The Impact of Sustainability Accounting Disclosure Level on the Islamic Bank Value: An Applied Study on Arab Islamic Banks
Tamer Mahmoud Mohamed
Saleh
Accounting and Auditing department
Faculty of Commerce
Alexandria University
Egyptian
author
text
article
2020
ara
The purpose of this paper is to examine the impact of sustainability accounting disclosure level on the value of Arab Islamic banks for the period (2016-2018). To achieve this objective, the researcher developed a disclosure index based on the elements of the sustainability dimensions required in accordance with the Sharia standards issued by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI), and what the standards issued by the Sustainability Accounting Standards Board (SASB) addressed regarding the sustainability of banks as a specialized financial sector.
The results of the content analysis of the financial reporting and websites of (25) Arab Islamic banks indicated that the average sustainability disclosure index is approximately 62%, and that there are significant differences in disclosure levels between banks, ranging between 38% to 90%. The results of multiple linear regression analysis also indicated that there is a significant positive relationship between sustainability disclosure level and Islamic bank value (measured by Tobin's Q scale).
The importance of this study is to shed the light on the role that Islamic banking products may play in achieving social goals of sustainability, and its reflection on the estimated Islamic bank value from viewpoint of market participants. This paper recommended the importance of educating stakeholders (especially investors) concerning for the importance of integrating sustainability information with financial information for achieving comprehensive evaluation of the bank's performance.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
39
https://aljalexu.journals.ekb.eg/article_123413_47506a3773e4e1c2765e4463ee3cfa63.pdf
dx.doi.org/10.21608/aljalexu.2020.123413
The effect of the period of issuing the audit report as an average in explaining the relationship between internal governance mechanisms and the quality of profits in companies listed on the Egyptian Stock Exchange
Smah Tarek Ahmed
Hafez
Accounting department
Faculty of Commerce
Mansoura University
Egyptian
author
text
article
2020
ara
The purpose of this study is to examine the role of audit report lag (ARL) as a moderator in explaining the relationship between the internal corporate governance mechanisms and quality earnings. This study has three objectives, The first is to examine the effect of internal corporate governance mechanisms on the audit report lag (ARL), Second is to examine the effect of internal corporate governance mechanisms on quality earnings , The third is to examine the role of audit report lag (ARL) as a moderator in explaining the relationship between internal corporate governance mechanisms and quality earnings. The study uses Fixed Panel Regression of 406 observes of 136 corporations listed on the Egyptian Stock Exchange over the period 2015–2017. The findings showed that there is a significant effect of internal corporate governance mechanisms on audit report lag (ARL) for the entire sample. In addition, there is a significant effect of internal corporate governance mechanisms on quality earnings. There is also a statistically significant effect between internal governance mechanisms and quality earnings if the audit report lag (ARL) is less than the median. There is no statistically significant effect between internal governance mechanisms and the quality earnings if the audit report lag is greater than the median.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
49
https://aljalexu.journals.ekb.eg/article_123416_70469c5854f5e762e546ae0ea83fcd6e.pdf
dx.doi.org/10.21608/aljalexu.2020.123416
The impact of the quality of the financial report and the choice of the auditor on maximizing the value of the enterprise from the perspective of shareholders: an empirical study on companies listed in the Egyptian Stock Exchange
Ali Mohamed Ali
Elsaiad
Accounting department
El3omlya University
author
text
article
2020
ara
The research aims mainly to study the effect of the financial reporting quality and the choice of the auditor on the maximization of the enterprise's value from the shareholders' perspective.
To achieve the goal of the research, an empirical study was conducted on a sample of 159 companies listed on the Egyptian Stock Exchange over 3 years during the period 2016 – 2018 to include 477 company observations in the study sample.
From the results, the researcher found that:
1. There is a positive significant relationship between the financial reporting quality and the maximization of the enterprise's value (the enterprise's economic value added) from the shareholders' perspective.
2. There is a positive significant relationship between the choice of the auditor from the from the Big 10 audit offices and the maximization of the enterprise's value from the shareholders' perspective.
3. There is a positive significant relationship between the enterprise's size and the enterprise's value from the shareholders' perspective.
4. There is a positive non-significant relationship between the rate of return on assets, the debt ratio and the enterprise's value from the shareholders' perspective.
5. In the Egyptian business environment, stakeholders rely on financial reporting, in a reasonable manner, to make decisions and evaluate enterprises.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
33
https://aljalexu.journals.ekb.eg/article_123419_cbc8fbdddec099dd6d89445f21b33c49.pdf
dx.doi.org/10.21608/aljalexu.2020.123419
The Effect of the External Auditor’s Assurance on the Integrated Business Reports on the Stock Investment Decision - Experimental Study
Amr Mohamed Khamis
Mohamed
Accounting and Auditing department
faculty of Commerce
Alexandria University
author
text
article
2020
ara
The research aimed to study and examine the effect of the external auditor’s assurance on the integrated business report on the decision of the stock investment decision, as well as testing the effect of the level of experience and qualification of the investor as modified variables, on the relationship under study, by relying on an experimental study on a sample of 47 professional investors in the Egyptian business environment.
The research concluded that there is a positive signficant relationship between the external auditor’s assurance on the integrated business report and the stock investment decision, as it gives confidence and credibility to its financial and non-financial information, increases its value relvence and reduces asymmetry of information, which contributes to rationalizing investor decisions and improving the quality of their judgments Investment. This is due to the fact that the information confirmed in the integrated business report increases the ability of investors to assess the overall performance and measure the value of the company and forecast its future performance, and reduce uncertainty about future cash flows, and its ability to create value and face opportunities and risks, thus improving its appreciation of stock prices and expected profits, predicting investment returns, and then making sound investment decisions. Also, due to the complexity of the integrated reports, investors may focus more on their emphasis than on their content
The research also concluded that there is no significant effect of the investor's experience on the relationship between the external auditor’s assurance on the integrated business report and the stock investment decision, on the contrary there is a significant effect of the level of scientific qualification of the investor on this relationship under study.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
105
https://aljalexu.journals.ekb.eg/article_123421_011b9d8c65cc572fa848777579bd7d04.pdf
dx.doi.org/10.21608/aljalexu.2020.123421
The implications of economic digitization on the international tax framework. Challenges and proposals for development
Samehe Abdelmoaty
Hamed
Accounting department
Faculty of Commerce and Business Administration
Helwan University
author
younes hassan
Akel
Accounting department
Faculty of Commerce and Business Administration
Helwan University
author
text
article
2020
ara
The aim of this research is to study the tax challenges of economic digitization, and evaluate proposals for the second version of the the Base Erosion and Profit Shifting (BEPS) to develop the international tax framework to meet these challenges in light of economic digitization, issued by the Organization for Economic Cooperation and Development (OCED) and G20 during 2019. To achieve these objectives of research, we relied on the descriptive analytical approach through analyzing previous studies and collecting data on the problems of the current international tax framework in light of economic digitization. The research concluded that the nature of economic digitization has caused many challenges for Counting the current international tax, which depends on the physical presence in the imposition of tax on corporate profits, which are not addressed by the first version of (BEPS) , necessitating a change radically in the tax framework for international by introducing concepts and tax rules suited to economic digitalization through a plan of action It depends on two pillars: the unified approach proposal to alloction tax rights between the market countries and the country of residence, and the establishment of a minimum rate of tax on corporate profits in combating harmful tax competition, however these proposals face many technical problems, in addition to borrowing interests among countries that may delay the international agreed upon, so the study recommends the readiness of the Egyptian government by proposing tax legislation and the establishment of databases for digital technology companies activity to take a measure of tax Unilocular such as tax digital services similar to the global trend in the event of failure to reach agreement internationally on proposals Development of the international tax framework.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
57
https://aljalexu.journals.ekb.eg/article_123426_016fd7c0e50d87fbc7c1b3df244d1259.pdf
dx.doi.org/10.21608/aljalexu.2020.123426
Measuring indicators of financial and operational performance evaluation in light of the application of international financial reporting standards: Evidence from the Saudi business environment
ِAhmed Hisham
Maawad
Accounting department
College of Business - Al-Jouf University - Kingdom of Saudi Arabia
Accounting Department, Faculty of Technology and Development, Zagazig University
Egypt
author
Eid Mahmoud
Abou Zied
Accounting department
College of Business - Al-Jouf University - Kingdom of Saudi Arabia
Department of Accounting
Faculty of Commerce - Beni Suef University - Egypt
author
text
article
2020
ara
The aim of this research is to measure the indicators of evaluation of financial and operational performance before and after the application of the International Financial Reporting Standards (IFRS) through an applied study on (120) non-financial companies listed on the Saudi capital market during the period (2015-2018) with a total number of observation 480 (company / year). The results found that there is a negative impact of the application of IFRS on both financial performance, represented in return on assets & return on equity, and operational performance in the form of operating cash flows & turnover of assets.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
38
https://aljalexu.journals.ekb.eg/article_123644_d3393a67ea75812f7d59d6982f3b09e2.pdf
dx.doi.org/10.21608/aljalexu.2020.123644
The Effect of Comprehensive Income Volatility on Default Risk and Liquidity Risk in Egyptian Insurance Companies
Dalia Adeا
Abbass
Assistant Professor of Accounting
Faculty of Commerce
Damietta University
author
Tarek
Alrashedy
Accounting, Faculty of Commerce, Damietta University
author
text
article
2020
ara
We examine comprehensive income (CI) volatility incremental to net income (NI), and the relationship between CI volatility and two types of financial risks; default risk and liquidity risk in insurance companies in Egypt. Using data for the period 2010 – 2019 for a final sample of 33 companies which represents (84.6% of all insurance companies in Egypt) with 330 observations, results showed that CI is more volatile than NI and that more CI volatility is associated with more default risk and liquidity risk. Using Multiple linear regression, results show that foreign currency translation (FCT) is the main source of CI volatility in its association with default risk. Results also show that asset revaluation (AR) is the main source of CI volatility in its association with liquidity risk. Those results have implications for insurance companies to apply effective strategies to mitigate the volatility of FCT and AR, which has important implications for financial stability and policy formation for regulatory communities.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
33
https://aljalexu.journals.ekb.eg/article_123648_925164359f6f01b19dc3aa17e6207c18.pdf
dx.doi.org/10.21608/aljalexu.2020.123648
The Interaction Effect of Auditor Industry Specialization and Ownership Concentration on Investment Efficiency: Evidence from Egyptian Stock Exchange
Mawaheb Abdel-Aziz
Ismail
Accounting department
Alexandria University
Alexandria
Egyptian
author
text
article
2020
ara
The paper examines the interaction effect of auditor industry specialization and ownership concentration on investment efficiency for a sample of firms listed on the Egyptian Stock Exchange during the period from 2011 through 2018.
I predict that specialized auditors and ownership concentration have positive impact on investment efficiency. It's further predicted that specialized auditors moderate the relation between ownership concentration and investment efficiency. Results reveal that specialized auditors enhance investment efficiency, while ownership concentration adversely affects investment efficiency. Results fail to support any interaction effect between auditor industry specialization and ownership concentration.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
45
https://aljalexu.journals.ekb.eg/article_123651_e403ec856c0cb6aaf56aa373b869f918.pdf
dx.doi.org/10.21608/aljalexu.2020.123651
The Effect of Accounting Conservatism on Share Repurchases: an Applied Study on Firms Listed on the Egyptian Stock Exchange.
Osama Magdy Foad
Abou Elela
Accounting department
Faculty of Commerce
Alexandria University
Egyptian
author
text
article
2020
ara
The purpose of this paper is to examine the effect of accounting conservatism on share repurchases for firms listed on the Egyptian stock exchange. The research hypothesis was derived, which is represented in: There is a negative relationship between the accounting conservatism and share repurchases. Multiple regression and logistic regression were used to test the research hypothesis. The sample used in the current study consists of 24 firms listed on the Egyptian stock exchange for the period from 2000 through 2019. To the best of the researcher knowledge, there are no Egyptian studies to date that examined the effect of accounting conservatism on share repurchases. Consequently, this paper contributes to the limited literature by suggesting a new model for the effect of of accounting conservatism on share repurchases. The researcher concludes that the new model is useful in explaining the effect of accounting conservatism on share repurchases. The study finds that (a) accounting conservatism has a significant negative effect on share repurchases, (b) Free cash flow has a significant positive effect on share repurchases, (c) Firm size has a significant positive effect on share repurchases, (d) Firm leverage ratio has a significant negative effect on share repurchases.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
46
https://aljalexu.journals.ekb.eg/article_123653_298d27e86302062f3c42a22a6b539a70.pdf
dx.doi.org/10.21608/aljalexu.2020.123653
The Impact of Internal Corporate Governance Mechanisms on The Relationship between Accounting Conservatism and Tax Avoidance: an Empirical Study on Firms listed in The Egyptian Stock Exchange
Possy Hamdy Hassan
Mousa
Accounting and Auditing department
Faculty of Commerce
Damanhur University
author
text
article
2020
ara
The primary objective of this research is to investigate the relation between Accounting Conservatism and Tax Avoidance. Additionally, The research examines how this relation is influenced by some Internal Corporate Governance Mechanisms Including Size of Management Board, Independence of Management Board, Managerial Ownership, Family Ownership, The Financial Expertise of Audit Committee as moderating variables. To achieve the aim of the research, an empirical study was conducted on a sample of firms listed in the Egyptian stock exchange for the period between 2016-2018. the study shows that Accounting Conservatism has a significant Positive Effect on Tax Avoidance level. The research also reveals that both Management Board Size and Family Ownership have significant positive effect on the relationship between Accounting Conservatism and Tax Avoidance.
while each of Managerial Ownership ,or Management Board Independence ,Financial Expertise of Audit Committee has significant Negative effect on this relation.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
70
https://aljalexu.journals.ekb.eg/article_123654_1754ca6d9517e167ca9ae704649f1db3.pdf
dx.doi.org/10.21608/aljalexu.2020.123654
The Determinants of Audit Report Delay Before and After Applying The International Standards: The Case of Saudi Joint Stock Companies
Yasser Elsayed
Kasab
Accounting department
Faculty of Commerce
Tanta University
author
text
article
2020
ara
The aim of the current research is to find out the determinants ofAudit Report Delay (ARL) before and after applying The international standards using the Saudi joint stock companies as the case of this study and the differences between the delay of the audit report before and after the movement to the international financial reporting standards(IFRS) and international standards of auditing (ISA) (in the Saudi business environment). The research goal was achieved through a field study using 85 Saudi joint stock companies over the period 2015-2018. The time length was divided into two parts: two years before the transition to international standards i.e. (2015-2016), and two years after the application of international standards and represented i.e. (2017-2018). A number of 6 independent variables or (determinants) were selected to test their effect on the dependent variable, which was the delay of the audit report before and after the movement to the international standards. The independent variables included (size of the company under review, debt ratio, company profitability, size of the audit office, type of opinion, change of references). The results of the first part of the field study and before the transition to the international standards came to prove the significance effect of only five variables (debt ratio, company profitability, size of the audit office, opinion type, change of references) on the dependent variable. On the other hand, the results of the second part of the field study and after the transition to international standards proved the significance effect of only three variables (company size, company profitability, type of opinion) on the dependent variable. The results of the third part of the field study came to prove that there are significant differences in the delay of the auditing report before and after the movement to the international standards, and that the shift to international standards led to an increase in the delay of the audit report compared to the period before the transition to international standards.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
54
https://aljalexu.journals.ekb.eg/article_123655_5aa12ae23199e43b73b7ac6a1b721cab.pdf
dx.doi.org/10.21608/aljalexu.2020.123655
The effect of the company's operating characteristics and the characteristics of the audit office on the effective relationship of the audit committee with the period of issuing the audit report: an applied study on companies registered in the Egyptian Stock Exchange
Yasser Said
Kandil
Accounting and Auditing Department
Faculty of Commerce
Alexandria University
Egyptian
author
text
article
2020
ara
This research aimed to study the effect of audit committee effectiveness as one of the internal mechanisms of governance on audit report lag, as well as the effect of a set of moderator variables related to the operational characteristics of the company and audit firm characteristics on the relationship between audit committee effectiveness and audit report lag. To achieve this goal, the researcher derived the hypotheses of the research by reviewing the previous studies. To test the hypotheses, an empirical study has conducted using sample data of 100 companies listed in the Egyptian stock exchange during the period from 2016 to 2018. The study found that there is an adverse and significant effect of the audit committee effectiveness on audit report lag, which means accepting the first hypothesis. In addition, the adverse effect of the audit committee effectiveness on the audit report lag varies according to size of the company, size of the audit firm, and auditor industry specialization, but it does not affected by profitability of the company, and thus the second, fourth and fifth hypotheses were accepted and the third hypothesis was not accepted.
With regard to the diversity of the company's operations and its impact on the relationship between audit committee effectiveness and audit report lag, the researcher has conducted an additional analysis by inserting the diversity of the company's operations as a moderator variable on the relationship between audit committee effectiveness and audit report lag, while the significant moderator variables in the fundamental analysis were processed in the additional analysis as control variables. The study found that there is no significant effect of the diversity of the company's operations through the indicator of the presence of export operations on audit report lag, and the interaction between the degree of diversity of the company's operations and the audit committee effectiveness has no significant effect on audit report lag. To verify the accuracy of the main findings of the research, the researcher performed a sensitivity analysis, where an alternative measure was used for audit report lag, and an alternative measure for audit committee effectiveness, the simple and multiple regressions was re-analyzed and the results were almost identical to the fundamental model.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
71
https://aljalexu.journals.ekb.eg/article_123660_97ba469b1d2210b43d8d4947c52d3e3b.pdf
dx.doi.org/10.21608/aljalexu.2020.123660
A Suggested Model for Assessing the Impact of Financial Performance Efficiency Indicators on Improving the Economic Value Added of Gulf Banks (a Comparative Applied Study)
Khaled Mohamed Osman
Ahmed
Accounting department
Faculty of Commerce
Mansoura University
Egyptian
author
text
article
2020
ara
There is increasing interest in making comparative studies to assess the performance of Gulf banks, and the method of economic value added is the best accepted measure for measuring efficiency and evaluating performance in the long term. This value is affected by the indicators of the American banking evaluation system CAMELS in addition to the Sharia Safety Index in Islamic banks, and other indicators provided by previous studies Such as equity, invested capital, deposits. The research focuses on proposing a model to measure the impact of the indicators of assessing the efficiency of the financial performance of banking on improving the economic value added of Gulf banks by using an applied study comparing the countries of the Gulf Cooperation Council with conventional and Islamic banks. The study concluded that the indicators affecting improving the economic value are equity, invested capital, deposits, revenues, loans, liquidity, sensitivity of market risks, asset and capital adequacy. It was found that there was a significant difference in the effect of the previous indicators on improving the economic value added between Gulf countries, and a significant difference also between, Conventional Banks (CBs) &Islamic Banks (IBs). While there is no such difference on the level of Gulf banks combined.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
37
https://aljalexu.journals.ekb.eg/article_123661_42d2ff4393a4c3cd4bbec65241486944.pdf
dx.doi.org/10.21608/aljalexu.2020.123661
The Impact of Adopting the Approaches of Multiple Auditors on the Gap in the Performance Quality Expectations of the Audit Process.
Ahmed Kamal Metawaa
Ibrahim
Department of Accounting
Faculty of Commerce
Mansoura University
Egyptian
author
text
article
2020
ara
The main objective of this study is to test the effect of adopting the different approaches of multiple external auditors on both the actual and the perceived quality of the audit, consequently, the expected impact on the quality of audit performance expectation gap in the Egyptian environment.
To achieve this objective, an applied study was designed to test the statistical assumptions by using two samples from stock companies listed in the Egyptian Stock Exchange market from 2015 until 2019. The actual quality of the audit process was expressed using two indicators; they are discretionary accruals and the accounting conservatism. Also, the perceived quality of the audit process was expressed in the entity's value index.
The study concluded that the adoption of the joint audit approach has no significant effect on both the actual and perceived quality of the audit in the Egyptian environment, so the adoption of this approach did not play its expected role in reducing the quality of audit performance expectation gap, While the results showed that there is a positive effect of adopting of the double audit approach on both the actual and perceived quality of the audit in the Egyptian environment, Consequently, the positive effect of the double audit approach on the quality of audit performance expectation gap.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
69
https://aljalexu.journals.ekb.eg/article_123664_7d28e68e0b911b0af22808baf4af531b.pdf
dx.doi.org/10.21608/aljalexu.2020.123664
The Effect of Voluntary Disclosure and Transparency on Directors´ Remuneration Control
Bassam Samir
Baroma
Accounting department
Faculty of Commerce
Tanta University
Egyptian
author
text
article
2020
ara
The economic and financial crisis experienced by the world economy, during the years 2008-2012, has again highlighted the weaknesses of the capitalist system and the need to impose limitations on certain agents which have a significant influence on the future of business and the economy in general.
In this sense, the remuneration excesses committed by some Boards of Directors, especially in the financial sector, have shown the importance of agency problems once again. In these years, it was not uncommon to find cases in which Egyptian companies had awarded millions in compensation, salaries or bonuses to their executives and directors, while ultimately they ended up being rescued by governmental authorities. This and other situations of a similar nature have weakened the mood of Egyptian society, especially when some firms that had been committing abuses were funded by the Egyptian government, while population had to make sacrifices to overcome the crisis. Therefore, the configuration of the compensation of the directors has received increasing attention in recent times.
Under these situations, the recommendations taken at national level have focused on increasing the information transparency on compensation practices, in specially, about the detailed remuneration policy and individual remuneration granted to the members of Board of Directors.
The importance of this study is due to that there are a lot of studies that examine the relationship between directors´ compensation and “board independence”, and directors´ compensation and firm performance, while a relatively few examine the relationship between disclosure on board compensation and directors´ compensation level.
E.mail: Bassambaroma2@gmail.com
In this context, this paper provides an empirical analysis of the transparency and voluntary disclosure on board remuneration and their impact on the level of directors’ compensation in Egypt in order to determine whether the directors´ compensation is lower ("transparency control effect" and "transparency deterrent effect") or is higher (“effects of transparency on increasing competition in pay”) among firms with more transparency of directors´ compensation. For this purposes, a unique panel of data has been put together from listed Egyptian companies for the period 2013-2018.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
36
https://aljalexu.journals.ekb.eg/article_123665_c83594028cfb8d4bb15095c7ec20d792.pdf
dx.doi.org/10.21608/aljalexu.2020.123665
The effect of perceived review quality on stock prices as an indicator of the company's value - An applied study on companies listed on the Egyptian Stock Exchange
Mahmoud Ahmed Ahmed
Ali
Accounting Department
faculty of Commerce
Beni Suef University
Egyptian
author
text
article
2020
ara
This research aimed to study and test the relation between the perceived audit quality and stock prices as an indicator for the firm value. On other hand, it also tests how this relation is influenced when firm size, leverage and operations complexity are changed. This will be obtained through a theoretical and applied study on a sample ranged from 2013 to 2018 for firms listed in Egyptian stock exchange.
The research concluded that the perceived audit quality affects the stock prices as an indicator of the firm's value. Furthermore , this effect differs according to the firm size and does not differ according to the degree of financial leverage and the degree of complixity of operation
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
59
https://aljalexu.journals.ekb.eg/article_123666_393ea999950a8e1971028aded4b06449.pdf
dx.doi.org/10.21608/aljalexu.2020.123666
The Impact of Research and Development (R&D) Intensity on Financial Performance and Firm Value: An Empirical Study on Pharmaceutical Companies Listed on Egyptian Stock Exchange
Dalida Mohamed Adel
Eldawayaty
Accounting department
Faculty of Management Sciences October University for Modern Sciences and Arts (MSA)
author
text
article
2020
ara
This paper examines the relation between Research and Development (R&D) intensity and both of the financial performance and firm value for pharmaceutical companies listed on Egyptian Stock Exchange. Because of the future benefits related to R&D, the researcher examines the relationship between R&D intensity and both of the current and future performance. R&D intensity is measured as the ratio of R&D expenditures to total revenues. The financial performance as a first dependent variable is measured using three accounting-based operating performance measures; Return on asset (ROA), Return on Equity (ROE), and return on sales (ROS). ROA is computed as the ratio of Earnings Before Interest and Tax (EBIT) to total assets; ROE is the ratio of Net income after tax to stockholder equity, and ROS is the ratio of Net income after tax to net sales. With regard to the second dependent variable, firm value, Tobin’s Q is used, which is measured by (market value of equity+ book value of liabilities) divided by book value of total assets. Using data of listed pharmaceutical companies on Egyptian stock market for the period between 2000 to 2019, empirical results showed a significant negative relationship between R&D intensity and current performance measured by ROE and ROS, in addition to Tobin’s Q. However, the results showed an insignificant negative relation with ROA. On the contrary, Findings indicated a significant positive relationship between R&D intensity and future firm performance measured by ROA only and Tobin’s Q, and an insignificant positive relation with ROE and ROS.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
55
https://aljalexu.journals.ekb.eg/article_123668_b45b356e3270ef1f88446d3889146f8d.pdf
dx.doi.org/10.21608/aljalexu.2020.123668
The Impact of the Auditor's Opinion Type and the Degree of his Industrial Specialization on the Earnings Persistence: An Empirical Study on Companies listed in the Egyptian Stock Exchange
Samir Ibrahim Abdelazim
Mohamed
Accounting department
Faculty of Commerce
Beni Suef University
Egyptian
author
text
article
2020
ara
This study investigates the impact of auditor opinion and industrial specialization on Earnings Persistence. An Empirical study was conducted on a sample of 257 observations of 53 non-Financial companies listed in the Egyptian Stock Exchange for the period 2012-2016. The literature review revealed that current earnings of companies listed in the Egyptian Stock Exchange have a positive impact on their future earnings. Further, it is conclude that auditor opinion and industrial specialization can affect the relationship between current earnings of these companies and their future earnings. The empirical study revealed a positive and moral effect between current earnings of companies listed in the Egyptian Stock Exchange and their future earnings. The study also found a significant positive effect of the type of auditor opinion for the current year on the relationship between current earnings of companies listed in the Egyptian Stock Exchange and their future earnings. Finally, the study revealed a positive effect of industrial specialization on the relationship between current earnings of companies listed on the Egyptian Stock Exchange and their future earnings.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
63
https://aljalexu.journals.ekb.eg/article_123670_51792bd098e0d7d1f736c8db572c1f1e.pdf
dx.doi.org/10.21608/aljalexu.2020.123670
"Implications of Technological Developments in the Field of Blockchains on the Audit Activities and Profession with an Exploratory Study in the Egyptian Environment"
Abd Elhamid Elesawy
Mahmoud
Accounting and Auditing department
Higher Institute for Management and Information Technology
Egyptian
author
Ayman Abo El Nadar Mohamed
Abo El Nadar
Accounting and Auditing department
Higher Institute for Management and Information Technology
Egyptian
author
text
article
2020
ara
The research aims to analyze the relationship between the adoption of audit clients and accounting and auditing firms for blockchain technology and its Implications on auditing tests and determine the appropriate audit model, the audit profession and organizational structure in accounting and auditing firms. The study relied on the integration of the inductive approach with the deductive approach to extrapolate and predict the future status of audit activities and profession, through the application on two samples of the study, they are the auditors in the accounting and auditing companies in Cairo and Alexandria and researchers at the universities of Tanta and Kafr El Sheikh, with a total of (145) observations, to test four hypotheses reflecting The relationship between companies ’adoption of blockchain technology and each of the auditing tests, the appropriate audit model, the audit profession and the organizational structure of accounting and auditing firms. The results of this research indicate that the auditing tests are directed towards control tests instead of the traditional audit tests, the availability of the elements of success of the continuous review model, the emergence of new roles for auditors, and the influence on the organizational structure of accounting and auditing companies. In light of this, the study recommends the importance of motivating Egyptian companies to adopt blockchain technology, updating the Egyptian auditing standards to reflect the effects of that technology, and that Egyptian universities play a leading role in explaining the effects of that technology to try to seize the opportunities it provides and overcome the challenges it poses. The current research contributes to expanding and deepening the knowledge area of the subject of accounting effects of technological applications, by providing a visualization of the expected benefits and challenges posed by blockchain technology to the audit, and clarifying the impact on the auditing tests, the audit model and the audit profession. In light of the scarcity of scientific research in that field.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
91
https://aljalexu.journals.ekb.eg/article_123671_4abc8357307b3cdb7ad0e08a95f91ae4.pdf
dx.doi.org/10.21608/aljalexu.2020.123671
The Factors Influencing Cost and Management Accounting Practices in Manufacturing in Saudi Stock Exchange.
Faisal
Alroqy
Department of Accounting Umm Al-Qura University Kingdom of Saudi Arabia
author
text
article
2020
ara
Cost and Management accounting practices are generally used by management at various levels. Such tools provide managers with the freedom of choice as they generally present no constraints, other than the cost of information collected relative to benefits of improved management decisions. Previous studies have concluded that there are factors that may affect cost and management accounting practices. The objective of this research is to study the impact of these factors on cost and management accounting practices in KSA. The study involves a total of 49 respondents from KSA- industrial Joint-Stock manufacturing. A questionnaire has been used to collect information about the use of cost and management accounting tools in practices.
The results of the study revealed the importance of cost information; intensity of the competitive environment; size of the firm; the quality of information technology; extent of the use of Total Quality Management approaches; extent of use of lean production techniques (including JIT techniques); perceived environmental uncertainty; and qualification of cost and management accounting staffhave significant relationships with cost and management accounting usage.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
49
https://aljalexu.journals.ekb.eg/article_123672_bda2fc1d3034c2b069c7967d1bdbe9c8.pdf
dx.doi.org/10.21608/aljalexu.2020.123672
The Effect of Different External Audit's Approaches on the Readability of the Opinion Basis's Paragraph and Explanatory Paragraphs in the Auditor's Report -An Empirical Study on Egyptian Listed Companies
Mohamed Ibrahim Mohamed
Rashid
Accounting and Auditing department
Faculty of Commerce
Alexandria University
Egyptian
author
text
article
2020
ara
The research aimed to study and test the effect of the different External Audit's Approaches on the level of readability in the audit reports, especially "the basis of modified opinion's paragraph", "Emphasis of Matter" or "Other Matter" Paragraphs, that the auditor can write without restrictions from Standards forms. The number of words, the number of financial Terminologies, and the average length of sentence have been used as proxies to measure the level of readability of an audit report paragraphs subject to test. Based on a sample of companies listed on the Egyptian Stock Exchange over the period from 2014 to 2019, the research concluded that it is relatively difficult to read "basis of modified opinion paragraph" under dual audit approach, if compared with similar reports, according to single or joint audit approach. On the other hand, the research concluded that it is relatively easy to read "Emphasis of Matter" or "Other Matter" Paragraphs under joint audit approach, if compared with similar reports, according to single or dual audit approach.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
62
https://aljalexu.journals.ekb.eg/article_123673_5e2b4a4884af11689450055a98e886eb.pdf
dx.doi.org/10.21608/aljalexu.2020.123673
The Impact of Dividend Policy and Capital Structure on the Market Value of Banks Listed on Saudi Stock Exchange
Metwally Elsayed Metwally
Ateya
Accounting department
Al Jazeera Higher Institute for Computer
And management information systems
Assistant Professor, College of Business Administration
Shaqra University, Saudi Arabia
author
text
article
2020
ara
Purpose: The aim of this study is to obtain Empirical evidence from Saudi business environment for the impact of the dividend policy and the capital structure on the market value of banks listedon Saudi stock exchange.
Design and Methodology: The study adopted the content analysis approach to examine the annual reports of a sample of (11) banks listed on the Saudi stock exchange during the period (2016: 2019) with a total of (44) observations. To test the hypotheses of the study that reflect the dividend policy and the capital structure on the market value, the study used the simple and multiple regression analysis method.
Results and Recommendations: The results of the study indicate that there is a significant impact of dividend policy on the market value. However, the study finds that there is in significant impact of the capital structure on the market value. However, it shows that there is a significant impact of both dividend policy and capital structure on the market value of Saudi banks. According to the results, the study recommends the necessity of determining the appropriate mix of financial sources (external and internal), as the optimal use of this mix may lead to a reduction in the cost of capital, which maximizes the enterprise value and opens its way for more investment opportunities, and thus increase its profitability. In addition, the financial markets and firmans management should pay attention to the dividend policy, due to its great effect on retained earnings, which represent a form of self-financing, as well as its effect on the market value of enterprises.
Practical Implications: The results of this study may be of interest to business enterprises management in making decisions that would maximize the market value of the enterprises. In addition, the benefit that shareholders and bearer shares get from those enterprises by forecasting stock prices based on data of dividends and the changes in the capital structure of the enterprise.The results of the study may also provide suggestions and recommendations that help decision-makers in Saudi and Arab business enterprises to take the right measures, financial, accounting and financing decisions in a way that serves present and expected investors.
Originality and Value: This study contributes to the accounting and finance literature by attempting to reduce the argument regarding the impact of the dividend policy and the capital structure on the market value of business enterprises, which may contribute to explain the variance of shares performance in Saudi banks. It also provides additional evidence to explain that relationship in the Saudi business environment.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
71
https://aljalexu.journals.ekb.eg/article_124023_358ec7e0b95b82ba193800861cbe0ac4.pdf
dx.doi.org/10.21608/aljalexu.2020.124023
The Effect of Digital Transformation Towards
the Application of Blockchain Technology in Business Entities to Improve the Accounting Information Quality
and Enhances the Corporate Governance Effectiveness
Mohamed Ezzat
Abd El tawab
Accounting department
Faculty of Commerce and Business Administration
Helwan University
Egyptian
author
text
article
2020
ara
Blockchain technology is one of the technologies developed in the business environment that works as a distributed and shared ledger that allows recording and verifying financial transactions and validating them by related parties without the need for an third party, and transaction data is stored and secured by encryption. The researcher aimed to study and analyze the effect of the digital transformation towards the application of blockchain technology in business entities to improve the quality of accounting information and enhance the effectiveness of corporate governance by doing two types of studies, which are a theoretical study and a field study, the researcher used each of the inductive approach to do a theoretical study through an induction and the analysis of the most important studies, research and other Arab and foreign references related to the impact of the application of blockchain technology in business entities to improve the quality of accounting information and enhance the effectiveness of corporate governance, and the deductive approach to formulating the theoretical framework including the research problem, goals, importance, and hypotheses, to conduct a field study to collect data from the study sample, and the descriptive analytical approach to describe the study sample categories and their responses to the dimensions and variables of the study, and to test the study hypotheses and analyze the results that have been reached. The questionnaire list method was used to collect data from the field study sample (226) unit, from accountants in corporation companies, accountants at accounting and auditing offices and financial analysts. The field study data was analyzed statistically using the SPSS package. The results of the statistical analysis of the field study data indicated for the first and the third hypothesis the rejection of nullity hypothesis and the acceptance of the alternative hypothesis and for the second and the fourth hypothesis the acceptance of null hypothesis, the researcher was recommended that the digital transformation towards the application of blockchain technology in businesses to benefit of its advantages in improving the accounting information quality and to enhance the corporate governance effectiveness.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
53
https://aljalexu.journals.ekb.eg/article_124027_aca5c05062d9470b95735d83a45d5015.pdf
dx.doi.org/10.21608/aljalexu.2020.124027
The impact of the use of an accounting information system based on blockchain technology on improving the performance of supply chains supported by the technology of the Fourth Industrial Revolution in facing the emerging corona virus
With a pilot study
Marwa Ibrahim
Rabie
Department of Accounting and Auditing
Commerce College
Alexandria University
Egyptian
author
text
article
2020
ara
The paper aims to review literature related to the effect of Blockchain- based accounting information system on enhancing digital supply chain (supply chain 4.0) performance in confronting the outbreak of covid-19. To achieve the research objectives, literature was reviewed in related fields to develp hypotheses then an experimental approach was used to validate these hypotheses. An experimental based questionnaire was sent to both academic and professionals (74 academic, 74 professionals responded) to answer research questions and test its hypotheses.
The study’s results revealed the importance of Blockchain- based accounting infor-mation system in mitigating covid-19 pandemic outbreak. Finally, this paper presented the most important recommendations and future research.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
54
https://aljalexu.journals.ekb.eg/article_124048_9e90c22ce8520d20670562caf649ce1f.pdf
dx.doi.org/10.21608/aljalexu.2020.124048
The moderating variables for the relationship between managerial overconfidence and restatement of financial statements
(an empirical approach on Egyptian companies)
Ahmed Mohamed Shaker Hassan
Samaan
Accounting Department
Faculty of commerce
El Zakazik University
Egyptian
author
text
article
2020
ara
In light of the representation of financial reports, the main source of investors’ information when making their decisions, the quality of that information in the financial markets has become a necessity for making decisions, which met with the phenomenon of financial restatements, which may indicate misleading financial statements if used over and over to correct the previous financial statements. Many of the accounting literature interesting, especially after the occurrence of many of the financial crisis, which has created a kind of weak confidence in financial disclosures on the part of investors, so some studies have focused on the specific factors of this phenomenon or not, which results are varied about managerial overconfidence which is considered one of those factors, which obliged the researcher not only to test managerial overconfidence as one of those determinants, but also to research some of the coordinating factors that would influence that relationship or not. The current research suggested (corporate governance, and the coverage of analysts as two oversight tools in this regard, in addition to the managerial ability as one of the variables indicating the efficiency of executives) as moderating variables that can change the impact of managerial overconfidence on restatements of financial statements. By using the "Binary Logistic Regressions" method and with the division of corporate governance into several sub-axes, as indicated by the Egyptian guide, embodied by this indicator (samman, 2018), and by using the model (Demerjian et al., 2012) for the quantitative expression of the variable of managerial ability, and by adopting 60 companies representing the Egyptian corporate community, during the period 2009-2017; The research found the sincerity of the interaction of corporate governance and managerial overconfidence in limiting the restatements of the financial statements, and the lack of significance of financial analysts' coverage and the managerial ability as two moderating variables for this relationship, which means the necessity of referring to the basic effect of the interacting variables, which shows the lack of significance of coverage, and the significance of the managerial ability to influence the restatements of the financial statements, to confirm this ineffectiveness of coverage as a control variable in the Egyptian environment; Governance is statistically the most prominent as a moderator of the desired relationship.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
75
https://aljalexu.journals.ekb.eg/article_124058_cec0bf22bb23a69115ca4f9a8e644130.pdf
dx.doi.org/10.21608/aljalexu.2020.124058
A Proposed Accounting Model for Measuring the Impact of Asset Quality on Profitability: An Applied Study
said Abd El fatah
Said
Accounting department
Faculty of Commerce
Kafr El Sheikh University
Egyptian
author
text
article
2020
ara
Objective: This research aims to study, analyze, test and suggest an accounting model to measure the impact of asset quality on the profitability of commercial banks working in Egypt.
Design/Methodology: The researcher uses quarterly data for 25 commercial banks working in Egypt during nine years from 2011to 2019, and these data are analyzed and statistical tests are performed using the Multiple Linear Regression.
Results: The researcher found a significant impact of asset quality on profitability indicators (Return on Average Assets, Return on Average Equity and Net Interest Margin) of commercial banks working in Egypt.
Recommendations: The researcher recommends that it is necessary for the International Accounting Standards Board (IASB) to provide an accounting guidance for asset quality measurement; and the need for commercial banks working in Egypt to apply (IFRS 9) with regard to estimating loan provisions and calculating them on the basis of expected credit losses.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
39
https://aljalexu.journals.ekb.eg/article_124065_014080bf020e808acce339fdfda50322.pdf
dx.doi.org/10.21608/aljalexu.2020.124065
The effect of the quality of accounting standards and the level of compliance with their application on the efficiency of corporate investment - the role of the operating characteristics of companies as modified variables - an applied study on companies listed in the Saudi stock market
Sherif Ali Khamis Ibrahim
Kamosh
Accounting department
Faculty of Commerce
Alexandria University
Egyptian
author
text
article
2020
ara
The study aimed to examine the impact of both accounting standards quality and the compliance level of applying the standards, as an approach to reduce the accounting expectations gap regarding the financial report, on the efficiency of management's investment. Then, the study examined the role of information quality as a mediating variable conveys an indirect effect of both the accounting standards quality and the compliance of proper application of standards on the efficiency of investment. In addition, the study examined the effect of some of the companies' operating characteristics (age, size, the level of investment in the previous period, and the operating cash flows) as moderating variables on the previous direct and indirect relationships. The path analysis through Structure equation modeling (SEM) was employed in the study to test, simultaneously, the direct and indirect relationships in the study model. The standard quality was measured by adopting international financial reporting standards (IFRS), and the compliance to applying standards was measured by the quality of the audit.
Using a sample of non-financial companies listed in the Saudi Stock market, the results showed that the adoption of IFRS (as a measure of the standards quality gap reduction) resulted in reducing the inefficiency of investment at the level of the whole sample, but that effect appeared only on the cases of under-investment rather than over-investment. However, the information quality did not play a mediating role to convey the impact IFRS adoption on investment efficiency.
The results also showed that the audit quality (as a measure of compliance gap reduction) had a significant impact on the efficiency of investment at the level of the whole sample, and also on the cases of both over-investment and under-investment separately. However, the result was counter-productive, that is, in the favor of non-big auditors. This result could be interpreted from two perspectives of the impact of audit quality on investment efficiency (Boubaker et al. 2018); the first is the impact of audit quality through its positive effect on the information quality (information quality effect), and the second is the effect of transferring expertise, advice and guidance. Loius (2005) has argued that non-big auditors provide advice and transfer their industry expertise to the client, formally or informally, as compared to big auditors. By merging these evidences together, it can be said that, according to the results of my study, the interpretation of the impact of the experience transfer was more significant and influential in the relationship between the audit quality and investment efficiency. To confirm this, the researcher used an alternative measure of the audit quality, which is industry specialization. The result indicated that there was a positive significant impact of the level of auditor specialization on the investment efficiency, which confirms the previous results.
The results indicated that the impact of the audit quality on the investment efficiency was direct, and there was no significant indirect effect through the mediating variable (information quality). Despite the positive significant impact of the audit quality on the information quality, this effect has not been reflected on the investment efficiency indirectly through the mediating variable. This supports the effect of experience transfer explanation over the effect on information quality explanation.
The results also shows that the interactive effect between adopting IFRS and the audit quality was significant and positive on the efficiency of investments only when audit quality was measured by industrial specialization. The results also indicated that some, but not all, of the tested operating characteristics had a significant effect on some direct relationships, and none of them had an effect on the indirect relationships through the mediating variable.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
86
https://aljalexu.journals.ekb.eg/article_124073_64de8a2791f3fcf761abf3e7248516b2.pdf
dx.doi.org/10.21608/aljalexu.2020.124073
Strengthening audit committees to increase the effectiveness of corporate governance
Shimaa Mohamed ElSaed
El Karmoty
Master Researcher MBA
Arab Academy for Science and Technology
And maritime transport
author
text
article
2020
ara
This research aims at to identify the basic requirements for strength-ening audit committees that lead to the activation of corporate governance by explaining the extent of consistency around the standards and mechanisms of audit committees, and their organizational processes in activating corporate governance .The research used the field survey method to measure the co-mpatibility between the groups concerned with the study on the requirements for strengthening audit committees in activating corporate governance.
The study found that there is a strong moral correlation with significant significance between the requirements of strengthening audit committees to achieve the appropriate role to increase the effectiveness of corporate go0-vernance.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
30
https://aljalexu.journals.ekb.eg/article_124078_ec931f99ca6541ad9c21c5235b9f17cc.pdf
dx.doi.org/10.21608/aljalexu.2020.124078
Effect of Intellectual Capital on Firm Value and Financial Performance
Mawaheb Abdel-Aziz
Ismail
Accounting department
Alexandria University
Alexandria
Egyptian
author
text
article
2020
ara
The paper examines the relation between firms' intellectual capital and firm's value and financial performance for a sample of firms listed on the Egyptian Stock Exchange during the period from 2000 through 2014. I predict that the level of investment in intellectual capital has a positive impact on firm's value, and firm's liquidity and activity levels as measures of financial performance. Results reveal that the level of intellectual capital has a positive impact on firm's value measured by Tobin's Q. Firm's liquidity is not significantly affected by level of intellectual capital. Moreover, the level of intellectual capital has a significant impact on firm's activity, on the aggregate level. However, the intensity of intellectual capital investment has no significant impact on firm's activity level.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
36
https://aljalexu.journals.ekb.eg/article_124087_fe3d6d1def38eb3d9d456c0fc00babb7.pdf
dx.doi.org/10.21608/aljalexu.2020.124087
Measuring the Impact of Increasing Financial Reports Size and Decreasing Readability on Audit Fees: An Applied Study on Corporations Listed in the Egyptian Index EGX100
Tamer Yousef Abdelaziz Ali
Elgondi
Department of Accounting
Faculty of Commerce and Business Administration
Helwan University
He is currently seconded at the College of Business Administration
Majmaah University - Kingdom of Saudi Arabia
author
text
article
2020
ara
The main objective of this study is to measure the effect of increasing financial reports Size and decreasing readability on audit Fees in egyptian business establishments. In order to achieve this goal, the researcher examined a sample of corporations listed on the egyptian Stock exchange that reached 65 corporations listed on the Index EGX100 during the period from 2015 to 2019 (325 views). The researcher analyzed the data using the linear regression model, and the results showed that there is an effect significant increase in financial reports Size and decreasing readability of the audit fees.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
52
https://aljalexu.journals.ekb.eg/article_124097_f7f88d651e18620c7904a140d7a66e35.pdf
dx.doi.org/10.21608/aljalexu.2020.124097
A Proposed Framework for Big Data Analytics in External Auditing and Its Impact on Audit Quality with A Field Study in Egypt
Asmaa Abd El- Monem
Serag
Accounting Department
Faculty of Commerce
Tanta University
Egyptian
author
Laila Mahrous
Al- Aqiliy
Accounting department
Faculty of Commerce
Tanta University
Egyptian
author
text
article
2020
ara
This research aims to explore the determinates of Big Data Analytics application (BDA) in external auditing, conceptualize the different contingent factors based on Technology-Organization-Environment Framework (TOE) and the perceptions of the audit firm, business clients, and some practitioner in Egypt regarding BDA and external audit practices and analyze the effects of these determinants on audit quality. To achieve this goal, contingency theory, analytical approach, and questionnaire with three different types of respondents are used.
The authors explore contingents' factors that trigger the application of BDA in different stages of auditing and analyzes its implications on audit quality.The study presents a few key results regarding the use of BDA in external auditing.
The authors recognize three groups of contingent determinates (TOE) and the conditions that govern the use of BDA will lead to improving audit quality elements (Input-Process-Output)
Besides, the authors' emphasis on the relationship of the audit firm, business clients, experts in information technology, and regulators in motivating the use of BDA and improve audit quality.
The study specifies an attitude of external auditors that are likely to concentrate on using BDA techniques in audit engagement not only to achieve regulatory requirements but also to add value to business clients and the auditing quality three sides of the Iron triangle (efficiency/effectiveness/cost reduction and quality).
Moreover, some challenges restrict using BDA techniques in audit plans in Egypt such as audit firms' size, information systems infrastructure, and long-term audit engagements. The proposed framework can address the current issues related to the drives of BDA application and the empirical investigation of situational conditions that make BDA more relevant in external auditing in Egypt. Furthermore, the research discusses the phenomenon of BDA as one of the most recent topics in auditing. Moreover, it concludes the contingent determinates that make BDA more beneficial based on contingency theory.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
60
https://aljalexu.journals.ekb.eg/article_124109_e7707482bc4ac1c29543addc71d34c46.pdf
dx.doi.org/10.21608/aljalexu.2020.124109
The Impact of Financial Distress, Firm Size, and Audit Quality on Earnings’ Management Evidence from Companies listed in the Egyptian Stock Exchange
Mohamed Samy
EL Deeb
Accounting department
October University
for Modern Sciences and Arts
Egyptian
author
Maha Shafik
Ramadan
Accounting department
Faculty of commerce
Alexandria University
October University
for Modern Sciences and Arts
author
text
article
2020
ara
The way through which financial distress impact companies is the core of the economy especially after the COVID 19 wave all over the world. The main aim of the paper is to test the impact of Financial distress, firm size, and audit quality on earnings management. The study is applied on a sample of 42 companies listed in the Egyptian stock exchange market from the period 2015-2017. The paper main contribution is to add to the accounting literature of the financial distress and earnings management in the Egyptian environment as one of the leading developing countries in MENA region. The main research objective is to examine the relation between the financial distress, firm size, and audit quality from one side and earnings management from other side. This can help in understanding the behavior of earnings management in practice regarding these stressful variables. The researchers used regression analysis to find out the specific causal relationship among the research variables. The research results show that financial distress and audit quality are significantly impacting earnings management practices meanwhile the study failed to find a significant effect for firm size on earnings management within the Egyptian companies listed in the stock exchange market. The regression model include both variables and excluding firm value showed a 48.6% explanation power for explaining the change in the dependent variable. The limitation of the research is related to the other variables not considered in the study and the time period that included only 2015-2017. The main recommendation of the researchers that this study to be extended to include larger sample and a recent period to include the financial distress resulted by COVID 19 pandemic.
Alexandria Journal of Accounting Research
Alexandria University, Faculty of Commerce, Accounting & Auditing Department
2682-3144
4
v.
3
no.
2020
1
48
https://aljalexu.journals.ekb.eg/article_124115_7b8fa93073ce7cf948a5dd5386a0ddb9.pdf
dx.doi.org/10.21608/aljalexu.2020.124115