Return Values Research Articles

Assessment of the investment attractiveness of agriculture in Russia by profitability indicators

The article evaluates the investment attractiveness of agriculture in the Russian Federation in terms of profitability of sales, assets and equity. A factor analysis of profitability indicators is performed: in the dynamics of profitability of sales, the factors of revenue, cost, commercial and management expenses are highlighted; the return on assets is presented as a model dependent on the return on sales (profit before tax) and the asset turnover ratio; factors determining the change in return on equity include (net) return on sales, asset turnover ratio and capital multiplier. It is established that the direct operational, production and economic activities of agricultural organisations of the Russian Federation are characterised by high profitability (sales) but are associated with significant capital intensity, which creates "pressure" on the values of return on assets, and excessive crediting (financial dependence), which reduces the possibility of further increasing financial profitability (return on equity).

Profitability Analysis Using the Du Pont System Method In the Fast-Moving Consumer Goods (FMCG) Distribution Subsector of a Go-Public Company for The Period 2017-2021

The aim of this study is to analyze the profitability level of Fast-Moving Consumer Goods companies in the Retail and Distributor of Medicines (D111), Rental and Distributor of Food (D112), and Processed Food Distributors (D222) subsectors listed on the Indonesian Stock Exchange in the period 2017-2021 based on Du Pont system analysis. The Du Pont system is an analysis method used to show the interaction between Net Profit Margin (NPM), Total Asset Turnover (TATO), Return on Asset (ROA) and Equity Multiplier in determining the value of Return on Equity (ROE). This type of research is descriptive quantitative using the Du-Pont analysis method. The method used in this study is judgement sampling. Types of data and data sources use secondary data derived from financial statements published by companies that are samples of research and data from the Stock Exchange of Indonesia. Analysis shows that PT. Tigaraksa Satria Tbk has the highest profitability as a Fast-Moving Consumer Goods subsector distribution company. The company's ROE from 2017 to 2020 is higher than the industry average, by 2019 has increased and decreased by 2021. PT. Wicaksana Overseas International Tbk became a Fast-Moving Consumer Goods subsector distribution company with the lowest profitability performance of the five samples, based on analysis carried out by the company's ROE from 2017 to 2020 experienced a decline below the industry average and by 2021 a decrease slightly above the industrial average.

Оценка динамики собственного капитала агрохолдингов в Российской Федерации

The aim of the work is to assess the dynamics of the equity capital of agricultural holdings in the Russian Federation in order to analyze changes in their financial, economic and investment potential, as well as to identify factors that affect the change in such dynamics. The study was conducted on the basis of balance sheet data from a sample of 50 individual legal entities - mainly management companies related to the country’s leading agricultural holdings. The trend of increasing both the nominal and real value of the equity capital of agricultural holdings during 2009-2021 is revealed. The trend changed in 2022. The main factors influencing the dynamics of the real value of equity capital of agricultural holdings during the analyzed period are the following: state financial and administrative support; withdrawal from the domestic market of foreign companies-competitors starting from 2014. It is proved that as the real value of equity (that is, the base of comparison) increases, the degree of influence of inflation and the key rate of the Bank of Russia has a greater impact on the dynamics of the studied indicators than other factors. This pattern makes anti-inflationary measures and cheaper loans more appropriate in the list of possible tools for state regulation of the agro-industrial complex. As the real value of equity grows, the marginal usefulness of direct financial support for the subjects under study also decreases. The value of return on equity in terms of net profit of the studied subjects in the amount of 17.17% in the economic conditions of the Russian Federation is estimated by us as one that allows the industry to develop, but does not indicate the presence of superprofit and the possibility of rapid accumulation of investment potential for significant activation of investment processes in related and other industries. In such circumstances, state financial and administrative support for the agricultural sector remains relevant, given the continuing need to ensure the country’s food security.

ВИКОРИСТАННЯ ФУНКЦІЇ КОББА-ДУГЛАСА ДЛЯ АНАЛІЗУ ЕКОНОМІЧНОЇ ДИНАМІКИ

The purpose of the study is to enhance the capabilities of analyzing the dynamics and efficiency of the national economy, as well as forecasting its development, based on the use of the Cobb-Douglas production function apparatus. To this end, the article demonstrates that production functions, including the Cobb-Douglas function, are powerful tool for analyzing economic dynamics. The advantages of the Cobb-Douglas function and its application peculiarities are analyzed. Production functions enable the evaluation of production efficiency and the productivity of factors such as labor, capital, etc. They can be used to forecast trends in the national economy's development. However, using the Cobb-Douglas production function can cause some problems and limitations. The article presents four calculation options based on actual statistical data of the Ukrainian economy. The analysis of the calculations revealed that it is advisable to use the following indicators to obtain accurate results. The dependent output variable is gross domestic product at actual prices. The independent variables are the cost of capital investment at actual prices and the effective volume of labor. Based on the calculations, the parameters of the Cobb-Douglas production function for the Ukrainian economy were found. The adequacy of the constructed econometric model and the feasibility of its application for analyzing the dynamics of the national economy of Ukraine have been demonstrated. 93.6% of the variation in the gross domestic product depends on the variation in the effective volume of labor and the variation in capital investment. The economic interpretation of the parameters of the constructed Cobb-Douglas production function is provided. It was concluded that labor-intensive economic growth is occurring in the economy of Ukraine, along with a certain tendency towards intensive economic growth. The constructed Cobb-Douglas model was applied to find a point forecast of the gross domestic product. The values of capital return and labor productivity for the economy of Ukraine were determined. The results of the work can be used to analyze the economic dynamics of indicators of the national economy.

Effects of Cultural Factors on Cost Performance of Multinational Construction Organizations

Purpose: This study examines the effects of cultural factors on cost performance of multinational construction project organisations with a view towards identifying the most effective cost performance variables affected by the influence of cultural practices. Purposive sampling technique was adopted in deterring the number of construction professionals identified in construction companies with international market experience involved in the delivery of building, civil, and heavy engineering construction projects within the south-east geopolitical zone of Nigeria. Outline: A well-structured questionnaire was used to sample respondent’s opinion. Data analysis was through frequencies, percentile, and Mean Item Score (MIS). Findings: Research findings proved that irrespective of the positive effects of educational culture which improves cost performance by ensuring that projects are executed at estimated cost and within client’s budget (Mean = 4.34) and the result of effective communication culture which ensures value for money and return of customer as project is designed to suite client’s budget while maintaining standard quality delivery (Mean = 4.16), political culture tends to have mixed effect on cost performance as project design cost, labour, material and equipment cost, profit and overhead cost, etc. (Mean = 4.30) is found to be responsible for cost overruns of construction projects. Research Implication: The study recommends among others that multinational construction organisations pay great attention to the political style practiced in the host community / country in which they operate.

Analysis of the accounting financial performance of private listed banks in the emerging market for the period 2010–2022

This study aims to the little impact of accounting financial performance (AFP) analysis on the money market in the Iraqi economy. Potentially limiting future market activity could be international risks and obstacles, which in turn could cause issues and crises (Shah & Jan, 2014; Bakhtiyarovich, 2020)‏. The study concept was inspired by the recognition that there must be communication between the importance of the AFP analysis of the Iraqi securities market and the country’s financial and economic institutions. The sample of the study included ten Iraqi banks listed in the Iraq Stock Exchange (ISE) for the period 2010–2020. The three mathematical models included in the statistical analysis served as the basis for projecting future return and risk values in the Iraqi money market. The potential for being put in peril because of unintended consequences stemming from worldwide disasters. This research yielded several findings, the most significant of which was that the Iraqi securities market is not particularly consequential to the economy. The vulnerability of the economy to international shocks makes it difficult to implement monetary and financial policy.

Do Merger Announcements Enhance the Wealth of the Shareholders? Evidence from India Banking Sector

The present study attempts to examine the impact of merger announcements on shareholders’ wealth of respective banks in the Indian banking sector. The study considers 13 mergers which include the merger of both public sector and private sector banks. Event Study Methodology has been used for the analysis purpose. The study uses both a one-factor model and a two-factor model to calculate the cumulative abnormal return in various time windows. The notable findings of the study demonstrate that the market reaction towards the merger announcement is negative in both the public and private sector banks. The impact on public sector banks is more compared to the private sector banks as the resulting Cumulative Abnormal Return (CAR) values are negative and significant. Contrary to the above findings, the shareholders of Kotak Mahindra Bank and ING Vyasa Bank have gained wealth as a result of the merger as the market has reacted positively to the merger announcement.

Techno-economic analysis of biodiesel and bioethanol production from Chlorella sp. algae biomass

Indonesia's energy consumption mostly comes from non-renewable energy sources, with 32% dedicated to the transportation sector. The Indonesian government is currently increasing the application of a 30% biodiesel blend in diesel fuel and aiming for a 20% blend of bioethanol in gasoline by 2025. Microalgae is one of the most promising sources for biodiesel production, yielding ethanol and glycerol as by-products. The main processes in this biodiesel plant are cultivation, transesterification, and washing, with glycerol as a side product. For bioethanol, the processes include hydrolysis, fermentation, and separation. The cultivation process utilizes a photobioreactor to promote microalgae growth by controlling environmental parameters. The plant's biodiesel production capacity is 87,107.82 gallons per year, with bioethanol production at 65,330.88 gallons per year and glycerol at 217,769 gallons per year. With the government's tax incentive for the sustainable energy industry applied in this economic analysis, the Internal Rate of Return (IRR) value for this plant is 3%, while the Rate of Interest is 13%.

The Impact of Environment Social Governance (ESG) Performance on Stock Returns in Indonesian Companies

The aim of this research is to examine the performance of Environmental, Social, and Governance (ESG) on the stock return value of companies in Indonesia. This study falls under the third step of measurement, which is the proof-of-concept of important functions and/or characteristics through analytical and experimental methods. The research methodology uses a quantitative approach with a combined time series and cross-sectional data (panel data). Data collection is done using secondary data, where data is gathered from existing sources. In this study, the data is obtained from Bloomberg. The population for this research comprises companies listed on the Indonesian Stock Exchange with available ESG disclosure scores on Bloomberg for the period of 2017-2021. Based on the hypothesis test results, it is found that ESG performance and social performance have a positive effect on stock returns. However, the performance of governance and the environment, has no effect on stock returns.

Research on rural landscape garden planning and plantscape construction method based on digital twin technology under rural revitalization strategy

Abstract This paper integrates the landscape information model, designs the digital twin rural landscape architecture, and analyzes the advantages of the digital twin rural landscape model. The practical application of digital twin technology is examined from the planning and design stage to the construction stage. Considering the actual construction site layout and the consumption of construction materials, the NSGA-II algorithm is selected to optimize the dynamic layout of temporary facilities by combining multi-objective optimization theory. Using the digital twin to drive the dynamic layout of the construction site, a digital twin-driven construction site layout mechanism is proposed in combination with BIM technology. The actual construction scheduling tasks are used to analyze the feasibility of the construction site layout scheme generated using digital twin technology. Analyze the construction of rural landscape gardens planned using digital twin technology in terms of ecological, social, and economic benefits. The convergence minimum is achieved at 0.15 and 0.09 when comparing the number of iterations between the initialized layout and the digital twin-driven layout. The corresponding scheme reaches its optimal state during the construction stage and can provide the most suitable site arrangement scheme during that stage. The rural landscape garden planned by the digital twin technology can generate an economic return value of 71.756 yuan/m² per year, which can further promote rural revitalization.

Non-Economic Functions in Education Investment

Education plays an important role in improving the standard of living and the quality of the human economy. This causes many people to think that higher education will provide high economic returns. But in reality, many graduates have completed their education at tertiary institutions, but are still unemployed, so people think that it is useless to go to school or have a higher education. Even though the function of investment in education is not only an economic function. This study uses literature studies by analyzing books, journals, or research related to the problem. From the results of the analysis, education has several aspects of non-economic functions such as religious, social, political and legal, cultural, educational, health, and social life functions. This shows that the return value from investment in education is not only an economic aspect, but includes many aspects. Education helps people to become more socially, politically, and culturally aware and better equipped to understand and apply science and technology to advance human civilization.

Feasibility Analysis of a Roof Tile Factory Business Using a Capital Budgeting Approach

Natural content that supports the need for raw materials and materials needed is provided by the nature around us, such as various plants, soil, water, natural stones, and others. Most of them can be further processed into raw materials for construction products, such as roof tiles and other infrastructure facilities. The financial feasibility aspect is important considering that the business can be categorized as a project, which requires a long payback period based on the accounting period. During this time period there are various things that are full of uncertainty which are influenced by the rate of inflation and bank interest rates, so that the value of investments issued and the income or money obtained now will be different from the value of money in the future, which is called with the value of time rather than money. It is hoped that the analytical tool will be able to provide consideration, input and anticipation for the future of the roof tile manufacturing unit project by paying attention to capital budgeting, which can then be analyzed from a financial aspect through payback period (PP), net present value (NPV), profitability index ( PI) and internal rate of return (IRR). In the roof tile manufacturing business, the PBP is 1 year, 8 months, 6 days faster than the maximum period of 8 years of the project value, positive NPV of IDR 536,821,468, PI of 2,841 greater than number 1 and IRR of 14,835 greater than the cost value of capital 12%. As a basis for decision making through a capital budgeting approach through financial analysis.

The Structural Shifts in Bitcoin’s Role as a Predictor of the KOSPI Index

This paper explores the efficiency of the KOSPI market by examining its predictability, with a focus on the influence of Bitcoin returns during non-trading hours. Utilizing predictive models incorporating many financial assets, we find a significant predictive value in the Bitcoin return for the KOSPI return. We also identify a gradual structural break in the KOSPI-Bitcoin relationship, a shift from traditional market efficiency paradigms. This gradual transition, influenced by recent economic and regulatory changes, underscores potential arbitrage opportunities.

Impact of COVID-19 Pandemic and Russo-Ukrainian War on Tunisian Stock Exchange Performance and Volatility

The purpose of our study was to investigate the impact of COVID-19 pandemic and the Russo-Ukraine (RU) war on the return volatility and value of the Tunisian Stock Exchange proxied by TUNINDEX. We applied GARCH (1,1) to assess the impact on the index return volatility, using daily observations from January 2019 to December 2022, and a multiple linear regression to determine the effect on the index value, based on monthly observations for January 2018 to December 2022. GARCH output revealed that both exogenous shocks led to higher stock market return volatility. The regression results disclosed statistically significant though opposite impacts on the index price. The pandemic exerted a positive, though extremely mild impact on the Index value, while the war had a negative effect on its performance. As for the control variables, both inflation rate and industrial production index exhibited positive effects on the TUNINDEX values, while trade balance had a negative impact. GDP growth rate and interest rate however, showed no significant influence on the index performance during the study period. We faced some difficulty accessing data, in addition to the scarcity of data on other potentially relevant factors, along with a short study period. Incorporating new variables i.e. mortality rates, unemployment due to the lockdown, travel bans effect, trade dependence with Ukraine and Russia, and using Time-Varying Vector Auto Regressive model may add additional value to our work. The paper contributes to the literature on external shocks impacts on stock markets, specifically on the Tunisian stock exchange. In addition, it offers insights on the potential expected economic effects of unpredicted events, and may help identify appropriate strategies to mitigate their dramatic effects. Finally, this research presents the first investigation on the impact of the Russian invasion on Ukraine on the Tunisian stock exchange by probing into the impact on both volatility and performance of the market’s index.

장기배당계획 공시와 시장반응

[Purpose] The purpose of this study is to examine the market response to the fair disclosure of a company’s long－term dividend plan. In addition, this study analyzes how the market reacts to the size of the long－term dividend plan, which is one of the disclosures of the long－term dividend plan.
 [Methodology] This study manually collects the disclosure of a company’s long－ term dividend plan and empirically analyzes the market response at the disclosure date and the market response according to the size of the long－term dividend plan using abnormal returns and cumulative abnormal returns values.
 [Findings] As a result of the analysis, this study shows that there is a significant positive correlation between the long－term dividend plan disclosure and the abnormal return on the disclosure date, indicating that the market positively evaluates the company’s long－term dividend plan disclosure. This study also presents that the size of the long－term dividend plan is significantly positive correlated with the abnormal return and cumulative abnormal return. This result means that the larger the long－term dividend plan, the more favorable the investor’s response is.
 [Implications] This study is meaningful in that it empirically analyzed the market response to the disclosure of a company’s long－term dividend plan when domestic listed companies have gradually expanded their disclosure of shareholder return policies as part of shareholder－friendly policies.

부동산 임대료의 현금 흐름에 대한 리스크 분석

Investment decisions in real estate development projects need to be made more flexibly in uncertain environmental changes such as legal and economic conditions in competitive business in the rapidly changing real estate market. In analyzing the economic feasibility of real estate development projects, the valuation method of the investment plans using the traditional NPV method is evaluated based on a fixed standard planned in advance. Therefore, it was not possible to flexibly cope with uncertain changes in the business environment. In the face of growing uncertainty in the real estate development market, a more sophisticated evaluation method that can evaluate investment plans is needed according to changes in the market. Accordingly, the valuation of real estate development projects was analyzed using real options approach. In this study, an analytical framework was presented to evaluate the return value of commercial rental properties from a financial engineering perspective and to analyze the risk of rent cash flows. Real estate rate assessment methods, risk analysis methods, rent derivatives valuation methods, and real estate option valuation methods were analyzed for uncertainty in rent, tenant residence, vacancy, and real estate price using Monte Carlo simulation. In terms of financial engineering probability models, research in the field of valuation and risk analysis of real estate is now in its infancy, and the framework for analysis itself is not sufficiently established. Based on these studies, various analysis methods will be developed, and in this sense, this study can play a fundamental role.

Market Timing and Asymmetric Information: How do Rights Issues and Private Placements Attract Investors to Overvalued Stocks?

Manuscript type: Research paper Research aims: This study examines the background of selecting the equity offering mechanism between rights issues and private placements when facing asymmetric information and overvalued prices. Design/Methodology/Approach: This research employs the concept of information asymmetry and focuses on analysing market timing data about stock offering transactions in Indonesia from 2000 to 2020. This study uses regression analysis to examine the correlation between information asymmetry and trade volume. Abnormal trade volume before various offerings is subjected to regression analysis using generally used proxies for information asymmetry. Research findings: The conclusions of our research indicate that companies that issue more shares than the overpriced stock tend to exhibit a more excellent abnormal return value in the context of rights issues. The sales volume indicates the company’s prospects derived from private information obtained during the offering Theoretical contribution/Originality: There is a shortage of existing literature about research that specifically investigates the identification of SEO techniques that elicit negative market responses. Consequently, this study explores the connection between the underlying motivations driving the selection of stock offering mechanisms. Practitioner/Policy implication: The distribution of profits in the transaction indicates the company’s future policies. Before investing, investors can acquire pertinent information on the company’s current state, strategic goals, and prospects. Research limitation: The present analysis has not considered the factors of internal ownership or insider trading. These factors might serve as a foundation for investigating the underlying incentives for issuing shares with more precise market timing considerations.

Classification of Pistachio Images Using VGG16 and VGG19 Deep Learning Models

The value of the economy provided by pistachios to the countries where they are grown is increasing day by day. From this point of view, the importance of correct classification of pistachios is known. The more accurately the harvested pistachios are classified, the better the monetary return value. In this study, two different classes of pistachios were classified using VGG16 and VGG19 deep learning architectures. There are 2148 pieces of Kirmizi and Siirt Pistachio in the dataset. Experimental studies were carried out with 5-fold crossvalidation. As a result of the experimental studies, the Accuracy value of 0.802117 and the F1-measure value of 0.830593 were obtained from the average of 5 folds from the VGG16 deep learning model. Likewise, the Accuracy value of 0.779404 and the F-measure value as 0.779404 were obtained from the average of 5 folds from the VGG19 deep learning model.

Comparison Of The Performance Of Sharia Stock Mutual Funds With The Performance Of Conventional Stock Mutual Funds

This study aims to determine the differences in the performance of Islamic stock mutual funds with the performance of conventional stock mutual funds. This type of research is a descriptive statistical analysis with a sample population of Islamic stock mutual funds and conventional stock mutual funds that are actively listed on the IDX for the 2016-2020 period. The sample selection used the purpose sumpling technique. Purpose sampling method is a sampling method based on certain criteria. The method used is the Independent Sample T Test different test. The mutual funds tested were the performance of sayriah stock mutual funds and the performance of conventional stock mutual funds based on the value of return and risk of mutual funds using the Sharpe, Treynor, Jensen and MM methods. The results of this study indicate that there is a significant difference between the performance of Islamic stock mutual funds and the performance of conventional stock mutual funds.

Economic valuation of the proper management of municipal solid waste in an educational space

The correct management of Municipal Solid Waste (MSW) in any population center is essential to guarantee the quality of life of its inhabitants and the surrounding environment. The study carried out involved the quantification of MSW generated in specific areas of the Juan Pablo II campus of the University of Guanajuato, with the use of two complete recycling stations with primary and secondary labeling, graphically specifying a subclassification with infographic type posters. For 5 weeks we separated and sold the most commercially valuable solids in Celaya, delivering the proceeds to the corresponding university agency, and the lids of the different food containers were donated to an association that supports children with cancer. With the amount obtained, an economic feasibility analysis was carried out using the financial evaluation criteria Net Present Value (NPV) and Internal Rate of Return (IRR) to know the feasibility in monetary terms; to complement this, the equilibrium point (Q) and the sensitivity analysis were used; trying to exploit the maximum recycling capacity and move to the circular economy.