Finance

The present study examines the risk model comparison, the conventional wisdom predicting bankruptcy, the Tehran Stock Exchange, with the curve and the ROC, is paid. In this study, the performance model risk, in the face of conventional wisdom predicting bankruptcy, with a comprehensive exam, and using a full database of companies listed on the main Tehran Stock Exchange between 2011 to 2014, with curve and the ROC, we tested. In this study, risk models are of two types. 1. The risk model based on accounting information, and (2) risk model based on market information. And traditional bankruptcy prediction models, as well as two types, 1. Z concession model, only the use of accounting information, and (2) provided that the claim based model, in equity, as an option to decide on assets looks. The population of this research, companies listed on the Tehran Stock Exchange. The population of this study, which is now number 342, 95 of them are bankrupt and the sample number, company number is 246, 67 of them are bankrupt. In this study, the software brings new 3, Excel and SPSS (spss) is used. The individual results of each test curve ROC (receiver operating characteristics), and the ROC suggests that the ability to predict bankruptcy risk models better than the traditional approach.

By applying the Stochastic Frontier Analysis (SFA), the study explored the cost and profit efficiency impact of mergers in banking sector of Pakistan during 1998-2006. The intermediation approach is used for definition and determination of input and output variables. It is assumed that cost function followed translog functional form and alternative profit functional form is supposed to be followed by profit function. Following the four years event study approach, both the cost and profit efficiencies are calculated and compared for pre-merger and post-merger period. The study found that in pre-merger period on the average, banks were 93.83% cost efficient, whereas, this figure rose to 94.15% for post merger period. It reflected 0.32% improvement in cost efficiency. The result was significant at 10% level of significance. In case of profit efficiency, the post merger gain was -5%, however, the result was insignificant. The study concluded that there was improvement in cost efficiency due to bank mergers in Pakistan during 1998-2006 however, no such statistically significant evidence was found for profit efficiency.

This paper is an attempt to examine the empirical evidence of International Fisher Effect (IFE) between Bangladesh and its two other major trading partners, China and India. The IFE uses interest rate differentials to explain why exchange rates change over time. A time series approach is considered to trace the relationship between nominal interest rates and exchange rates in these countries. The estimated value, by applying OLS, is used to determine the casual relationship between interest rates and exchange rates for quarterly data from 4th Quarter, 1995 to the 2nd Quarter, 2008. The empirical results suggest that there is a little correlation between exchange rates and interest rates differential for Bangladesh with China and Bangladesh with India, and the relationship between the variables is also not noteworthy for Bangladesh. Further, the trends advocate that the forecasting of exchange rates with the hypothesis of IFE is not realistic for these countries.

This research project sought to determine the effects of financial planning on the performance of transport and logistics firms in Mombasa County. The general objective was to establish the determinants of performance. The independent variables under consideration were: fund allocation, external funding, fund control and budgeting. These independent variables created the basis for the specific objectives under review as follows: to find out how the fund allocation influences the decision to growth and profitability; to establish how the degree of external funding influences the decision of firms to growth and profitability; to find out how budgeting affects the decision to growth and profitability; and to find out how fund control the decision to growth and profitability. Transport firms in Mombasa have grown in importance in the economy of the region during the last couple of decades. Although transport firms are growing speedily they face a range of challenges which work against their progress. Lack of financial knowledge is been a major setback to transport firms’ progress. Inefficient financial planning may damage transport firms profitability and, as a result, complicate the difficulties of transport firms’ growth. Conversely, efficient financial planning will help transport firms to strengthen their profitability and, as a result, these difficulties can partly be overcome. This study is motivated by the need to determine the financial planning practices used by transport firms and their impact on the financial performance of the transport firms. The target population of this study will be 102 transport firms operating in the Mombasa County. A modified Liker scale questionnaire will be developed divided into three parts. A pilot study will be carried out to refine the instrument. The quality and consistency of the study will further be assessed using Cronbach's alpha. Data analysis will be performed on a PC computer using Statistical Package for Social Science (SPSS Version 22) for Windows. Analysis will be done using frequency counts, percentages, means and standard deviation, regression, correlation and the information generated will be presented in form of graphs, charts and table.

This study examines integration among Karachi Stock Exchange of Pakistan and Shanghai Stock Exchange of China. Monthly data ranging from January 2001 to December 2010 is included and tested in this paper. This relationship is tested by using descriptive statistics and correlation matrix. Data stationary is ensured by Unit Root Test. Evidence from Granger Causality and Impulse Response Test. The Results shows that SSE and KSE has no long term relationship or impact on each other focusing on the data of KSE (Karachi Stock Exchange) and SSE (Shanghai Stock Exchange).

An investor considering securities investments faces the challenge of deciding which securities to invest in from a vast number of options and allocating his cash among them. The investor is once again faced with the decision of which assets to hold and how much to invest in each security. The two most significant qualities of a portfolio are risk and return. The investor seeks to select the best portfolio by weighing the risk and return characteristics of all available options. Individual stocks and portfolio characteristics alter over time. This necessitates an investor's investment portfolio to be reviewed and revised on a regular basis. An investor always puts his money into a portfolio in the hopes of getting a decent return that is proportional to the risk he is willing to take. The portfolio's return on investment must be quantified, and the portfolio's performance must be assessed.

Chairman’s Statement plays a significant role in communicating the corporate affair to the stakeholders and subsequently serves one of the tools to the stakeholders in making their economic decision. However, the usefulness of which will depends upon their readability and understandability (Courtis, 2004). Therefore, this study examines the readability of Chairman’s Statement for companies under Main Board of Bursa Malaysia, starting from 2004 until 2006. The study employs Readability formula developed by Rudolf Flesch in 1949, Microsoft Word’s Flesh Reading Ease (FRE) Score. The results show that all the chairman’s statements in Malaysia are difficult to read.

This study dealt with the theoretical framework basics of financial inclusion, then analyzing the most important indicators of financial inclusion in Iraq, which showed the reality of financial inclusion in order to determine the basic requirements for financial coverage. The study has reached a number of conclusions, the most important ones: The weakness of the levels of financial coverage in Iraq due to weak access and utilization of financial and banking services; the percentage of those who own a financial or bank account for the adult population )11%); the ratio of the number of borrowing accounts (4.2%), while the global average of those who have a financial and bank account is (70%). Also the weakness of the bank density index, where every )35000( people have one bank branch in Iraq, while globally a thousand people have one branch bank, these proved the weak situation of financial inclusion level.

This study set out to ascertain the nexus between Cost Accounting Information and Price Determination in Nigeria manufacturing companies. Specifically; it establishes the relationship between Information of Unit Cost, Information of Overhead cost, Information of Production cost and selling price of products in Nigeria Bottling Company Plc, Enugu. A survey research design approach was adopted and data collected using five point likert-scale questionnaire which was administered on sample of 293 out of 1100 staff and management of Nigeria Bottling Company Plc, 9th Mile Corner, Enugu. Three hypotheses were formulated and were tested using Karl Pearson’s product moment correlation coefficient. Findings unveil that there is significant relationship between Information of Unit Cost and Price determination in Nigeria manufacturing companies. The findings further revealed that there exists a significant relationship between Information of Overhead cost and Price determination in Nigeria manufacturing companies. Finally, the result established also that there significant relationship between Information of Production cost and Price determination in Nigeria Manufacturing companies. Consequent upon the findings, this study recommends among others; that Managers should consider improving their overhead costs apportionment system from the traditional method to the ABC method in order to have accurate calculation of the total costs per unit of their products. Again, that the management of Nigeria Manufacturing companies should pay more attention on reducing cost of productions without having any negative impact on product quality.

Despite innovation absorbing real and substantial costs, the available literature tends to focus heavily on training and education, and has primarily been concerned with measuring the inputs, process and immediate outcomes rather than the longer term impact of innovation. To the best of the researcher’s knowledge no study had ever been conducted to investigate the effects of innovation strategies on growth of Microfinance Banks in Kenya. This research focused on Faulu Micro Finance Bank Branches in coast region; the general objective of this study was assessing the effects of organizational innovation on the growth of Microfinance Institutions in Kenya with specific focus of Faulu Microfinance Bank in coast region. Specifically, the study was assessing the effects of product innovation, market innovation, process innovation and service innovation on the growth of Microfinance Institutions in Kenya with specific focus of Faulu Microfinance Bank in Coast region. This research was studied through the use of a survey research design. The target population of this study was 96 staff working in Faulu Microfinance Bank in coast region with a sample size of 77 employees. These study utilized questionnaires which were dropped physically to the respondents’ place of work and stratified random sampling was used to get the sample. The descriptive statistical tools such as SPSS were used to help the researcher to describe the data and determine the extent to use. Multiple regression analysis was used to determine whether variables predict a given dependent variable. Tables were used to summarize responses for further analysis and facilitate comparison. This study investigated whether innovations adopted by Faulu Microfinance Bank branches in Coast Region lead to growth of Micro Finance Bank.