Md Shamimul Hasan, Normah Omar, Paul Barnes and Morrison Handley-Schachler
The purpose of this study is threefold: first, to detect trends in financial statement manipulation; second, to measure the level of manipulation and to measure the variation in…
Abstract
Purpose
The purpose of this study is threefold: first, to detect trends in financial statement manipulation; second, to measure the level of manipulation and to measure the variation in manipulation between countries; and, third, to identify widely used techniques in financial statements manipulation.
Design/methodology/approach
This study uses financial data of listed companies from Asia, namely, Japan, Singapore, Malaysia, Indonesia, Thailand, Hong Kong and China. The study adopts financial ratios, financial forensic tool, dichotomous approach and statistical tools to analyze the data (84,000 observations) over a period of four years from 2010 to 2013.
Findings
The results show that 34 per cent of sample companies in selected Asian countries are involved in the manipulation of financial statements; the average level of manipulation (overall manipulation index) is 72 per cent; and there is a significant difference between countries at 5 per cent level. The study also identifies four most commonly used techniques, namely: days’ sales in receivable (DSRI), depreciation (DEPI), assets quality (AQI) and total accruals to total assets (TATA).
Research limitations/implications
Although this study found a significant national difference between countries in terms of practicing manipulation in financial statements, it did not address the issue of why some countries have higher level of manipulation and greater fluctuations in manipulation than others. Further study could be conducted to look for the reasons on these issues.
Practical implications
Investors and other stakeholders are advised to judge the manipulation in financial statements before fixing up for investment. At least they should examine Sales, Accounts Receivable, Depreciation, Value of Fixed Assets and Accruals data before accepting the financial statement in good faith.
Social implications
The trend of manipulation in financial statements is increasing day by day and that is why it needs to prevent to protect our society from white collar crime. The cost of white collar crime is much higher and key executives are making money at the expense of investors and other stakeholders. This kind of study creates awareness among stakeholders about the manipulation as well as provides techniques to examine the faithfulness of financial statements. Then, managers will not overstate or understate either revenues or expenses easily, as it can damage the goodwill.
Originality/value
This is the first study of its kind addressing measurement of manipulation score, overall manipulation index (OMI) and identification of widely used variables of manipulation in financial statements are new contributions towards existing literature of earnings manipulation.
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The latest wave of merger mania began in 1984. That year the value of completed takeovers more than doubled that of the previous year to over £5.5 billion. The study looks at the…
Abstract
The latest wave of merger mania began in 1984. That year the value of completed takeovers more than doubled that of the previous year to over £5.5 billion. The study looks at the reasons for the boom, the legislation involved, and the benefits of merging.
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Presumably all revolutions have some good and some bad effects. It is with the latter and the computer revolution that we are concerned with here (Information Technology is merely…
Abstract
Presumably all revolutions have some good and some bad effects. It is with the latter and the computer revolution that we are concerned with here (Information Technology is merely the latest stage). The trouble with revolutions is that they occur quickly — in our case the speed of the development of ideas (of application) has not kept up with increasing technical facilities. The morals are mainly educational and concern the philosophy and methodology of science.
During the last decade or so there has been a huge outpouring of empirical studies of the efficient capital market hypothesis (ECMH). These studies are of potential use to the…
Abstract
During the last decade or so there has been a huge outpouring of empirical studies of the efficient capital market hypothesis (ECMH). These studies are of potential use to the financial manager, not just as indicators of the extent to which capital markets are efficient, but more importantly as indicators as to the effects of certain financial policies and activity on a company's share price.
The business of Building Societies is readily defined: to raise funds from members and to make advances to members by way of mortgage of property. They operate on a “cost plus”…
Abstract
The business of Building Societies is readily defined: to raise funds from members and to make advances to members by way of mortgage of property. They operate on a “cost plus” basis, setting the rate which they pay to savers at a level necessary to attract sufficient funds and charging a rate of interest on mortgages that covers tax and expenses and produces a surplus. Apparently they do not charge what the market will bear, and they are reluctant to raise the mortgage rate of interest. Although they compete with each other and strive for commercial efficiency, they conceive of their function as partly a social service, and it is this aspect which justifies the use of the term “the Building Society Movement”. Nevertheless they are part of the financial market of attracting and providing funds placing them in competition with banks, finance houses, insurance companies, and so on.
The librarian and researcher have to be able to uncover specific articles in their areas of interest. This Bibliography is designed to help. Volume IV, like Volume III, contains…
Abstract
The librarian and researcher have to be able to uncover specific articles in their areas of interest. This Bibliography is designed to help. Volume IV, like Volume III, contains features to help the reader to retrieve relevant literature from MCB University Press' considerable output. Each entry within has been indexed according to author(s) and the Fifth Edition of the SCIMP/SCAMP Thesaurus. The latter thus provides a full subject index to facilitate rapid retrieval. Each article or book is assigned its own unique number and this is used in both the subject and author index. This Volume indexes 29 journals indicating the depth, coverage and expansion of MCB's portfolio.
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Relativism, at least in some of its forms, is antithetical to sociology as traditionally practiced and conceived. (See, for instance, Benton and Crabb, 2001, pp.50‐74 and 93‐1006;…
Abstract
Relativism, at least in some of its forms, is antithetical to sociology as traditionally practiced and conceived. (See, for instance, Benton and Crabb, 2001, pp.50‐74 and 93‐1006; Collins 1996a; Mann, 1998; Murphy, 1997; and Taylor‐Gooby, 1994). Hence, sociologists should consider abandoning traditional sociology or rejecting relativism. An example of the sort of relativism I have in mind is the philosophical theory that the truth and falsity of propositions is relative to the social context of their promulgation. Such epistemological relativism is expressed by Newton‐Smith when he says: “The central relativist idea is that what is true for one tribe, social group or age might not be true for an other tribe, social group or age” (Newton‐Smith, 1982, p.107).
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Tal Fitzpatrick and Julie Molloy
This case study aims to explore the findings and documented impacts of Volunteering Qld’s “Step Up” programme which is the largest community resilience building programme led by a…
Abstract
Purpose
This case study aims to explore the findings and documented impacts of Volunteering Qld’s “Step Up” programme which is the largest community resilience building programme led by a non-government organisation (NGO) in Australia.
Design/methodology/approach
It will describe the programme design and systems that support this type of qualitative work using evidence-based data collected by the project coordinators over the duration of the programme and contextualising these within a broader resilience framework.
Findings
This case study will demonstrate and advocate for the need to create stronger partnerships and more significant opportunities for the sector to engage in resilience-building activities.
Research limitations/implications
The scope of this project was limited by organisational capacity to conduct research into its own programme, as it was being delivered and with limited resourcing. There is a significant need for further research into the work of NGOs in the emergency management and disaster resilience and the impacts of these programmes on communities.
Practical implications
The practical implications of this case study is a recognition that there are inherent challenges for disaster management agencies trying to engage communities in dialogue around planning risk-informed response and recovery plans for disasters.
Social implications
However, NGOs are ideally placed to work in and with the communities which they service, to educate and support them at all stages of disaster management.
Originality/value
This is a unique first-hand account of the experience of a NGO delivering community resilience programme in Australia and provides an important insight for practitioners and researchers alike.
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Tri Mulyani Sunarharum, Mellini Sloan and Connie Susilawati
The purpose of this paper is to re-frame planning decision-making to address risks of flooding and to increase community resilience. Rapid urbanisation, fragmented governance and…
Abstract
Purpose
The purpose of this paper is to re-frame planning decision-making to address risks of flooding and to increase community resilience. Rapid urbanisation, fragmented governance and recurrent flooding complicate resolution of DKI Jakarta’s chronic housing shortage. Failure to effectively implement planning decision-making processes poses potential human rights violations. Contemporary planning policy requires the relocation of households living in floodplains within 15 m of DKI Jakarta’s main watercourses, further constraining land availability and potentially requiring increased densification.
Design/methodology/approach
This paper presents a preliminary scoping study for a technologically enhanced participatory planning method, incorporating synthesis of existing information on urbanisation, governance and flood risk management in Jakarta.
Findings
Responsibility for flood risk management in DKI Jakarta is fragmented both within and across administrative boundaries. Decision-making is further complicated by: limited availability of land use data; uncertainty as to the delineated extent of watercourses, floodplains and flood modelling; unclear risk and liability for infrastructure investments; and technical literacy of both public and government participants.
Practical implications
This research provides information to facilitate consultation with government entities tasked with re-framing planning processes to increase public participation.
Social implications
Potential increased opportunities for collaborative decision-making and consequent reduction in risk exposure amongst DKI Jakarta’s most vulnerable populations can help to address issues of social justice.
Originality/value
This paper synthesises information from a range of sources not available in English, and offers insights into a complex system of governance and modes for improving decision-making.