ambiguity aversion, loss aversion and regret aversion behavioral finance biases, two questions for each biases with 5-point Likert-type response scale and in order to measure the resilience, the Turkish version of the Resilience Scale for Adults were used. The findings show that there is a negative significant relationship between aversion based behavioral finance biases and resilience. In the study, although it is found that there is a significant relationship between aversion based behavioral finance biases and age; no significant relationship is found between aversion based behavioral finance biases and gender, marital status and education level. The statistically meaningful relationship between aversion based behavioral finance biases and resilience suggests that; by using some methods for empowering the resilience which is a developable competency; it could be thought that some effects could be created in order to reduce the anomalies as a result of aversion based behavioral finance biases.</p> ]]> Ruhsal Dayanıklılık Finansal Kaçınma Eğilimlerini Etkiler mi? (Does Resilience Affect Aversion Based Behavioral Finance Biases?) çağrı hamurcu doi: 10.32602/jafas.2019.13 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 254 10.32602/jafas.2019.13 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.13 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.12 This paper presents the results of the study on the effect of credit collection policy on portfolio risk management among microfinance institutions in Tanzania. The study used cross-sectional survey data of microfinance institutions in three regions of Dar es salaam, Morogoro and Dodoma. Random sampling was employed to obtain a sample of 219 respondents in all three regions. Multiple linear regression analysis was used to determine the effect of credit collection policy on portfolio at risk of microfinance institutions. Results show that, interest rates positively influence portfolio at risk of microfinance institutions. On the other hand, grace period on loans and loan size are negatively related to portfolio at risk of microfinance institutions. These results suggest that, microfinance institutions can focus on explanatory variables used in the study for enhanced quality of financial performance of the microfinance industry. 03-30-2019 <![CDATA[ <p>This paper presents the results of the study on the effect of credit collection policy on portfolio risk management among microfinance institutions in Tanzania. The study used cross-sectional survey data of microfinance institutions in three regions of Dar es salaam, Morogoro and Dodoma. Random sampling was employed to obtain a sample of 219 respondents in all three regions. Multiple linear regression analysis was used to determine the effect of credit collection policy on portfolio at risk of microfinance institutions. Results show that, interest rates positively influence portfolio at risk of microfinance institutions. On the other hand, grace period on loans and loan size are negatively related to portfolio at risk of microfinance institutions. These results suggest that, microfinance institutions can focus on explanatory variables used in the study for enhanced quality of financial performance of the microfinance industry.</p> ]]> The Effects of Credit Collection Policy on Portfolio at Risk of Microfinance Institutions in Tanzania danstun b. ngonyani harun j. mapesa doi: 10.32602/jafas.2019.12 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 241 10.32602/jafas.2019.12 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.12 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.11 Since stock prices reflect the firm’s future earnings potentials (Miller and Rock, 1985), dividends announcements therefore convey new information to the market about the future prospects of the corporation. As such, the objective of the current study is t potential role that dividend payouts play in influencing the fund managers and investors in recommending or selecting a stock, and for various stocks’ performance assessment. In addition, the study attempts to examine the possible effect of taxation on dividends payout. The study uses qualitative methods in form of semi structured interviews conducted with six Malaysian investment managers. The findings revealed that dividend payouts are not solely used as a basis for stock recommendation and assessment of companies’ performance by fund managers in Malaysia. Furthermore, taxation was found to be significant in determining dividend payouts by companies in Malaysia. These findings have great contributions to the dividend policy theory, as well as to the practitioners and policy makers that are discussed in details at the end of the paper. 03-30-2019 <![CDATA[ <p>Since stock prices reflect the firm’s future earnings potentials (Miller and Rock, 1985), dividends announcements therefore convey new information to the market about the future prospects of the corporation. As such, the objective of the current study is t potential role that dividend payouts play in influencing the fund managers and investors in recommending or selecting a stock, and for various stocks’ performance assessment. In addition, the study attempts to examine the possible effect of taxation on dividends payout. The study uses qualitative methods in form of semi structured interviews conducted with six Malaysian investment managers. The findings revealed that dividend payouts are not solely used as a basis for stock recommendation and assessment of companies’ performance by fund managers in Malaysia. Furthermore, taxation was found to be significant in determining dividend payouts by companies in Malaysia. These findings have great contributions to the dividend policy theory, as well as to the practitioners and policy makers that are discussed in details at the end of the paper.</p> ]]> Dividend Policy and payout practices in Malaysia: A qualitative analysis mohammed mispah said omar abdelghani echchabi doi: 10.32602/jafas.2019.11 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 226 10.32602/jafas.2019.11 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.11 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.10 Dividend deceleration is clearly important competent among the shareholders. With the dividend announcement investors treated with the divided gain according to their investment. It has been identified that dividend deceleration has both signal in increase and decrease the share price. And also, reaction of share price depends on the market condition too. The present study is an attempt to study the price reaction of 161 dividend announcements by 19 companies during the period 2013 to 2017 listed S & P 20 companies in CSE. The analysis had been developed using event study method. The study exposed the fact that stock prices do react to dividend announcements and dividend announcements made the difference between share price prior to the dividend announcement and share price after dividend announcement. 03-30-2019 <![CDATA[ <p>Dividend deceleration is clearly important competent among the shareholders. With the dividend announcement investors treated with the divided gain according to their investment. It has been identified that dividend deceleration has both signal in increase and decrease the share price. And also, reaction of share price depends<span> </span>on<span> </span>the<span> </span>market<span> </span>condition<span> </span>too.<span> </span>The<span> </span>present<span> </span>study<span> </span>is an attempt to study the price reaction of 161 dividend announcements by 19 companies during the period 2013 to<span> </span>2017<span> </span>listed<span> </span>S<span> </span>&<span> </span>P<span> </span>20<span> </span>companies<span> </span>in<span> </span>CSE.<span> </span>The<span> </span>analysis<span> </span>had been developed using event study method. The study exposed the fact that stock prices do react to dividend announcements and dividend announcements made the difference between share price prior to the dividend announcement and share price after dividend announcement.</p> ]]> Impact of Dividend Announcement on Stock Price: Empirical Evidence of Colombo Stock Exchange dona ganeesha priyangika kaluarachchi doi: 10.32602/jafas.2019.10 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 213 10.32602/jafas.2019.10 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.10 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.1 This research aims to examine the influence of corporate social responsibility disclosure, leverage, sales growth, and industry type on firm’s profitability which was measured by return on asset (ROA). The population in this research are manufacturing companies listed in Indonesia Stock Exchange period 2013 – 2016. This is a quantitative research which the data are analyzed by using panel data regression method. The result of this research show that corporate social responsibility disclosure (CSRD), leverage, sales growth, and industry type have a positive and significant effect on return on asset (ROA). 03-30-2019 <![CDATA[ <p><span>This research aims to examine the influence of corporate social responsibility disclosure, leverage, sales growth, and industry type on firm’s profitability which was measured by return on asset (ROA). The population in this research are manufacturing companies listed in Indonesia Stock Exchange period 2013 – 2016. This is a quantitative research which the data are analyzed by using panel data regression method. The result of this research show that corporate social responsibility disclosure (CSRD), leverage, sales growth, and industry type have a positive and significant effect on return on asset (ROA).</span></p> ]]> The Influence of Corporate Social Responsibility Disclosure, Leverage, Sales Growth, and Industry Type on Profitability in Manufacturing Companies Listed at Indonesia Stock Exchange uly wulandari sa’adah siddik marlina widiyanti doi: 10.32602/jafas.2019.1 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 18 10.32602/jafas.2019.1 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.1 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.0 Transfer pricing is the transaction prriice in the form of tangible goods, intangible goods or the provision of services between parties that have a sppecial relationship. Transfer pricing used by companies in n o order to avoid tax payments that can cause problems for tthe tax authorities in their efforts to maximize revenue frroom the tax sector. This study aims to analyze the effect oof taxes, tunneling incentives, bonus mechanisms, and fir rmm size on transfer pricing in manufacturing sector. This sstudy selected 28 manufacturing companies that were sselected by using purposive sampling technique from a ppopulation of 153 companies listed on Indonesia Stockk Exchange of the period 2013-2017. The results of the panel data regression with random effect model shows that taxes, bonus mechanisms, and firm size hhave a significant positive effect on transfer pricing. HHoowever tunneling incentives do not affect transfer pricingg.. 03-30-2019 <![CDATA[ <p>Transfer pricing is the transaction prriice in the form of tangible goods, intangible goods or the provision of services between parties that have a sppecial relationship. Transfer pricing used by companies in n o order to avoid tax payments that can cause problems for tthe tax authorities in their efforts to maximize revenue frroom the tax sector. This study aims to analyze the effect oof taxes, tunneling incentives, bonus mechanisms, and fir rmm size on transfer pricing in manufacturing sector. This sstudy selected 28 manufacturing companies that were sselected by using purposive sampling technique from a ppopulation of 153 companies listed on Indonesia Stockk Exchange of the period 2013-2017. The results of the panel data regression with random effect model shows that taxes, bonus mechanisms, and firm size hhave a significant positive effect on transfer pricing. HHoowever tunneling incentives do not affect transfer pricingg.. </p> ]]> The Effect Of Tax, Tunneling Incentive, Bonus Mechanisms, And Firm Size on Transfer Pricing (Indonesian Evidence) afifah nazihah azwardi luk luk fuadah doi: 10.32602/jafas.2019.0 Journal of Accounting, Finance and Auditing Studies 03-30-2019 Journal of Accounting, Finance and Auditing Studies 03-30-2019 2019 5 1 Article 1 10.32602/jafas.2019.0 https://www.acadlore.com/article/JAFAS/2019_5_1/jafas.2019.0 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.015 The research aims to analyze the content of accounting published papers in Emerald’s accounting journals. The statistical population in this study includes 3847 published papers in 15 accounting journals from 1986 to 2014. In this research, the content of published papers through a quantitative approach has been investigated and after categorizing selected papers under 7 areas the percentage and proportion of them were analyzed. The results revealed that the most proportion of published papers related to financial accounting with 1710 papers and 45 percent and then auditing with 842 papers and 22 percent. The proportions of other areas include management with 431 papers and 11 percent, finance with 291 and 8 percent and management accounting with 284 papers and 7 percent. The least proportion of published papers related to accounting education and governmental accounting with 170 and 119 papers and 4 and 3 percent of total papers, respectively. 12-30-2018 <![CDATA[ <p><span>The research aims to analyze the content of accounting published papers in Emerald’s accounting journals. The statistical population in this study includes 3847 published papers in 15 accounting journals from 1986 to 2014. In this research, the content of published papers through a quantitative approach has been investigated and after categorizing selected papers under 7 areas the percentage and proportion of them were analyzed. The results revealed that the most proportion of published papers related to financial accounting with 1710 papers and 45 percent and then auditing with 842 papers and 22 percent. The proportions of other areas include management with 431 papers and 11 percent, finance with 291 and 8 percent and management accounting with 284 papers and 7 percent. The least proportion of published papers related to accounting education and governmental accounting with 170 and 119 papers and 4 and 3 percent of total papers, respectively.</span></p> ]]> Exploring Accounting Research in “Emerald’s Accounting Journals” Using Content Analysis Approach mahdi mahdavikhou doi: 10.32602/jafas.2018.015 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 243 10.32602/jafas.2018.015 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.015 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.014 Trade-off theory of capital structure uses static and dynamic approach. The use of static approach has been prevalent. Despite the importance of dynamic capital structure the debate in Kenya is so far inconclusive. Therefore, to fill this gap, there was need to assess the speed & of adjustment from target capital structure of listed non- financial firms in Kenya. Causal research design was used. The population for this study was 65 listed firms with only 35 non-financial firms sampled due to exclusion of financial sector which has highly regulated capital structure. Dynamic Partial Adjustment model (DPA) was used to estimate target leverage in each industry and the study found out that, there exist a target leverage level which is different from observed leverage for each sector. Further, the study showed that, listed firms adjusted to target level with a speed of 51% meaning that, the adjustment costs are relatively low. 12-30-2018 <![CDATA[ <p><span style="color: rgb(0, 0, 0); font-family: Cambria">Trade-off theory of capital structure uses static and dynamic approach. The use of static approach has been prevalent. Despite the importance of dynamic capital structure the debate in Kenya is so far inconclusive. Therefore, to fill this gap, there was need to assess the speed & of adjustment from target capital structure </span><span style="font-family: Cambria">of </span><span style="color: rgb(0, 0, 0); font-family: Cambria">listed non- financial firms in Kenya. Causal research design was used. The population for this study was 65 listed firms with only 35 non-financial firms sampled due to exclusion of financial sector which has highly regulated capital structure. Dynamic Partial Adjustment model (DPA) was used to estimate target leverage in </span><span style="font-family: Cambria">each </span><span style="color: rgb(0, 0, 0); font-family: Cambria">industry and the study found out that, there exist a target leverage level which is different from observed leverage for each sector. Further, the study showed that, listed firms adjusted to target level with a speed of 51% meaning that, the adjustment costs are relatively low.</span></p> ]]> Dynamic Adjustment Towards Target Capital Structure: Panel Evidence of Listed Firms in Kenya leonard k. maina tobias olweny kenneth l. wanjau doi: 10.32602/jafas.2018.014 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 216 10.32602/jafas.2018.014 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.014 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.013 Incentives are used for the companies in various fields to increase the capital investments in Turkey. One of the mentioned incentives here is the one relating the corporation tax discount. Recording the investment incentives of corporation tax according to General Communique on Accounting System Application (GCAST) is common. However, accounting process of these incentives is differentiated due to Turkish Accounting Standards (TAS) since it causes the deferred tax asset.The aim of this study is explaining the accounting process of corporation tax incentives, relating the investments for the companies in Turkey, within the framewo k of TAS 12 income taxes. Thus, taxing concept within the Turkish Accounting Standards (TAS) is analyzed based on TAS 12 Income Taxes Standard. 12-30-2018 <![CDATA[ <p>Incentives are used for the companies in various fields to increase the capital investments in Turkey. One of the mentioned incentives here is the one relating the corporation tax discount. Recording the investment incentives of corporation tax according to General Communique on Accounting System Application (GCAST) is common. However, accounting process of these incentives is differentiated due to Turkish Accounting Standards (TAS) since it causes the deferred tax asset.</p><p>The aim of this study is explaining the accounting process of corporation tax incentives, relating the investments for the companies in Turkey, within the framewo k of TAS 12 income taxes. Thus, taxing concept within the Turkish Accounting Standards (TAS) is analyzed based on TAS 12 Income Taxes Standard.</p> ]]> Accounting of Investment Incentives Relating Corporation Tax Within the Framework of TAS 12 Income Taxes Standard ahmet gökgöz doi: 10.32602/jafas.2018.013 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 203 10.32602/jafas.2018.013 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.013 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.012 Purpose - The aim of the present study was investigate the environmental accounting and its rroole in reducing the costs, especially in Iranian textile companies. Design/methodology/approach - Information on variables was collected and measured bby distributing the modified questionnaire of Graaf et al. ((1998) among the managers and senior staff. Then, using regression analysis, the costs associated with enviirronmental benefits were investigated. Findings - The results show that ennvironmental costs have a significant relationship with thee advantages of the environmental accounting. However, aaffter analysis of the cost factors, the results did not shoow any significant relationship. Therefore, it is inferred tthhat not only these factors affected the environmental bennefits, but there are also other factors playing a role in this regard. Originality/value – This paper is the firrsst paper of its kind to have been conducted in developing countries. 12-30-2018 <![CDATA[ <p>Purpose - The aim of the present study was investigate the environmental accounting and its rroole in reducing the costs, especially in Iranian textile companies. Design/methodology/approach - Information on variables was collected and measured bby distributing the modified questionnaire of Graaf et al. ((1998) among the managers and senior staff. Then, using regression analysis, the costs associated with enviirronmental benefits were investigated. Findings - The results show that ennvironmental costs have a significant relationship with thee advantages of the environmental accounting. However, aaffter analysis of the cost factors, the results did not shoow any significant relationship. Therefore, it is inferred tthhat not only these factors affected the environmental bennefits, but there are also other factors playing a role in this regard. Originality/value – This paper is the firrsst paper of its kind to have been conducted in developing countries. </p> ]]> Investigating Environmental Accounting and its Role in Reducing Environmental Costs (Case Study: Iran Noubaft Textile Company) kamran ghaemmaghami morteza zamani hassan shafiei doi: 10.32602/jafas.2018.012 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 185 10.32602/jafas.2018.012 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.012 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.011 This research aims to investigate empirically the determinants of cash holdings of manufacturing companies which are listed on Indonesian Stock Exchange (IDX) for the period of 2012 determining factors which were chosen include debt maturity structure and probability of financial distress This research took 636 company-year observations as research sample by using purposive sampling technique in selecting the sample. By applying multiple linear regression analysis, the result revealed that debt maturity structure has negative significant relationship on cash holdings and probability of financial distress hpositive significant relationship on cash holdings. These findings provide evidence that when companies have larger proportion of long-term debt, they will keep lower amount of cash. And when companies face financially distressed, they will keep higher amount of cash in the company because of precautionary motive which make desire to hold more cash. 12-30-2018 <![CDATA[ <p>This research aims to investigate empirically the determinants of cash holdings of manufacturing companies which are listed on Indonesian Stock Exchange (IDX) for the period of 2012 determining factors which were chosen include debt maturity structure and probability of financial distress This research took 636 company-year observations as research sample by using purposive sampling technique in selecting the sample. By applying multiple linear regression analysis, the result revealed that debt maturity structure has negative significant relationship on cash holdings and probability of financial distress hpositive significant relationship on cash holdings. These findings provide evidence that when companies have larger proportion of long-term debt, they will keep lower amount of cash. And when companies face financially distressed, they will keep higher amount of cash in the company because of precautionary motive which make desire to hold more cash.</p> ]]> The Determinants of Cash Holdings Companies in Indonesia muhammad atha umry yossi diantimala doi: 10.32602/jafas.2018.011 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 173 10.32602/jafas.2018.011 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.011 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.010 Successful performance of insurance industry provides impetus for other industries and development of an economy. Financial performance measurement is important to investors and management in determining the future success. Thus, the aim of study is investigating determinants of micro insurance business performance in Ethiopia. The data used in this study was panel data and collected from nine micro insurance provider institutions secondary data from 2009-2017. Besides, indepth interview with officials of those institutions was conducted. The collected data was analyzed using Ordinary Least Square regression model. The result of study reveals that volume of capital and market share have significant and positive impact on return on asset performance. With regard to ownership structure, it affects positively return on asset. In contrast, reinsurance dependency, premium growth, underwriting risks and inflation have negatively affected financial performance of micro insurance business in Ethiopia. 12-30-2018 <![CDATA[ <p>Successful performance of insurance industry provides impetus for other industries and development of an economy. Financial performance measurement is important to investors and management in determining the future success. Thus, the aim of study is investigating determinants of micro insurance business performance in Ethiopia. The data used in this study was panel data and collected from nine micro insurance provider institutions secondary data from 2009-2017. Besides, indepth interview with officials of those institutions was conducted. The collected data was analyzed using Ordinary Least Square regression model. The result of study reveals that volume of capital and market share have significant and positive impact on return on asset performance. With regard to ownership structure, it affects positively return on asset. In contrast, reinsurance dependency, premium growth, underwriting risks and inflation have negatively affected financial performance of micro insurance business in Ethiopia.</p> ]]> Determinants of Micro-Insurance Business Performance in Ethiopia abel worku aregu asmare doi: 10.32602/jafas.2018.010 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 160 10.32602/jafas.2018.010 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.010 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.009 In case of the occurrence of uncertain situations regarding the future, the investor is expected to assume that he is in a risky situation and act in a rational way. In this way, the investor will have been prudent and protected his capital. Auditor Conservatism is an approach that aims to make a more conservative audit by foreseeing a high audit risk for the financial statement disclosures of the company audited and thus protect the capital, creditors and investors. It is a likely outcome for the investor to encounter with the litigation case due to the possible presence of revenue losses that may be experienced and negatively affect the investment decisions of the third parties who will use the tables on which the auditor will express an opinion. Therefore, auditors will want to set a high degree of audit for possible inconsistencies and choose the secure option against the case risk in order to protect the reputation of himself and the audit company against the possibility of audit failure by displaying a conservative approach. In this study, the relationship between the litigation risk and the auditor's conservative approach will be examined and these concepts will be comparatively assessed in terms of the accounting audit procedures. 12-30-2018 <![CDATA[ <p>In case of the occurrence of uncertain situations regarding the future, the investor is expected to assume that he is in a risky situation and act in a rational way. In this way, the investor will have been prudent and protected his capital. Auditor Conservatism is an approach that aims to make a more conservative audit by foreseeing a high audit risk for the financial statement disclosures of the company audited and thus protect the capital, creditors and investors. It is a likely outcome for the investor to encounter with the litigation case due to the possible presence of revenue losses that may be experienced and negatively affect the investment decisions of the third parties who will use the tables on which the auditor will express an opinion. Therefore, auditors will want to set a high degree of audit for possible inconsistencies and choose the secure option against the case risk in order to protect the reputation of himself and the audit company against the possibility of audit failure by displaying a conservative approach. In this study, the relationship between the litigation risk and the auditor's conservative approach will be examined and these concepts will be comparatively assessed in terms of the accounting audit procedures.</p> ]]> Litigation Risk, Auditor Conservatism and an Overview of Turkey Characteristic fatih şentürk özgür özkana doi: 10.32602/jafas.2018.009 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 144 10.32602/jafas.2018.009 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.009 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.008 The purpose of this study is to explore the state of independent auditing of public interest entities (PIEs) in Turkey, following the recent changes in the regulatory environment. In order to eliminate the effects of different pricing policies and economic factors, the number of audited PIEs is used in the analysis instead of audit revenues. As of 2016, there are 1453 PIEs audited by 72 independent audit firms. Out of these audits, 61%, 26% and 13% are carried out by the‘Big4’, the member firms of international audit networks (IAN) and the local auditors, respectively. From 2013 to 2016, the 4-year averages of the number of audited PIEs are 164 for the Big4, 11 for IAN member firms and 5 for local independent auditors. This study is the first to present this huge gap in the Turkish auditing sector in terms of the independent audits of PIEs. 12-30-2018 <![CDATA[ <p>The purpose of this study is to explore the state of independent auditing of public interest entities (PIEs) in Turkey, following the recent changes in the regulatory environment. In order to eliminate the effects of different pricing policies and economic factors, the number of audited PIEs is used in the analysis instead of audit revenues. As of 2016, there are 1453 PIEs audited by 72 independent audit firms. Out of these audits, 61%, 26% and 13% are carried out by the‘Big4’, the member firms of international audit networks (IAN) and the local auditors, respectively. From 2013 to 2016, the 4-year averages of the number of audited PIEs are 164 for the Big4, 11 for IAN member firms and 5 for local independent auditors. This study is the first to present this huge gap in the Turkish auditing sector in terms of the independent audits of PIEs.</p> ]]> Türkiye’de Kamu Yararını İlgilendiren Kuruluşların Bağımsız Denetimine İlişkin Bir İnceleme (A Study on the Independent Auditing of Public Interest Entities in Turkey) aslıhan e. bozcuk merve uçar burak çağrı yılmaz doi: 10.32602/jafas.2018.008 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 125 10.32602/jafas.2018.008 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.008 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.007 The budget, which is an important management tool of businesses, has been tried to be able to meet the needs of today’s businesses with new approaches developed over time, such as developing technology, change of business circles and changes in business processes. Within this context, new approaches to budgeting have been developed. Beyond budgeting, better budgeting and advanced budgeting have been the most remarkable approaches to budgeting. These approaches emphasize that the traditional budgeting cannot meet the needs of today's businesses and that development and businesses must meet their strategic goals and objectives or that budget management should be abandoned altogether with the development of new management approaches and adaptive management processes to which the authority is transferred. In this study, traditional budgeting approach was compared with beyond budgeting approach which emphasizes that the existing budgets of the enterprises should be abolished. Taking this comparison into account, the question that whether companies should abandon traditional budgeting approach is answered. The beyond budgeting approach, which is prominent in use by institutional entities with decentralized management considerations, appears to be less favored by businesses that commonly use the budget for performance measurement and control purposes. 12-30-2018 <![CDATA[ <p>The budget, which is an important management tool of businesses, has been tried to be able to meet the needs of today’s businesses with new approaches developed over time, such as developing technology, change of business circles and changes in business processes. Within this context, new approaches to budgeting have been developed. Beyond budgeting, better budgeting and advanced budgeting have been the most remarkable approaches to budgeting. These approaches emphasize that the traditional budgeting cannot meet the needs of today's businesses and that development and businesses must meet their strategic goals and objectives or that budget management should be abandoned altogether with the development of new management approaches and adaptive management processes to which the authority is transferred. In this study, traditional budgeting approach was compared with beyond budgeting approach which emphasizes that the existing budgets of the enterprises should be abolished. Taking this comparison into account, the question that whether companies should abandon traditional budgeting approach is answered. The beyond budgeting approach, which is prominent in use by institutional entities with decentralized management considerations, appears to be less favored by businesses that commonly use the budget for performance measurement and control purposes.</p> ]]> İşletmeler Bütçelemeden Vazgeçmeli mi? (Should Businesses Abandon the Budgeting?) yavuz kılınç doi: 10.32602/jafas.2018.007 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 107 10.32602/jafas.2018.007 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.007 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.006 The article aims to investigate the relationship be tween corporate governance and financial performance by using the data of 61 Oman companies traded at Muscat Securities Market for a fouryear period from 2013 to 2016. The models are divided into two groups. The first group constructed a corporate governance score which is the dependent variable; the second group used the components of the score separately as dependent variables. As independent variable, two types of indicators are used; marketbased and accounting To reflect the market performance, Tobin’s q is used and as accountingbased indicators; return on asset profit margin, EBIT margin and net profit margin are used. The results showed that there are significant results between financial ratios and characteristics of corporate governance, but the overall relationship is weak in Oman context. Even though individual effects of some components of corporate governance are not significant, most models produced overall significant results. 12-30-2018 <![CDATA[ <p>The article aims to investigate the relationship be tween corporate governance and financial performance by using the data of 61 Oman companies traded at Muscat </p><p>Securities Market for a fouryear period from 2013 to 2016. The models are divided into two groups. The first group constructed a corporate governance score which is the dependent variable; the second group used the components of the score separately as dependent variables. As independent variable, two types of indicators are used; marketbased and accounting </p><p>To reflect the market performance, Tobin’s q is used and as accountingbased indicators; return on asset profit margin, EBIT margin and net profit margin are used. The results showed that there are significant results between financial ratios and characteristics of corporate governance, but the overall relationship is weak in Oman context. Even though individual effects of some components of corporate governance are not significant, most models produced overall significant results.</p> ]]> Corporate Governance and Financial Performance Relationship: Case for Oman Companies i̇lker yılmaz doi: 10.32602/jafas.2018.006 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 84 10.32602/jafas.2018.006 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.006 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.005 The number of e-filing users, especially individual taxpayers has steadily been increasing, but this system has not been implemented by all registered taxpayers. This aims of this study are to examine the effect of attitude towards behavior, subjective norms, and perceived behavior control on intent to use e-filing by using the Theory of Planned Behavior. Furthermore, the effect of the intent to use e-filing on the behavior of individual taxpayer in reporting Annual Tax Return was included in the analysis. This research was conducted on 243 respondents who validly filled out the questionnaires within the period of May-June 2018 at the Primary Tax Office of Palembang Ilir Barat area. The collected data were analyzed by using Partial Least Square. The findings of the study reveal that the attitude towards behavior, subjective norms, and perceived behavior control have a positive and significant effect on the individual taxpayer's intent to use the e-filing system. In addition, the intent to use e-filing system has a positive and significant effect on the behavior of the individual taxpayers in reporting the annual tax return. 12-30-2018 <![CDATA[ <p>The number of e-filing users, especially individual taxpayers has steadily been increasing, but this system has not been implemented by all registered taxpayers. This aims of this study are to examine the effect of attitude towards behavior, subjective norms, and perceived behavior control on intent to use e-filing by using the Theory of Planned Behavior. Furthermore, the effect of the intent to use e-filing on the behavior of individual taxpayer in reporting Annual Tax Return was included in the analysis. This research was conducted on 243 respondents who validly filled out the questionnaires within the period of May-June 2018 at the Primary Tax Office of Palembang Ilir Barat area. The collected data were analyzed by using Partial Least Square. The findings of the study reveal that the attitude towards behavior, subjective norms, and perceived behavior control have a positive and significant effect on the individual taxpayer's intent to use the e-filing system. In addition, the intent to use e-filing system has a positive and significant effect on the behavior of the individual taxpayers in reporting the annual tax return.</p> ]]> Taxpayers’ Perception Of E-Filing System In Increasing Behavior Of Annual Reporting Of Tax Return (Indonesian Evidence) tiwi aliffiani syamsurijal luk luk fuadah doi: 10.32602/jafas.2018.005 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 58 10.32602/jafas.2018.005 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.005 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.004 The financial performance of a corporation is presented via its income statement table. One of the most important sections of the mentioned table is the cell where the revenue is displayed. The revenue term means the earnings arising in the course of ordinary activities. Measuring and reporting of the revenue are to be studied carefully due to Turkish Accounting Standards (TAS) and Turkish Financial Reporting Standards (TFRS). Various standards were published in this manner furthermore some of them are repealed or updated. Lastly the standard of "TFRS 15: Revenue from Contracts with Customers" is published relating the revenue issue to be applied as from 31st of December 2017. The concepts of "Contract Asset" and "Contractual Obligation" are revealed in the literature via TFRS 15 Standard contrary to the former regulations. The aim of the study is explaining the reporting of "Contract Asset" and "Contractual Obligation" by analyzing the mentioned concepts within the framework of Revenue Recognition Standard Under TAS 15 Service Contracts. 12-30-2018 <![CDATA[ <p>The financial performance of a corporation is presented via its income statement table. One of the most important sections of the mentioned table is the cell where the revenue is displayed. The revenue term means the earnings arising in the course of ordinary activities. Measuring and reporting of the revenue are to be studied carefully due to Turkish Accounting Standards (TAS) and Turkish Financial Reporting Standards (TFRS). Various standards were published in this manner furthermore some of them are repealed or updated. Lastly the standard of "TFRS 15: Revenue from Contracts with Customers" is published relating the revenue issue to be applied as from 31st of December 2017. The concepts of "Contract Asset" and "Contractual Obligation" are revealed in the literature via TFRS 15 Standard contrary to the former regulations. The aim of the study is explaining the reporting of "Contract Asset" and "Contractual Obligation" by analyzing the mentioned concepts within the framework of Revenue Recognition Standard Under TAS 15 Service Contracts.</p> ]]> Contract Asset and Contractual Obligation Concepts and Their Reporting within the Framework of Revenue Recognition Standard Under TAS 15 Service Contracts ahmet gökgöz doi: 10.32602/jafas.2018.004 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 45 10.32602/jafas.2018.004 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.004 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.003 The objective of this paper is to examine the relationship between minority shareholders’ rights and audit quality. Specifically, this paper examines the influence of minority shareholders' with at least 10% holdings on clients' demand for strong monitoring mechanisms, particularly in terms of high audit quality. The sample comprises the top 100 listed firms on the Borsa Istanbul (BIST) for 2014 and 2015. The finding of this paper is aligned with the propositions of the agency theory that minority shareholders with at least 10% holdings improve clients’ demand for high audit quality. The findings of this paper have some implications for future studies on the role of minority shareholders to monitor management activities. This paper calls for future studies in the area of accounting and finance to introduce and operationalize a new measurement of Type II agency cost in order to better understand the agency conflicts within this unique market as well as the state of the minority shareholders on the BIST. 12-30-2018 <![CDATA[ <p>The objective of this paper is to examine the relationship between minority shareholders’ rights and audit quality. Specifically, this paper examines the influence of minority shareholders' with at least 10% holdings on clients' demand for strong monitoring mechanisms, particularly in terms of high audit quality. The sample comprises the top 100 listed firms on the Borsa Istanbul (BIST) for 2014 and 2015. The finding of this paper is aligned with the propositions of the agency theory that minority shareholders with at least 10% holdings improve clients’ demand for high audit quality. The findings of this paper have some implications for future studies on the role of minority shareholders to monitor management activities. This paper calls for future studies in the area of accounting and finance to introduce and operationalize a new measurement of Type II agency cost in order to better understand the agency conflicts within this unique market as well as the state of the minority shareholders on the BIST.</p> ]]> Minority Shareholders’ Rights and Audit Quality: Empirical Evidence from Turkey aree saeed mustafa abdullah saeed barwari nishtiman hashim mohammed doi: 10.32602/jafas.2018.003 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 27 10.32602/jafas.2018.003 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.003 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.002 This study aims to analyze the effect of corporate governance mechanism on tax aggressiveness with earnings management as intervening variable. In this study, corporate governance is measured by institutional ownership and the proportion of independent board of commissioners. The sample used in this study is 43 manufacturing companies taken using purposive sampling technique. The type of data used is panel data while the data analysis used is path analysis model. The results of the study found that institutional ownership and the proportion of independent board of commissioners had a significant negative effect on earnings management and institutional ownership with significant negative impact on tax aggressiveness. The proportion of independent board of commissioners and earnings management are found to have significant positive effect on tax aggressiveness. The Sobel Test results show that earnings management variables are able to mediate the relationship of institutional ownership and proportion of independent board of commissioners to tax aggressiveness. 12-30-2018 <![CDATA[ <p>This study aims to analyze the effect of corporate governance mechanism on tax aggressiveness with earnings management as intervening variable. In this study, corporate governance is measured by institutional ownership and the proportion of independent board of commissioners. The sample used in this study is 43 manufacturing companies taken using purposive sampling technique. The type of data used is panel data while the data analysis used is path analysis model. The results of the study found that institutional ownership and the proportion of independent board of commissioners had a significant negative effect on earnings management and institutional ownership with significant negative impact on tax aggressiveness. The proportion of independent board of commissioners and earnings management are found to have significant positive effect on tax aggressiveness. The Sobel Test results show that earnings management variables are able to mediate the relationship of institutional ownership and proportion of independent board of commissioners to tax aggressiveness.</p> ]]> The Effect of Corporate Governance Mechanism on Tax Aggressiveness With Earnings Management as Intervening Variable shelly prahadian putri mohamad adam luk luk fuadah doi: 10.32602/jafas.2018.002 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 11 10.32602/jafas.2018.002 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.002 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.001 Corporate Sustainability Performance Measurement along with Corporate Environmental Sustainability aims Financial Markets. to address the social and economic aspects. Concerns emerging from the three dimensions are being reduced to a single dimension of them. Multi-criteria decision- making methods, suggests a useful framework for assessing the variables together. Corporate sustainability and economic business activities are focused on the social and environmental impacts. In this sense, the economic activity established by the businesses do follow social and environmental impacts, therefore the generation of related information of these effects is being considered essential on the structure formation on a sustainable business. In this study, it has been used Dow Jones Sustainability Index monthly data from 2009 to 2015 in a range of 12 months to help investors to make decisions. The comparison of ARIMA and Exponential Smoothing models has been conducted, wherein the results showed that ARIMA model provided better estimates meantime those who invested in a stock portfolio with the same composition as the DJSI proved to ensure positive earnings. The purpose of the essay is to give a conclusion to the future of the practice. 12-30-2018 <![CDATA[ <p><span>Corporate Sustainability Performance Measurement along with Corporate Environmental Sustainability aims Financial Markets. to address the social and economic aspects. Concerns emerging from the three dimensions are being reduced to a single dimension of them. Multi-criteria decision- making methods, suggests a useful framework for assessing the variables together. Corporate sustainability and economic business activities are focused on the social and environmental impacts. In this sense, the economic activity established by the businesses do follow social and environmental impacts, therefore the generation of related information of these effects is being considered essential on the structure formation on a sustainable business. In this study, it has been used Dow Jones Sustainability Index monthly data from 2009 to 2015 in a range of 12 months to help investors to make decisions. The comparison of ARIMA and Exponential Smoothing models has been conducted, wherein the results showed that ARIMA model provided better estimates meantime those who invested in a stock portfolio with the same composition as the DJSI proved to ensure positive earnings. The purpose of the essay is to give a conclusion to the future of the practice.</span></p> ]]> Corporate Sustainability Indexes: Dow-Jones Index drita krasniqi luan vardari doi: 10.32602/jafas.2018.001 Journal of Accounting, Finance and Auditing Studies 12-30-2018 Journal of Accounting, Finance and Auditing Studies 12-30-2018 2018 4 4 Article 1 10.32602/jafas.2018.001 https://www.acadlore.com/article/JAFAS/2018_4_4/jafas.2018.001