Disclosure Of Biological Assets Research Articles

Biological Asset Disclosure, Profitability, and Green Accounting: The Impact on Company Value

Biological Asset Disclosure, Profitability, and Green Accounting: The Impact on Company Value

The Recognition, Measurement and Disclosure of Biological Assets of Selected Agritourism Farms in Region IV-A, Philippines

The accounting standard for agriculture was introduced to harmonize the accounting procedures of entities engaged in agricultural production. This accounting standard for agriculture specifies the accounting treatment for biological assets and their biological transformation as well as how it must be reflected in the financial statement. However, there has been little awareness of applying the standard, especially in the agritourism industry. Agritourism is a young industry in the Philippines and is seen as a profitable revenue-generating investment. Therefore, education on financial management and recordkeeping must be given importance. This study assessed the accounting practices of selected agritourism farms in Region IV-A, Philippines, in accordance with the Accounting Standard for Agriculture, 41. The International Accounting Standard 41 and Philippine Accounting Standard 41 cover the recognition and measurements of biological assets and the presentation and disclosure of biological transformation. Interviews were conducted with 17 farms and their financial records were reviewed. The results show that most farms do not recognize and measure their biological assets per accounting standards. The recognition and measurement of biological assets are based on their current practices and are not influenced by the provision of the standards. Moreover, the type of business registration, i.e., corporation or sole proprietorship, affects the accounting practice of the farm. Their records do not accurately reflect the presentation and disclosure of biological assets and biological transformation. Thus, it is recommended that training, seminars, and workshops on IAS/PAS 41 must be conducted, and an application guideline must be developed to improve the accounting practices of agritourism farms and their compliance with the accounting standard.

Penerapan akuntansi aset biologis berdasarkan PSAK No. 69 pada PT Astra Agro Lestari Tbk

In the agribusiness industry, biological assets emerge as the most crucial assets with significant value. Within this sector, PT Astra Agro Lestari Tbk stands out as a company engaged in various activities, including palm oil plantation. Palm oil serves as a biological asset managed by PT Astra Agro Lestari Tbk, encompassing recognition, measurement, and disclosure aspects. This research aims to examine the implementation of biological asset accounting in accordance with PSAK No. 69 at PT Astra Agro Lestari Tbk. Employing a qualitative research approach rooted in postpositivism philosophy, the study investigates natural phenomena or events. The finding reveal that PT Astra Agro Lestari Tbk adheres to the provisions outlined in PSAK No. 69 concerning the recognition, measurement, and disclosure of biological assets. The company exercises control over biological assets through activities such as planting, maintenance, and upkeep of oil palm trees over time. Biological assets are measured based on fair value less costs to sell. Moreover, PT Astra Agro Lestari Tbk discloses gains and losses incurred during the reporting period in the profit and loss statement, while distinguishing between producing and non-producing plants.

The impact of biological asset disclosures and economic sustainability on firm value: Evidence from agricultural companies in Indonesia

This research aims to investigate whether biological asset reporting and the economic sustainability of the firm affect its value. In accordance with the Indonesian Statement of Financial Accounting Standard 69 (PSAK 69), corporations are required to disclose their methods of recognizing and valuing the fair market value of assets pertaining to living things such as plants or animals. Hence, whether biological asset disclosure impacts investors’ decisions to value the firm is the focus of the study. The study also examines if PSAK 69 increased agricultural corporations’ biological asset disclosure. The comparison test shows that PSAK 69 increased the disclosure. The Altman Z-rating probability of bankruptcy is a proxy for economic sustainability. Utilizing 56 listed agricultural firms from 2017 to 2020 as a sample, the regression analysis reveals that biological asset disclosure does not influence firm value. Instead, economic sustainability and other financial indicators such as profitability and the level of debt affect the value of the firm. The results imply that the agricultural corporation’s reputation in the eyes of shareholders is dependent upon its economic sustainability instead of the dissemination of information on its biological assets. The research provides insight into the non-value relevance of biological asset reporting in the context of Indonesia.

Analisis Penerapan PSAK 69 Agrikultur atas Aset Biologis untuk Tata Kelola Keuangan Pada PT. Indah Bumi Plantasi

This study aims to find out the description of the application of PSAK 69 related to biological assets in PT. Indah Bumi Plantasi for financial governance. This research uses descriptive qualitative method. Sources of data obtained by means of observation, interviews, and documentation. To analyze biological assets based on PSAK 69, 3 valuation methods are used, namely recognition of biological assets, measurement of biological assets, and disclosure of biological assets. The results of this study indicate that PT. Indah Bumi Plantasi disclosed and acknowledged its biological assets in the form of teak trees which had shrunk to 3 (three) types of trees according to the type and age of the tree, namely New Plants (TB), Immature Plants (TBM), and Mature Plants (TTM). Biological assets at PT. Indah Bumi Plantation is measured using fair value/market price to make it easier to get profits. This shows that PT. Indah Bumi Plantasi has not fully implemented PSAK 69, because there are still aspects that are not in accordance with PSAK 69 and employees who are still mistaken about PSAK 69.

Determinants Of Biological Asset Disclosure Moderated Biological Asset Intensity

This study examines the determinants of growth, company size and international level variables on biological asset disclosure with biological asset intensity as a moderating variable. The gap in this study lies in the biological asset intensity variable as a moderating variable. This study is quantitative research with secondary data sources obtained through annual reports of agricultural companies listed on the Indonesia Stock Exchange for the 2018-2022 period. The purposive sampling method was used as a sampling technique. Testing of this research data uses multiple linear regression analysis and moderation analysis tests using an interaction test approach with the help of SPSS 25 software. The results of research using multiple regression analysis tests show that growth and company size influence the disclosure of biological assets. Meanwhile, international level variables have no effect on biological asset disclosure. Then, the results of the moderation regression analysis test using the interaction test approach show that biological asset intensity moderates the growth, company size and international level variables on biological asset disclosure. The limitation of this research is that it only covers agricultural companies in the plantation sub-sector. Therefore, future researchers are expected to expand the scope of research and develop other variables related to the disclosure of biological assets, such as foreign ownership and government policy.

DETERMINAN PENGUNGKAPAN ASET BIOLOGIS PADA PERUSAHAAN SEKTOR AGRIKULTUR DI BEI PERIODE 2018- 2021

Agricultural sector companies are unique for their agricultural activities so that the emergence of biological assets. These biological assets certainly have different characteristics compared to other assets because there is a possibility of adding or reducing the value of these assets due to biological factors in them. Changes in biological assets can have an impact on investors' assessment of company performance and value. This study aims to examine the effect of biological asset intensity, audit committee meetings, company size, KAP type and ROA on the disclosure of biological assets in agricultural sector companies listed on the Indonesia Stock Exchange in 2018-2021. Sampling was done by purposive sampling technique. This type of research uses descriptive statistical tests and multiple linear regression methods. The objects in this study are the financial reports of agricultural sector companies listed on the IDX from the 2018 -2021 period. The results showed that the intensity of biological assets has an influence on the disclosure of biological assets but other independent variables have no significant effect.

BIOLOGICAL ASSET DISCLOSURE: A STUDY ON AGRICULTURAL COMPANIES IN INDONESIA

Research Purposes. This research aims to investigate the effect of biological asset intensity and the characteristics of boards of directors on the disclosure of biological assets. Research Methods The population in this study is the agriculture companies listed on the BEI using a purposive sampling method with 216 samples between 2005 and 2021. Data analysis uses multiple linear regression using STATA version 17. Research Results and Findings. The result indicates that biological asset intensity, board of directors size, and board of directors accounting expertise positively affect the disclosure of biological assets. The evidence has direct implications for companies in selecting directors, as stakeholders may demand the appointment of directors with accounting experts.

Peran Pengungkapan Aset Biologis dalam Memediasi Hubungan Profitabilitas, Ukuran Perusahaan, dan Penilaian Perusahaan

The aim of the research is to empirically prove the influence of profitability, company size, and disclosure of biological assets on company valuation. The method used in research is a quantitative method. The sample in this research was 96 observations of agricultural companies listed on the Indonesia Stock Exchange (BEI) for the 2017-2022 period. Research testing and analysis uses descriptive analysis methods and analytical analysis with multiple linear regression. Based on the test results, profitability has no effect on company assessment. Meanwhile, company size and disclosure of biological assets influence company valuation. Testing the role of biological asset disclosure as a mediating variable found that biological asset disclosure was able to mediate the relationship between company size and company valuation but was unable to mediate the relationship between profitability and company assessment.
 Keywords: Profitability; Firm Size; Biological Asset; Firm Valuation; PSAK 69

THE EFFECT OF BAI, SIZE, OWNERSHIP, AND PROFITABILITY ON DISCLOSURE OF BIOLOGICAL ASSET

Data from the Ministry of Agriculture showed that during the Covid-19 pandemic, agricultural sector managed to increase the growth of GDP by 2.19% compared to the previous year (year-on-year). Then, data from the Central Bureau of Statistics shows in 2020, only the agricultural sector made a positive contribution of 1.75% to GDP compared to other business sectors. This needs to be the government's attention to develop the agricultural sector as a sector that is expected to be the main engine of development in order to realize the Sustainable Development Goals (SDGs). The intention of this research was to find out the effect from intensity of biological asset, firm size, managerial ownership and profitability on disclosure of biological assets in agricultural enterprises listed on the IDX from 2016 to 2020. This study falls under verification research category. All agricultural companies listed on IDX period 2016-2020 are the population in this research. Purposive sampling was used to choose the sample and 13 companies were chosen. Documentary studies were used to acquired data. In this study, data was collected utilizing a documentary study with analysis of multiple linear regression. In this study data processing using the help of IBM SPSS Ver.25.0. According to the findings of this study, firm size has a considerable favorable effect on the dsiclosure of biological assets. The intensity of biological assets, management ownership, and profitability no impact disclosure of biological assets. Thus, biologiccall aset intensity, firm size, managerial oownerhip, and profitability silmutaneously impact on biological aset disclosure.

The Effect of Biological Asset Intensity, Ownership Concentration, Public Ownership, and Audit Committee Meeting on Biological Asset Disclosure

The existence of biological assets is fully regulated in PSAK 69 which is the adoption of IAS 41. This study aims to provide empirical evidence related to the influence of biological asset intensity, ownership concentration, public ownership, and audit committee meetings on biological asset disclosure. The population used in this study is an agricultural company listed on the Indonesia Stock Exchange (IDX) for the period of 2018 to 2021. The sample selection method used in this study was purposive sampling. Based on the predetermined criteria, a total sample of 15 companies was obtained with a total of 60 firm observations. Data were analyzed using multiple regression analysis methods. Results show that biological assets intensity has a positive influence on the biological assets disclosure of agricultural companies listed on the Indonesia Stock Exchange (IDX) in 2018-2021. However, ownership concentration, public ownership, and audit committee meetings have no effect on the biological assets disclosure of agricultural companies listed on the Indonesia Stock Exchange.

THE ROLE OF OWNERSHIP CONCENTRATION AS MODERATION ON BIOLOGICAL ASSET INTENSITY, COMPANY SIZE, AND FIRM GROWTH ON BIOLOGICAL ASSET DISCLOSURE IN AGRICULTURAL INDUSTRY IN INDONESIA

Disclosure in financial statements is now important for users. The purpose of this study is to empirically prove whether there is an influence between Biological Asset Intensity, Company Size, and Firm Growth on Biological Asset Disclosure. In addition, this study wants to see whether the Ownership Concentration moderates the relationship between those variables. The population of this study is agricultural companies listed on the Indonesia Stock Exchange (IDX) in the period 2018 to 2020. Purposive sampling was usedthe sampling technique and the total sample obtained was 51 samples. The data were processed using SPSS ver 26.0 with multiple regression analysis and Moderated Regression Analysis (MRA) methods. The results of the analysis of this study found that Biological Asset Intensity, Company Size, and Firm Growth did not have a significant effect on Biological Asset Disclosure. The results of the moderation analysis, Ownership Concentration proves to strengthen the relationship between Biological Asset Intensity and Company Size on Biological Asset Disclosure. However, Ownership Concentration has proven to weaken the relationship between Firm Growth and Biological Asset Disclosure.The implication of this research is the need to increase the role of centralized ownership in terms of financial statements in order to provide added value for investors.

THE ROLE OF OWNERSHIP CONCENTRATION AS MODERATION ON BIOLOGICAL ASSET INTENSITY, COMPANY SIZE, AND FIRM GROWTH ON BIOLOGICAL ASSET DISCLOSURE IN AGRICULTURAL INDUSTRY IN INDONESIA

Disclosure in financial statements is now important for users. The purpose of this study is to empirically prove whether there is an influence between Biological Asset Intensity, Company Size, and Firm Growth on Biological Asset Disclosure. In addition, this study wants to see whether the Ownership Concentration moderates the relationship between those variables. The population of this study is agricultural companies listed on the Indonesia Stock Exchange (IDX) in the period 2018 to 2020. Purposive sampling was usedthe sampling technique and the total sample obtained was 51 samples. The data were processed using SPSS ver 26.0 with multiple regression analysis and Moderated Regression Analysis (MRA) methods. The results of the analysis of this study found that Biological Asset Intensity, Company Size, and Firm Growth did not have a significant effect on Biological Asset Disclosure. The results of the moderation analysis, Ownership Concentration proves to strengthen the relationship between Biological Asset Intensity and Company Size on Biological Asset Disclosure. However, Ownership Concentration has proven to weaken the relationship between Firm Growth and Biological Asset Disclosure.The implication of this research is the need to increase the role of centralized ownership in terms of financial statements in order to provide added value for investors.

Faktor - Faktor yang Mempengaruhi Pengungkapan Aset Biologis Sesudah Penerapan PSAK 69

Abstract: Purpose: This study aims to examine the effect of asset intensity, company size, KAP Big Four, public ownership, and profitability on disclosure of biological assets. Non-Cylical Consumer companies are the object of this study, and there are 48 data samples. Research Methodology: The testing technique used is purposive sampling, namely selecting samples with a particular model. In addition, the measuring tool used is SPSS 24. Result: Previous researchers showed, that the disclosure of biological assets is influenced by its intensity. In addition, company size has no effect on the disclosure of biological assets. Meanwhile, KAP Big Four has a significant and negative influence on the disclosure of biological assets. Furthermore, disclosure of biological assets is not affected by public ownership. implies that disclosure of organic resources will not be affected by open ownership. Profitability also has no effect on the disclosure of biological assets, so that profitability will not affect the disclosure of biological assets. Limitation: This study only uses the independent variables of biological asset intensity, company size, KAP Big4, public ownership, and profitability, and only uses the non-cyclical consumer sector listed on the IDX. Contribution: Companies, especially those that have gone public and are listed on the IDX, can benefit from this research. In addition, investors interested in investing can benefit from not only viewing the company's financial statements but also the disclosure of its biological assets for future research purposes. In this study, the variables, sample size, and population, and time of year were updated. Keywords: 1. intensity of biological assets 2. company size 3. the KAP Big Four 4. public ownership 5. profitability 6. biological assets' disclosure

Factors influencing biological asset disclosures in agricultural companies in Indonesia

This study examines to what extent biological asset reporting is corresponding to the Indonesian Statement of Financial Accounting Standard 69 (PSAK 69) among Indonesia Stock Exchange-listed agricultural firms. In their annual report, such companies should report how they recognize and measure the fair value of the living plants or animals’ assets. This study also examines factors that might impact the extent of disclosure of biological assets. The examined factors are biological asset intensity, concentrated ownership, audit committee effectiveness, profitability, and size. Biological asset disclosures were measured by a checklist derived from PSAK 69 and International Accounting Standard (IAS) 41 on Agriculture. This study uses 53 firm-year observations of the listed agriculture companies from 2017 to 2020. Multiple regression analysis findings indicate that biological asset intensity and firm size affect favorably the amount of biological asset disclosures. The results indicate that the greater the living plants or animals owned by a company and the larger the firm, the greater the commitment of a company to disclose its biological assets in its annual report. The study sheds light on the capital market authority agency’s current policy to strengthen factors that may impact agricultural companies’ disclosure of their biological assets.

Biological Asset Disclosure in Indonesia

The development of companies in the agricultural sector is supported by the availability of information, which is also a consideration for decision-making by company owners or company management. As a result, the company's annual report must include as much information as possible. Agricultural companies are required to disclose their biological assets under PSAK 69. However, many agricultural companies have not fully disclosed their biological assets. The focus of the research is to observe how biological assets, company growth, auditor type, and public ownership influence biological assets disclosure. Plantation & crops companies listed on the Indonesia Stock Exchange (IDX) are the population for this study, with a total of 25 entities. 13 out of 25 companies became the research sample taken using a purposive sampling method. The research technique uses panel data regression in Eviews 10. The findings of this study are biological assets intensity and auditor type have a significant positive impact on biological assets disclosure. Company growth has an insignificant positive effect on the disclosure of biological assets, public ownership has an insignificant negative effect on the disclosure of biological assets.

Factors Affecting Indonesian Agriculture Companie’s Disclosure of Biological Assets

This study aims to test the effect of Biological Asset Intensity, Managerial Ownership, and Audit on Biological Asset Disclosure on agricultural sector companies listed on the Indonesia Stock Exchange (IDX) Year 2018-2021. Samples were taken using a purposive sampling method with certain criteria, during the study period. Based on the criteria that have been determined by the data using panel data, a total of 68 data were obtained. The analysis method used in this study was the regression analysis of panel data processed using Eviews 9. The results of this study show that (1) Biological Asset Intensity has a significant positive effect on the disclosure of biological assets. This is because the greater the value of biological assets, the higher the company provides more complete and detailed information to users of financial statements. (2) Managerial Ownership has a significant positive effect on the disclosure of biological assets. This is because managers who have a hand in the company's capital will carry out their duties according to applicable regulations and not only for their own interests but also for the sustainability of the company to remain sustainable in the future. (3) The audit has no negative effect on the disclosure of biological assets. This is because the role of kap is not determined by the characteristics of the Big Four or Non-Big Four levels because currently, the role of auditors is growing, many KAP who are not affiliated with the Big Four also revealed that detailed information according to the needs of users of financial statements and investors when choosing the company they will choose as a place to plant shares.

Determinan pengungkapan aset biologis pada perusahaan agrikultur yang terdaftar di BEI

This study aims to empirically prove the effect of biological assets intensity, firm size, Ownership Concentration, type of KAP, firm growth, and profitability on the disclosure of biological assets.. This type of research is quantitative research. The population in this study is all financial data of agricultural companies listed on the IDX in 2019-2021 as many as 26 companies. The sampling technique in this study used a purposive sampling technique for as many as 14 companies. The data analysis technique used descriptive statistical analysis, classical assumption test, multiple linear regression analysis, Coefficient of Determination, Simultaneous Test (F-Test), and Partial Test (T-Test) processed with SPSS 26. The results of this test indicate that the variable biological asset intensity and profitability have a significant positive effect on the disclosure of biological assets, and the type of KAP variable has a significant negative effect on the disclosure of biological assets. While the variables of firm size, ownership concentration, and firm growth do not affect the disclosure of biological assets.

Biological Assets and Firm Value: Do Fair Value Measurement and Disclosure Matter?

This study aims to investigate whether value of biological assets measured by fair value and disclosure of biological assets has influence on firm value. The samples are agricultural companies listed on the Indonesia Stock Exchange between 2018 and 2020 with 51 firm-year observations. Using multivariate analysis, this study found that value of biological assets measured by their fair value has a significantly positive effect on firm value, while the disclosure level of biological assets does have impact on firm value. The control variables, namely profitability, leverage, and growth, significantly affect firm value. This study provides a new perspective and empirical evidence in the research topic because this research focuses on the impact of the application of Indonesian statement of financial standard No. 69 regulating fair value of assets and disclosure of biological assets on firm value.

ANALYSIS OF THE APPLICATION OF PSAK 69 ON BIOLOGICAL ASSETS AT PT AUSTINDO NUSANTARA JAYA Tbk.

This research aims to analyze the theory and practice of preparing financial statements carried out, especially on the recognition, measurement, and disclosure of biological assets. This research is a case study of PT Austindo Nusantara Jaya Tbk. (ANJ). The method used in this study is a qualitative research method where the data source in this study is secondary data, namely the financial statements and annual reports of PT Austindo Nusantara Jaya Tbk. (ANJ). The data analysis technique used in this study is a descriptive method of comparative qualitative approach. According to the Financial Report of PT Austindo Nusantara Jaya Tbk. (ANJ) in 2020, it shows that biological assets lie in current assets. This means that the asset has a useful life or undergoes a biological transformation in less than a year. Meanwhile, biological assets are measured by fair value minus costs for sale. The estimated fair value of biological assets will increase (decrease) if: (1) The estimated price of tbs and edamame beans is higher (lower), (2) The estimated yield is higher (lower), and (3) The estimated cost of maintenance, harvest, and transportation is lower (higher). PT Austindo Jaya Nusantara Tbk. has recognized all its biological assets with reference to the realization of production. Thus, the asset is recognized in the harvested crop.