Template-Type: ReDIF-Article 1.0 Author-Name: Mohammed M. Elgammal Author-X-Name-First: Mohammed M. Author-X-Name-Last: Elgammal Author-Name: Basil Al-Najjar Author-X-Name-First: Basil Author-X-Name-Last: Al-Najjar Title: The impact of ownership structure and corporate governance on capital structure decisions in the UAE Abstract: This paper investigates how ownership and corporate governance influence the capital structure decisions within an emerging market context, namely the United Arab Emirates (UAE) from 2008 to 2019. We employ panel models as well as the Two Stages Least Squares (2SLS) technique. Our reported results show that board structure has a negative effect on capital structure decisions. We also detect a positive impact of institutional ownership and managerial ownership on capital structure, while government ownership is inversely associated to capital structure. Finally, we report that profitability negatively affects a firm's capital structure. Thus, we argue that the main determinants of capital structure reported in the developed markets literature do hold in the UAE settings. Accordingly, this study contributes to previous studies in the capital structure context and adds to its puzzle by introducing new insights into the capital structure choice in a free tax environment. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 28-48 Issue: 1 Volume: 18 Year: 2022 Keywords: capital structure; ownership structure; corporate governance; panel data; UAE. File-URL: http://www.inderscience.com/link.php?id=123291 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:1:p:28-48 Template-Type: ReDIF-Article 1.0 Author-Name: Fortunate Mashabela Author-X-Name-First: Fortunate Author-X-Name-Last: Mashabela Author-Name: Barry Ackers Author-X-Name-First: Barry Author-X-Name-Last: Ackers Title: Who is responsible for developing the non-core skills of entry-level public sector trainee auditors: the case of the Auditor-General South Africa Abstract: Within the context of rising levels of corruption, financial mismanagement, fraud, and irregular, fruitless and wasteful expenditure in the South African public sector, as well as high profile audit failures, this paper investigates the employment readiness of recent auditing graduates, with particular emphasis on their non-core skills proficiency. The observations are based on a survey of respondents involved in appointing and training aspiring chartered accountants at the Auditor-General South Africa (AGSA). Aspirant auditors graduating from South African Institute of Chartered Accountants (SAICA) accredited universities lacked the necessary non-core skills entry-level trainee auditors at expected levels of proficiency, necessitating additional training interventions. However, universities should not be solely responsible for developing all the skills of competent public sector auditors. Instead, an integrated and collaborative effort by the key stakeholders in the auditing profession is required. These parties include universities, audit firms and professional bodies, the students themselves, as well as other parties such as regulators. Despite extant studies examining the employment readiness of auditing graduates, this is one of the first that specifically focuses on the phenomenon within the public sector. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 107-136 Issue: 2 Volume: 18 Year: 2022 Keywords: AGSA; Auditor-General South Africa; chartered accountant; entry-level trainee auditor; non-core skills; pervasive skills; public sector. File-URL: http://www.inderscience.com/link.php?id=126876 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:2:p:107-136 Template-Type: ReDIF-Article 1.0 Author-Name: Sandra Cohen Author-X-Name-First: Sandra Author-X-Name-Last: Cohen Author-Name: Ioanna Malkogianni Author-X-Name-First: Ioanna Author-X-Name-Last: Malkogianni Title: Accrual accounting earnings around zero in Greek municipalities: the relevance of political factors Abstract: This paper provides empirical evidence that Greek municipalities report small surpluses or zero earnings and that there is a statistically significant political effect related to this attitude. The analysis is based on the annual financial data of Greek municipalities for the period 2011-2017. The final sample includes 1,417 annual observations. Based on the public choice theory, it is attempted to associate earnings management behaviour with political incentives and to uncover possible reasons that may induce it. By using the method of bootstrap kernel density estimation (bKDE), the hypothesis that municipalities tend to report earnings close to zero is supported. The findings suggest that core political factors, such as the opposition's strength and the mayor's re-election, exert an effect on the appearance of discontinuities around zero reported earnings, contributing to the knowledge regarding earnings management. Sensitivity analysis confirms this political effect. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 137-162 Issue: 2 Volume: 18 Year: 2022 Keywords: bootstrap kernel density estimation; earnings management; Greek municipalities; opposition; re-elected mayors; public choice theory. File-URL: http://www.inderscience.com/link.php?id=126877 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:2:p:137-162 Template-Type: ReDIF-Article 1.0 Author-Name: Rohit Bansal Author-X-Name-First: Rohit Author-X-Name-Last: Bansal Author-Name: Sanjay Kumar Kar Author-X-Name-First: Sanjay Kumar Author-X-Name-Last: Kar Author-Name: Saroj Kumar Mishra Author-X-Name-First: Saroj Kumar Author-X-Name-Last: Mishra Title: The causes of profitability: a panel study of Indian IT and consulting sector Abstract: The paper uses several profit methods to examine the factors of profitability for the Indian IT and consulting sector. This reading aims to detect the association between the activity ratio or turnover ratio and the profitability of the Indian IT and consulting sector over the past seven years, from April 2012 to March 2018. The data were then analysed with a descriptive research technique of panel data regression and verified with Hausman's measurement, a widely used technique for selecting the panel effect. Working capital turnover was statistically significant against the profitability of the Indian IT and consulting sector. However, assets turnover and debtor turnover ratio were statistically insignificant with the profit margin. This research will support the company's internal management, auditors, policymakers, financial executives, and investors in making investment decisions. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 163-183 Issue: 2 Volume: 18 Year: 2022 Keywords: profitability determinants; profit margin; assets; debtor turnover; working capital; fixed effect panel; random effect panel; panel regression. File-URL: http://www.inderscience.com/link.php?id=126878 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:2:p:163-183 Template-Type: ReDIF-Article 1.0 Author-Name: Palka Chhillar Author-X-Name-First: Palka Author-X-Name-Last: Chhillar Title: Sahara: when regulator's radar strikes Abstract: Sahara India Pariwar, an Indian conglomerate with many companies under its umbrella, experienced phenomenal growth in the business for decades. The activities by the conglomerate to raise capital through different means finally caught in the regulator's radar resulting in a years-long litigation and surrender of the Sahara chief. The case provides relevant details to understand the timeline of the events, the role of the chairman, other company officials, and the regulator. The case draws attention to the role of regulators in the capital markets, quality of financial reporting, investor protection, financing vehicles, and corporate governance. The case is written based on the information available in the public domain and other secondary sources. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 184-197 Issue: 2 Volume: 18 Year: 2022 Keywords: capital markets; regulator; India; family-owned business; corporate frauds; earning management; financial statement analysis. File-URL: http://www.inderscience.com/link.php?id=126879 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:2:p:184-197 Template-Type: ReDIF-Article 1.0 Author-Name: Asogan Moodley Author-X-Name-First: Asogan Author-X-Name-Last: Moodley Author-Name: Barry Ackers Author-X-Name-First: Barry Author-X-Name-Last: Ackers Author-Name: Elza Odendaal Author-X-Name-First: Elza Author-X-Name-Last: Odendaal Title: Factors inhibiting effective organisational performance management: insights from the South African public sector Abstract: Despite a quarter of a century of democracy, the South African government continues facing civil unrest relating to poor delivery of public goods and services. To address this deficiency, the South African government adopted organisational performance management (OPM), as a tool to improve strategic management and operational performance. Despite this directive, service delivery does not appear to have improved, as evidenced by ongoing service delivery protests. The study therefore aims to determine the factors inhibiting the effective implementation of OPM, accordingly impairing service delivery. The study which adopts a multiphase mixed methods research approach, utilises both quantitative and qualitative data collected through surveys, interviews and focus groups, as well as from a content analysis of pertinent documents and records. Non-alignment between planning and budgeting, focusing on outcomes rather than impacts, the adoption of a compliance-driven orientation rather than focusing on effective organisational performance, inadequate stakeholder management, poor technical skills, and a lack of effective consequence management were identified amongst the factors inhibiting OPM and effective service delivery. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 1-27 Issue: 1 Volume: 18 Year: 2022 Keywords: consequence management; governance; monitoring and evaluation; OPM; organisational performance management; performance information reporting; public sector. File-URL: http://www.inderscience.com/link.php?id=123297 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:1:p:1-27 Template-Type: ReDIF-Article 1.0 Author-Name: Parvati T. Soneji Author-X-Name-First: Parvati T. Author-X-Name-Last: Soneji Title: The Fraud theories: Triangle, Diamond, Pentagon Abstract: Early indications of fraud play an important role in detection and prevention. Murphy and Dacin (2011) state frauds mostly occur in three ways: error - lacking awareness, intuition supporting fraud - avoiding negative emotions or effects, and, awareness of fraud coupled with cost-benefit analysis. Hutchison (2013) comparing management fraud to human behaviour says fraud is intentional, multidimensional, and complex - the fallout of several interactive factors, analysis fraud through different abstracts - organisational systems, conflicts of interest, rational choice, social constructiveness, psychodynamic and developmental outlook. The proposed unrealistic goals rewarding attractive compensations purport indulgence in fraud. The desire for achievements, fear of losing the job, challenges meeting financial targets for bonuses, unhealthy competition and criminal collaborations are causes of financial fraud. Management fraud results from decision-making, influenced by personality traits, beliefs, attitudes, social customs, institutional rules and regulations, ethical values, and organisational culture. The paper aims to understand fraud and the theories related to fraud. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 49-60 Issue: 1 Volume: 18 Year: 2022 Keywords: fraud; fraud theory; management fraud; financial fraud; fraud diamond theory; fraud triangle theory; fraud pentagon theory; white collar crime; forensic accountant; forensic accounting. File-URL: http://www.inderscience.com/link.php?id=123301 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:1:p:49-60 Template-Type: ReDIF-Article 1.0 Author-Name: Abdelhafid Benamraoui Author-X-Name-First: Abdelhafid Author-X-Name-Last: Benamraoui Author-Name: Yousef Ali Alwardat Author-X-Name-First: Yousef Ali Author-X-Name-Last: Alwardat Author-Name: Yusuf Karbhari Author-X-Name-First: Yusuf Author-X-Name-Last: Karbhari Title: The UK public sector VfM audit expectations gap: evidence from the informed groups Abstract: The paper investigates the current practice of Value for Money (VfM) auditing in the UK public sector organisations. We focus primarily on two main research questions: to what extent an expectation gap exists between the VfM auditors and auditees and what lessons can be drawn from VfM audit practice. To address these critical research questions, we conduct 39 semi-structured interviews with key external auditors and public sector organisations' representatives who have direct experience of VfM process and audit. The study results reveal significant differences between auditors' and managers' perceptions of VfM audit materiality, audit evidence and the true and fair view of auditors' reports and public sector performance audit. Intriguingly, the study finds evidence that auditors are not performing their VfM audit responsibility with the level of professional and technical expertise as expected by the organisations' managers. Overall, our findings provide further empirical evidence on the public VfM audit practice in the UK and draws attention to some of the ambiguities associated with what auditors perceive as their roles and what auditees' expect from them. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 61-81 Issue: 1 Volume: 18 Year: 2022 Keywords: audit expectation gap; audit evidence; materiality; performance audit; public sector; true and fair view; UK; VfM audit. File-URL: http://www.inderscience.com/link.php?id=123307 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:1:p:61-81 Template-Type: ReDIF-Article 1.0 Author-Name: Tariq H. Ismail Author-X-Name-First: Tariq H. Author-X-Name-Last: Ismail Author-Name: Raghda Salah Mohamed Author-X-Name-First: Raghda Salah Author-X-Name-Last: Mohamed Title: Towards a quantitative measure of audit quality: do auditor demographic characteristics in Egyptian settings matter? Abstract: The purpose of this paper is to (i) extend the prior model of Sutton and Lampe (1991) to provide a quantitative and reliable measure of the audit quality (AQ), and (ii) hypothesise that demographic characteristics of audit partner would impact the audit quality. We used a quasi-experimental method and data of companies listed on the Egyptian Stock Exchange (EGX) between the years 2014-2017 to test the hypotheses. The results suggest that the proposed quantitative measure of the AQ would help stakeholders to objectively assess the AQ, as well as whether the auditor partner demographic characteristics such as gender, age, experience, education and culture have an impact on the AQ. Furthermore, the AQ is not homogeneous across different types of industry in Egyptian settings. This paper differs from prior studies, where it extends the AQ literature by providing a quantitative measure that can be used during the judgement of the AQ. Journal: Int. J. of Accounting, Auditing and Performance Evaluation Pages: 82-106 Issue: 1 Volume: 18 Year: 2022 Keywords: audit quality; audit quality measures; auditor demographic characteristics; quasi-experimental study; EGX 100; Egypt. File-URL: http://www.inderscience.com/link.php?id=123310 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:ijaape:v:18:y:2022:i:1:p:82-106