Financial Companies Research Articles

FINANCIAL STATEMENT ANALYSIS AND COMPANY PROFILE: ENHANCING MSMES CAPACITY TOWARDS INTERNATIONAL LEVEL

Background: Micro, Small, and Medium Enterprises (MSMEs) play a vital role in the economic landscape of a nation. A combination of support from multiple stakeholders can enhance the capacity of MSMEs to effectively fulfill their role. MSMEs have the potential to foster growth not only within local communities but also on a global scale. The ability of the firm's owner to analyze financial statements and build a comprehensive company profile may facilitate the start of internationalization efforts. Objective: The primary objective of this community service initiative is to enhance the knowledge and competencies of business owners in the areas of financial statement analysis and company profile preparation. Method: The training activities are conducted utilizing the pedagogical approach of lectures and interactive focus group discussions. Mentoring activities encompass practical exercises such as the analysis of financial reports and the preparation of business profiles. The data collection process involved the execution of pre-test and post-test, questions and answers, and the completion of activity evaluations by participants. Results: According to the findings, participants' knowledge and skills in assessing financial reports and developing business profiles improved. Conclusion: Financial statement analysis and the creation of company profiles are critical components that cannot be overlooked for MSMEs seeking to compete globally. Financial statement analysis is the fundamental instrument for making informed business decisions, whereas company profiles are visual representations and pictures that help a company develop a strong identity in the global market.

Predicting Credit Outlook of Banking and Nonbanking Finance Companies: A Comparative Analysis of Machine Learning Models

Predicting Credit Outlook of Banking and Nonbanking Finance Companies: A Comparative Analysis of Machine Learning Models

A Brief Analysis of the Reasons for the Lack of Short-term Financial Products in Hong Kong, China

In mainland China, short-term financial products such as Yu 'e Bao, Changtong,Chaochaobao, stock funds, index funds, hybrid funds, and pure debt funds are favored by the public. But in Hong Kong, the world's third largest financial center, short-term financial products have disappeared. This paper analyzes the reasons for the lack of short-term financial products in Hong Kong from internal reasons such as fund companies,products and target customers and external reasons such as economy, law and science and technology through the methods of comparison, example and literature research, etc., and the theory of supply and demand. This paper also puts forward suggestions for the future development of financial products in Hong Kong and Mainland China.

Analysis of Factors and Fraud Preventive Efforts in Company Financial Reports: A Literature Review Study

The research in this article aims to identify and provide an overview of the factors that cause fraud and explain efforts to prevent fraud in company financial reports. The results of the research show that there are seven factors that cause fraud in company financial reports, namely greed, opportunity, need, exposure, unshareable pressure/incentive, rationalization, and capacity. Apart from that, it turns out that digital technology has a negative impact in creating the potential to cause fraud in company financial reports. The preventive efforts that can be taken to prevent fraud in company financial reports are through improving risk management, internal control, and the use of digital forensic concepts which are expected to provide input for company management to avoid fraud in company financial reports from an early age. Apart from that, for future academics and researchers, it is hoped that this research can become a reference source for developing knowledge related to fraud.

Financial Sustainability in Emerging Markets: An Investigation of Determinants in the Pension Fund Companies

Financial Sustainability in Emerging Markets: An Investigation of Determinants in the Pension Fund Companies

Analyzing the Interactions among Barriers to the Use of Solar Energy for Heating in Residential Buildings in Van, Türkiye

In terms of environmental sustainability, the barriers—and interactions between these barriers—to the use of solar energy for active and passive heating in residential buildings stem from location-specific housing production patterns and the actors involved in these patterns. A clear definition of hierarchies and priorities between barriers helps managers set strategic priorities and action plans to find solutions. After the earthquake in Van in 2011, 6000 hectares of land were opened for new development, and research using the sampling method discovered that the most common type of housing production in the city is the build-to-sell housing production method. The actors involved in build-to-sell housing production are technical staff, local–central administrations, entrepreneurs, end users, landowners, financial companies, non-governmental organizations, and building inspection institutions. This article examines the barriers to the use of solar energy for active and passive heating purposes, the interactions between these barriers using ISM and MICMAC methods, and the build-to-sell housing production method and actors. Barriers were identified through a literature review and semi-structured interviews. The barriers were further categorized under eight main headings according to their subject matter. The hierarchies of barriers in creating problems and solutions were determined using ISM and MICMAC methods and the findings were interpreted. In the City of Van, with regard to the houses produced via the build-to-sell production method, the barriers against the use of solar energy for heating purposes in houses considering active and passive methods are ranked in order of priority in creating the problem and the solution. Barriers caused by political and administrative issues are ranked first; barriers caused by social awareness and end users are ranked second; barriers caused by social and sociological events are ranked third; barriers caused by laws and regulations are ranked fourth; barriers caused by the knowledge, skills, and awareness of designers are ranked fifth; barriers caused by deficiencies in technical issues are ranked sixth; and barriers caused by economic and financial issues are ranked seventh. Even though the barrier caused by the working mode of build-to-sell productions is the largest in creating the problem, it is the least effective barrier to solving the problem in the ISM hierarchical and MICMAC schemes. The research process is presented in the Methods section.

PENGARUH MANAJEMEN LABA DAN RASIO KEUANGAN PERUSAHAAN TERHADAP NILAI PERINGKAT OBLIGASI

This research aims to analyze the influence of earnings management and financial ratios on bond rating values (Study of companies listed on the Indonesian Stock Exchange for the 2022 period). This type of research is associative research. The population in this study were 44 financial companies that issued bonds. Sampling in this study used a purposive sampling method with certain criteria, namely 44 bond issuing companies. The research variables in this study use Earnings Management proxied by Estimated Management Accruals (EDAit) and Solvency Ratio proxied by Debt to Equity Ratio (DER) and Activity Ratio proxied by Total Asset Turnover (TAT) as an independent variable, and Bond Rating Value as a variable dependent. The analysis method in this research uses Logistic Regression analysis techniques. The results of this research show that Earnings Management (EDAit) has no effect on the Bond Rating Value, the Solvency Ratio (DER) has a positive and significant effect on the Bond Rating Value, and the Activity Ratio (TAT) has no effect on the Bond Rating Value.

Beneficiary Ownership in Financial Services Sector Conglomerates in Indonesia

This research aims to explore the implications of beneficiary ownership in financial services sector conglomerates in Indonesia on financial system stability. Because financial services sector conglomerates can obscure the true beneficiaries within the conglomerate in Indonesia. This can pose risks to the financial system. If one financial institution within the conglomerate fails, it can have cascading effects on other institutions within the conglomerate. This can lead to systemic crises, which can harm the overall economy. Therefore, the problem lies in how to uncover the true beneficiaries within a financial services sector conglomerate in Indonesia. This is a normative legal research, prescriptive in nature, employing a legislative and legal comparison approach. Secondary data used includes legislation such as the Limited Liability Company Law, Banking Law, Financial Sector Development and Strengthening Law, as well as the Financial Services Authority Regulation on Financial Conglomerates. Additionally, international journals and legal dictionaries are used as references, supported by empirical data in the form of interviews with the Financial Services Authority. Data is analyzed qualitatively, with conclusions drawn using deductive-inductive reasoning. An individual or legal entity as a primary entity that can control changes in the Articles of Association, Share Ownership Structure, replacement of directors, board of commissioners, control the company's finances, but the individual/legal entity is not listed in the company's articles, then can be categorized as a beneficial owner of a limited liability company. Similarly, in a financial services sector conglomerate existing in Indonesia, it can be proven by finding out who controls the conglomerate.

Climate risk disclosures and auditor expertise

Many jurisdictions are establishing requirements for corporations to disclose climate-related risks, and for those disclosures to be audited. One of the first jurisdictions to do so is Australia, where the Australian Accounting Standards Board (AASB) and Auditing and Assurance Standards Board (AUASB) issued a Joint Bulletin in 2018 stating that both preparers and auditors should consider the impact of climate risks on the company's financials. Utilising the Australian setting, this paper introduces a new measure of audit partner expertise, namely expertise in climate-related issues, and examines whether it is associated with the client company's climate risk reporting. We define audit partner expertise in climate-related issues based on their client portfolio composition in terms of greenhouse gas emissions. We find that the likelihood and quality of climate risk disclosures is higher when the audit partner has climate risk expertise, and this finding is driven by clients in industries with material climate risks.

Navigating the Moral Compass: Business Ethics in the Banking Sector

Abstract The banking sector appreciates business morals greatly; additionally, research has been done to find out their effects on organizational success capacities, stakeholders’ trust and the general stability of the financial system. This is a time of increased intricacy and interrelation which means that financial companies like banks especially worldwide’ economic systems being backbone must be ethically sensitive. The paper examines many aspects of corporate morality while applying them within bank operations one such area being transparency where all things done openly without concealment another fairness between different people so none feels oppressed lastly among others CSR which includes activities that benefit not only customers but also employees or even community. Based on a thorough investigation into academic literature, this article explains the real advantages of moral practices in banking. It looks at how ethical behavior encourages lasting customer loyalty and support from other stakeholders as well as strengthens financial institutions’ ability to endure. Moreover, ethical tests that banks come across during this era of technology are outlined while focusing on implications brought about by advanced systems towards data privacy, cybersecurity and fair lending measures. The urgency for the banking sector to take up and firmly establish moral considerations is underscored in this document, which evaluates reputational damage caused by moral breakdowns within the industry as well as on wider economy scale. The development and implementation of robust ethical frameworks are required, which are built on effective control systems to minimize the risks of unethical behavior in banks’ operating activities. These research findings contribute to the ongoing discourse on the place where business ethics and the banking sector intersect. The comprehension obtained can aid in decision making for policies, laws or strategies by financial institutions that want to foster integrity and responsible entrepreneurship.

Сутність поняття “туризм”, “турист” та “туристичний кластер”

The article is devoted to the study of the concept’s “tourist”, “tourism”, “tourist service”, “tourist product” and “tourist cluster”. The analysis of the legislation of Ukraine, which regulates tourist relations, was carried out, in particular, regarding the definition of the essence of the concepts “tourism”, “tourist”, “tourist product” and their comparison with the interpretation and understanding in economic thought and statistics. The main characteristics of a tourist have been clarified, namely: physical person; travel time – from 24 hours to 1 year; the purpose of the trip is not related to earning income. A distinction is made between tourist service and tourist product, the collision that arises with the interpretation of the concepts of “tourist product” and “tourist service” in various sciences is investigated. Approaches to understanding the concept of “tourism” as an economic phenomenon, a place of commercial enterprises and their classification into those that directly satisfy the needs of tourists and those that indirectly take part in satisfying these needs are defined. The expediency of determining the legal nature and subject composition of the tourist service, which affects the possible ways of protecting the violated rights of the tourist and the correct identification of the person who will be responsible for the improper provision of services, has been clarified: if it is a tourist service, the subject of responsibility will be the tour operator, if it is another service, the relevant entity providing this service (hotel, transport company, tour guide, etc.). The article examines the concept of “tourism” through the prism of clustering as the most comprehensive approach to understanding this term. It has been studied that the concept of “tourism” as a branch of the economy should be considered in the context of cluster associations of enterprises and other entities that provide services to tourists. The author’s interpretation of the concept of “tourist cluster” is proposed, namely: it is a territorial association of enterprises, research, production and financial companies and other business entities that have vertical and horizontal relationships with the aim of achieving economic and social effects and satisfaction needs of tourists.

The Influence Of Managerial Ownership, Return On Assets, Company Size, And Debt To Equity On Company Value

The background of the problem in this study is that the company is still unable to increase profits continuously which results in the company’s value still often decreasing. This study aims to determine the effect of Managerial Ownership, Return on Assets (ROA), Company Size, and Debt to Equity Ratio (DER) on Company Value in Indonesia on financial sector companies listed on the Indonesia Stock Exchange for the 2021-2022 period. The purposive sampling method was used in this study to select company samples that fit the criteria in the study with a total of 50 samples. The result of analysis that has been conducted in this study show that managerial ownership cannot affect the value of the company, while return on assets (ROA) and debt to equity ratio (DER) have positive influence on company value. Which can be interpreted that every increase in return on assets (ROA) and debt to equity ratio (DER) then the company’s value will also increase. In addition, it was found that the size of the company has a negative influence on the value of the company, so that every time the size of the company increases, the value of the company decreases.

The study aims to determine the effect of Intellectual Capital, Capital Structure and Institutional Ownership on Financial Performance with Company Size as Moderating in financial sector companies listed on the Indonesia Stock Exchange (BEI) Period 2020-2

The study aims to determine the effect of Intellectual Capital, Capital Structure and Institutional Ownership on Financial Performance with Company Size as Moderating in financial sector companies listed on the Indonesia Stock Exchange (BEI) Period 2020-2

Some Aspects in Trade Recеivables Assessment

Abstract One of the most important aspects of operational financial management is related to the management of the working capital of enterprises. A significant portion of this capital is invested in trade receivables, which are obtained from deferred sales. On the one hand, nowadays trade credit has a stimulating effect on customer purchases, but on the other hand, incorrect assessment of the creditworthiness of customers and the risk of non-payment (default risk) can negatively affect the financial condition of the enterprise and lead to chain bankruptcies. In the specialized literature on company finance management, the problems of working capital management and risk management of trade receivables are considered in detail. However, the question of the complex assessment of the creditworthiness of customers and the decision on the optimal credit limit remains to some extent insufficiently developed. Summarizing the following key components considered in the literature – 1) overall economic situation, ownership, management and strategy of the company; 2) its revenue and profitability; 3) liquidity and financial leverage; 4) cash flow and turnover, this article focuses on developing and demonstrating the application of an approach to assess the financial condition of customers, to make an adequate decision on credit limit and to avoid the risk of non-payment of commercial loans. The article also presents the results of a descriptive statistical analysis regarding some key financial indicators of Bulgarian enterprises, the credit limits requested by them and the results of applying the presented model.

Features of forming the enterprise’s balance according to international financial reporting standards

The formation of market relations and the aggravation of the economic situation in Ukraine require new approaches to enterprise management. The basis for decision-making on all issues of the company's activity is financial information necessary for a complete and comprehensive analysis of the state of its assets, liabilities and equity. The main source of information is financial reporting. The value of the balance sheet as the main reporting form cannot be overestimated, as it allows you to have an idea of the property and financial situation of the enterprise. The purpose of the paper is to research the peculiarities of the formation of the enterprise's balance sheet according to international standards. Also, the analysis of the formation of the balance sheet according to the National Accounting Regulations and in accordance with international standards. Therefore, the balance sheet is a system of indicators that characterizes the wide value ratio of the company's funds. The balance reflects the composition, placement, use and sources of funds of enterprises, organizations and budgetary institutions. The paper examines the peculiarities of forming a company's balance sheet in accordance with international standards. Specifically, it focuses on key aspects that define the process of preparing financial statements in accordance with international accounting standards. The authors explore the impact of international standards on balance sheet formation, including aspects such as asset and liability valuation, reporting on current assets, financial instruments, and more. It is noted that the adoption of international standards requires companies not only to comply with new rules but also to review and improve their internal processes and management systems. The study also highlights the advantages and challenges associated with the implementation of international standards in the practice of corporate accounting. The final recommendations of the paper emphasize the importance for companies to study and implement international standards in order to enhance their competitiveness and financial reporting transparency.

Mini Ensiklopedis : Telaah Perusahaan Pembiayaan

In the midst of the soaring business world which is increasingly popular, especially in the community and even among various groups, both young and old, it is necessary to realize that all forms of risk are certain and need to be minimized in the smooth running of the business, one of which is the capital or funding factor which is the support in business start up. So the purpose of this discussion or article is to examine the role of finance companies so that they are able to provide more alternatives for the development of the business sector as well as the various facilities offered in expanding the provision of financing. The importance of this discussion topic is as a reference for humans especially Muslims to be able to understand matters relating to finance companies within the scope of sharia economics.

Analysis of Company Value and Financial Performance as Intervening Variables in Property, Real Estate and Building Construction Companies on the Indonesia Stock Exchange

This study aims to determine the effect of leverage and investment decisions on company value with financial performance as an intervening variable in property, real estate & building construction sector companies listed on the Indonesia Stock Exchange in 2017-2020. This type of research is associative clause. The population used in this study are property, real estate & building construction companies listed on the Indonesia Stock Exchange in 2017-2020. The type of data used in this study is secondary data and data collection using the documentation method. While taking samples in this study using purposive sampling technique. The research population data totaled 97 companies and obtained a sample of 61 companies so that the research data totaled 204 after going through the outlier test. The data analysis technique used is path analysis. The results of the study show that 1.) Leverage has no effect on firm value; 2.) Investment decisions have an effect on firm value; 3.) Leverage has no effect on firm value through financial performance; 4.) Investment decisions have no effect on firm value through financial performance.

The zero-debt puzzle in BRICS countries: Disentangling the financial flexibility and financial constraints hypotheses

This study analyzes the zero-debt decisions of BRICS firms using a bivariate probit model. The leading hypotheses are financial flexibility and financial constraints. On the demand-side, our findings reveal that managerial debt aversion, early lifecycle stage, growth opportunities, solvency, and concentrated ownership contribute to the lack of debt. Similarly, a country's institutional quality correlates with firms' debt-free status. On the supply-side, creditors fund companies with poor financial records in countries with robust markets and economic freedom. Financial flexibility and restrictions leading to zero debt are linked to firm and institutional characteristics in emerging countries.

Determinants of Corporate Indebtedness in Portugal: An Analysis of Financial Behaviour Clusters

Corporate indebtedness is a powerful tool in determining a company’s financial health with impacts on its image and reputation. The main objective of this research is to study the determining factors in corporate indebtedness in Portugal. It also has the secondary objectives of creating clusters of companies’ behaviour in relation to the use of credit and verifying their differences in relation to the characteristics of the companies. It uses a quantitative methodology based on a questionnaire survey of 1957 Portuguese companies. The results of the factor analysis show the formation of six determining factors in corporate indebtedness, namely the negotiating relationship with banks, financing, cycle and indebtedness, company operating performance, guarantees used to obtain bank financing and financing risk analysis as well as secondary forms of bank financing. The application of cluster analysis to the six factors formed led to the classification of companies into three clusters: the resilient financial cluster, the operational excellence cluster and the strategic financial cluster. There are several statistically significant differences in the corporate financing factors in relation to the clusters to which they belong. The evidence of the factors and clusters explaining company financing provides insights for improving credit access practices and for implementing public policies that facilitate access to credit and promote economic development.

The Role of Agency Cost as a Mediator in the Effect of Capital Structure on Company Financial Performance

The objective of this study is to examine the impact of capital structure on agency cost, the impact of agency cost on corporate financial performance, and to assess the indirect impact of capital structure on corporate financial performance through agency cost acting as an intervening variable. The subjects of this study are the cement sub-sector companies publicly traded on the Indonesia Stock Exchange (IDX) during the years 2014 and 2018. This study employed a saturated sampling technique, specifically census sampling, which resulted in a sample of 30 enterprises. In this study, the capital structure is measured using the debt-equity ratio (DER), while the company's financial performance is measured using return on equity (ROE). This research employed SmartPLS 3.0 software for testing purposes. The findings of this study suggest that the capital structure, represented by the debt-to-equity ratio (DER), has a detrimental impact on agency costs. Additionally, agency cost negatively influences corporate financial performance, as measured by return on equity (ROE). However, the study did not find any indirect effect of capital structure on financial performance through agency cost as an intervening variable.