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Government cash forecasting is central to achieving effective government cash management but research in this area is scarce. The purpose of this paper is to address this shortcoming by developing a government cash forecasting model with an accuracy acceptable to the cash manager in emerging economies.

The paper follows “top-down” approach to develop a government cash forecasting model. It uses the Indonesian Government expenditure data from 2008 to 2015 as an illustration. The study utilises ARIMA, neural network and hybrid models to investigate the best procedure for predicting government expenditure.

The results show that the best method to build a government cash forecasting model is subject to forecasting performance measurement tool and the data used.

The study uses the data from one government only as its sample, which may limit the ability to generalise the results to a wider population.

This paper is novel in developing a government cash forecasting model in the context of emerging economies.

Prior studies have found that managers adjust operational activities to tackle climate risk. However, the effects of climate risk on accounting practices are largely ignored in the literature. This paper investigates whether and how climate risk influences managers’ decision-making on the level of accounting conservatism and explains the results based on two competing channels: valuation demand and contracting demand.

Using firm level climate risk measures, we build a modified Basu (1997) model to conduct our econometric tests. In the baseline model, we use earnings before extraordinary items as the dependent variable, referred to as the earnings model. We control for different levels of fixed effect to identify the shocks of climate risk and mitigate potential concerns on endogeneity and bias in the model. A series of robustness tests provide supporting evidence for our baseline results and our explanation.

Using a sample of 35,832 firm-year observations on listed US firms over the period 2002 to 2019, we find that the perception of climate risk drives managers to choose the less conservative accounting policies. We conclude that the results are consistent with the valuation demand explanation but inconsistent with the contracting demand explanation.

The study provides additional evidence on how managers respond to climate risk by adjusting their corporate polices, specifically accounting policies. Our findings contradict the results of prior studies. We explain our results from a unique perspective. Overall, the study provides valuable insights for academics, investors, managers and policymakers.

This is a case study of Taylor’s Business School, Taylor’s College in Kuala Lumpur, Malaysia, which is a pioneer in developing a business school as a knowledge organisation following the principles of knowledge management in the context of a developing knowledge economy. Describes the management structure and processes adopted by the college to deliver a curriculum educating students in knowledge management for a knowledge economy. This reflects a policy initiative of the Malaysian government which has embraced a knowledge economy in which soft technology and knowledge replace capital and energy. The philosophy of Taylor’s Business School is to produce graduates with professional and industry relevant skills to meet the demands of the knowledge economy.

Pricing and positioning strategies are of increasing strategic importance and are crucial to the long‐term competitiveness of small and medium‐sized enterprises (SMEs). Following the introduction of the Single European Currency (referred to as the “Euro” throughout this paper), the paper suggests that there will be a major squeeze on price differentials between European Union (EU) member states, creating a danger that existing price‐based positioning strategies will be undermined. This “European pricing and positioning time bomb” will affect UK SMEs (as well as larger businesses) over their short‐term planning horizon, even if UK entry into the Euro is delayed indefinitely. Strategic responses to the Euro will be most effective if they are planned and implemented at the earliest possible time. This paper explores and analyses the findings from a small sample survey of export‐active, consumer goods manufacturing, Northampton SMEs, carried out in late 1997. The aim is to establish their existing pricing and positioning strategies for EU Europe, their preparedness at that time for the introduction of the Euro and the main forms which their pricing and positioning strategies for the Euro were then taking. The findings suggest that most of the SMEs surveyed were in the early stages of planning for the Euro, but that many had not yet fully grasped its strategic marketing significance. Three categories of current marketing postures are identified: price standardisation, price but not product differentiation, and price differentiation supported by product differentiation between EU markets. The paper concludes by evaluating the effectiveness of responses based on these three alternative categories to the new marketing environment in EU Europe that the Euro will create. A set of strategic recommendations is also made for SMEs’ pricing and positioning strategies in the Euro context.

This paper reviews Pacific Accounting Review, 1988–96. Against the background of an historical overview of the journal's development, the paper includes analyses of publications and citations in the journal. The paper looks forward to the future progress of Pacific Accounting Review.

The purpose of this paper is to show how dynamic regression models based on equilibrium correction principles can be used to form auditor expectations of account balances as part of the analytic review.

The design and method are empirical, using the automated econometric software of PcGets and annual data of the Toyota Company over the period 1950‐2004 to generate forecasts of sales and earnings.

Automated equilibrium correction models (AECMs) are shown to possess stable parameters and provide reliable one year ahead forecasts of sales based on macro‐economic data. AECMs are then used to generate indicative earnings forecasts conditional upon sales as an expectation generating tool for directing auditors' attention to possible sources of error in financial statements.

Analysis is illustrative of a general method and does not provide exhaustive treatment of the full range of potential application of AECMs.

Until recently, econometric problems have made the use of dynamic regression models in auditing difficult for non‐specialists to implement. Developments in automated software packages such as PcGets now make the use of such procedures by audit practitioners possible.

Relatively little is known about dynamic regression models in the accounting and auditing literature. This paper introduces the basic concepts underpinning AECMs and demonstrates their potential to contribute to the analytic review toolkit of the auditor.

This paper investigates the perceptions of senior auditors in large firms in Australia, Malaysia and New Zealand concerning sources of auditor legal liability, what should constitute auditors’ duties and what may be done to reduce litigation exposure. Results are consistent with our conjecture that professional and organisational culture dominates perceptions, even in the presence of quite strong jurisdictional, cultural and institutional differences. The analysis indicates that auditors’ perceptions are strongly affected by international trends, while cultural and institutional effects tend to be more subtle but are identified by detailed and focused analysis.

To provide further evidence on the effectiveness of analytical procedures (APs) used in auditing. Computer simulation experiments are used to examine the error detection ability of a set of APs. Two different types of errors are examined and compared on the basis of the Type I and Type II errors they produce. The results of the experiments support earlier performance assessments of APs based upon simulated data. Higher noise levels reduce performance but a more detailed modeling of the process generating the data appears to produce a compensatory increase in performance. Contrary to earlier findings, some annual APs performed better than their related monthly counterparts. Case study and experimental results are better reconciled than in previous studies. The findings are based upon simulated data and deal with two types of error only. The experiments model the data generating process underlying accounting numbers but are simplifications of the real situation. Future research based upon the same approach but using more sophisticated experimental models and dealing with a wider class of errors would be useful. The findings echo earlier recommendations that APs should not be relied upon as lone, substantive testing devices for error and fraud. The simulation experiments use Statistical Activity Cost Theory to generate accounting numbers from specified, underlying stochastic processes. This allows errors to be related to transactions, i.e. the level at which they typically occur, whereas in prior experimental work errors have only been related to accounts.

The purpose of this paper is to draw together available data as a means of comparing the state of corporate governance in five countries; Kuwait, Bahrain, the United Arab Emirates, Qatar and Oman. This comparison provides a basis for analyzing the efficacy of corporate governance and government regulation in the region.

The authors construct a measure of corporate governance using the OECD's 2005 survey data, which includes these and many other countries in the sample. The authors analyze the resulting measures in the light of ongoing institutional developments in each country.

Based on the corporate governance measurement scale, Oman is the clear leader among the five countries, followed by Kuwait and the United Arab Emirates. Bahrain and Qatar rank fourth and fifth, respectively.

This paper adds value by transforming the data in the OECD survey, thus adding to the limited information available on corporate governance and related issues in the Arabian Gulf.

This paper examines the perceptions of senior auditors in large firms in Sydney, Kuala Lumpur and Auckland concerning the nature and assessment of the inherent risk in risk based auditing. The geographic dispersion of participants from internationally linked firms does not appear to result in any cultural and geographic effects. Assessment of inherent risk appears predominantly qualitative and is not necessarily linked to the comprehensive aggregation of risks typically presented in audit risk models. There is some blurring of control risk factors with inherent risk and one‐third of participants assess inherent and control risk jointly. Risk factors appear to be grouped in importance in a manner that suggests different attitudes to management, system‐oriented, environmental and oversight risks. The identification of four possible factors (internal risk, external risk, system risk and oversight threats) may provide a basis for further investigation of how auditors assess inherent risk. There is an apparent division between “internally” and “externally” sourced risk.