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The purpose of this paper is to empirically examine the impact of earnings management on capital structure across firm diversification strategies.

The study focuses on firms operating in the manufacturing sector (diversified and focused). Panel data methodology compares diversification strategies and identifies the impact of diversification strategy with earnings management practices on capital structure decision.

International and product diversified firms have lower levels of leverage than focused firms in their capital structure. Asset-based earnings management is positive for diversified (market/product) firms. Earnings management using discretionary expenditure (project based) is found to be higher for market diversified but product-focused firms. Earning smoothing method is found to be significant for focused firms and shows a negative relationship with capital structure.

This study offers an insight into the relationship between corporate diversification, earnings management and capital structure decisions of manufacturing firms. The results provide an important contribution to accounting and strategy literature. A distinction is made between market- and product-diversified firms and influence of earnings management practices (asset-based, project-based and earnings smoothing (ESM)) on capital structure decisions. Diversified firms (market/product) tend to have lower levels of leverage than focused firms and earnings management practices within firm groups significantly influence the capital structure decisions.

This study aims to propose and evaluate a simpler technology to reduce harmful emissions from diesel engines by preheating the fuel before injection into the combustion chamber.

A spring-type heater coil with suitable insulation was installed on the high-pressure fuel pipeline to preheat the fuel. Experiments were conducted at a standard injection timing of 23° before top dead center, across 25%, 50%, 75% and 100% of full load. The fuel was preheated to 100°C, 160°C and 220°C for each engine load. Engine performance, emissions and thermal balance were analyzed for preheated and unheated diesel.

This study found that preheated fuel improved combustion characteristics, with higher pressure rise and net heat release rates during diffusion combustion. Brake thermal efficiency increased by 8.75% to 10.58%, and brake-specific fuel consumption decreased by up to 9.18%. Emissions significantly dropped: nitrogen oxides by up to 51%, smoke density by up to 63%, carbon monoxide by up to 67% and hydrocarbon by up to 25%. Thermal balance results showed increased useful work and reduced heat losses, particularly at higher preheating temperatures.

This research presents a novel and simpler approach to enhancing diesel engine performance and reducing emissions by preheating the fuel. The findings demonstrate significant improvements in efficiency and substantial reductions in harmful emissions, highlighting the potential of preheated fuel as a viable solution for cleaner diesel engine operation.