• The Journal of the Korea Contents Association
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• v.16 no.2
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• pp.729-739
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• 2016

The primary objective of implementing the study was to further investigate any pronounced financial components affecting the level of cash retention for the Korean chaebol firms. The research was framed to test for two hypotheses on the cash savings with utilizing the chaebol firms during the post-era of the global financial turmoil (from 2009 to 2013). In the first hypothesis test, any significant explanatory variables relative to the cash holdings, were identified in each corresponding category of the conditional quantile regression (CQR) model, while multilogistic regression analysis was performed to discriminate relevant financial factors in each pair of classes consisting of the chaebol firms. Concerning the results, liquidity, agency costs, and cash conversion cycle were found to be statistically significant in the majority of classified categories in the former test and liquidy, firm size, and dividend yield, also showed discriminating powers in each pair of categorical for the firms in the latter test.

• Proceedings of the Korea Contents Association Conference
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• 2006.05a
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• pp.462-465
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• 2006

Now a days the banks, with a wide spread of credit transaction practice in every business, offer better services to their customers, while the automation of banking is being made more rapid progress in th light of efficient banking service. For example, it is true that the automation of cash payment for customers goes on its progress and the competition between companies is getting more serious. Lately the banks that pursue "Banking Automation System" expand distribution of cash dispenser for the better electronic computer service and for the better service for their customers in quality. Therefore the makers producing "CD" accelerate their development of CD in various ways in order to secure M/S as the leading group of th field. CD, a kind of an automatic paying, is being used generally, and has various functions and its design is getting more compact than ever. Under this situation, I studied more trustworthy and convenient CD design suggestions in the way of case study on the basis of the process of developing CD and I suggest the better way of developing the design of CD in the future.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.16 no.10
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• pp.7118-7125
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• 2015

This study examined one of the concerned or even imperative issues in the field of contemporary finance related to approaching an optimal level of cash holdings for the firms belonging to the chaebols in the Korean domestic capital markets. However, the subject may not have been drawn much attention so far, even if there are still ongoing and active debates among the interest parties at the macro- or micro-level. Two primary hypotheses were postulated to be empirically tested. On the results of the first hypothesis test for the existence of an optimal cash reserves for the sample firms, two estimation techniques were performed in terms of a quadratic regression equation and a relationship between a firm's value and the residuals derived from the static panel date model. As a primary financial implication of the study which may contribute to the practitioners and the academics in finance, the optimal level of cash holdings can be estimated by controlling for the a priori significant components for the sample firms towards maximizing firm value.

• Journal of Korea Game Society
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• v.11 no.2
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• pp.45-56
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• 2011

The concept, means, value chain, the persons concerned and possible issues of game item trading in cash are analyzed in this study. The trading is characterized by not only being performed with its own unique business model but also causing issues related to delicate social problems, such as digital contents distribution, work place and gambling. The way of game item trading in cash and its value chain have been changed with game market growth for the past years. I analyzed in this article the new concept of game item trading in cash that is different from the past. Also, analysis on several issues related to game item trading in cash is conducted.

• The Korean Journal of Financial Management
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• v.26 no.3
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• pp.31-64
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• 2009

This article investigates the short-term cash flow exposures to Korea's major trading partners' currencies based on the kospi and kosdaq firm data from 2000 to 2008. The cash flow approach allows us to analyze the influence on operational performances of individual firm's hedging strategies. Taken all three foreign exchange rates together, more than 30% of the sample firms exhibit significant exposure. Given that the short-term cash flow is rather easy to hedge, the result proves a poor exchange rate risk management practices of Korean firms. Kosdaq firms are more exposed than Kospi firms. On the contrary to the previous researches using stock prices, the operational cash flows show a positive relationship with the value of foreign currencies. The exchange rate-firm sample further shows that the size and leverage affect the level of exposure.

• KOREAN POULTRY JOURNAL
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• v.5 no.10 s.48
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• pp.42-44
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• 1973

• Management & Information Systems Review
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• v.34 no.5
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• pp.213-231
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• 2015

In this paper, I examine whether the listed companies in Korea tend to manage operating cash flows upward via classification shifting after the adoption of K-IFRS. As proxies for cash flow management, I derive a measure of abnormal operating cash flows borrowing from Lee(2012). Alternative proxies include a series of categorical variables designed to identify the types of classification shifting of interest and dividend payments among others, in the statement of cash flows. Higher level of estimated abnormal operating cash flows, and the classification of interest/dividend payments in non-operating activity sections are considered to indicate the managerial intention to maximize reported operating cash flows. I consider several potential incentives to manage operating cash flows, which include financial distress, the credit rating proximity to investment/non-investment cutoff threshold, avoidance of negative or decreasing operating cash flows relative to previous period and so forth. In a series of empirical analyses, I do not find evidence in support of the opportunistic classification shifting explanation, inconsistent with several previous literature in Korea. In contrast, I observe negative associations between the CFO management proxies and selected incentives, which suggest that the classification is likely to represent above average cash flow performance rather than opportunistic motives exercised to maximize reported operating cash flows. I reckon that this observation is, in part, driven by the K-IFRS requirement to maintain temporal consistency in classifying interest and dividend receipts/payments in cash flow statement.

• Management & Information Systems Review
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• v.28 no.3
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• pp.69-98
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• 2009

This study investigates in-sample and out-of-sample predictive abilities of accruals and accruals components with respect to future cash flows using models developed by Barth et al.(2001). In tests, data collected fromda62 Korean KOSPI and KOSDAQ listed firms for ccr4-2007 are used. Results of in-sample prediction tests are similar with those of Barth et al.(2001). Their accrual components model is better than other three models(NI only model, CF only model and NI-total accruals model) in future cash flows predictive ability. That is, in the case of in-sample prediction, accrual components excluding amortization have additional information contents for future cash flows. But in out-of-sample tests, the results are different. The model including operational cash flows(CF only model) shows best out-of-sample predictive ability with respect to future cash flows among above four prediction models. The accrual components model of Barth et al.(2001) has worst out-of-sample predictive ability. The results are robust to sensitivity analyses. In conclusion, we can't find the evidence that accruals and accrual components have predictive ability with respect to future cash flows in out-of-sample prediction tests. This results are consistent with results of Lev et al.(2005), and inconsistent with the belief of accounting standards formulating organizations such as FASB and KASB.

• The Korean Journal of Financial Management
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• v.26 no.4
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• pp.1-34
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• 2009

We test the effect of corporate cash holdings on firm value by using the KOSPI listed firms over the period between 2002 and 2007 from the agency theories perspective, which has not been the central interest of prior studies. Unlike existing studies, using the manager's ownership ratio or foreign investor's shareholder ratio as a proxy variable for agency costs, we use the individual firm's corporate governance scores by the KCGS to test the effect of agency costs on the value of firm's cash holdings. We find that a firm value is positively related with its cash holdings. We also find that a firm with good corporate governance tends to experience a higher value of its cash holdings, compared with a firm with bad corporate governance. These results are consistent even after controlling for the endogeneity problems between corporate governance and firm value, strongly supporting the agency theory of cash holdings. Therefore, a firm's cash holdings, even from liquidity or precautionary motives, could increase the firm cash value, as long as its managers' interest is shareholders' wealth maximization rather than their private benefits.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.17 no.4
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• pp.255-263
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• 2016

This study conducted empirical tests on contemporary finance theories for corporate cash holdings, such as trade-off, pecking order, and agency theory. There is ongoing debate on the possibility of excess cash savings by domestic firms, including chaebols in the Korean capital markets. Thus, it may be worthy to identify any financial characteristics based on each aforementioned theory as an extension of previous studies on similar subjects. Two primary hypotheses were postulated and tested, and the following empirical results were obtained. First, principal component analysis (PCA) provides evidence that nine out of the twenty explanatory variables showed a significant influence on the level of corporate cash holdings, such as cash conversion cycle in trade-off theory and leverage in pecking order theory. Second, the chaebol firms that decreased cash holdings after global financial turmoil may be affected by financial factors that include investment opportunities and foreign ownership according to the PCA. The results may reinforce the outcomes derived from previous research on corporate cash holdings. Based on the robust results, large firms in advanced or emerging capital markets could approach the optimal level of the cash reserves.