scholarly journals The Effect of Audit Quality on Firm Performance: A Panel Data Approach

2019 ◽  
Vol 9 (1) ◽  
pp. 229 ◽  
Author(s):  
May M. Elewa ◽  
Rasha El-Haddad
Keyword(s):  
Firm Performance ◽  
Panel Data ◽  
Audit Quality ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Auditor Independence ◽  
Return On Equity ◽  
Financial Firms ◽  
Big 4

This study attempts to examine the effect of audit quality on firm performance. It uses financial statements of non-financial firms listed as EGX 100. The population studied consists of thirty non-financial firms. The study covers a five year period 2010-2014. It applies panel data analysis. Independent Variables are Auditor Experience (measured by Big-4) and Auditor Independence (measured by auditor Rotation ROT). Dependent Variables are Return on Assets ROA and Return on Equity ROE. In accordance with the Random Effect Model results, BIG 4 and ROT have an insignificant impact on the ROA and ROE of the firm. External and internal financial statement users may benefit from the study only when dealing with high-profit firms.

Analysis of Board Size and Firm Performance: Evidence from NSE Companies Using Panel Data Approach

2016 ◽  
Vol 9 (2) ◽  
pp. 148-172 ◽  
Author(s):  
Anjala Kalsie ◽  
Shikha Mittal Shrivastav
Keyword(s):  
Firm Performance ◽  
Panel Data ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Fixed Effect Model ◽  
Least Square ◽  
Empirical Literature ◽  
Board Size ◽  
Effect Model

This article seeks to examine the relationship between the board size and firm performance. Existing literature on board size is based on different theories of corporate governance. While agency theory and resource dependency theory suggest that the board size positively affects performance, stewardship theory favours smaller board size and argues that larger board size negatively impacts the firm performance. The present article adds to the empirical literature by employing panel data analysis of 145 non-financial companies listed in the NSE CNX 200 Index of India corresponding to 16 industries. The study is carried out for a period of five years from 2008 to 2012. The firm performance has been measured using Tobin’s Q and the market-to-book value ratio (MBVR) as market-based measures and return on assets (ROA) and return on capital employed (ROCE) as accounting-based measures. The fixed effect model, random effect model and feasible generalised least square (FGLS) regression models are applied to achieve the above-mentioned objectives. The results conclude that the board size has a positive and significant impact on the firm performance.

scholarly journals PRACTICING FRS AND AUDIT QUALITY SUPPORT FINANCIAL SUCCESS OF CONSTRUCTION FIRMS IN MALAYSIA

2016 ◽  
Vol 1 (1) ◽  
Author(s):  
Chia Hua Sim ◽  
Daw Tin Hla ◽  
Abu Hassan Md.Isa
Keyword(s):  
Firm Performance ◽  
Panel Data ◽  
Financial Reporting ◽  
Audit Quality ◽  
Positive Impact ◽  
Panel Data Analysis ◽  
Financial Success ◽  
Reporting Standard ◽  
Construction Firms ◽  
The Impact

Prior research findings on the effect of financial reporting and audit quality on firm performance were mixed. The current study therefore, sought to examine the impact of audit quality and FRS practices of firms on their financial success. Samples firms listed on Malaysian stock market were selected from the construction sector for the period of 2010 to 2013. Data was collected from the published annual reports and notes to the financial statements. To assess the level of compliance with the regulations and provisions of the Financial Reporting Standard (FRS) in Malaysia, content analysis was carried out. Firm’s engagement with established audit firm is used as a proxy for audit quality, and return on assets is used as a measure of firm performance. Panel data analysis was employed in analysing the data and testing the stated hypotheses. The use of panel data reveals that practices of FRS by firms is significantly and positively related to their financial performance. The results also indicate that audit quality has a significant positive impact on business financial success. The study therefore recommends that the management of listed construction firms improve their practices of FRS and employ the service of established audit firms in support of financial success. Regular training may be organised to provide construction companies with practical guide for better compliance with the FRS in Malaysia.  

scholarly journals ANALISIS PENGARUH UPAH MINIMUM TERHADAP KESEMPATAN KERJA SEKTOR INDUSTRI DENGAN PANEL DATA ANALYSIS

IQTISHODUNA ◽  
2011 ◽  
Author(s):  
Luthfiya Fathi Pusposari
Keyword(s):  
Data Analysis ◽  
Panel Data ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Control Variable ◽  
Industrial Sector ◽  
Fixed Effect ◽  
Minimum Wages ◽  
Effect Model

This study aims to determine the effect of minimum wages and employment of industrial sector in East Java. Researchers include two control variables are GDP as control variable of demand labor and work force as control variable of supply labor by using panel data from all districts and cities in East Java (29 districts and nine cities). Analysis of this study used panel data analysis which consisting of the Common Effect model, Fixed Effect model and Random Effect model, then chosed the most appropriate model. The result of this study show after testing the models, the appropriate model is fixed effect where minimum wages have negative effect of employment in industrial sector in east java.

scholarly journals A Panel Data Analysis of Globalization, Peace and Stability: Implications for Governance and the Global Knowledge Economy

2020 ◽  
Vol 4 (2) ◽  
pp. 1-1
Author(s):  
Ayaz Zafar ◽  
Muhammad Tariq Majeed
Keyword(s):  
Panel Data ◽  
Knowledge Economy ◽  
Positive Impact ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Fixed Effect Model ◽  
Global Knowledge ◽  
Data Set ◽  
Effect Model

This study attempts to explore the relationship between globalization and the knowledge economy via governance. It intends to explain the channel of their relationship through peace and stability. Knowledge economy pillars (Education and Information and communication technology) are used as the dependent variable and globalization is used as an independent variable. To obtain the objectives of the study, the panel data set of 198 countries is used for the period of 1996-2016. The study has employed econometric techniques of panel data set such as the Fixed Effect Model (FEM), Random Effect Model (REM), and Hausman test. The results reveal that globalization has a significant and positive impact on the knowledge economy. Hence the study recommends that the country should execute such reforms that help enhance the globalization and increase the development of the knowledge economy.

scholarly journals THE IMPACT OF ESG PERFORMANCE TO FIRM PERFORMANCE AND MARKET VALUE

2020 ◽  
Vol 5 (1) ◽  
pp. 21-41
Author(s):  
David Junius ◽  
Adriel Adisurjo ◽  
Y. Arief Rijanto ◽  
Yang Elvi Adelina
Keyword(s):  
Firm Performance ◽  
Random Effect ◽  
Random Effect Model ◽  
Market Value ◽  
Return On Equity ◽  
Dependent Variables ◽  
Price Earnings Ratio ◽  
Asean Countries ◽  
One Year ◽  
The Impact

This research aims to investigate the impact of ESG performance on firm performance and market value. Total samples used are 271 listed companies (1355 firm-years observations) in five years period (2013-2017), which consisted of four ASEAN countries (Indonesia, Malaysia, Singapore, and Thailand). This study is analyzed using multiple regression analyses with the random-effect model and descriptive statistic. The independent variable is ESG Score; the dependent variables are three performance indicators (Return on Assets, Return on Equity, and Tobin’s Q) and Price-Earnings ratio; the control variables are firm size, firm's age, financial leverage, and industry. This research contributes to broadening the scope of the literature review regardings ESG performance by analyzing it on developing countries and also by using rarely used dependent variables, market value. The finding in this research is there is no significant influence from ESG Score to Firm Performance and Market Value because ESG Score is not yet a part of firm performance measurement. This research is limited in conducting lag effect research with the lag period of only one year, and also the number of companies that already have ESG scores is limited.

scholarly journals PENGARUH BELANJA PEMERINTAH PUSAT TERHADAP PENERIMAAN NEGARA BUKAN PAJAK PADA KEMENTERIAN NEGARA/LEMBAGA PERIODE 2012-2017

2021 ◽  
Vol 6 (3) ◽  
pp. 227-245
Author(s):  
Puji Wibowo ◽  
Yoopi Abimanyu ◽  
Heri Syafardi ◽  
Muhadi Prabowo ◽  
Iin Indrawati
Keyword(s):  
Panel Data ◽  
Central Government ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Tax Revenue ◽  
Purposive Sampling ◽  
Goods And Services ◽  
Effect Model ◽  
The Impact

Various studies evaluate the impact of budget on government revenue at sub national levels. There are few empirical findings that show how central government budget may influence federal revenue collected by ministries. This study aims to investigate the budget impact of non tax revenue across Indonesian line ministries/agencies in the 2012-2017 period prior to the implementation of Act 9 Year 2018 concerning Non Tax Revenue. By using purposive sampling method, we found there were 24 government institutions observed in this study. We conducted granger causality and panel data analysis by adopting random effect model to examine the effect of goods and services expenditure, capital expenditure, and employee expenditure on non-tax revenue. It is concluded that only government spending on goods and services significantly affects on non-tax revenue performance, while the two other variables have no impacts. Abstrak Sejumlah riset telah dilakukan untuk menguji pengaruh anggaran belanja terhadap pendapatan pemerintah pada level pemerintahan daerah. Sampai saat masih sedikit bukti yang mengungkapkan adanya pengaruh alokasi anggaran belanja pemerintah pusat terhadap pendapatan yang diperoleh Kementerian Negara/Lembaga (K/L). Riset ini bertujuan untuk mengungkapkan pengaruh alokasi anggaran terhadap realisasi Penerimaan Negara Bukan Pajak (PNBP) pada K/L selama periode 2012-2017, sebelum pemberlakuan UU Nomor 9 Tahun 2018 tentang Penerimaan Negara Bukan Pajak. Metode pengambilan sampel yang digunakan adalah purposive sampling, diperoleh 24 instansi pemerintah sebagai objek penelitian. Dengan menggunakan analisis granger dan panel data dengan pendekatan random effect model, penelitian ini menguji pengaruh belanja barang, belanja modal, dan belanja pegawai terhadap kinerja PNBP. Hasil studi ini menyimpulkan bahwa belanja barang berpengaruh signifikan terhadap capaian realisasi PNBP pada K/L, sementara kedua variabel belanja yang lain tidak berdampak signifikan  

scholarly journals INTELLECTUAL CAPITAL DISCLOSURES AND AUDIT COMPONENTS IN NON-DISCRETIONARY INCOME

2019 ◽  
Vol 9 (1) ◽  
pp. 124
Author(s):  
Saarce Elsye Hatane ◽  
Dewi Rembulan ◽  
Josua Tarigan
Keyword(s):  
Firm Performance ◽  
Intellectual Capital ◽  
Audit Committee ◽  
Audit Quality ◽  
Random Effect ◽  
Random Effect Model ◽  
Audit Committees ◽  
Net Income ◽  
The Impact ◽  
The Relationship

This study aims to determine the relationship of Intellectual Capital Disclosures (ICD), audit committee characteristics (size, gender, education, expertise), and audit quality toward the performance of the company measured through Non-Discretionary Net Income (NDNI) and Cash Flow Operation (CFO). This study is conducted on service listed companies in the Indonesia Stock Exchange (Service Industry) from 2010 to 2016 by panel data regression method analyzed using random effect model. The results of this study indicate that components in ICD have no significant impact on firm performance. Some components in the audit committees are found to have significant positive relationship towards financial performance. The empirical results suggest that ICD serve as a tool in aiding firm performance. A corporation should practice ICD extensively to enjoy the impact on the firm performance and value. Most research studies the relationship between intellectual capital disclosures and board diversity toward firm performance individually. The interaction of intellectual capital disclosures and audit committee characteristics is analyzed and studied to see whether audit committee characteristics is a factor that can help and improve the effectiveness of firm performance. Audit quality is also being analyzed and being taken into consideration as a variable. This is the first study to find the relationship towards the firm performance using NDNI and CFO as the dependent variables

scholarly journals Pengaruh Belanja Ekonomi di Era Desentralisasi Fiskal terhadap Kemiskinan di Indonesia

2021 ◽  
Vol 5 (1) ◽  
pp. 10
Author(s):  
Zainuddin Zainuddin ◽  
Hamdani Hamdani ◽  
Ilyas Ilyas ◽  
Maryam Maryam
Keyword(s):  
Panel Data ◽  
Social Protection ◽  
Fiscal Decentralization ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Health Spending ◽  
Provincial Government ◽  
Analysis Model ◽  
Education Spending

The purpose of this study was to determine the effect of provincial government sectoral spending on poverty in the era of fiscal decentralization in Indonesia. Meanwhile, the sectoral expenditure variables that are considered closely related to poverty are economic spending, housing and public facilities spending, health spending, education spending, and social protection spending according to provinces in Indonesia. The data in this study is panel data, namely cross-section of 33 provinces, and time series of 4 years, namely the period 2012 - 2015. After the Chow test and Hausman test, as well as the lagrange multiplier test, the analysis model in this study was determined to be the random effect model, which is a common analysis model in panel data analysis. This study concludes that partially negative economic spending on poverty, meaning that sector spending can reduce poverty in the era of fiscal decentralization in Indonesia. In this analysis, it was found that the ability of the independent variable in explaining the dependent variable was 0.190165 units or 19.02%, and the remaining 80.98% was explained by other variables not included in this study.

scholarly journals Effect of Corporate Governance on Islamic Banking: Evidence from Listed Firms of Pakistani Stock Exchange

2019 ◽  
Vol 9 (1) ◽  
pp. 170
Author(s):  
Laila Javeed
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Stock Exchange ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Islamic Banks ◽  
Longitudinal Assessment ◽  
Listed Firms ◽  
Director Ownership

The Purpose of this study is to analyze the influence of corporate governance on firm performance (Islamic Banks) in Pakistan. The study presents a longitudinal assessment of the compliance and implications of the revised code on firm performance. This study uses data from listed firms of Pakistan Stock Exchange (PSE) for the years 2007-2016 to investigate the effect of corporate governance, indices the performance of Islamic Banks. The study uses panel data analysis and random effect model. We used board size, CEO duality, board independence, director ownership, and frequency of meeting as corporate governance indices, ROE, and ROA as performance of Islamic banks proxies. The results have intimation for regulatory authorities, shareholders and directors to take steps to improve the board competencies for better performance.

scholarly journals Effect of Dividend on Stock Market Price: A Panel Data Approach

2020 ◽  
Vol 23 (1) ◽  
pp. 199-208
Author(s):  
Purna Man Shrestha
Keyword(s):  
Panel Data ◽  
Stock Market ◽  
Dividend Policy ◽  
Random Effect ◽  
Random Effect Model ◽  
Market Price ◽  
Lagrangian Multiplier ◽  
Return On Equity ◽  
Effect Model ◽  
The Impact

Dividend policy is major concern for investor, managers and policy makers. Proper dividend policy helps to achieve the wealth maximization goal of the firm. This study has examined the impact of dividend on stock market price of Nepalese enterprises. For this purpose 33 dividend paying companies listed on NEPSE has been selected as sample. Likewise, this study used unbalance panel data for the period of 2000/01 to 2018/19. Breusch and Pagan Lagrangian multiplier test concluded that Pooled regression model is not appropriate and Hausman test concluded that Random Effect model is not appropriate for the data used in this study. Thus, this study adopted Fixed Effect model to analyze the impact of dividend on stock market price. This study concluded that there is significant impact of dividend on stock market price of Nepalese enterprises after controlling return on equity, earnings per share and return on equity. Finally, this study concluded that cash dividend has significant negative and stock dividend has significant positive impact on stock market price of Nepalese enterprises.

Sign in / Sign up

Export Citation Format

Share Document