Warrants in the financial management decisions of innovative firms

2021 ◽  
Author(s):  
Hyuna Park
Keyword(s):  
Financial Management ◽  
Management Decisions ◽  
Innovative Firms

scholarly journals Effect of Working Capital Management Decisions on Financial Performance

2021 ◽  
Vol 10 (4) ◽  
pp. 127-140
Author(s):  
Charles Kiprotich Yegon ◽  
Willy Muturi ◽  
Oluoch Oluoch
Keyword(s):  
Financial Performance ◽  
Financial Management ◽  
Warning Signal ◽  
Financial Statements ◽  
Recent Past ◽  
Management Decisions ◽  
Return On Assets ◽  
Financing Policy ◽  
Cash Conversion Cycle ◽  
Conversion Period

Collapse of companies in Kenya has been on the rise in the recent past. Far reaching endeavors to resuscitate these liquidating and ailing firms have generally been attributed on their corporate financial management decisions.  Multinationals and KTDA managed tea firms in Kenya have been performing poorly in the recent past where audited financial statements and reports revealed a warning signal on its financial performance. Specific objectives of the study were to determine the effect of the accounts receivables period, accounts payables period, inventory conversion period, cash conversion cycle, financing policy, investing policy and moderating effect of ownership structure on financial performance. The study illustrated that accounts receivables collection period is negatively related to return on assets (? = -0.1299, p=0.0160),  accounts payables payment period is negatively related to return on assets (? = -0.0843, p = 0.0070), inventory conversion period is negatively related to return on assets (?= -0.0623, p=0.0180), cash conversion cycle is negatively related to return on assets (? = -0.1107, p = 0.0030), financing policy is positively related to return on assets (? = 0.1589, p = 0.0000), investing policy is positively related to return on assets (? = 0.0291, p = 0.0000).

scholarly journals ANALISIS PENGARUH LIKUIDITAS SAHAM TERHADAP NILAI PERUSAHAAN MELALUI KEPUTUSAN MANAJEMEN KEUANGAN (STUDI PADA PERUSAHAAN LQ45 DI BURSA EFEK INDONESIA, PERIODE 2016 - 2018)

2020 ◽  
Vol 7 (1) ◽  
Author(s):  
Giovanni Edward Margali ◽  
Marjam M. Mangantar ◽  
Ivonne S. Saerang
Keyword(s):  
Indirect Effect ◽  
Financial Management ◽  
Firm Value ◽  
Stock Exchange ◽  
Investment Decisions ◽  
Market Liquidity ◽  
Company Performance ◽  
Management Decisions ◽  
Stock Liquidity ◽  
Dividend Policies

LQ 45 is one of the indices on the Indonesia Stock Exchange (IDX), where indexes are obtained by calculating with valuations such as liquidity, in the sense. There are compelling reasons to think that market liquidity will affect company performance. Because of the level of selling power of these shares, it plays a central role in corporate governance, approval and performance. This research itself wants to see the effect of direct liquidity on firm value and the indirect effect of liquidity on firm value by moderating financial management decisions regarding investment decisions, dividend policies and purchasing decisions.In this study,the researchers found that stock liquidity directly affected the value of the company, and stock liquidity did not affect financial management decisions (investment decisions, dividend policies and funding decisions) which would later have an indirect effect on firm value.Keywords : stock liquidity, investment decisions, dividend policy, funding decisions, company value.

scholarly journals The effect of behavioral biases on financial decisions

2021 ◽  
Vol 10 (2) ◽  
Author(s):  
David Peón ◽  
Manel Antelo
Keyword(s):  
Empirical Analysis ◽  
Social Factors ◽  
Financial Management ◽  
Cognitive Biases ◽  
Heuristics And Biases ◽  
Management Decisions ◽  
Financial Decisions ◽  
Behavioral Traits ◽  
Behavioral Biases ◽  
Systematic Exposition

Financial management decisions are made by people, and people, in all instances, are shaped by their behavioral traits. Here we provide extensive insight on the theoretical and empirical analysis made on cognitive biases and their influence on financial decisions. To provide a systematic exposition, we set three broad categories: heuristics and biases, choices (including framing and preferences) and social factors. We then describe the main biases within each category and provide an extensive revision of the main theoretical and empirical developments about their impact on financial decisions.

scholarly journals CEO facial masculinity and firm financial outcomes

2020 ◽  
Vol 16 (1) ◽  
pp. 39-46 ◽  
Author(s):  
Jackson Mills ◽  
Karen M. Hogan
Keyword(s):  
Financial Management ◽  
Fixed Effects ◽  
Selection Process ◽  
Negative Relationship ◽  
Best Interests ◽  
Height Ratio ◽  
Management Decisions ◽  
Financial Policies ◽  
Testosterone Levels ◽  
Ceo Selection

In this paper, we explore relationships between CEO facial width, a proxy for testosterone levels during adolescence, and financial management decisions. Using methodology from prior research, we collect a sample of 968 S&P 500 CEO profiles and analyze them to determine the facial width-to-height ratio (fWHR). We expect that greater CEO facial width will be associated with riskier, more aggressive financial policies. We find that higher CEO facial width-to-height ratio (fWHR) is associated with more aggressive financial management decisions. Specifically, we find a positive relationship between CEO fWHR and firm leverage and a negative relationship between CEO fWHR and firm cash holdings. These relationships are also observed among subsamples where CEOs are likely to wield substantial influence over financial management policies, such as long-tenured CEOs. We do not find evidence that CEO selection process explains the observed relationship between fWHR and financial policies. Thus, it appears that the relationships documented between CEO fWHR and firm financial policies are likely consistent with managerial preference and that high testosterone levels may induce CEOs to pursue aggressive financial policies. We show that high-fWHR CEOs tend to own a smaller fraction of their firms. This suggests an increased priority for more masculine CEOs on pursuing their own best interests (diversification in their personal portfolios) ahead of signaling alignment with shareholders, while the reverse is true for CEOs with lower fWHRs. The results are robust to the inclusion of industry and year fixed effects and firm-year controls. This paper adds to the literature that shows individual differences in CEOs, in this case, CEO masculinity, can predict differences in the financial managerial characteristics of firms and financial policies.

Accounting

2021 ◽  
Author(s):  
Lyudmila Burmistrova
Keyword(s):  
Financial Management ◽  
Financial Analysis ◽  
Management Accounting ◽  
Management Decisions ◽  
Business Operations ◽  
Analysis System ◽  
Tax Accounting

the textbook reveals the basics of accounting and reporting. This knowledge will help economists and managers to better understand the work of accountants, quickly and carefully make management decisions based on the processes occurring in the organization's finances. It contains the most important concepts and definitions. Raises the main problems related to the organization and maintenance of accounting, reporting, financial management based on analysis and management accounting. In addition, the issues of taxes and tax accounting at the enterprise were touched upon. The material is presented in an accessible language, with examples and calculations. The methods of accounting and analysis are given. With the help of control questions, tests, tasks, the skills of reflecting business operations in the accounting and financial analysis system are fixed. For students and teachers, as well as anyone interested in accounting issues.

THEORETICAL FUNDAMENTALS OF MECHANISM OF BANK FINANCIAL RESULTS MANAGEMENT

2017 ◽  
Author(s):  
Olga Kremen ◽  
◽  
Viktoriia Sorokina ◽  
Keyword(s):  
Control System ◽  
Commercial Bank ◽  
Financial Management ◽  
Financial Institution ◽  
Critical Factor ◽  
Planning System ◽  
Successful Implementation ◽  
Management Decisions ◽  
Organizational System ◽  
Results Management

In conditions of instability in the financial markets, a critical factor in the bank's functioning and development is the stable receipt of positive financial results, which is evidence of the effectiveness and efficiency of the business model of the financial institution, the quality of risk management and corporate governance. The purpose of the article is to study and develop the theoretical foundations of managing the bank's financial results. Managing the financial results of a commercial bank is a set of interrelated management decisions regarding the process of profit generation, distribution, and use. Аccording to the process approach to managing the financial results of a commercial bank can be defined as a purposeful process of influence of the governing body on the formation, distribution and use of profits, based on strategy and policy, uses appropriate tools and ensures the ultimate goal of commercial bank management. Financial performance management's primary purpose is to ensure the maximization of net profit as the main source of growth of a commercial bank's value. The mechanism of management of financial results of the bank is a set of interconnected management systems - organizational system, support system, the system of procedures, planning system, and control system - close interaction of which ensures successful implementation of the main goal, objectives, and principles of financial management. The organizational system of managing the bank's financial results covers the main purpose, objectives, principles, methods, and levers. Ensuring the management of the bank's financial results includes regulatory, informational, technical, personnel, and organizational components. The strategy and tools form the system of procedures for managing the bank's financial results for managing financial results, which include the analysis and regulation of profit or loss. The system of planning the bank's financial results is to develop an appropriate policy and identify ways to implement it. The control system in the management of the bank's financial results covers verifying the implementation of all management decisions on its formation, distribution, and use for timely detection and correction of deviations of actual results from planned in strategic, current, or operational aspects.

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