• The Journal of Asian Finance, Economics and Business
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• v.8 no.2
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• pp.387-399
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• 2021

This study mainly aims to examine the effect of intangible assets on the value relevance of the Gulf Cooperation Council (GCC)-listed non-financial firms. This study tested three types of models by using a large sample of non-financial firms listed in GCC countries as emerging markets from 2008 to 2016. The types of models are accounting information (earnings per share and book value of share) without intangible assets model, intangible assets model, and accounting information (earnings per share and book value of share) with intangible assets model. Ordinary least square (OLS) shows mixed results as intangible assets improve the value relevance of accounting information positively in UAE and negatively in Kuwait but not in other countries. The study documents a robust positive relationship between intangible assets and earnings quality in terms of value relevance in KSA and Qatar. The findings provide implications for policymakers, investors, and managers. The results suggest that intangible assets can improve the value relevance in emerging markets, such as GCC, as the need to organize the requirements of information disclosures on intangible assets and provide great transparency and additional disclosure of information about intangible assets and their components.

• Asia-Pacific Journal of Business
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• v.11 no.3
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• pp.153-167
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• 2020

Purpose - The purpose of this study is to examine whether social value-related expenditures can be recognized as intangible assets in financial statements. Design/methodology/approach - This study examined social values defined in the economic and management fields and analyzed whether the social values have the characteristics of intangible assets. For this, the general definition of social value was derived from the concept of social value covered in previous studies. Next, we reviewed the definitions and recognition requirements for intangible assets under the current accounting standards. Based on this, we tried to suggest new criteria and disclosure methods for reporting social value-related expenditures that are not currently reported in financial statements as intangible assets in the financial statements and notes. Findings - First, as a criterion for recognizing social value-related expenditure as an intangible asset, we propose a relationship between social value-related expenditure and enterprise value. Where social value-related expenditures have a statistically significant positive impact on corporate value, they are recognized as intangible assets. If social value-related expenditures have a statistically significant negative influence on business value, or the impact of social value-related expenditures on the enterprise value is not statistically significant, it is not recognized as asset. Second, new disclosure plans are proposed according to the combination of intangible assets by category and the relevance of enterprise value. After dividing social value-related expenditures into separate intangible asset categories, if social value-related expenditures have a statistically significant positive impact on corporate value, they are recognized as intangible assets in the financial statements. If expenditures have a statistically significant negative impact on business value, they should be recorded as essential notes. Finally, if the impact of social value-related expenditure on corporate value is not statistically significant, it should be listed as a supplement. Research implications or Originality - This study contributes to the concurrent research in that it is a priori study on whether social value-related expenditure can be recognized as an asset. This study suggests that the economic effect of social expenditure can be recognized in corporate financial statements, thereby providing companies with justification and effectiveness of social value-related expenditure.

• Journal of Families and Better Life
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• v.19 no.4
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• pp.211-223
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• 2001

This study analyzed the financial ratio change of self-employed households between 1997 and 1998. The data were drawn from Korean Households Panel Study and utilitze7 descriptive statistics such as frequency, percentile to investigate the differences between two period of time, 1997 and 1998. The sampe size in 1997 was 692 householdsand and 600 households in 1998. The mean of financial asset showed that in 1997, self-employed households had much less in liquidity assets, especially in bank-related income, stock, but had more in real-estate, Gye, and private loan than those in 1998. In cases of debt-owned, the self-employed tended to have more debt in non-bank related and it illustrates that the self-employed may experience the difficulties to access the financial assistance in economic depression. Using guideline of each ratios, for six financial ratios, self-employed could meet less proper level$ in 1998 compared to those in 1997. It proves that the economic crisis affect the stability of income and financial assets of self-employed households and types of financial assets changes because of the stability.

• Journal of Families and Better Life
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• v.29 no.2
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• pp.51-62
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• 2011

Financial consumers can invest their financial assets directly or indirectly. This investment type have effect on their financial well-being and may be influenced by their financial characteristics and investment attitude. The purposes of the study were to classify the consumers by direct and indirect investment behavior of their financial assets and to investigate their socio-economic characteristics and investment attitudes to give implications for financial counseling and education. The data came from the 2009 Fund Investors Survey which was conducted by Korea Investors Protection Foundation. Total 2,530 consumers were analyzed using frequency, CROSSTAB, ANOVA and Duncan's multiple range test. In general, consumer tended to be rational in choosing the investment type. Noninvestors consisted of 38.5% of the sample. The economic level was the lowest for the noninvestors. The consumers who invest both indirectly and directly consisted of 21.0% and their economic level was the highest. Their investment tendency was between direct and indirect investors'. The proportion of direct investors ws 12.1% and that of indirect investors was 28.4%. Although the economic levels of indirect investors and direct investors were not statistically different, there were differences in their demographics and investment attitudes. The proportions of those aged 30-39, female and nonmarried were greater for indirect investors. They had the tendency to invest safely and diversely for a long term with reserve money. On the other hand, direct investors tended to be male, married and aged 40-49. They tended to invest intensively for a shorter term and seek returns even with borrowing money.

• Korean Journal of Human Ecology
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• v.14 no.4
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• pp.613-629
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• 2005

This research analyzes household financial structures and ratios to understand factors of household utility. Its main themes are as following: First, what kinds financial structures are found at each level of income? Second, how are they different by the level of income? Third, what factors contribute to appropriate financial ratios? The themes are supported by the texts on financial ratios from both inside and outside of Korea and proved by the Korean Labor and Income Panel Survey, the fifth annual edition. The households are exempted that do not support the household principle record in the principle and household economy record. Accordingly, this survey is from a financial structure analysis of 3,762 households. The analysis utilizes SPSS Window (Version 10.0) program. The following are the results: First, the income level 4 and above, in which the increasing number indicates a higher level of income, are highly ranked on the income-expense level and the asset-debt rate. Also, level 4 has a strong financial structure, whereas level 1 does not. Apparently, the management of the household is complicated by debt redemption and a lower level of assets. Second, Ratio 1, Ratio 2, Ratio 4, and Ratio 5 are different by the level of income. Third, the level of income contributes to the appropriate financial ratio. The financial safety and prospective financial structure at each income level is an important variable. Households with a high income, in particular, have to balance their finances and capital, reducing liabilities and increasing the total assets. In other words, the family must hold assets to enhance efficiency according to the character and income level of the household. This research is a useful resource for such a decision-making as to improve household financial structure stability. Also, it can be adopted to evaluate financial products for specific households and be used for economic and social welfare planning to predict how households influence the nationwide economy.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.9
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• pp.351-362
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• 2020

This research investigates the credit management guidelines to strengthen Thai industrial sector. The research has been simulated from the findings of both qualitative and quantitative of 500 questionnaires distributed to industrial business executives in Thailand. The data were analyzed by descriptive analysis categorized into SME and large enterprises, and SEM to conduct the model in consistent with the empirical data. The results show that: (1) the credit management guidelines consist of 4 factors: a) characteristics management b) financial management c) operations management and d) assets management. The business executives gave overall importance on the guidelines at a high level with an average of 3.86. (2) The development of SEM shows that the model fits with the empirical data at Chi-Square probability level = 0.084, CMIN/DF = 1.164, GFI = 0.965 and RMSEA = 0.018. (3) The characteristics management directly influences the financial management and the operation management. The financial management directly influences on the assets management. The assets management has direct influence on the operations management. The findings show that the characteristics management is the essential starting component in SEM and the financial management factor has the most influence in the assets management variable with standard regression weight of 0.990.

• Korea Journal of Hospital Management
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• v.4 no.2
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• pp.305-329
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• 1999

Financial ratio indicators of the 46 sample hospitals provided by the Korea Health Industry Development Institute, together with the survey data responded by the 57 sample hospitals, were analysed to identify the characteristics of the red-figured hospitals' financial structure, financial operational efficiency and management decision-making behavior, The financial characteristics identified through the analysis include high dependency to liabilities, high salary expenses and overhead costs, low profitability of the unduly large amount of fixed assets, and low managerial efficieny of inventory. The hospitals, in face of the IMF economic impasse, took the necessary decision-making and counter measures to cut down salary expenses, to increase the number of patient and medical revenue, and to reduce investment to fixed assets. Based on these findings this study suggested that the hospitals should take more active cost containment measures, financial structural reorganization, and developoment of the strategies that can contribute to increase of the number of patient and medical revenue and that do not. require much capital funds.

• East Asian Journal of Business Economics (EAJBE)
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• v.7 no.4
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• pp.41-49
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• 2019

Purpose - This paper empirically investigates what factors contribute to corporate investments under financial constraint condition in the Korean stock market. In the paper, tangible assets' growth rate and fixed assets' growth rate were employed as investment performance and total assets were also used for comparison purpose. Research design and methodology - Samples are constructed by manufacturing firms listed on the stock market of Korea as well as those who settle accounts in December from 2001 to 2018. Financial institutions are excluded from the sample as their accounting procedures, governance and regulations differ. This study adopted a fixed panel regression model to assess the sample construction including yearly and cross-sectional data. Results - This results support the literatures that major shareholders showed positive significance to investment in financially unconstrained firms and no significance to investment in financially constrained firms. ROA showed positive significance to investment in financially unconstrained and constrained firms, whereas firm size showed negative significance to investment in financially unconstrained and constrained firms. Debt showed no positive significance to investment in financially unconstrained firms and negative significance to investment in financially constrained firms. Conclusions - This paper documented evidence that ROA and firm size are important factors to investment irrespective of firms' financial constraints. And this paper also supports that major shareholders give positive impact to investments in financially unconstrained firms. This means that financial constraints itself rule corporate' investment decision in financially constrained firms.

• Journal of the Korean Home Economics Association
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• v.48 no.4
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• pp.1-12
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• 2010

The purpose of this study was to find the differences of financial structures of real estate and the factors influencing on it between two groups of subjective financial adequacy and non-adequacy for later years among middle & old aged households. The data were drawn from KREIS(Korean Retirement and Income Study) surveyed by National Pension Research Institute in 2007, and 3,889 couple households with householder's age over 50 were selected. Major findings were as following. First, only 19.3% of households answered that they had enough money for later years. And they had lower real estate-to-total assets ratio (.84) and lower residential house value-to-total assets ratio (.52) than the counter part. Second, for the group who answered that they had enough money for later years, the factors influencing on total real estate were found to be income, debt, and liquid assets.

• The Journal of Fisheries Business Administration
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• v.28 no.2
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• pp.1-18
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• 1997

The purpose of this study is to investigate empirically the characteristics of financial structure by using 76 fisheries corporations in Korea, and to suggest implications of the empirical results for government's financial policy for fisheries corporations. For the empirical test, we choose the following factors as the explanatory variables of cross-sectional regression analysis:firm-size(SIZE), collateral value of assets(TFATA), business risk(BRISK), growth(GROWTH), effective tax(ET), profitability(PROFIT). Two different debt ratios are used as dependent variables. One is defined as the ratio of total debt to total assets and the other is as that of long-term debt to total asset in terms of book value. The sample consists of 76 fisheries firms and sample period is 14 years from 1982 till 1995. From the results of cross-sectional regression analysis, the adjusted R$^2$values were high, 16∼79% and the overall F values indicated to be statistically significant. The results of cross sectional regression analysis show that the characteristics of financial structure fur fisheries corporations are as follows ; (1) Firm-size and collateral value of assets are the major factors of financial structure for fisheries corporations. That is, the larger firm-size the higher is debt ratio. This means that financial institutions conventionally lend more collateral loans with fixed assets like land, building rather than management capacities or credits. (2) To be consistent with a pecking-order theory, the higher is profitability the lower is debt ratio in fisheries corporations. (3) Corporations with high effective tax rate have lower financial leverage. Although the empirical results are inconsistent with traditional static trade-off theory, we think it would be attributed to government's various tax shelterings for fisheries which are likely to reduce tax shield effect of interests.