Value Of Assets Research Articles

Development of the Recycling Industry Sector in Bulgaria in the Context of the Circular Economy Concept

The article examines the structure and results of the activities of enterprises from the raw materials and materials recycling sector in Bulgaria by subsectors from the National Classifier of Economic Activities (NCEA 2008). The article examines the structure of the recycling industry sector of the national economy with enterprises and resp. the results achieved by them in each of the directions – waste collection, waste recycling and waste disposal. The research interest and choice of this sector of the national economy is not accidental. It is provoked by its importance for building a circular economy, the fight against climate change and the concept of secondary utilization of the exhaustible resources of our planet. The purpose of the article is to make a comparison and outline the directions of development of the enterprises from the recycling industry in Bulgaria in comparison with the general economic development of the country in recent years. Statistical data for the enterprises from the recycling industry were used in relation to selected economic indicators – turnover, value of long-term tangible assets, value of short-term tangible assets, employed personnel, investments made, etc. At the national macro level, and as a basis for comparison, the main macroeconomic indicators are observed – gross domestic product, gross domestic product per capita and foreign direct investments. By using the methods of comparison, retrospective analysis, technical analysis, etc. principles and regularities in the economic development of the sector and its importance for the general economic development of the country have been identified.

Insider trading at a random deadline with correlation between dynamic asset and stochastic liquidity

We propose a generalized continuous-time insider trading model, building upon the frameworks of Caldentey and Stacchetti (2010) and Collin-Dufresne and Fos (2016), with a correlation between the value of a risky asset following an Ornstein-Uhlenbeck-type process and the noise trading volume with volatility characterized by a general stochastic process. And a closed form of the market equilibrium is established, consisting of the insider's trading strategy and the market makers' pricing rule. It shows that at the equilibrium: (i) all of the insider's private information is released at the end of the transaction; (ii) market depth and market liquidity evolve as semi-martingales, respectively; and (iii) the equilibrium price is driven by a bridge process that solves an Ornstein-Uhlenbeck-type SDE. Numerical simulations show that as the correlation coefficient increases, the equilibrium price becomes more informative, leading to a decrease in both the trading intensity and the expected payoff for the insider.

A new approach to assessing a company’s financial indicators: taking into account business and financial risks

There are two main methods for estimating the value of assets. The first method is the well-known CAPM (Capital Asset Pricing Model), which uses the risk-free rate as the initial return and takes into account only the business risk associated with investing in a specific asset, and not in the market as a whole. The second method is associated with the use of one of two main theories of capital structure (Brusov–Filatova–Orekhova (BFO) theory and Modigliani–Miller (MM) theory), which take into account only the financial risk associated with the use of debt financing and allow the calculation of all financial indicators of a company of arbitrary age (BFO theory) or perpetuity one (MM theory). The article develops a new approach related to the use of the company’s current profitability, taken from the annual report, as a seed profitability of an asset (company). As part of the new approach, a methodology has been developed that makes it possible to calculate all the main financial indicators of a company within the framework of capital structure theories, taking into account both financial and business risks. Transition from CAPM to a new methodology significantly improves the accuracy of the estimate. The new approach, unlike CAPM, has forecasting capabilities.

The Effectiveness of Asset Pricing Models Under Special Conditions: Evidence from the COVID-19 Pandemic, Emerging Markets, and Financial Crises

Asset pricing models are important tools in finance. However, special market conditions can make them highly ineffective. This paper evaluates the performance of classical asset pricing models (that is, CAPM and Fama-French models) under three specific scenarios: the COVID-19 pandemic, emerging markets, and financial crises. Recent research and market data are reviewed to conclude that these models have very low efficiency in times of extreme occurrences for capturing proper asset valuations. Our findings reveal that standard models lose a substantial part of their explanatory power in periods of crises while new context-specific risk factors come into existence in other exceptional conditions. This work argues for the inclusion of liquidity and tail risk considerations, especially during market stress, as we also observe a greater need for more dynamic and adaptive modeling approaches that capture time-varying risk premia and factor loadings. The findings drive home the point that standard asset pricing models cannot be applied across the board in all market conditions and stress the need for developing more flexible and situation-specific valuation tools. Therefore, this research lies in its dual contribution, both in academic terms and practical finance, by providing an understanding of the behavior of asset pricing models in extreme markets and giving indications for future model development.

Analysis of Financial Investment Risk and Preventive Measures

With the development of economic cycle, financial investment has become one of the key exploration directions of enterprises. Scientific financial investment can help enterprises increase the value of assets and expand the scale of operation. However, due to the increasingly complex economic market, financial investment risks are more complex. Based on this, this paper takes the risks faced by enterprises in the process of financial investment as the research basis, sorts out the causes of risks, and puts forward targeted preventive measures, aiming at providing support for enterprises to stabilize operation and obtain more investment returns.

The Influence of Service Quality and Customer Satisfaction on Customer Loyalty of BCA Mobile in Bandar Lampung

PT. Bank Central Asia, Tbk, founded in 1957, is one of the largest private banks in Indonesia today with an asset value of 1,408 trillion rupiah with a net profit of 48.6 trillion rupiah. The results of the Bank Service Excellence Monitor (BSEM) survey conducted by Marketing Research Indonesia (MRI) in the 2020-2021 edition produced data that BCA Mobile was ranked second and the 2023-2024 edition was ranked fifth in the 10 best mobile banking performances in Indonesia. The problem in this research is that there has been a decline in BCA Mobile's performance followed by many complaints about the use of the BCA Mobile application, which has become a trending topic on the X social media platform (Twitter). BCA Mobile must attention to this so that customers do not think about looking for alternatives to other mobile banking. The aim of this research is to test whether service quality and customer satisfaction have an influence on BCA Mobile customer loyalty in Bandar Lampung City. This research uses a survey method by distributing questionnaires to 90 respondents via Google Form. The analytical method used is simple regression using the partial test (t test) and Sobel test with the SPSS 25 application. The results of the research show that the service quality variable and customer satisfaction variable have an influence on the BCA Mobile customer loyalty variable in Bandar Lampung City.

Rules for the transfer of seized property to the management of the Asset Recovery and Management Agency of Ukraine and its return to the owner in the context of ensuring the inviolability of property rights

Having studied the rules for transferring seized property to the management of the Agency for Search and Asset Management of Ukraine and its return to the owner in light of the principle of inviolability of property rights, the author came to the conclusion that these rules should be changed. The special management regime of particularly valuable seized property must be primarily aimed at achieving the purpose of the seizure. For this purpose, it is sufficient merely to establish a prohibition for the owner to use and transfer his/ her property (freezing of the assets) to ensure its unimpeded collection into state income after delivery of a guilty verdict or an illicit enrichment decision. The legitimate interest of the state in preserving the economic value of assets could be satisfied by their owner under the control of the government authorities or by agreeing with him a responsible custodian of the property, whose activities must be limited to maintaining at the initial level the properties of the property that underlie its value. The transfer of seized property to a manager specified by the Asset Recovery and Management Agency of without the consent of the owner, as well as its forced sale, amounts to to the acquisition of the right to free temporary use of someone else’s property to receive income from it or to convert non-monetary property into its monetary value. These measures should be recognized as exceptional and their implementation should be possible if: (1) their owner will not provide financial or other guarantees for the potential recovery of the corresponding sums by the state; (2) their duration is limited to a reasonable period, which must be determined by the investigating judge (court) while making a judgment regarding permission to carry out these measures; (3) they are accompanied by the full responsibility of the state for any negative consequences of these measures, including the consequences of mismanagement of seized assets, which may lead to their unreasonably accelerated wear, lost profits, disclosure of commercial secrets, loss of trust on the part of employees and counterparties, etc. In addition, proceeds from asset management in case of cancellation of seizure of assets must be returned to their owner together with the assets.

Risk factors-adjusted performance and persistence during the post-subprime crisis period: evidence from Indian mutual fund industry

PurposeThe main objective of the paper is to find evidence of abnormal returns and performance persistence of actively managed equity funds in the Indian context on an annual basis during the post-subprime crisis period between 2009 and 10 and 2019 and 2020.Design/methodology/approachThe study is exploratory and empirical, used daily net asset value (NAV) of 180 equity funds for 10 years and applied the risk-adjusted, Jensen's (1968) single-factor, Fama and French's (1993) three-factor model and Carhart's (1997) four-factor model to evaluate the performance. The performance persistence has been tested using cross-section regression (Bollen and Busse, 2005), the non-parametric contingency approach, along with the robustness measure, i.e. Malkiel's (1995) Z-score, Brown and Goetzmann's (1995) cross-product ratio (CPR) and Kahn and Rudd's (1995) χ2 value.FindingsThe results show that the Indian equity funds are unable to generate abnormal returns, and the size, value and momentum strategies applied by the fund managers in generating abnormal returns do not work effectively. However, funds provide strong evidence of significant performance persistence on an annual basis in the short-term, mid-term and long-term periods. Both parametric as well as non-parametric tests provide identical evidence of persistence, and the performance persistence is independent of the choice of models, as all the models (i.e. two, three or four-factor models) provide significant evidence of persistence.Research limitations/implicationsThough the study is comprehensive and covered a longer period, there is a scope for future research by examining the influence of fund characteristics, fund rating and macroeconomic factors on performance and persistence. It can be extended over to a longer period covering the post-COVID-19 period, a larger sample size and a comparative study of Indian and foreign mutual funds (MFs).Practical implicationsThe outcomes of this research paper can help wealth-maximizing investors in the identification of persistent equity funds and can apply the previous period’s performance information as a useful investment strategy to generate higher returns in the future. We believe that these outcomes will have significant ramifications for all MF stakeholders and policymakers, especially for the Indian industry in ensuring and establishing the credibility of MF managers, in providing better returns as well as to make MF investment more attractive to Indian retail investors.Originality/valueDespite the exponential growth in the Indian MF industry, limited evidence is available on performance and persistence covering a large sample size during the post-sub-prime crisis period using different return models and parametric and non-parametric approaches. The study is based on the daily data set of a larger sample size representing all the Asset Management Company (AMC) and the longer period following the post-subprime crises, which affected capital flows significantly. Moreover, the application of all the measures enables us to understand performance persistence in a larger context.

A game-based power system planning approach considering real options and coordination of all types of participants

With the ongoing advancement of global power marketization, the increasing diversity of stakeholders in the power market and their interactions have a significant impact on power system planning and operation. Traditional methods employ game theory to describe the interactions among market participants. However, these approaches fail to include all relevant participant types and overlook the long-term uncertainty value of planning schemes. Therefore, this paper proposes a game theory-based power system planning approach considering real options (RO) and coordination of all types of participants. First, the dynamic gaming interaction among supply-transmission-demand is studied, and the independent system operator is integrated into the game planning framework based on the overall perspective of power market operation. Moreover, the new power supply, grid planning, and operation of distributed generation (DG) are taken as decision variables based on the RO theory, and a game decision model of all participants in the power system planning considering the investment uncertainty is constructed. Finally, the iterative search algorithm is employed to solve the model, and the framework is validated based on the IEEE 30-bus system. The results indicate that through collaborative planning involving various market participants, Generation Companies and Transmission Companies expand their investments to maximize profits, while large power consumers reduce their investment in DG and instead increase their direct power purchases to lower costs. Moreover, these participants are inclined to pursue projects with higher asset value volatility, which further enhances their profit. By integrating RO theory with game theory, the proposed approach establishes a comprehensive planning framework that effectively addresses investment uncertainty. This integration enables market participants to make more optimal decisions, ultimately leading to an enhancement in the long-term economic performance of the power system.

Representation of Human Resources in The Accounting System: Methods and Applications

The rapid development and progress of the knowledge-based economy has increased the importance of human resources as a key factor in determining the overall value of companies. However, traditional accounting methods have difficulty in accurately reflecting the true value of such intangible assets. In this context, the study aims to examine how human capital, which is becoming increasingly important for companies, can be represented in accounting systems and the limitations of current accounting standards. The study discusses controversial issues and problems related to human capital accounting practices and presents sample applications. It concludes that, under TPL/GCIAS and standards, expenditure on human resources by enterprises should be expensed in the period in which it is incurred, rather than capitalized, because human resources are not considered intangible assets.

Анализ показателей российского финансового рынка

The financial market is a key factor in economic development, an important tool for the redistribution and transformation of investment resources, as well as a litmus test of the state's economic health. The peculiarity of the Russian financial market is its "youth" and "inexperience" in comparison with the markets of developed economies, the path of trial and error, inconsistency in the context of the uniqueness of the financial system of the Russian Federation. This market is particularly vulnerable and volatile in the face of sanctions and global economic turmoil, so it needs competent targeting guidance, effective tools and verified coordination methods and techniques. The fundamental problems of the Russian financial market are quite deep and do not always appear on the surface, which requires an in-depth and permanent tactical and strategic analysis of factors, causes, trends, trends and indicators that can correct the situation in a timely manner in any economic scenario in manual management. The article examines the main features, rallies, features and directions of the development of the financial market of the Russian Federation at the present stage. The analysis of the issuer's statements for 2005–2023, dividend payments for the same period is presented, the dynamics of growth of the segment of mutual funds and exchange-traded mutual funds is considered. A comparative structure of household financial assets in 2017 and 2023 is proposed, the share of different organizational and legal forms of joint-stock companies in the total number of joint-stock companies in 2019–2023, the share of different groups of banks in the value of assets of the Russian banking system in 2000–2023 is given. The final results of the study substantiate the importance of the role of the state as a regulator of the stock market, emphasize its Russian functions, and highlight its conceptual problems. The research is based on the analysis of foreign and Russian publications, as well as on statistical conclusions of financial and statistical data.

A Study on the Development of an Integrated Automatic Allocation Algorithms for Multilayer Defense System Intercept Missiles

This study aims to propose optimal missile interception allocation strategies for constructing a multi-layered missile defense system in situations where a large number of ballistic missiles are launched simultaneously. Specifically, we consider the threat level of ballistic missiles, the importance of defense zones, and the asset value of interception missiles, and develop a damage consumption index based on these factors. Through an algorithm that minimizes the sum of damage consumption indices for intercepting missiles defending upper and lower layers, we allocate them in optimal combinations to achieve maximum effectiveness with minimal cost. Additionally, we propose a decision-making system based on algorithmic integration rather than human decision-making, particularly in complex operational scenarios, to ensure systematic decision-making and maximize efficiency.

Tinjaun Yuridis Terhadap Kesiapan Kewajiban Spin Off Bagi Unit UsahaSyariah (UUS) Menjadi Bank Umum Syariah (BUS)

Law Number 21 of 2008 concerning Sharia Banking in Article 68 paragraph 1 and Article 40 Article 40PBI No. 11/10/PBI/2009 mandates that every Sharia Business Unit (UUS) which is a sharia unit in aConventional Commercial Bank (BUK) to separate itself (spin-off). and it is explained that UUS is obligedto separate into BUS if the value of UUS assets has reached 50% (fifty percent) of the total asset value ofits parent BUK. The spin-off time is no later than 15 (fifteen) years from the enactment of the law, namely2023. The aim of this writing is to determine the impact of the spin-off on UUS by analyzing the solutionsthat can be offered. The research results show that it is necessary to review Law Number 21 of 2008concerning Sharia Banking by considering the financial condition of UUS. Apart from that, UUS whichhas carried out a spin-off by becoming a new BUS can optimize the use of Third Party Funds in the formof financing and other services. In order to encourage BUS growth, support from the government isneeded, such as providing tax incentives and simplifying regulations on capital participation. Apart fromthat, the new BUS needs to carry out various innovations by adding financing products and developingexisting products. This research aims to determine the readiness of the Spin Off obligation for UUS tobecome a BUS and the issue of readiness to fulfill the obligations of UUS to become a BUS in July 2023.Keywords: Spin-off Obligations, Sharia Business Units (UUS), Sharia Commercial Banks (BUS)

Climate transition risk, environmental news coverage, and stock price crash risk

Sudden shifts in climate policy, technological innovation, and market preference can negatively impact a firm's asset value, leading to potential climate transition risk. While numerous studies have examined the economic implications of climate transition risk, few have explored its impact on stock price crash risk. This study addresses this gap by introducing a novel quantitative method for assessing climate transition risk and analyzing its effect on stock price crash risk. Our findings indicate a significantly positive relationship between climate transition risk and stock price crash risk. This relationship can be mitigated by environmental news coverage. It is also found that the positive impact of climate transition risk on stock price crash risk is mainly realized through the paths of managers' hoarding of bad news and investors' divergence of opinion. The heterogeneity analysis further suggests that the positive effect of climate transition risk on stock price crash risk is weaker for firms with higher ESG performance, whereas this effect is more pronounced for firms with greater exposure to natural disasters and those operating in regions with stringent environmental regulation. Overall, our study provides novel empirical evidence on the relationship between climate risk and financial stability.

Features of foreign investment in business companies that occupy a dominant position in the commodity market

The object of the study is certain issues of the procedure for foreign investments in strategic sectors of the economy. The subject of the study is devoted to the procedure for making foreign investments in business entities that occupy a dominant position in the commodity market. The dominant economic entity has market power, which provides an opportunity to shape the economic environment by determining the number of market participants, the behavior of suppliers of goods (works, services) and their consumers. The author examines the issues of necessary regulatory approvals of transactions of foreign investors for the acquisition of assets of dominant entities, as well as general antitrust and special rules for determining the existence of a dominant position in business entities operating in various sectors of the economy. The methodological basis of the study was based on systematic and formal legal methods, as well as the method of technical and legal analysis. The conclusions of the study are based on the constitutionally significant goals of ensuring national defense and state security, Russian legislation provides for the need to obtain additional regulatory approvals for foreign participation in business entities that occupy a dominant position on the market. At the same time, the book value of assets and the amount of revenue of a foreign investor does not matter, a group of persons to which he belongs, as well as a business entity whose assets are planned to be acquired by a foreign investor (a group of persons to which a foreign investor belongs), unlike transactions subject to approval within the framework of antimonopoly control. In some cases, the control of foreign investments applies special rules for determining the fact of market dominance for some business entities, which differ from the rules of antimonopoly legislation.

Larger supply, shorter life? Exploring evidence from alternative cryptocurrencies on decentralized exchanges

Since the advent of Bitcoin, numerous alternative cryptocurrencies have surfaced. Despite their proliferation and increasing popularity, these alternatives often experience brief lifespans, contrasting with Bitcoin's enduring presence. Our analysis of more than 800 alternative cryptocurrencies traded on decentralized exchanges (Dex) has shown that cryptocurrencies with larger supplies generally demonstrate shorter lifespans. The findings remain robust across different definitions of the term “lifespan”. We attribute this trend primarily to short-term speculation, stemming from the absence of intrinsic asset value. These findings hold significant implications for comprehending the risk and investor behavior associated with cryptocurrencies on decentralized exchanges.

Институциональный подход к определению структуры национального богатства

In economic theory, there are various approaches to determining the structure of a country’s national wealth, many of which are based solely on quantitative indicators. At the same time, traditional economic models do not take into account new factors in the development of national wealth, such as environmental services and digital assets. It seems that despite methodological limitations, the structure of national wealth should include the value of intangible assets, such as intellectual property, human and social capital. Due to the need to take into account multiple aspects and intangible benefits when forming the structure of a country’s national wealth, the authors proposed an institutional approach to determining the structure of national wealth, which is based on an assessment of the institutions and institutional environment that form the self-sufficiency of the national economy. The article discusses the main problems of modern society, which require investment in their elimination and, as a result of a decrease in the share of the country’s national wealth, the problem of measuring the country’s national wealth, due to the undeveloped methods for measuring modern conditions, which are mostly associated with the digitalization of economic, social and political processes, the structure of the country’s national wealth in the digital economy is proposed, an institutional approach to determining the structure of national wealth, based on the principle of self-sufficiency of the country’s economy, is proposed and justified.

Interpretation of the Provision on Profit Transfer Due to Increased Asset Value After Acquisition - (Article 42-3 of the Inheritance and Gift Tax Act)- Based on the Supreme Court Rulings of June 1, 2023, Case No. 2019Du31921 and June 29, 2023, Case No. 2018Du41327

Interpretation of the Provision on Profit Transfer Due to Increased Asset Value After Acquisition - (Article 42-3 of the Inheritance and Gift Tax Act)- Based on the Supreme Court Rulings of June 1, 2023, Case No. 2019Du31921 and June 29, 2023, Case No. 2018Du41327

The collateral link between volatility and risk sharing

We show that the effect of aggregate volatility on idiosyncratic risk sharing depends on the nature of collateral sustaining insurance. While volatility increases the value of public assets—more useful for consumption smoothing—it decreases the value of private assets—more exposed to aggregate variation. Hence, a more volatile economy weakens risk sharing when collateral composition is biased towards private assets. When applied to financial intermediaries that rely heavily on private collateral to share risks, aggregate instability is more likely to induce financial instability. We empirically show that the sensitivity of risk sharing to aggregate volatility indeed depends on the collateral composition as predicted by the theory.

A Proposed Model to Measure the Impairment Value of Fixed Assets with the Need for Tax Recognition

International accounting standards require, in particular the impairment of (36) asset value standard No (31), re- evaluation of assets to display the value of fair value as the replacement value at the end of the period or fiscal year of the disclosure of assets, real value, the represent philosophy of accounting to relevant of different models to call the fair values, especially in case of using methodology - based pricing capital asset model. The researcher presented a model for measuring the impairment of the book value of assets form, which contributes to the measurement of accuracy of the fixed measurement of accounting income and taxable income help guide the preparation of financial statements in the presentation of fixed assets as fast as they converge with the fact that revenue and economic benefits of the asset in the financial period is ending. Because the accounting incases always different on taxable income for the application of the income tax act, although the act, to impose tax in net profit, which present the income statement prepared in accordance with the Egyptian accounting standards, but on grounds of maintaining the public revenues of ministerial decisions were issued contrary to that application and became the standard (31) can’t be applied when determining the tax base. Which led to a loss in its submission for income tax, which is a clear challenge, there is no application of some financial standards, which is what the researcher tried to show. He presented it to determine the tax impact of not applying the standard.