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The influence of financial flexibility on firm performance: the moderating effects of investment efficiency and investment scale Journal of Applied Accounting Research Pub Date : 2024-03-12 Wei Wu, Chau Le, Yulu Shi, Fadi Alkaraan
Purpose Financial flexibility and investment efficiency are of vital importance in strategic choices at boardrooms, particularly in post-crisis recovery strategies. This study examines the moderating effects of investment efficiency and investment scale on the relationship between financial flexibility and firm performance. Design/methodology/approach The authors use sample of 10,755 US-listed firms
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Earnings management, investor sentiment and short-termism Journal of Applied Accounting Research Pub Date : 2024-01-18 Kléber Formiga Miranda, Márcio André Veras Machado
Purpose This study examines the investment horizon influence, mediated by market optimism, on earnings management based on accruals and real activities. Based on short-termism, the authors argue that earnings management increases in optimistic periods to boost corporate profits. Design/methodology/approach The authors analyzed non-financial Brazilian publicly traded firms from 2010 to 2020 by estimating
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Top management characteristics and comprehensive focus on budgeting Journal of Applied Accounting Research Pub Date : 2023-12-19 Lili-Anne Kihn, Eva Ström
Purpose This study examines how the strong emphasis placed on the purposes of budgeting, referring to a comprehensive focus on budgeting, is related to top managers' education and tenure while controlling for their functional positions in their respective firms and ages, as well as several company-specific predictors (information quality, firm size, information technology, importance of profit and
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Banking research in the GCC region and agenda for future research – A bibliometric examination Journal of Applied Accounting Research Pub Date : 2023-12-15 Rajib Shome, Hany Elbardan, Hassan Yazdifar
Purpose This paper provides a comprehensive review of the influential and intellectual aspects of the literature on the Gulf Cooperation Council (GCC) region's banking activities. Design/methodology/approach This study undertakes a bibliometric meta-analysis review of the GCC region banking literature, covering 199 articles published between 2004 and 2022, extracted from the Web of Science (WoS) database
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Back to goodwill amortisation: impact of the 2016 Spanish regulation on the mispricing of listed firms Journal of Applied Accounting Research Pub Date : 2023-12-13 Fernando Ruiz-Lamas, David Peón
Purpose This article analyses the recent inverse transition from goodwill impairment to goodwill amortisation implemented in Spain in 2016. The authors contribute to the existing literature by describing their differing impact over goodwill and impairment figures and testing the impact of goodwill on balances over stock prices. Design/methodology/approach First, using a database with all Spanish non-financial
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Economic policy uncertainty and cost rigidity: the moderating effects of government contracts and political connections Journal of Applied Accounting Research Pub Date : 2023-12-12 Hoyoung Kim, Maretno Agus Harjoto
Purpose This study examines the relationship between economic policy uncertainty (EPU) and managers' ex ante strategic choice on firms’ fixed and variable costs structure, i.e. cost rigidity and the moderating effect of government contracts and political connections. Design/methodology/approach Using a sample of 4,162 US firms during 2003–2019 and EPU measure from Baker et al. (2016), the authors examine
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The impact of the IFRS adoption reform on audit market concentration, auditor choice and audit quality Journal of Applied Accounting Research Pub Date : 2023-11-29 Michael Eric Bradbury, Oksana Kim
Purpose The study examines the changes in audit market concentration, auditor choice and audit quality in Russia following International Financial Reporting Standards (IFRS) adoption. Scholars have called for further examination of the effects of IFRS adoption on auditors, with an emphasis on the importance of analyzing emerging markets that are characterized by enforcement challenges and lack of proper
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Financial distress prediction in private firms: developing a model for troubled debt restructuring Journal of Applied Accounting Research Pub Date : 2023-11-20 Asad Mehmood, Francesco De Luca
Purpose This study aims to develop a model based on the financial variables for better accuracy of financial distress prediction on the sample of private French, Spanish and Italian firms. Thus, firms in financial difficulties could timely request for troubled debt restructuring (TDR) to continue business. Design/methodology/approach This study used a sample of 312 distressed and 312 non-distressed
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Political alignment and corporate fraud: evidence from the United States of America Journal of Applied Accounting Research Pub Date : 2023-10-31 Adriana Cordis
Purpose The paper investigates whether political geography, as measured by the degree of alignment of state politicians with the party of the USA President, has an impact on corporate fraud convictions. Design/methodology/approach Prior research shows that the degree of alignment between state politicians and the president's political party is positively correlated with measures of earnings management
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Tying the knot – linking bootstrapping and working capital management in established enterprises Journal of Applied Accounting Research Pub Date : 2023-11-02 Margaret Fitzsimons, Teresa Hogan, Michael Thomas Hayden
Purpose Bootstrapping is a practitioner-based term adopted in entrepreneurship to describe the techniques employed in micro, small and medium-sized enterprises (MSMEs) to minimise the need for external funding by securing resources at little or no cost and applying strategies to effectively use resources. Working capital management (WCM) is a term used in financial management to define a set of practices
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The interplay of sustainability reporting and management control – an exploration of ways for dovetailing to develop reporting beyond accountability Journal of Applied Accounting Research Pub Date : 2023-10-30 Albert Anton Traxler, Daniela Schrack, Dorothea Greiling, Julia Feldbauer, Michaela Lautner
Purpose Companies must no longer just report on corporate sustainability (CS) performance but also demonstrate that they are aligning their strategies with sustainability. However, suitable management control systems (MCS) are required to implement a sustainability strategy. Thereby, sustainability reporting (SR) can also be employed for control purposes. On the other hand, existing MCS can be used
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Do retail and institutional investors react differently to earnings management? Evidence from Indian IPOs Journal of Applied Accounting Research Pub Date : 2023-10-24 V.P. Priyesh, Lukose P.J. Jijo
Purpose This study investigates the impact of pre-IPO earnings management on investor demand in the Indian IPO market. It also examines whether earnings management by issuer firms affects IPO valuation, a topic that is underexplored in accounting research. Design/methodology/approach The study uses the data of 310 IPOs from India during the period 2000–2021. The association between pre-IPO earnings
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Institutional investors' information needs in the context of the sustainable finance disclosure regulation (EU/2019/2088): the implications for companies' sustainability reporting Journal of Applied Accounting Research Pub Date : 2023-10-23 Maria Gebhardt, Anne Schneider, Marcel Seefloth, Henning Zülch
Purpose The paper aims to provide companies with a better understanding of the needs of institutional investors to improve the disclosure of sustainability information by companies. The study investigates the changed information needs of institutional investors resulting from the Sustainable Finance Disclosure Regulation (SFDR). Design/methodology/approach This study uses an internet-based survey instrument
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Differential reporting and earnings quality: is more better? Journal of Applied Accounting Research Pub Date : 2023-10-03 Mario Daniele
Purpose When financial statements are public, the choice between alternative reporting regimes constitutes a signal that addresses external stakeholders. Generally, the choice of more complex regimes acts as a complement of firms' transparency. However, in the absence of audits, opportunistic behaviors could be incentivized. This study aims to test whether SMEs' choice between alternative accounting
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Market reaction to mandatory sustainability disclosures: evidence from Singapore Journal of Applied Accounting Research Pub Date : 2023-10-03 Jerry Chen
Purpose This study aims to investigate the equity market reaction to sustainability disclosure measures derived from firms' inaugural sustainability reports following the implementation of mandatory sustainability reporting in Singapore. Design/methodology/approach This study explores the equity market reaction to first-time sustainability reports of mandatory adopters and compares the reactions between
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Value relevance of compliance with IFRS 7: evidence from Canada Journal of Applied Accounting Research Pub Date : 2023-09-29 Yosra Mnif, Oumaima Znazen
Purpose This paper aims to test whether the extent of compliance with International Financial Reporting Standards (IFRS) 7 requirements is value relevant and whether it influences the value relevance of the firm's accounting information (book value of shareholders' equity and net income). Design/methodology/approach The sample for this paper consists of 288 financial institutions listed on the Toronto
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Audit partner attributes and key audit matters readability Journal of Applied Accounting Research Pub Date : 2023-09-29 Gordon Mwintome, Joseph Akadeagre Agana, Stephen Zamore
Purpose The authors examine the association between two important audit partner characteristics and the readability of key audit matters (KAMs) disclosed in the audit reports. Specifically, the authors examine how the readability of KAMs is associated with audit partner tenure and workload. Design/methodology/approach The authors conduct the study in the audit context of Norway and applied the Flesch
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Religiosity, financial distress and R&D accounting treatment in US context Journal of Applied Accounting Research Pub Date : 2023-09-28 Ines Gharbi, Mounira Hamed-Sidhom, Khaled Hussainey
Purpose Prior research shows that religiosity affects the degree of managers' risk aversion. As a result, religious firms are less likely to invest in R&D activities. Moreover, US GAAP treats these investments as expenses. For this reason, religious firms have fewer expenses in their earnings and are less likely to be in financial distress. Design/methodology/approach Data are collected from Worldscope
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A corporate risk assessment and reporting model in emerging economies Journal of Applied Accounting Research Pub Date : 2023-09-26 Ghassem Blue, Omid Faraji, Mohsen Khotanlou, Zabihollah Rezaee
Purpose The growing business complexity has caused many risks (e.g. operational, financial, reputational, cybersecurity, regulatory and compliance) that threaten companies' sustainability and have received attention from regulators, investors, and businesses. The authors present a model for assessing and reporting corporate risk by examining the indicators underlying corporate risk reporting. Desi
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Ownership structure and corporate tax avoidance: a structured literature review on archival research Journal of Applied Accounting Research Pub Date : 2023-09-18 Patrick Velte
Purpose To the best of the author’s knowledge, the author conducts the first detailed review on the impact of ownership variables on corporate tax avoidance, based on 69 archival studies over the two last decades. Design/methodology/approach Referring to an agency-theoretical framework, the author differentiates between six categories of ownership (institutional, state, family, foreign, managerial
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A deep learning-based SEM-ANN analysis of the impact of AI-based audit services on client trust Journal of Applied Accounting Research Pub Date : 2023-09-01 Awni Rawashdeh
Purpose The advent of technology has propelled audit firms to incorporate AI-based audit services, bringing the relationship between audit clients and firms into sharper focus. Nonetheless, the understanding of how AI-based audit services affect this relationship remains sparse. This study strives to probe how an audit client's satisfaction with AI-based audit services influences their trust in audit
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An experimental study on the effect of penalties on employers' trust and employees' reciprocity and the moderating effect of communication Journal of Applied Accounting Research Pub Date : 2023-08-30 Heba Abdel-Rahim, Jing Liu
Purpose There is growing scholarly interest in the use of penalty in employment contracts which reduce employees' pay if the employee's performance does not meet a pre-specified performance threshold. Prior accounting research has focused exclusively on the effect of penalty on employee performance. In this study, the authors extend earlier research by examining how penalty affects the employers' wage
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Does IFRS convergence affect the readability of annual reports by Indian listed companies? Journal of Applied Accounting Research Pub Date : 2023-08-16 R. Saravanan, Firoz Mohammad, Praveen Kumar
Purpose The purpose of this study is to investigate the influence of IFRS convergence on annual report readability in an emerging market context, with an emphasis on the contents of management discussion and analysis (MD&A), notes to the accounts (Notes) and the whole annual report. Design/methodology/approach The study performs firm-fixed effect regression on a sample of 143 Indian listed companies
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EMAS III-based analysis of European eco-management for energy efficiency investments Journal of Applied Accounting Research Pub Date : 2023-08-15 Hasan Dinçer, Serhat Yuksel, Muhammad Ishaq M. Bhatti, Alexey Mikhaylov
Purpose The aim is to analyze the European eco-management because the global warming has become a topical issue impacting the whole world. Individual countries are trying to minimize all the catalysts of global warming, such as carbon emissions. This paper addresses this issue and analyzes the performance of European eco-management for the purpose of future energy investments being environmentally
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Business strategy and the cost of equity: the mediating role of accounting information quality Journal of Applied Accounting Research Pub Date : 2023-08-07 Teddy Ossei Kwakye, Kamran Ahmed
Purpose The study examines the mediating role of accounting information quality (AQ), a proxy for firms' information risk, in firms' business strategy and the cost of equity (COE) nexus to highlight how AQ provides a mechanism through which a company's business strategy affects its COE. Design/methodology/approach The research study utilises data from 12,100 firm-year observations of United States
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Audit quality and classification shifting: evidence from UK and Germany Journal of Applied Accounting Research Pub Date : 2023-08-01 Muhammad Usman, Jacinta Nwachukwu, Ernest Ezeani, Rami Ibrahim A. Salem, Bilal Bilal, Frank Obenpong Kwabi
Purpose The authors examine the impact of audit quality (AQ) on classification shifting (CS) among non-financial firms operating in the UK and Germany. Design/methodology/approach This paper used various audit committee variables (size, meetings, gender diversity and financial expertise) to measure AQ and its impact on CS. The authors used a total of 2,110 firm-year observations from 2010 to 2019.
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Accountability in French non-profit organizations: between paradox and complexity Journal of Applied Accounting Research Pub Date : 2023-08-01 Guillaume Plaisance
Purpose This article examines whether accountability can contribute to the analysis of effectiveness in grassroots voluntary organizations (GVOs) in France. Design/methodology/approach Based on recent studies and stakeholder theory, hypotheses are formulated about the negative link between accountability and financial effectiveness and a positive link between accountability and non-financial effectiveness
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CSR disclosure and ownership structure: insights from a dynamic empirical framework using an emerging economy context Journal of Applied Accounting Research Pub Date : 2023-07-31 Dinesh Ramdhony, Saileshsingh Gunessee, Oren Mooneeapen, Pran Boolaky
Purpose This study examines the bi-directional relationship between corporate social responsibility disclosure (CSRD) and ownership structure through a dynamic empirical framework in an emerging economy context. Design/methodology/approach Data over 10 years are used to investigate the response of disclosure to ownership structure variables and vice versa. Dynamic bi-directional relationships are hypothesised
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Social responsibility and tax evasion: organised hypocrisy of Tunisian professionals Journal of Applied Accounting Research Pub Date : 2023-07-13 Saida Dammak, Manel Jmal Ep Derbel
Purpose The present work aimed to present the perception of Tunisian professionals towards companies engaged in social responsibility practices and describe the tax evasion strategies of socially responsible Tunisian companies following the coronavirus disease 2019 (COVID-19) pandemic (COVID-19) shock. Design/methodology/approach A survey was sent to 119 Tunisian tax administration auditors. Data analysis
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The impact of COVID-19 on sustainability reporting: A perspective from the US financial institutions Journal of Applied Accounting Research Pub Date : 2023-07-05 Hani Alkayed, Ibrahim Yousef, Khaled Hussainey, Esam Shehadeh
Purpose This article provides the first empirical study on the effects of the COVID-19 pandemic on sustainability reporting in US financial institutions using institutional, stakeholder and legitimacy theories. Design/methodology/approach The study used the independent sample t-test and Mann–Whitney U test throughout as well as OLS, random effects, fixed effects and heteroskedasticity corrected model
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Carbon media legitimacy in UK companies: actions or words? Journal of Applied Accounting Research Pub Date : 2023-07-05 Alireza Rohani, Mirna Jabbour
Purpose This study investigates whether carbon media legitimacy is influenced by carbon performance and/or carbon disclosure using a direct measure of carbon media legitimacy in UK context. Design/methodology/approach To test this study's hypotheses, the authors employ Tobit regression analysis of 95 UK companies listed in FTSE350. The authors use balanced panel data (475 observations in total) to
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A difficult journey from enactment to implementation of local content policy: instigating factors and accountability mechanisms for achieving sustainable development Journal of Applied Accounting Research Pub Date : 2023-07-04 Lexis Alexander Tetteh, Cletus Agyenim-Boateng, Samuel Nana Yaw Simpson
Purpose The study examines the instigating factors behind the development of the local content (LC) policy in Ghana and it further investigates the accountability mechanisms that drive the LC policy implementation to promote sustainable development. Design/methodology/approach The study reports on a series of interviews with key actors using Institutional Theory and the application of Bovens’ (2010)
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Implications of the COVID-19 pandemic on internal auditing: a field study Journal of Applied Accounting Research Pub Date : 2023-07-04 Henry Jarva, Teresa Zeitler
Purpose The purpose of this paper is to examine the implications of the COVID-19 pandemic on internal auditing as the pandemic forced individual internal auditors and audit teams to conduct the work remotely. Design/methodology/approach Five in-depth semi-structured interviews of internal audit experts that work in German retail and manufacturing industry were conducted between February and April 2021
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Female directors' representation and intellectual capital efficiency: does institutional ownership matter? Journal of Applied Accounting Research Pub Date : 2023-06-30 Ghassan H. Mardini, Fathia Elleuch Lahyani
Purpose This study examines the impact of female directors' representation in the boardroom and the role of institutional ownership (IO) on intellectual capital efficiency (ICE) and its three efficiency components: human capital efficiency (HCE); innovation capital efficiency (INCE) and capital employed efficiency (CEE). Design/methodology/approach A sample of non-financial French firms listed within
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Using accounting theory to develop a theoretical model for credit card rewards programme transactions Journal of Applied Accounting Research Pub Date : 2023-06-29 Sophia Brink, Gretha Steenkamp
Purpose After the effective date of International Financial Reporting Standard (IFRS) 15, the accounting treatment of credit card rewards programmes (CCRPs) is no longer explicitly prescribed. Uncertainty regarding what constitutes faithful representation, and the inconsistent accounting practices observed, has created a need for guidance on the appropriate accounting treatment of CCRP transactions
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The impact of executives' compensation and corporate governance attributes on voluntary disclosures: Does audit quality matter? Journal of Applied Accounting Research Pub Date : 2023-06-29 Praveen Kumar
Purpose This article investigated whether the executives' compensation and corporate governance attributes are aligned with stakeholders' demands for higher corporate voluntary disclosures. Moreover, the study also examined the moderating role of the auditor's reputation in the direction of association among executive compensation, corporate governance attributes, and voluntary disclosures. Design
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Does green innovation mediate corporate social responsibility and environmental performance? Empirical evidence from emerging markets Journal of Applied Accounting Research Pub Date : 2023-06-28 Mandella Osei-Assibey Bonsu, Yongsheng Guo, Xiaoxian Zhu
Purpose This paper examines the mediation role of green innovation in the relationship between corporate social responsibility and environmental performance of manufacturing firms in Ghana. Design/methodology/approach The paper chose African emerging markets and surveyed managers from manufacturing firms. With 301 questionnaires qualified for this study’s final analyses, the authors adopt the multiple
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Financial integration and earnings management: evidence from emerging markets Journal of Applied Accounting Research Pub Date : 2023-06-21 Syed Zulfiqar Ali Shah, Fangyi Wan
Purpose This study examines whether country-level financial integration affects firms' accounting choices and the quality of financial information. Design/methodology/approach This study employs Propensity Score Matching (PSM), and panel regressions of a large sample of data from 20 emerging markets over the period 1987–2018. Findings This study finds evidence that increased level of financial integration
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Three lines model paradigm shift: a blockchain-based control framework Journal of Applied Accounting Research Pub Date : 2023-06-19 Nathalie Brender, Marion Gauthier, Jean-Henry Morin, Arber Salihi
Purpose While the three lines model (TLM) provides an organizational structure to execute risk and control duties, research and practice show limitations in the model's implementation. These limitations result in governance issues. Such issues, together with control weaknesses, could be addressed by leveraging properties of distribution, transparency, and immutability of blockchain technology. To this
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The quality assessment of stakeholder engagement disclosure in the EU mandatory non-financial reporting framework Journal of Applied Accounting Research Pub Date : 2023-05-30 Saverio Petruzzelli, Francesco Badia
Purpose This article investigates the quality of stakeholder engagement (SE) process disclosure in the context of non-financial reporting (NFR) introduced by Directive 2014/95/EU (NFRD). SE implies the involvement of the subjects interested in the organization's activity, according to the principle of inclusiveness and the key concepts of the stakeholder theory (ST). Design/methodology/approach The
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Does CSR contribute to the financial sector's financial stability? The moderating role of a sustainability committee Journal of Applied Accounting Research Pub Date : 2023-05-15 Nurlan Orazalin, Cemil Kuzey, Ali Uyar, Abdullah S. Karaman
Purpose This study tests whether corporate social responsibility (CSR) performance is a predictor of the financial sector's financial stability (FS), with the moderation of a sustainability committee. Design/methodology/approach The sample covers financial sector firms included in the Thomson Reuters Eikon database. The analyses are based on 8,840 firm-year observations for the years between 2002 and
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Forecasting in financial accounting with artificial intelligence – A systematic literature review and future research agenda Journal of Applied Accounting Research Pub Date : 2023-05-10 Marko Kureljusic, Erik Karger
Purpose Accounting information systems are mainly rule-based, and data are usually available and well-structured. However, many accounting systems are yet to catch up with current technological developments. Thus, artificial intelligence (AI) in financial accounting is often applied only in pilot projects. Using AI-based forecasts in accounting enables proactive management and detailed analysis. However
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Effect of market-based regulations on corporate carbon disclosure and carbon performance: global evidence Journal of Applied Accounting Research Pub Date : 2023-05-08 Md Abubakar Siddique, Khaled Aljifri, Shahadut Hossain, Tonmoy Choudhury
Purpose In this study, the authors examine the relationships between market-based regulations and corporate carbon disclosure and carbon performance. The authors also investigate whether these relationships vary across emission-intensive and non-emission intensive industries. Design/methodology/approach The study sample consists of the world's 500 largest companies across most major industries over
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Probability estimation in accounting: subjective numeracy matters Journal of Applied Accounting Research Pub Date : 2023-05-02 Yuqian Zhang, Juergen Seufert, Steven Dellaportas
Purpose This study examined subjective numeracy and its relationship with accounting judgements on probability issues. Design/methodology/approach A subjective numeracy scale (SNS) questionnaire was distributed to 231 accounting students to measure self-evaluated numeracy. Modified Bayesian reasoning tasks were applied in an accounting-related probability estimation, manipulating presentation formats
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Sustainability disclosures and corporate boards: a stakeholder approach to decision-making Journal of Applied Accounting Research Pub Date : 2023-04-28 Priti Yadav, Anshul Jain
Purpose The board of directors of an organization can contribute considerably to the transition to a sustainable global economy by accommodating environmental, social and governance (ESG) measures in the directors' business model. Along these lines, the purpose of this research is to understand the nexus between the board's structural attributes and sustainability disclosures in an emerging economy
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Shari'ah governance quality and environmental, social and governance performance in Islamic banks. A cross-country evidence Journal of Applied Accounting Research Pub Date : 2023-04-11 Yossra Boudawara, Kaouther Toumi, Amira Wannes, Khaled Hussainey
Purpose The paper aims to examine the impact of Shari'ah governance quality on environmental, social and governance (ESG) performance in Islamic banks. Design/methodology/approach The study's sample consists of 66 Islamic banks from 14 countries over 2015–2019. The research uses the Heckman model, which is a two-stage estimation method to obtain unbiased estimates, as ESG scores are only observable
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Shariah audit of Islamic Banks in Bangladesh: the present practice and the way forward Journal of Applied Accounting Research Pub Date : 2023-03-22 Md. Kausar Alam, Abu Umar Faruq Ahmad, Mezbah Uddin Ahmed, Md. Salah Uddin
Purpose The study explores the existing Shariah audit practice of Islamic banks (IBs) in Bangladesh aiming at providing suggestions for improvements on the detected shortfalls in the relevant areas. Design/methodology/approach This research applied a qualitative method, and data were collected through conducting semi-structured interviews in Bangladesh. A total of 17 interviews were conducted for accomplishing
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A pragmatist neoclassical accounting research agenda for identifiable intangibles Journal of Applied Accounting Research Pub Date : 2023-03-20 Brian A. Rutherford
Purpose This paper offers a way of revivifying classical accounting research in the form of a pragmatist neoclassical programme with a sound epistemological underpinning. Design/methodology/approach The paper draws on a pragmatist perspective on financial accounting and accounting research springing from John Dewey's theory of inquiry. Findings Although a pragmatist underpinning does not entail specific
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Risk committee characteristics and risk disclosure in banks: evidence from an emerging economy Journal of Applied Accounting Research Pub Date : 2023-03-20 Arshad Hasan, Usman Sufi, Khaled Hussainey
Purpose This study aims to investigate the impact of risk committee characteristics on the risk disclosure of banking institutions in an emerging economy, Pakistan. Design/methodology/approach The data are collected through a manual content analysis of 21 banks regulated by the State Bank of Pakistan over the period 2011–2020. The study utilizes the generalized least square (GLS) regression model as
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Technical accounting resources as performative topoi for sustainability Journal of Applied Accounting Research Pub Date : 2023-03-16 Marie-Andrée Caron, Anne Fortin
Purpose The purpose of this study is to explore the potential for technical accounting resources to help professional accountants exercise their performative agency. Design/methodology/approach The authors combine the integrative learning theory of truth and the concept of performativity, including two approaches to sustainability education and interventions, to construct a grid for coding the technical
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Career development in management accounting: empirical evidence Journal of Applied Accounting Research Pub Date : 2023-03-15 Johannes Thaller, Christine Duller, Birgit Feldbauer-Durstmüller, Bernhard Gärtner
Purpose Due to globalization and digitalization, the world of work is undergoing comprehensive change. These trends are challenging management accounting (MA) and pressuring individuals and organizations to change. The literature postulates a replacement of traditional organizational careers by “new” career models characterized by dynamism and flexibility. However, the state of the art on careers in
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Beware of the watchdog! Role communication in job advertisements for management accountants Journal of Applied Accounting Research Pub Date : 2023-03-14 Robert Rieg, Jan-Hendrik Meier, Carmen Finckh
Purpose Job advertisements are important means of communicating role expectations for management accountants to the labor market. They provide information about which roles are sought and expected. However, which roles are communicated in job advertisements is unknown so far. Design/methodology/approach With a text-mining approach on a large sample of 889 job ads, the authors extract information on
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Non-performing loans and bank performance: what role does corporate social responsibility play? A system GMM analysis for European banks Journal of Applied Accounting Research Pub Date : 2023-03-10 Rim Boussaada, Abdelaziz Hakimi, Majdi Karmani
Purpose This research investigated whether corporate social responsibility (CSR) can alleviate the negative effect of non-performing loans (NPLs) on bank performance. Design/methodology/approach The research employed a sample of European banks over the 2008–2017 period. To resolve endogeneity and heterogeneity problems, the system generalized method of moments (SGMM) model was employed. Findings First
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Disclosure of auditor risk assessments in expanded audit reports Journal of Applied Accounting Research Pub Date : 2023-03-10 Karen-Ann M. Dwyer, Niamh M. Brennan, Collette E. Kirwan
Purpose This rich descriptive study examines auditors' client risk assessment (i.e. “key audit matters”/critical audit matters) disclosures in expanded audit reports of 328 Financial Times Stock Exchange (FTSE) 350 companies. The study compares auditor-identified client risks with corporate risk disclosures identified in audit committee reports, in terms of number and type of risks. The research also
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Does corporate environmental performance affect corporate biodiversity reporting decision? The Finnish evidence Journal of Applied Accounting Research Pub Date : 2023-02-28 Probal Dutta, Anupam Dutta
Purpose This study aims to examine whether there exists any relationship between corporate biodiversity reporting decision (CBRD) and corporate environmental performance (CEP). Design/methodology/approach The primary sample contains 442 firm-year observations over a period of 13 years (2008–2020) for 34 listed Finnish companies. Based on both legitimacy theory and voluntary disclosure theory, 2 logit
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The institutionalisation of social and environmental accounting practices in Europe Journal of Applied Accounting Research Pub Date : 2023-02-28 Simone Pizzi, Salvatore Principale, Roberta Fasiello, Francesca Imperiale
Purpose In the last few years, the European context has been characterised by a high degree of attention paid by policymakers, practitioners and academics to the effects related to the transposition of Directive 2014/95/EU by the member states. In particular, one the main issues of the intervention made by the European Commission is represented by the theoretical misalignment between corporate communications
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Groups of politically connected firms, political uncertainty and earnings credibility in Pakistan Journal of Applied Accounting Research Pub Date : 2023-02-13 Fawad Ahmad, Michael Eric Bradbury, Ahsan Habib
Purpose This paper examines the influence of different types of political connections and political uncertainty on earnings credibility in Pakistan. Based on discernible differences, connected firms are grouped into civil connected and military connected firms. Design/methodology/approach The authors provide evidence concerning the earnings credibility incentives of groups of political connected firms
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The applicability of machine learning algorithms in accounts receivables management Journal of Applied Accounting Research Pub Date : 2023-02-06 Marko Kureljusic, Jonas Metz
Purpose The accurate prediction of incoming cash flows enables more effective cash management and allows firms to shape firms' planning based on forward-looking information. Although most firms are aware of the benefits of these forecasts, many still have difficulties identifying and implementing an appropriate prediction model. With the rise of machine learning algorithms, numerous new forecasting
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Corporate social responsibility decoupling: a systematic literature review and future research agenda Journal of Applied Accounting Research Pub Date : 2023-01-13 Shabana Talpur, Muhammad Nadeem, Helen Roberts
Purpose This paper aims to synthesize the corporate social responsibility decoupling (CSRD) literature, CSRD's causes and consequences and discuss other organizational attributes examined by CSRD scholars during 2010 and 2020. The authors provide suggestions for a future research agenda in this domain. Design/methodology/approach The authors' systematic literature review (SLR) uses the Preferred Reporting
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Applying Benford's law to detect accounting data manipulation in the pre- and post-financial engineering periods Journal of Applied Accounting Research Pub Date : 2023-01-09 Etienne G. Harb, Nohade Nasrallah, Rim El Khoury, Khaled Hussainey
Purpose Lebanon has faced one of the most severe financial and economic crises since the end of 2019. The practices of the Lebanese banks are blamed for dangerously exposing economic agents and precipitating the current financial collapse. This paper examines the patterns of manipulation of the 10 biggest banks before and after implementing the financial engineering mechanism. Design/methodology/approach