Challenges and Opportunities of Management Accounting in Iran Industries
Issue:
Volume 1, Issue 6, December 2013
Pages:
56-60
Received:
28 July 2013
Published:
20 October 2013
Abstract: In this article, we have studied recent changes in management accounting and respected disabuses which is the most important challenges and opportunities led to advance in management accounting. Management accounting extended by emphasis on accounting in three major fields as: 1) Activity accounting; 2) Strategic management accounting; 3) Accounting for advanced manufacturing technology (AAMT). These three major fields promote future management accounting and refresh it. Consequently, as management accounting can go on extended services to various commercial, industrial and governmental unit scan adapt future management accounting with new technological and management accounting. Management accounting including activity accounting, strategic management accounting and accounting for advanced technologies have led to progress management accounting and various organizations.
Abstract: In this article, we have studied recent changes in management accounting and respected disabuses which is the most important challenges and opportunities led to advance in management accounting. Management accounting extended by emphasis on accounting in three major fields as: 1) Activity accounting; 2) Strategic management accounting; 3) Accountin...
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Banking Sector Credit Development and Investment Productivity in Nigeria
Ogbuagu,
Uchechi Rex,
Chijioke,
Mercy Ihuoma,
Udah,
EnangBassey
Issue:
Volume 1, Issue 6, December 2013
Pages:
61-68
Received:
2 December 2013
Published:
20 January 2014
Abstract: In Nigeria, commercial bank credit represent almost 90 percent of the financial system assets and about two-thirds of the total credit is allocated to the private sector. Financing of investments through the credit market system portends that investments are associated with a level of productivity. Thus a developed credit market that efficiently utilizes its resources will contribute optimally to economic development. One will expect that increased earnings will lead to increased availability of credits and therefore a better developed credit market but our experience is to the contrary. In contrast, it is difficult to explain the low rate of development registered in most African countries including Nigeria in comparison to the quantum of export earnings they receive. In particular, Nigeria earned enormous revenue from crude petroleum export during oil boom years yet development in Nigeria crawls. This study therefore examined the relationship between credit market development as measured by bank sector credit ratio to GDP and investment productivity, measured as ratio of GDP to Gross Domestic Investment, GDI in Nigeria using data from 1970-2010 and standard econometric method of error correction mechanism. We observed that the improvement in the banking sector reforms ranging from structural adjustment programme (SAP) to the present consolidation era has not been translated to credit market development. This is attributed to inefficient utilization of credit market funds which results in low level of per capita income, low level of investment and ultimately poorly developed banking credit market in Nigeria. Based on the findings of the study, the following policy implications can be drawn: increase in deposit rate will encourage savings, promote credit market development and increase investment. Similarly; a reduction in lending rate will encourage borrowing for capital project financing that will lead to increased investment productivity, increased output, better use of the bank credit market and hence a better developed credit market. Through this, development in the credit market can contribute significantly to economic development via investment productivity. There is the need to increase per capita income through encouraged participation in credit market investment. Thus returns on investment in the credit market should be improved. At present people prefer to spend their money on consumption goods because of the discouraging low deposit rate in the banks. Improved deposit rate will definitely improve investment productivity and economic development through the multiplier process. Foreign direct investment was found to encourage investment productivity; policy should be geared towards attracting more FDI in Nigeria.
Abstract: In Nigeria, commercial bank credit represent almost 90 percent of the financial system assets and about two-thirds of the total credit is allocated to the private sector. Financing of investments through the credit market system portends that investments are associated with a level of productivity. Thus a developed credit market that efficiently ut...
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Accounting Disclosure, Value Relevance and Firm Life Cycle: Evidence from Iran
Bita Mashayekhi,
Omid Faraji,
Arash Tahriri
Issue:
Volume 1, Issue 6, December 2013
Pages:
69-77
Received:
31 December 2013
Published:
20 February 2014
Abstract: In this study the effect of accounting disclosure on value relevance in different stages of firm life cycle has been investigated. In order to do so, 101 companies listed on the Tehran Stock Exchange (Iran) between years 2005 to 2011 were chosen as sample. The sample firms were classified into four stages in the life cycle as Introduction, growth, maturity and Shake-Out (decline), by taking benefit from the cash flows pattern as a proxy for firm life cycle. Then in each of these stages of life cycle, the firms were classified into as high or low disclosure quality. The results of regression in ordinary least squares and Wald Test methods (to examine the significance of difference in the adjusted R squares) indicate that the relation between earnings and changes in earnings with stocks return (value relevance model) among the high and low quality disclosing companies at each stages of the life cycle are not significantly different from each other.
Abstract: In this study the effect of accounting disclosure on value relevance in different stages of firm life cycle has been investigated. In order to do so, 101 companies listed on the Tehran Stock Exchange (Iran) between years 2005 to 2011 were chosen as sample. The sample firms were classified into four stages in the life cycle as Introduction, growth, ...
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