scholarly journals The Adoption of IFRS and Earnings Quality of Financial Statements of Nigerian Breweries Plc: Generalised Linear Model Approach

2021 ◽  
Vol 04 (09) ◽  
Author(s):  
Michael Rotimi SANNI Phd ◽  
Keyword(s):  
Linear Model ◽  
Generalized Linear Model ◽  
Earnings Quality ◽  
Financial Statements ◽  
Share Price ◽  
Earnings Per Share ◽  
Research Period ◽  
Model Approach

The adoption of IFRS is expected to improve the earnings quality of firms that adopt them. It is against this background that this study investigated how the adoption of IFRS has affected earnings quality of Nigerian Breweries Plc. The company was selected because of its importance to the Nigerian economy. The 18 -year research period (2003 – 2020) was divided equally between (2003 – 2011) Pre- IFRS period (9 years) and (2012 – 2020) Post – IFRS period (9 years). Data on share price and Earnings per Share used to calculate earnings yield and change in earnings yield used to proxy earnings quality were sourced from the published financial statements of the company. Findings from Generalized Linear Model revealed no improvement in the earnings quality of the company after the adoption. Findings further showed that the company faced a lot of macro and micro economic challenges that affected its operating performances during the research period. The study therefore recommends to government to address those ident fied challenges because of the importance of the industry to the Nigerian economy.

Air pollution epidemiology: A simplified Generalized Linear Model approach optimized by bio-inspired metaheuristics

2020 ◽  
Vol 191 ◽  
pp. 110106 ◽  
Author(s):  
Jônatas T. Belotti ◽  
Diego S. Castanho ◽  
Lilian N. Araujo ◽  
Lucas V. da Silva ◽  
Thiago Antonini Alves ◽  
...  
Keyword(s):  
Air Pollution ◽  
Linear Model ◽  
Generalized Linear Model ◽  
Air Pollution Epidemiology ◽  
Model Approach

scholarly journals THE EFFECT OF FINANCIAL PERFORMANCES ON EARNINGS QUALITY OF SERBIAN HOTELS

2020 ◽  
pp. 333-345
Author(s):  
Ivana Bešlić Rupić ◽  
◽  
Dragana Bešlić Obradović ◽  
Bojan Rupić ◽  
◽  
...  
Keyword(s):  
Correlation Matrix ◽  
Multivariate Regression ◽  
Earnings Quality ◽  
Financial Statements ◽  
Descriptive Statistics ◽  
Multidimensional Measure ◽  
Managerial Implications ◽  
Univariate Test ◽  
Test Correlation

This study examines the effect of financial performances on earnings quality using a sample of Serbian hotels during the period 2015-2019. First, the authors build a multidimensional measure of earnings quality including attributes as the hotel’s going concerned, size, current liquidity, age, profitability, and leverage. Second, the authors examine variables that are potentially associated with earnings quality. The methodology includes descriptive statistics, univariate test, correlation matrix for the variables, multivariate regression, F-test. This paper presents managerial implications for professionals, users of financial statements, and academics.

scholarly journals Pengaruh Struktur Modal, Likuiditas, Profitabilitas dan Umur Perusahaan terhadap Kualitas Laba:

2022 ◽  
Vol 4 (3) ◽  
pp. 663-682
Author(s):  
Khoirunnisa Nur Hasanah ◽  
Teguh Erawati
Keyword(s):  
Capital Structure ◽  
Quantitative Research ◽  
Stock Exchange ◽  
Earnings Quality ◽  
Secondary Data ◽  
Financial Statements ◽  
Financial Statement ◽  
Firm Age ◽  
Information Need

This study aims to prove the effect of capital structure, liquidity, profitability and firm age on earnings quality. The type of research used is quantitative research and secondary data. The sample of this research is mining companies listed on the Indonesia Stock Exchange (IDX) in 2017-2020 using purposive sampling. This study shows that capital structure has no significant effect on earnings quality, liquidity has no significant effect on earnings quality, profitability has no significant effect on earnings quality and firm age has no significant effect on earnings quality. The implications of this research are related to earnings quality. Investors and other users of financial statement information, need to consider the liquidity factor because this factor has a significant impact on the quality of earnings in the company. This shows that users of financial statements, especially investors, need to consider the liquidity factor when making investment decisions in affiliated companies. Keywords: Capital Structure, Liquidity, Profitability, Company Age, Earnings Quality

scholarly journals The effects of the International Financial Reporting Standards (IFRS) adoption on earnings quality: evidence from Korea

2017 ◽  
Vol 14 (3) ◽  
pp. 243-250
Author(s):  
Jee Hoon Yuk ◽  
Wook Bin Leem
Keyword(s):  
Financial Reporting ◽  
Institutional Environment ◽  
Earnings Quality ◽  
Financial Statements ◽  
Consolidated Financial Statements ◽  
Listed Firms ◽  
Financial Reporting Standards ◽  
Ifrs Adoption

This study investigates whether earnings quality of Korean listed firms was substantially improved after the IFRS adoption in long-term aspect and which firms listed in KOSPI or KOSDAQ market had been more enjoyed the benefit. Prior studies related to this subject don’t provide consistent results and have a limitation of insufficiency of research periods. Therefore, this study analyzes the positive effect of the IFRS adoption in Korea using long-term based approach and comparative analysis on each Korean stock market. Furthermore, this study considered Korean specific institutional environment in which main financial statements prepared and disclosed by listed firms were changed from individual financial statements to consolidated financial statements after the IFRS adoption. Results of the study found that earnings quality of Korean listed firms had been significantly improved during 5 years after the IFRS adoption. In addition, earnings quality on consolidated financial statements of KOSDAQ listed firms has improved more than that of KOSPI listed firms. The results provide meaningful implications to evaluate the effects of IFRS adoption on earnings quality and to assess accomplishment of fundamental purpose of the IFRS adoption in Korea.

Transaction-based lending and accrual quality

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Stephen Gray ◽  
Arjan Premti
Keyword(s):  
Earnings Quality ◽  
Financial Statements ◽  
Financial Statement ◽  
Cost Of Debt ◽  
Accrual Quality ◽  
Content Type ◽  
Income Statement ◽  
Prior Literature ◽  
The Cost

PurposeThis study examines how lenders modify their behavior and their use of traditional, transaction-based lending models in credit decisions when faced with low earnings quality.Design/methodology/approachTo measure the earnings quality, following Bharath, Sunder and Sunder (2008), the authors use three measures of accrual quality and combine them into a simple parsimonious measure of accrual quality. Subsequently, the authors apply the incremental R-square approach used by Kim and Kross (2005) to determine the degree to which lenders modify their reliance on financial statement ratios when faced with low accrual quality.FindingsConsistent with prior literature, this study shows that the cost of debt is higher when accrual quality is low. In addition, this study extends prior literature by showing that lenders decrease their reliance on income statement data to make credit decisions as accrual quality decreases.Originality/valueThis paper broadens existing literature on the pricing of information risk in capital markets by being the first to show that lenders modify their reliance on financial statement data when faced with low-quality accruals. In addition, this paper extends the findings of Billings and Morton (2002) and demonstrates to managers the futility of using accrual manipulations to obtain more favorable credit terms. Lastly, this paper aids regulators and standard setters who seek to improve the usefulness of financial statements by showing that creditors do not appear to be misled by reporting choices that lower the quality of accruals.

scholarly journals Analysis Of Conservatism Accounting And Conflict Bondholders-Shareholder Against Quality Of Profit In Indonesia And Australia And Its Comparison

Riset ◽  
2020 ◽  
Vol 2 (2) ◽  
pp. 264-276
Author(s):  
Elis Asri Munggaran ◽  
I Gede Sudi Adnyana
Keyword(s):  
Statistical Analysis ◽  
Stock Exchange ◽  
Earnings Quality ◽  
Financial Statements ◽  
Accounting Conservatism ◽  
Quality Level ◽  
Significance Level ◽  
Independent Variable ◽  
Earning Quality

This study aims to determine the effect of accounting conservatism and the conflict of bondholder-shareholders on the companies' earnings quality that list on the Indonesian Stock Exchange (IDX) and the Australian Securities Exchange (ASX). Besides, this study also aims to determine differences in Indonesia's earning quality level and Australia financial statements. The research method used is a quantitative statistical analysis using the classic assumption test, multiple regression analysis, T-test, and F test by a significance level of 5%. This study's independent variable (X) is accounting conservatism and shareholder bondholder conflict with the dependent variable (Y), earnings quality. The result of the analysis that has been done proves that partially and simultaneously, accounting conservatism has a significant effect on the earning quality in Indonesian and Australian companies. Meanwhile, in the study of the bondholder-shareholder conflict on earning quality shows that it does not affect achieving quality. But, simultaneously, it involves reaching quality in Indonesian and Australian companies. Meanwhile, based on descriptive statistical analysis, earnings quality in Australia is better than in Indonesia.

scholarly journals Generalized linear modeling of a panel mobility index with correlated multivariate categorical responses

2021 ◽  
Vol 54 (2) ◽  
pp. 207-221
Author(s):  
Drew M. Lazar ◽  
Munni Begum
Keyword(s):  
Linear Model ◽  
Generalized Linear Model ◽  
Goodness Of Fit ◽  
Linear Modeling ◽  
Older Americans ◽  
Binary Responses ◽  
Explanatory Variables ◽  
Categorical Responses ◽  
Multivariate Categorical ◽  
Model Approach

Data with multivariate, longitudual categorical responses often occur in applications. It can be difficult to analyze and model such data while simultaneously taking into account explanatory variables and correlations between the responses over time. We take a generalized linear model approach to this problem in analyzing panel data from the Health and Retirement Survey (HRS) that includes older Americans’ mobility over several years as a response. We provide a general formula for the likelihood of such data and apply it to the case when there are three binary responses. This approach can be taken, with computational limits, for data with multivariate, categorical responses with any number of categories. We consider, simultaneously, interpretations of coefficients, dependence of responses and goodness-of-fit in reduced models for parsimony while taking into account explanatory data. The gradient of the objective function is provided for use in gradient descent and the coded optimization algorithm is tested with a Monte Carlo simulation. Dependence of responses in mobility is shown before taking explanatory variables into account, and dependence is shown in a Markov logistic regression model and in the generalized linear model taking into account race, age, gender and interactions between them.

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