Afsaneh Soroushyar; Saeid Ali Ahmadi
Volume 5, Issue 3 , July 2016, , Pages 181-191
Abstract
Considering the current magnificent increase in the incidence of the restatements in capital market, encourage the researchers to study the causes and consequences of restatements. However, among of these factors, the role of corporate governance mechanism attracted more attention. This paper seeks to ...
Read More
Considering the current magnificent increase in the incidence of the restatements in capital market, encourage the researchers to study the causes and consequences of restatements. However, among of these factors, the role of corporate governance mechanism attracted more attention. This paper seeks to examine the relationship between of the corporate governance and the financial restatement in the companies listed in Tehran Stock Exchange (TSE). This study evaluates the effects of various independent variables on the financial restatement using a logistic regression analysis approach for 111 companies over a 10 year period (2001-2010). The results indicate that the boards of director independent and auditor tenure are negative significant with financial restatements. Also, the results show that the audit type and the change number of the boards of director are associated with financial restatements positively. However, the empirical evidence indicates that CEO change, CEO tenure, institutional ownership, and the size of the boards of director do not have significant impact on the likelihood of financial restatement. Overall, the results presented in the paper indicate that the week corporate governance can increase financial restatement and decrease financial statement quality probability.
Najmeh KhodaBakhshi; Ali Fazel Yazdi; Mohammad Reza Karimipour Ardakani
Volume 5, Issue 2 , April 2016, , Pages 82-95
Abstract
As a concept related to several scientific fields such as accounting, economics, finance and law, corporate governance motivates the individual and accumulative goals and reinforces the effective application of the resources and necessitates the responsiveness to the other stakeholders. Furthermore, ...
Read More
As a concept related to several scientific fields such as accounting, economics, finance and law, corporate governance motivates the individual and accumulative goals and reinforces the effective application of the resources and necessitates the responsiveness to the other stakeholders. Furthermore, implementing corporate governance might lead to the optimum allocation of the resources and enhancement of the information transparency and economic growth. This study investigates the impact of some corporate governance mechanisms on the firm value by comparing the value and usage of the cash holdings with the weak and strong corporate governance systems. The employed corporate governance mechanisms in this study are composed of the institutional ownership of the stocks, ownership concentration and CEO duality. To measure the firm value in terms of the value of the cash holding, the difference between the annual stock returns and the return of the three factor Fama-French model has been employed. The sample is composed of 102 listed firms on the Tehran Stock Exchange during a period from 2005 to 2009. Multivariate regression and Pearson correlation coefficients are used to test the research hypotheses. The findings reveal that the concentration of the institutional ownership and CEO duality are significantly and directly associated with the firm value.
Javad Sadeghi Panah; parviz Saeidi; Rahebeh Boroumand
Volume 4, Issue 2 , April 2015, , Pages 102-117
Abstract
This research focuses on the measurement of the quality of corporate governance and on whether there exists a relationship between corporate governance and firm performance for a sample of the Top 100 companies. With reference to the battery of models available from the literature and the Code ...
Read More
This research focuses on the measurement of the quality of corporate governance and on whether there exists a relationship between corporate governance and firm performance for a sample of the Top 100 companies. With reference to the battery of models available from the literature and the Code of Corporate Governance applicable to Mauritius, a checklist measuring the effect of 13 key factors was developed and studied in relation to the Taffler model. Analysis from the results shows that on the overall, there is no difference in performance for companies having poor and excellent quality of governance. Hence no significant relationship has been found between corporate governance and financial performance.
Fahimeh Mazloum ardakani; Mahmoud MoeinAddin; Shahnaz Nayebzadeh
Volume 3, Issue 2 , April 2014, , Pages 146-154
Abstract
The main objective of this study was to investigate the relationship between corporate governance mechanisms and earning quality. In this study, the size of board of directors, number of non-bound managers in the board and institutional investors are used as corporate governance system mechanisms. Earning ...
Read More
The main objective of this study was to investigate the relationship between corporate governance mechanisms and earning quality. In this study, the size of board of directors, number of non-bound managers in the board and institutional investors are used as corporate governance system mechanisms. Earning quality is also measured based on the relationship between earnings and accruals. Required data collected from the selected sample including 90 companies listed in Tehran Stock Exchange from 2008 to 2012. Hypotheses' testing was conducted using multiple regression and Eviews software. The overall result of the study shows that there is a significant relationship between corporate governance and earnings quality.
