The Financial Accounting and Auditing Researches
Year:2015 | Volume:7 | Issue:26|Papers Count:8

The main aim of this research is investigating the determinants of large changes in stock prices. This study investigates the effect of market, size, book-to-market value ratio, liquidity and momentum on large changes in stock prices of listed companies in Tehran Stock Exchange during the period of 1386-1391 (1449 business days on the Stock Exchange). Estimation of model was examined by logit regression and conducted on the base of panel data. In general, the results of hypothesis testing indicate a significant relationship between the variables studied and the large changes in the stock price. Among the factors studied, liquidity factors is the most important variable to explain the probability of the stock price drop more than -5%, -10%, -20% and -30% and Market Return is the most effective variable for the likely increase in the stock price over +10%, +20% and +30% respectively.

In this study, the relationship between stock returns and earnings dispersion in the companies listed in Tehran Stock Exchange was investigated. The main purpose of this research is to compare the correlation between aggregate stock returns and earnings dispersion based on the models developed by Jorgensen et al (2012). Tow hypotheses are set and tested by applying regression and t-test methods. Results of the study of 285 companies showed a positive relationship between aggregate stock returns and contemporaneous earnings dispersion. As a result, the first hypothesis concerning the relationship between aggregate stock returns and contemporaneous earnings dispersion is accepted, and the second hypothesis regarding to the relationship between aggregate stock returns, and future earnings dispersion is not accepted.

Along with economic growth, pressure on natural systems and resources are severe. The sad reality is that the economy continues to grow but the environment quality is not growing. The purpose of this study is to evaluate the influence of environmental accounting on financial and operational indicators and accounting position. In this study, t - test is used to confirm whether or not the hypothesis.Friedman test was used to evaluate the effectiveness and the impact ranking of each factor. The paired t test was used to evaluate the real and expected level. The results show the impact of environmental accounting on financial and operational parameters of the company, including the production of manufacturing companies, Reduction of waste production, outside technical aid to manufacturing companies, type of manufactured goods, and the debt ratio (interest and principal repayment of long-term debt) to total debt of manufacturing companies.

The purpose of this research is Investigation of the Effect of Environmental Uncertainty on Relationship between Earnings Management and Information Asymmetry. This study used earnings management measure constructed by Khotari et al (2005). Environmental Uncertainty was measured through the coefficients of variation for each company's sales over the recent six years. Data are analyzed using a sample of 142 companies listed in Tehran Stock Exchange for the period of 2007-2012 by using of the Panel Data system and Random Effect Model. The results of the study showed that earnings management in firms with information asymmetry has a significant positive relationship. Also, in an environment of high uncertainty, intense relationship between earnings management and information asymmetry is reduced. In other words, with increasing environmental uncertainty, management with greater earnings management practices to reduce information asymmetry.

Nonprofit organizations do not issue shares and their missions are not to maximize profit. While nonprofit managers are not accountable to shareholders, they are accountable to donors and grantors who provide an important source of capital. These donors and grantors do not have limitless resources and, therefore, nonprofit organizations must compete for funding. If an organization has an internal control problem, donors and grantors could choose to support another organization where, presumably, the capital is used more efficiently. The main purpose of this study is to explore warning signs of existence internal control problems in nonprofit organizations. The final sample used for this study consists of 162 members of Iranian Association of Certified Public Accountants. Also, data were collected using a questionnaire survey. Descriptive statistics and Friedman test were used to analyze data. The result of this study showed that from viewpoint of the members of Iranian Association of Certified Public Accountants, organizational complexity, deficit, new grantee, going concern risk, risk level and smallness of audit firm in prior year are important warning signs of existence internal control problems in nonprofit organizations.

Various management decisions and its financial decisions, affect firm performance. However, accrued indexes can be smooth but cash items are more objective. Thus this paper investigates the effect of management financing decisions on cash flows in TSE. In this research, we examined 137selected companies from listed firms. We used various debt ratios as financing decisions indexes (capital structure) and five heading sections of cash flows statement, different from other similar researches (three sections), as cash flows surrogate. Hypotheses of this research have been evaluated by regression tests. Based on our sample, we found significant relationship between variables of management financing decisions and next year cash flows.

The entities improve their product market power, so that remain in competitive markets. This would decrease financing cost such as cost of equity. Hence, the purpose of this paper is to study relationship between product market power and cost of equity. Financial data of 132 listed companies in Tehran Stock exchange has been analyzed. As a research method, correlation analysis is used and multi variable regression applied for hypothesis test.The results demonstrate a meaningful and reverse correlation between product market power and cost of equity. In other words, the more increase in product market power, the less cost of equity. Furthermore, outcomes of this study show that liability ratio has a direct relation and firm size has a negative relation with cost of equity. The results also could be very useful for financial analysis and other users of financial statements to help in stock investment decisions.

Control over financial reporting and reporting Internal control material weaknesses in terms of Tehran stock market manifesto and design an effective internal control system to advance firm’s small and massive goals indicate the importance of internal control reporting significant in firms’ auditing report. The present study investigates those effective factors on internal control prominent weakness in audit report. We have studied the effective factors on internal control material weaknesses in a sample of accepted firms in Tehran stock exchange. Sample consisted of 97 accepted firms in Tehran stock exchange. The influences of eight explanatory variables on dependent variable of internal control material weakness were tested to find the answer of the hypothesis. Analyzing combined regression showed that there is a positive, significant relation between logarithms of share price multiplied share numbers, Inventory divided by total assets and loss with internal control material weakness. There may seem no relation of foreign currency translation, the growth in revenue, the market to book ratio, Altman’s Z-Score, and Current liabilities plus long-term debt divided by assets with internal control material weakness. Therefore, we may conclude that material weakness in auditor reports have been influenced by some monetary criterion.