Balance Sheets Of Companies Research Articles

Business as Usual with Article Processing Charges in the Transition towards OA Publishing: A Case Study Based on Elsevier

This paper addresses the topic of the article processing charges (APCs) that are paid when publishing articles using the open access (OA) option. Building on the Elsevier OA price list, company balance sheet figures, and ScienceDirect data, tentative answers to three questions are outlined using a Monte Carlo approach to deal with the uncertainty inherent in the inputs. The first question refers to the level of APCs from the market perspective, under the hypothesis that all the articles published in Elsevier journals exploit the OA model so that the subscription to ScienceDirect becomes worthless. The second question is how much Elsevier should charge for publishing all the articles under the OA model, assuming the profit margin reduces and adheres to the market benchmark. The third issue is how many articles would have to be accepted, in an OA-only publishing landscape, so that the publisher benefits from the same revenue and profit margin as in the recent past. The results point to high APCs, nearly twice the current level, being required to preserve the publisher’s profit margin. Otherwise, by relaxing that constraint, a downward shift of APCs can be expected so they would tend to get close to current values. Accordingly, the article acceptance rate could be likely to grow from 26–27% to about 35–55%.

The Impact of Digitalization Policies. Evidence from Italy’s Hyper-depreciation of Industry 4.0 Investments

This paper investigates the role played by hyper-depreciation of tangible assets, a fiscal incentive introduced for the first time by the Italian Government in 2017, in sustaining private investments in advanced digital technologies, and, indirectly, in affecting firms’ labor demand. By making use of a unique firm-level data set that links administrative records on tax returns and job flows with information from company balance-sheets, the paper addresses the following questions: what was the take-up of the fiscal incentive in its first year of implementation? What are the characteristics of recipient firms? What is the impact of subsidized investments on firms’ hiring and separations? Overall, the results of the analysis suggest that hyper-depreciation has been so far an effective means to support the digital technology transformation of the Italian production system and that such transformation has had a positive net effect on employment.

Basic Erosion and Profit Shifting (BEPS)

By Basic Erosion and Profit Shifting (BEPS) we mean the set of fiscal nature strategies that some companies put in place to erode the tax base (heroes base) and therefore deduct taxes from the tax authorities. The transfer of profits (profit shifting) from high-imposition countries to countries with no or reduced taxation is, in fact, itself a strategy that leads to the erosion of the tax base. Such practices are allowed: from aggressive tax strategies in contexts with a high rate of innovation, digitalization and globalization; from the rigidity of tax systems in the face of extreme “flexibility of corporate income”; from the possibility of separating the imposition of income sources from the economic activities that generate them; by the absence of coordination and by the presence of asymmetries between the different national tax regimes, for example in terms of a different treatment (for tax purposes) of the components of the company balance sheet (interest, dividends, etc.) and a non-uniform evaluation of the recurring items associated with intra-group and non-group transactions. The aim of this paper is to examine the new rules undecided by the OECD to counter the erosion of the tax base and the artificial transfer of profits—thus stemming the substantial capital outflows—to those countries that offer privileged taxation or, in the more extreme cases, towards tax havens.

What is Driving the Decline in Contributions of Multinational Firms to Corporate Tax Revenues?

This paper explores reasons for declining contributions of multinational firms to corporate tax revenues. Using a population of UK firms, I show that over the period 2000 - 2014 multinationals paid a declining fraction of corporate tax revenues, while expanding in size. In 2014 over 70% of total assets reported on UK company balance sheets were held by companies that paid no tax and were part of a multinational group. Further, tax incentives for small and medium companies have increased the number and the corporate tax revenues from those companies. I analyze potential reasons for why these patterns occurred.

PROCEDURE OF CURRENT VALUE EVALUATION OF THE CREATED TRADE MARK OF THE COMPANY

Introduction. Market conditions define the brand as one of the levers that affects the competitiveness and value of the company's business. Trademarks, which have been created, are not recognized as assets on the company's balance sheet and are not included in the value of the business when in the financial statements, are disclosed. A number of issues remains to be resolved. They are connected with the analytical procedure for understanding the impact of the created brand on the value of the company's business by external and internal users. Purpose. The article aims to develop the analytical procedure for estimating the present value of the created trademark of the company, which provides relevant information to external and internal users about the process of creating "branded" capital of the company. Method (methodology). The methods of scientific generalization have been used in substantiation of theoretical approaches to the estimation of the present value of the created trademark of the company. They are the methods of general scientific abstraction, induction and deduction methods, method of analysis and synthesis, method of analogy (to develop the proposals for the practical calculation of the value of the created trademark of the company on the information of the financial statements); free cash flow method (to determine the present value of the company's business); extrapolation method (to predict the future economic benefits of the company). Results. The exploration of issues related to the disclosure of the brand value of the business of the company in the integrated reporting or management report has been carried out. The priority of applying the revenue approach to the expert evaluation of the created intellectual property objects of the company has been determined. The expediency of using the free cash flow method to estimate the present value of the created trademark as an intellectual asset of the operating company has been substantiated. The relationship between goodwill and company brand value has been argued. It has been proposed the model for calculating the present value of company brand, which is based on the goodwill amount calculation method and the free cash flow method. It has been proposed the analytical procedure to determine the present value of the created trademark of the company in the form of a table, containing a list of analytical transactions and an analytical conclusion. The present value of the created trademark of a particular international company has been calculated.

La reestatización de un servicio esencial en el área metropolitana de Buenos Aires. El caso de la empresa agua y saneamientos argentinos S.A. (AYSA) (2006–2018)

Transcurridos más de diez años de la creación de Aguas y Saneamientos Argentinos S.A. (AySA), este trabajo analiza la reestatización del servicio de agua potable y saneamiento del Área Metropolitana de Buenos Aires, a partir de estudiar el desempeño empresario desde 2006. ¿Qué características adoptó la gestión estatal del servicio? ¿Cómo se compatibilizó el concepto de eficiencia empresarial con el deber de garantizar el acceso a un servicio esencial? Una primera aproximación parece mostrar que la gestión estatal privilegió el mantenimiento y expansión de los servicios por sobre los resultados económicos de la compañía. Considerando el cambio político producido en diciembre de 2015, se abordan también las continuidades y rupturas con el período anterior. El análisis desarrollado se nutre de la integración de datos e información provenientes de documentos, legislación y estadísticas oficiales, informes y balances empresarios, artículos periodísticos y entrevistas semiestructuradas a informantes clave. Mediante este trabajo se procura aportar evidencia empírica sobre cómo funciona la participación estatal empresaria en un servicio esencial.

Prediction and Accuracy of Rupiah Exchange Rates Against US Dollar Uses Radial Basis Function Neural Network

Currency exchange rates, or often referred to as the exchange rate, are the price of one unit of a foreign currency in a domestic currency or can also be called the price of a domestic currency against a foreign currency. The value of a country's currency is strongly influenced by the flow of capital between countries. The high exchange rate of other countries' currencies against a country will result in the deterioration of the economic situation of a country. The weakening of the currency exchange rate will cause Indonesia's foreign debt to increase and the balance sheets of companies and banks will decline. The phenomenon of volatile rupiah exchange rate fluctuations often occurs in Indonesia which will cause economic conditions, especially trade will be disrupted because trade is valued in US dollars (USD). Therefore, serious handling is needed in the face of erratic exchange rate fluctuations because it will affect the economic performance of a country so that a decision can be made after knowing the exchange rate of the next period. In helping to make decisions, the authors make a forecasting model of the rupiah exchange rate against USD using the radial basis function of the neural network. In this research used factors that influence the fluctuation of the rupiah exchange rate against IDR, namely the value of exports, imports, GDP, BI interest rates, inflation rates, and the money supply. In this research optimization of learning rate and hidden neuron parameters was done to get the lowest error value or error rate. The results of the research using the radial basis of neural network functions produce accuracy values ranging from 89 - 95% in the training process while the testing process ranges from 67 - 98% and with an error rate of 4 - 11% in the training process while 2 - 32% for testing process.
 Key Words : Exchange rates, forecasting, RBF, training, testing, accuracy

Unpacking the Valuation of Data in the Data-Driven Economy

Data is often said to be the most valuable commodity of our age. It is a curiosity, therefore, that it remains largely invisible on the balance sheets of companies and largely unmeasured in our national economic accounts. This note seeks to unpack what we mean when we refer to data as the “new oil” or the essential capital of the data-driven economy, how it differs from information in general, how it is transformed into value, and what might be the approximate scale of the value of data in a modern data-driven economy.

Investing in natural capital and national security: A comparative review of restoration projects in South Africa

Does restoration pay? We seek to answer this question by reviewing the benefits and costs of 37 economic values derived from five groups of actual restoration-related case studies in South Africa at various scales. The mean opportunity costs of not restoring are the following (a negative value implies an economic loss to society): i) local level single species studies concerned with clearing invasive alien plants (mean = -$27.24/ha/yr, sd = +/-22.93; n = 5); ii) local level multiple species studies concerned with clearing invasive alien plants (mean = -$289/ha/yr, sd = +/-550.6; n = 14); iii) national level studies concerned with clearing invasive alien plants (mean = -$40.2/ha/yr, sd = +/-17.2; n = 3); iv) non-clearing related restoration (mean = -$52/ha/yr, sd = +/-154.2; n = 10); and v) agricultural land rehabilitation (mean = -$428.1/ha/yr, sd = +/-352.7; n = 5). When these annual values are capitalised (i.e. discounted into perpetuity) to reflect the temporal impact of the foregone benefits of restoration, the losses amount to between 16 and 50 times greater than the annual values. Capitalisation of these values is an important step towards an asset-based approach in the management, restoration and conservation of natural capital. It is a step towards viewing the investment in restoration not merely as an expenditure item to be minimised, but as a truly worthwhile investment in the future wellbeing of both people and the planet – an investment in the national security of the country. More work, however, is required to transfer this value onto the balance sheets of companies in order to entice the private sector to invest more as well as to convert the implicit societal benefits of restoration to explicit company-wide value enhancement opportunities.

The Funding Structure of Turkish Tourism Sector and a Model Proposal for Tourism Revenue

For decades Turkey has strived for increasing tourism revenues with the ultimate aim to reduce the current account deficit. Turkish governments have offered several incentives such as reduced utility prices, funding alternatives for tourism investments and reduced tax rates, while pursuing policies aimed at eliminating any bureaucratic barriers that may hinder growth in the tourism sector. An official document which incorporates an ambitious and extremely detailed plan to achieve 50 million tourist arrivals and revenues of USD 50 billion by 2023 is on the agenda. This paper is prepared for contributing to the literature on tourism economics based on Turkey which is rare. The aim of this study is twofold; firstly the debut analysis of the funding structure of Turkish tourism sector is realized by using the aggregate balance sheet of 555 tourism companies. Then, a model is proposed by using the linear regression by which the effects of the variables of public incentive disbursements, terrorism index, Real Effective Foreign Exchange Rate, Share of Loans to Tourism Sector in Total Loans provided by financial system, average expenditure incurred by tourist and the tourism receipt level of major and geographically more substitute competitor of Greece on Tourism revenue level is examined.

Analysis of the Notes to the Financial Statement Related to Balance Sheet in Case of Hungarian Information-Technology Service Companies

Abstract The main aim of the study to examine the extent to which the companies of a specific Hungarian sector fulfil their obligation to provide information in their notes to the financial statements as stipulated by the Accounting Act. Accordingly, it should be examined whether the notes to financial statements contains the required data regarding the balance sheets of companies investigated. For the analyses, it was used the notes to the financial statement of 8,226 companies with Hungarian headquarters, which are regulated by the Hungarian Accounting Act and which have information-technology services as the main business activity. It was investigated 95.78% of the financial reports containing the notes. The analysis was performed using text mining method, utilizing every available notes to the financial statement of the sector. Findings of the study reveal that the amount of published information shows greater and lesser differences and in many cases, the quantity of published data does not fulfil even the minimal obligations stipulated legally.

Mandatory Convertible Notes as a Sustainable Corporate Finance Instrument

Debt securities are often an efficient and inexpensive resource to finance the balance sheet of companies; however, one of the causes of the global financial crisis was the excessive leverage taken by companies. Hybrid capital instruments share characteristics of equity and debt, and allow companies to finance its balance sheet in a more sustainable way by reducing leverage, but tend to increase its overall cost of capital. Mandatory convertible notes (MCNs) are hybrid financing instruments that are very close to equity; rating agencies assign them a high equity component and are commonly treated as equity by accounting standards. Despite the high nominal coupon that MCNs seem to pay in some cases, a deeper analysis shows that the cost of issuing MCNs can be similar and even lower than the cost of issuing senior debt. This research performs an empirical study of the implicit cost of the MCNs issued between 2010 and 2018. The study shows the relationship between the implicit yield of MCNs, the senior debt yield, and the convertible arbitrage investors. MCNs can be a sustainable capital alternative that offers a reasonable cost not only for high-yield companies but also for well-established investment grade issuers. The access to efficient and not very expensive capital to finance the balance sheet of companies can promote sustainable growth, industrialization, and innovation.

Актуальні проблеми організації обліку необоротних активів екологічного спрямування лісогосподарського підприємства

У сучасних умовах виникає необхідність перегляду та уточнення принципів формування необоротних активів підприємства. Ресурси підприємства трансформуються в активи (відповідно – відображаються в балансі), лише після дотримання умов визнання, зокрема оцінки та ідентифікації, можна очікувати від них економічної вигоди (прибутку), це свідчить про актуальність і важливість цієї теми. Перше, на що потрібно звернути увагу, це організація первинного і зведеного обліку основних засобів екологічного призначення. Операцією, яка потребує окремих форм документів для її відображення в бухгалтерському обліку, є переоцінка основних засобів екологічного призначення, проблемним питанням обліку необоротних активів і ОЗ екологічного призначення є облік екологічних витрат на їх поліпшення. Практична проблема, пов'язана з оцінкою необоротних активів, часто виникає під час проведення їх інвентаризації та виявлення таких, що не відображені на балансі підприємства. Розглянуто актуальні проблеми організації обліку необоротних активів екологічного спрямування лісогосподарського підприємства. Для цілей переоцінки потрібно поділити групи основних засобів екологічного призначення (враховуючи специфіку діяльності) на певні підгрупи, щоб зробити їх однорідними. Для покращення організації обліку запропоновано деталізований план рахунків необоротних активів екологічного призначення, з урахуванням діяльності лісового підприємства. Розроблено прикладні пропозиції вирішення проблем організації обліку необоротних активів екологічного спрямування лісогосподарського підприємства, які допоможуть підприємству чітко організувати облік необоротних активів, спрямованих на екологічну політику лісогосподарства. Основою управління є інформація про екологічні витрати, отримана шляхом дослідження необоротних активів екологічного призначення діяльності підприємства, побудови механізму раціональної організації та методики обліку необоротних активів.

Twenty-one years without monetary correction in Brazil: impacts on the comparability of the accounting information of siderurgical and metallurgical companies

Abstract The purpose of this study was to empirically verify the existence or not of a distortion in the comparability of information when inflationary effects are omitted from financial statements. Although inflation has been under control in Brazil since the Plano Real, with indices well below those recorded in the 1980s and 1990s, discussing the need for accounting recognition of the effects of inflation remains an extremely relevant and pertinent issue in light of the proposal of accounting to produce faithful information that closely reflects the economic reality in which organizations operate. The results of the research show that financial accounting has been directly affected by the omission of inflationary effects in financial statements, drawing attention to the negative effects this has caused on the quality of the information produced. In order to operationalize the research, the Balance Sheet Monetary Correction (BSMC) was applied to the balance sheets of Brazilian companies from the siderurgical and metallurgical sector listed on the BM&FBOVESPA in the period from 1996 to 2016. Based on the variables net income, return on equity (ROE), and return on assets (ROA), and two conceptual axes of comparability (between entities and between periods), the statistical parameters were developed and the hypotheses were defined, which were tested using the Student t parametric test. This article shows the damage caused to the decision-making process of the external users for whom financial statements are intended when these are prepared neglecting the effects of inflation. This is verifiable through the analyses of the results obtained, including the observation of significant distortions between the means of the corrected indicators and the means of the historical indicators, such as in the case of net income in 2001, 2002, 2012, 2013, 2014, and 2016 (33.98%, 91.92%, -65.54%, -30.01%, -53.59%, and 26.30% variation, respectively), of ROE (-67.16%, -61.43%, -53.06%, -63.46%, -133.81%, and 65.00% variations in 2008, 2009, 2010, 2011, 2014, and 2015, respectively), and of ROA (-26,70%, -41.14%, -33,34%, -43,49%, 98,83%, and -413,68% in 2005, 2009, 2010, 2011, 2012, and 2014, respectively).

Why leverage does not always deliver: Lessons from the performance of the top 50 industrial firms in Greece during the Great Depression

On the basis of a new data-set constructed from company balance sheets and profit and loss accounts (for 1927–1936), this article examines the performance of the top 50 industrial joint stock companies in Greece that survived the Great Depression. We combined descriptive statistics with panel data analysis, and our main findings are as follows: (1) the Great Depression had a rather mild impact on profitability; (2) the level of (financial or operating) leverage throughout the decade under review was lower than that prescribed in theory, and the best performers within the top 50 had a higher liquidity; (3) leverage did not produce the expected benefits (i.e. a higher capital investment) even when there were increasing industrial profits as in the post-crisis period.

ANALISIS PENGENDALIAN INTERNAL COMMITTEE OF SPONSORING ORGANIZATIONS TERHADAP PIUTANG USAHA PADA CV. KOMBOS MANADO 1

Accounts receivable is an element of current assets in the company's balance sheet arising from the sale of goods, services or lending to debtors whose payments are generally given within 30 days to 90 days. This research was conducted to analyze internal control committee of sponsoring organizations to accounts receivable at CV. Kombos Manado 1 and analyze the factors of delay in payment of accounts receivable on CV. Kombos Manado 1. The research method used is descriptive method and the type of research used is qualitative descriptive. The results obtained that the Internal Control Committee Of Sponsoring Organizations Against Accounts Receivable on CV. Kombos Manado 1 has been running quite well. Of the 5 (five) internal control components of the committee of sponsoring organizations, namely the control environment, risk assessment, control procedures, monitoring, information and communication, only a weakly categorized control environment. The obstacle faced by the receivable officer is the delay of payment of receivable from the customer. There are 2 (two) factors the customer is late to pay the receipt of the negligence of the company and negligence from the customer (insurance).Keywords: Analysis, Internal Control, Accounts Receivable.

A two-stage DEA approach to analyse the efficiency of the hospitality sector

This article explores the performance of the hospitality sector in Sardinia (Italy) using empirical data collected from company balance sheets (from 2004 to 2013). A standard data envelopment analysis (DEA) is run using sales revenue as an output and the monetary value of all tangible and intangible assets as well as labour costs as inputs. Following the Simar–Wilson approach, a post-DEA is also carried out to investigate the factors that influence hotels’ economic efficiency. The empirical results show that business default and the cost of money negatively influence hotels’ performance and that firms located in highly specialized areas with a strong seasonality are relatively inefficient. Furthermore, the short-run debt index and the long-term debt index positively impact efficiency.

Efectos asimétricos de cambios en la tasa de interés sobre empresas del sector manufacturero colombiano

En este artículo se pone a prueba la existencia del canal de transmisión de la política monetaria, a través del balance general, para la economía colombiana, específicamente en el sector manufacturero. Para ello, siguiendo de cerca los lineamientos teóricos al respecto, se buscan diferentes respuestas ante el choque de política, dependiendo del tamaño de las empresas en muestra. Los datos utilizados se obtuvieron a partir de los balances generales de las empresas que reportaron ante la Superintendencia de Sociedades para el periodo 2002-2013. Los resultados aportan evidencia sobre la existencia del canal de las hojas de balance dentro del sector. Además, de acuerdo con lo esperado teóricamente, se observa que la inversión de las empresas pequeñas tiene una mayor sensibilidad ante los choques de política monetaria, lo cual se debe, posiblemente, a que estas empresas enfrentan mayores costos informacionales.

Efectos asimétricos de cambios en la tasa de interés sobre empresas del sector manufacturero colombiano

This article tests the existence of the transmission channel of monetary policy, through the balance sheet, for the Colombian economy and, specifically, for the manufacturing sector. To this effect, following closely the theoretical guidelines on the topic, different responses are sought to the policy shock, depending on company sizes in the sample. Data were obtained from the balance sheets of companies that reported to the Superintendency of Companies for the period 2002-2013. The results provide evidence on the existence of the balance sheet channel within the sector. In addition, according to what was theoretically expected, it is observed that the investment of small companies has a greater sensitivity to monetary policy shocks, which is possibly due to the fact that these companies face higher informational costs.

Impact of Dividend Policy Determinants on Indian Capital Market

In the growing arena of Corporate Finance dividend decision is considered to be one of the most complicated decision. Irrespective of the size and nature of the market the dividend policy demonstrates an unpredictable impact. Many scholars have put efforts to unveil the problems related to the dividend policy determinants, even though still do not have a satisfactory elucidation on the analyzed dividend nature of various firms. The principal decision that the firm has to deal with is the creation of trade-off between the profit to shareholders and ploughing back of profit. There are still contradictory opinions are prevailing in the field of dividend determinants and its effect on market value of the firm based on the share price. In one school of thought, the dividend decisions are irrelevant and does not need to pay much attention. On the other end certain theories considers dividend decisions are relevant and have significant impact on the market value of the firms in terms of share prices. The present study aims to shed some lights into the relationship between dividend policy and volatility of share price. For this purpose, a sample of five companies from FMCG sector which are listed in the NSE were selected and empirical study is steered to test the hypothesis using the balance sheet of respective companies for 10 years from 2007–2008 to 2016–2017 and the following ratios which include EPS, dividend yield, dividend payout ratio, ROE, Profitability ratios and the value of share have been calculated to test the same. The analyses conducted, parameter estimates are then studied using AMOS 21. The study proved that Price Earnings Ratio(PER) is act as the most influential determinant of dividend which impact the market value of FMCG firms in India.