Capital Assets Research Articles

Accounting and analytical space of providing the depreciation policy of Ukrainian enterprises

The article considers the accounting and analytical space to ensure the deprecia-tion policy of Ukrainian enterprises. The paradigm of accounting and analytical support of depreciation policy is proposed, which allows to systematize rational ways of cost allocation or value of capital assets (minus liquidation value) throughout their life, taking into account accounting, information, analytical, con-trol and innovation and investment component. It is proved that the components of accounting and analytical support of depreciation policy of Ukrainian enter-prises in the institutional economy, determine the priorities of innovative renewal of assets based on accumulation and use of the depreciation fund. Methods of reporting and accounting support of depreciation policy are identified. A graphical model of the digressive method for determining depreciation deductions is present-ed. The growth rates of the value of fixed assets and the degree of their deprecia-tion in Ukraine are analyzed. The functional dependences of costs for improve-ment (reconstruction, modernization) of fixed assets on the amount of accrued depreciation of enterprises of the Steppe zone of Ukraine are defined. The forecast volume and intervals of depreciation of fixed assets at enterprises are calculated.

Influence of Livelihood Assets on the Livelihood Outcomes of Smallholder Farmers in the Bawku East District of Northern Ghana

This research paper is a result of a study that assessed the influence of livelihood assets (the human, natural, physical, social, financial, assets) on the outcomes of smallholder farmers in Bawku East District in Northern Ghana. The study adopted a descriptive and correlational study design and employed mixed methods approach. It surveyed and interviewed 400 respondents and study participants in four villages in the Bawku East District that were affected by large scale land acquisitions for community development projects and by individuals for residential purposes. It was found out that, in terms of the importance of livelihood assets in the Bawku East District; Financial Capital is of most importance to the participants (Cum. mean 4.5275), followed by Physical capital (Cum. mean 4.3175) and social capital (Cum. mean 4.3175), Natural Capital (Cum. mean 4.31), and the least is Human Capital Assets (Cum. mean 3.395). This also means that the farmers in the Bawku East District do not have a strong human capital as compared to the others. But then, need more financial capital to be productive and survive due to the high rate of land acquisition. The results show that there is high level of experience in crop farming among farmers in Bawku East District (M = 4.04), and this experience is an important human capital asset that need to be relied on among farmers for better livelihoods.

A Study on the Performance of Mutual Funds of Indian AMCs

A mutual fund is a pool of money managed by an Asset Management Company (AMC) that collect funds from different individuals as well as institutional investors, and invest those funds in various securities, capital assets such as bonds, real estates, stocks as well as in mutual funds. Most of the Asset Management Companies have different categories of equity mutual funds depending upon the risk associated with such investments. In this case, trailing return and rolling return indicate the performance of a mutual fund. However, a long-term investor has to consider other factors associated with such mutual funds (like asset under management, expenses ratio, number of stocks, and experience of the management) to finalise the selection of mutual funds. 
 In this research paper, an attempt has been made to identify the relationship among the performance of selected equity mutual funds and the parameters considered by the investors for selecting the fund. 't-statistic’ has been used to identify such relationship.
 This research shows that there is no relationship between trailing return of any kinds of Equity mutual funds and the selected parameters by the investors. However, number of stocks and experience of management have a little impact on the rolling return of equity large cap mutual funds and Assets under management has a little impact on rolling return in case of mid-cap mutual fund only.

Determinants of Interest Rate Spread of Nepalese Commercial Banks

This paper has analysed the determinants of interest rate spread (IRS) of Nepalese commercial banks. The panel data of 25 commercial banks from 2013/14 to 2020/21 was used for the analysis. The study used return on assets (ROA), management efficiency (ME), capital adequacy ratio (CAR), assets quality (AQ), and credit risk (CR, and operational efficiency (OE) as the bank specific determinants and inflation (INF) and growth rate of gross domestic product (GDP) as the macroeconomic determinants. Using the random effect model, the paper finds ROA, CR, ME, and OE as the major bank specific determinants and INF and GDP as the major macroeconomic determinants of interest rate spread. Similarly, the role of ROA, CR, INF and GDP was found to be positive while that of ME and OE was discovered as a negative role in determining IRS of Nepalese commercial banks. The findings of this study can be useful in formulating policies on the spread rate of interest.

Измерение сетевых эффектов в стоимостной оценке интеллектуального капитала

Digitalization processes have had a significant impact on the intellectual capital of business entities and its functioning processes. Digital interaction management in the process of value creation has led to a significant increase in synergies. Comparative analysis showed that the understanding of the terms “network effect” and “synergistic effect” is limited to the framework of interaction within integration entities or platform networks. Studying the synergistic effects, as a rule, is limited to studying the processes and effectiveness of interaction within integration structures. Synergy in the internal environment of business entities remains outside the scope of most scientific works. The action of synergistic effects is manifested at three levels: synergy of the components of intellectual capital; interaction between intellectual capital and tangible assets; relations with stakeholders. The issues of the influence of synergistic effects on the cost of intellectual capital require a system of indicators that allow assessing the degree of their severity. The proposed three-level model for assessing the severity of synergistic effects (3L model) includes indicators for the analysis at each level. To assess the synergy between the components of intellectual capital, it is advisable to use the following indicators: the speed of dissemination of information flows and the average rate of changes in the states of the components of intellectual capital. The second level of synergetic effects - between intellectual capital and tangible assets - is assessed through the intellectualization of productive forces; speed of response to changes; optimization of production processes. The synergistic effects formed in interactions with different groups of stakeholders can be measured through the number of new participants, number of indicators of business processes improved as a result of interaction, amount of attracted investments. Analysis of indicators for each of the three identified levels will allow evaluating the cumulative synergistic effect. Calculating the coefficient of the impact of synergistic effects on the creation of added value can be applied in the practice of assessing the value of intellectual capital.

ТЕОРЕТИКО-МЕТОДИЧНІ АСПЕКТИ УПРАВЛІННЯ ОСНОВНИМИ ЗАСОБАМИ БУДІВЕЛЬНИХ ПІДПРИЄМСТВ

In the conditions of war, a decrease in the number of available resources, and the growth of global competition, only those producers who are able to effectively use resources, in particular the main means of production, can function successfully. Despite the significant number of developments, it is important to further research issues related to the management of fixed assets of construction enterprises.
 The purpose of the article is the systematization of theoretical and methodological approaches to the management of the main means of construction enterprises.
 Approaches to determining the essence of fixed assets are systematized. The systematization of approaches to defining the essence of the concept of "main means" showed that the main means should be understood as means of labour used to influence the objects of labour to obtain the final product.
 It was determined that fixed assets are classified by the nature of participation in the production process, by industry, by use, by groups, depending on the impact on the production process, by sources of acquisition.
 Management of the company's fixed assets involves constant monitoring of the existing composition of fixed assets and its comparison with the obtained financial results. Management of fixed assets should be carried out throughout the entire life cycle of the fixed asset object.
 The main methodological approaches to the assessment of fixed assets are summarized. Indicators that characterize the state of management of fixed assets can be divided into the following groups: provision of the enterprise with fixed assets; assessment of the technical condition of fixed assets; intensity of movement of fixed assets; assessment of the use of the active part of fixed assets; efficiency of use of fixed assets; management indicators.
 Prospects for improving the state of management of the capital assets of construction enterprises have been determined. Amortization policy is the most effective tool for revitalizing investment processes. Depreciation policy provides a reliable internal source of capital investment financing.

Analisis Pengaruh Discount Rate, Cash Ratio, dan Selective Credit Control terhadap Perkembangan Aset Modal Ventura Syariah Periode 2017-2021

The purpose of this study is to determine the impact of the discount rate, cash ratio, and selective credit control simultaneously and each variable on the development of Islamic venture capital assets. This study uses an associative approach that asks the relationship between two or more variables. The research results confirm that; (1) The Discount Rate variable has no effect on the development of Islamic venture capital assets, as can be seen from the statistical results showing the value of α (0.136 <0.05) while the calculated value > t table (5.093 > 1.677). (2) The Cash Ratio variable has no effect on the development of Islamic venture capital assets, as can be seen from the statistical results showing the value of α (0.082 <0.05) while the value of t count > t table (2.952 > 1.677). (3) The Selective Credit Control variable has a significant influence on the development of Islamic venture capital assets, as seen from the statistical results showing the value of α (0.000 <0.05) while the calculated value > t table (3.546 > 1.677). (4) The results of the regression analysis found that the Discount Rate, Cash Ratio and Selective Credit Control variables simultaneously influence the development of Islamic venture capital assets by 93.9% while the remaining 6.1% is explained by other variables outside the estimation model.

A generalized Nash equilibrium problem arising in banking regulation: An existence result with Tarski's theorem

When hit with an adverse shock, banks that do not comply with capital regulation sell risky assets to satisfy their solvency constraint. When financial markets are imperfectly competitive, this naturally gives rise to a GNEP. We consider a new framework with an arbitrary number of banks and assets, and show that Tarski's theorem can be used to prove the existence of a Nash equilibrium when markets are sufficiently competitive. We also prove the existence of ϵ-Nash equilibria.

Soil erosion risk for farming futures: Novel model application and validation to an agricultural landscape in southern England

Increasingly, agricultural land managers are seeking new approaches for understanding the potential challenges posed by sediment connectivity across catchments from source to sink, and implications for delivery of ecosystem services determined by the condition of natural capital assets. Connectivity indices have been frequently applied in the calculation of risk in spatial and temporal assessment frameworks, and tools which facilitate rapid modelling and mapping of soil erosion risk using broad-scale environmental data are therefore of considerable interest. One such indicative tool is SCIMAP (Sensitive Catchment Integrated Mapping and Analysis Platform), which highlights where sediment runoff is likely to occur and be delivered to a watercourse by simulating the generation of saturation-excess overland flow. In this paper, we examine the utility of SCIMAP for exploring the changing nature of soil erosion risk as a function of land use change in the lower Rother catchment in West Sussex, southern England through the formulation of a suite of foresight scenarios informed by knowledge of historical land cover conditions and current management practice. The study area has previously been investigated at the field scale in terms of locating and quantifying sources of erosion and areas where in-stream sedimentation manifests. Output risk values from all simulations were quantified, mapped and compared to highlight areas of greatest/lowest risk. An area was identified immediately north of the main Rother channel that consistently exhibited greatest risk across each land cover scenario. We explore (i) the spatial and temporal variation in modelled risk and (ii) the utility value of SCIMAP for agricultural land-managers and policy-makers in generating robust risk estimates of soil erosion and in-stream sedimentation, and challenges with model verification in a foresight context.

A novel spatio-temporally stratified heterogeneity model for identifying factors influencing carbon emissions

Understanding factors influencing carbon emissions is important for achieving carbon abatement goals. Traditionally, decomposition approaches, e.g. Logarithmic Mean Divisia Index (LMDI) method, are used to uncover factors influencing the change of carbon emissions. This study aims to develop a novel spatio-temporally stratified heterogeneity (STSH) model to better identify, analyze and understand influencing factors of carbon emissions. Compared with LMDI, this model can analyze more independent intensity and quantity factors and reveal the complex interactions between factors. Using China’s construction industry as a case study, the model can successfully identify top influencing factors in the same order of importance similar to LMDI, although a significantly larger number of factors are considered. In the whole construction stage, cement usage, steel usage, completed floor area and construction output value have the highest contributions of 0.599, 0.528, 0.448, 0.446 respectively. In construction and construction-related transportation activities, the top influencing factors are fixed capital assets, construction output value, completed floor area, and electricity usage, with contributions of 0.632, 0.613, 0.599, and 0.597, respectively. The model can also reveal the complex interactions between factors, including bi-variate enhanced interaction and nonlinearly enhanced interaction. The results demonstrate that the model is more useful to evaluate the individual and aggregate impact of a large number of independent factors on carbon emissions when compared with previous models.

ASSISTANCE IN FINANCIAL TRANSACTION RECORDING TRAINING AT THE KAKI LANGIT TOURISM VILLAGE

Financial information such as information on capital turnover, profits generated or assets owned by the company is important, so that the recording must be done properly. Kaki Langit Tourism Village has problems in recording financial transactions because the management does not understand the correct recording of financial transactions in producing financial information. The method used in the Financial Transaction Recording Training Assistance activity at the Kaki Langit Tourism Village is the Participatory Action Research (PAR) method. The assistance carried out by the service team uses the PAR method whose implementation includes several stages, namely the introduction to Accounting and the recording process, the recording stage, the posting stage, the balance sheet preparation stage, the adjustment process stage and the 10-column Worksheet, and the Financial Statement stage. At the end of the mentoring, the manager of the Kaki Langit Tourism Village has knowledge that is applied in recording business financial transactions so as to produce financial information that can be used in decision making.

The Mediation and Moderation Role of Knowledge Assets in Relationship Between Intellectual Capital Dimensions and Company Performances

AbstractIntellectual capital and knowledge assets are intangible assets with an important role to create advantage in competition. This study examines the main dimensions of intellectual capital as an independent variable in order to provide more detail information about the influence of dimensions of intellectual capital on performance of financial, either directly or indirectly through knowledge assets. Knowledge assets also become moderation and mediation variable for the effect of intellectual capital and performance of financial. This study population is manufacturing industry companies in Indonesia Stock Exchange (IDX). The samples selection uses saturated or census sampling. Data is collected by documentation techniques fromwww.idx.go.id. The data analysis tool is regression. The results show that except for the influence of human capital on knowledge assets either directly or through knowledge assets, all hypotheses for the effect of intellectual capital dimension on company performance either directly or through knowledge assets is accepted. The results also show that knowledge assets only strengthen the relationship between capital employed and company’s performance of financial, but cannot strengthen the relationship between human capital and structural capital and company’s performance of financial. This study also found that intellectual capital has a significant positive effect both directly on financial performance or through knowledge assets. Knowledge assets also strengthens the influence of IC on performance.

The Effect of Capital Expenditure and Operational Expenditure on Investment Decision

The purpose of this research is determines the extent to which capital expenditure decisions are made by listed agricultural sector companies. Companies in Indonesia are related to the value of the company in the long run.The number of companies listed on the IDX during this period was 26, and the sample size used was 10. With the help of regression analysis, the findings reveal that capital expenditure and operational expenditure have significant relationship with investment decisions. it can be concluded that the sector companies listed on the Indonesia Stock Exchange for the period 3 years 2019-2021 capital expenditure variables have a significant positive effect on investment decisions, then operational variables have an insignificant negative effect on investment decisions It is recommended that the management of agricultural sector enterprises should ensure:holistic use of all techniques, exploring risks, real options analysis and growth and portfolio management techniques involving capital assets, in valuing capital investments before taking decision. it can be concluded that the sector companies listed on the Indonesia Stock Exchange for the period 3 years 2019-2021 capital expenditure variables have a significant positive effect on investment decisions, then operational variables have an insignificant negative effect on investment decisions.

Impact of COVID-19 on European banks’ credit ratings

The aim of this paper is to analysis the impact of the COVID-19 pandemic on European banks’ default risks, as measured by foreign long-term issuer credit ratings published by the main credit rating agencies. Two hypotheses are put forward: (1) The macroeconomic situation has a stronger negative impact on banks’ financial conditions during COVID-19; (2) changes in the capital adequacy, assets, management, earnings, and liquidity indicators have a significant impact on changes in banks’ credit ratings. The analysis has been prepared for the 2000–2021 period for listed and unlisted banks on the European stock exchanges, that received long-term issuer credit ratings from the main credit rating agencies. To the analysis have been used the ordered logit panel data models and the research has been made on the first differences to analyse the impact of the changes of the financial and macroeconomic conditions on the credit ratings changes. The obtained results suggest a direct and significant impact of the COVID-19 pandemic on the credit rating changes, but a delayed reaction.

A Pilot Study of Small Craft Harbors in Nova Scotia, Canada: Examining Livelihoods Associated with These Facilities

In Canada, small craft harbors (SCHs) are a federal government responsibility under Fisheries and Oceans Canada (DFO). SCHs are economic centers for many rural coastal communities in Canada. By studying the role of SCHs on livelihoods one can delineate their importance to the users and community. The pilot study utilized semi-structured telephone interviews to speak with 19 participants from Nova Scotia, Canada. Participants included users and harbor authorities on whether the SCH they use or manage impacts their livelihood or community. Results indicate SCHs provide an essential avenue for users and communities to support their livelihoods. However, the degree to which they were essential varies between SCHs. SCH users have sufficient capital assets (financial, natural, human, social, and physical) to use the facilities. However, several participants indicated they lack funds from the federal government to maintain their SCHs. Therefore, two critical hindrances in supporting prosperous livelihoods were funding from the federal government and SCHs that lack access to a harbor authority.

Investigating Relationship Between Liquidity and Profitability Ratios in Banks

There is no doubt that with the intensification of the financial and political crisis in recent years in Afghanistan, many banks faced a severe financial and profitability crisis, in general, among many registered and official banks in the Central Bank of Afghanistan, a large number it suffers from liquidity problem and lack of profitability. Liquidity refers to how assets can be converted into cash at the earliest time or at the lowest cost, which is called an asset with high liquidity. In terms of liquidity, the asset's liquidity is high, so it can be converted into cash at a very low cost and quickly. The higher the liquidity of an asset, the more useful it will be. Also, profitability shows the bank's ability to earn income from its assets. After examining variables such as (benefit or profitability, return on capital and liquid assets), this research examines the relationship between banks' liquidity ratios and profitability using multivariable linear regression during the years (2016-2020). The research findings show a weak but positive relationship between liquidity ratios and profitability of banks, considering the research results and also smaller than α= 0.05, so the null hypothesis can be rejected and the alternative hypothesis can be confirmed.

Pedagogical coaching as a technology of bachelor training intended for choir conductors

The article examines pedagogical coaching as a technology for undergraduate training of choral conductors. It analyses the meaning of the concept “coaching”, which involves optimising the means of influencing an individual or a team in order to effectively perform professional tasks. It is noted that coaching is a technology for revealing individual potential in order to maximise personal productivity and effective work. The studies show that coaching creates a personal dimension of education, which is based on increasing independence both in thinking and in actions. It has been proved that coaching is defined as a pedagogical technology of the subject-subject partnership, which enables the productivity of professional goal-setting, and is a model of joint pedagogical activity in designing, organising and conducting the educational process by creating a comfortable environment for students and a teacher. It has been substantiated that pedagogical coaching is defined as an organisational and functional technology aimed at organising a personal and confidential learning process; successful solution of current and strategic educational tasks; increasing the effectiveness of educational activities, personal development of each student; development of business project development skills; high effectiveness of the educational process as a whole. The key determinants of the development of willpower qualities of a choir conductor have been determined. The article also analyses technologies and methods of pedagogical coaching. On the basis of the conducted research, we have come to the conclusion that the training of the future choral conductor should be oriented towards the constant acquisition of knowledge with essential access to practice. It was found that pedagogical coaching as a leading factor in the personal and professional development of choral conductors, a toolkit of intellectual and managing activity, an indicator of human thinking is a strategically important resource necessary for the further development and constant improvement of human capital assets.

Accounting policies in the public sector: Characteristics and consequences of accounting for capital assets

We study the evolution of American state and local governments’ capital asset accounting policies from the initial adoption of Governmental Accounting Standards Board Statement No. 34 through the fiscal year ending in 2016. We document substantial cross-sectional and time-series variation in capital asset accounting policies, which potentially diminishes the comparability of capital asset accounting information across governments and over time. We also explore the economic implications of those policies in terms of capital investment decisions and capital asset condition ratios, as reported in governments’ annual financial reports. Our findings, which are relevant to the Governmental Accounting Standards Board and its constituents, extend prior research examining the adoption and application of generally accepted accounting principles in the public sector.

Adoption of sustainable low-impact fishing practices is not enough to secure sustainable livelihoods and social wellbeing in small-scale fishing communities

Improving small-scale fishers’ wellbeing is a core policy objective in efforts to achieve just, equitable and sustainable futures. Nonetheless, fishers’ wellbeing is rarely assessed or monitored over time using quantitative indicators. We evaluated the socio-economic performance and evolution of two small-scale fishing communities of northern Peru using the Sustainable Livelihoods Approach. Quantitative indicators were used to characterize fishers financial, human, natural, physical, and social capitals. We also developed a simple, yet novel, composite index to quantify fishers’ Unsatisfied Basic Needs. This approach allowed us to grasp changes in the material and relational dimensions of fishers’ wellbeing over time. Fishers in these communities had: (i) low human and financial capital assets, (ii) strong social capital assets, and (iii) experienced improvements in their physical capital assets whilst reporting declines in their natural capital assets. Although fishers mainly use highly selective, low-impact fishing methods, their target stocks and incomes are declining. People’s wellbeing in these communities was highly vulnerable to external environmental (e.g., El Niño) and economic (e.g., access to markets) drivers as well as poor governance (e.g., weak rule of law, low institutional fit, corruption). Our results suggest that small-scale fishers of these two sites are currently in a social-ecological trap, with many points of entry and few ways out. We discuss potential avenues for escaping the trap and improving their wellbeing based on commonly suggested livelihoods strategies found in the literature.

Analyzing the profitability determinants of financial institutions: Evidence from East Asians countries

Starting around 1960, Asia, the biggest and the most crowded place on the planet, has become wealthier compared to the rest of the world. Such growth and development definitely have not happened to other countries at a similar speed all around the continent. The western region of Asia has developed at a similar pace as the remainder of the world. However, the eastern region has grown to an unmatched level. With this in mind, this study aims to investigate the factors that determine and influence the profitability of the financial institution in East Asia. Panel data of eight East Asian countries were selected for the time frame between 2002 to 2021. Analysis of various factors that play an important role in altering the financial institution’s profitability level was performed. These factors include the net interest margin, capital total assets, cost to income, non-performing loans, bank stability, the gross domestic product, and liquidity. The results displayed distinctive values. First, factors such as capital total assets, the stability of the bank, and gross domestic product revealed a significant influence on the net interest margin. Additionally, liquidity, the cost of income, non-performing loans, and the gross domestic product presented a decrease in the level of net interest margin. This is acceptable for the liquidity and non-performing loans since they have an inverse relationship with the net interest margin. On the other hand, a 1% increase in the capital total asset and the stability of the bank has enlarged the net interest margin by 0.05% and 0.04% successively. Hence, the results of this study may be valuable for other countries to consider in efforts to reshape their financial sector and monetary efficiency. The discoveries may also contribute significantly to the existing literature in this area since there is limited investigation concerning the East Asian region’s financial sector.