Corporate sustainability on causal financial efficiency model in a hierarchical structure under uncertainties

Abstract

Abstract This study contributes to (1) the financial report attributes through the measurement-based algorithm and uses the financial data of the listed firm to test the validity and reliability of the proposed corporate sustainability model; (2) the impulse response relationship of the four first-level indicators and provides a basis for decision-making to improve the efficiency of a firms' financial operations; and (3) this study applies the primary and secondary data from those listed firms. Still, the financial report is the important sources for the public to obtain operations and accounting information. Few studies are presented financial report with hierarchical and causal interrelationship model in considering the corporate financial sustainability in expert preferences and firm's secondary data together. This study is presented the four parts financial reporting are structured as 1. Earning ability; 2. Efficiency; 3. Debt; and 4. Asset management. The authenticity and reliability of financial reports are inevitably affect the quality of accounting information provided and establishes a decision-making index system that affects the quality of the financial efficiency according to the four aspects. This study proposes to apply the decision making trial and evaluation laboratory and analytical network process together to handle the hierarchical and causal interrelationship. In addition, prior studies are lacking to address in built on the score data of different influencing indicators using panel data vector auto regression model. The result shows the asset management capability has a positively impact on the firms' profitability and asset-liability.