Ali Saghafi; Roohollah Farhadi; Mohammad Taghi Taghavi Fard
Volume 12, Issue 45 , April 2015, , Pages 9-38
Abstract
According to Prospect Theory, Investors have different behaviors in theprofit and loss situations and indeed their trading behavior is different in bulland bear markets. This study uses quantile regression model (in differentquartiles) and OLS model to estimate beta of 180 firms. Results showed thatfirst, ...
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According to Prospect Theory, Investors have different behaviors in theprofit and loss situations and indeed their trading behavior is different in bulland bear markets. This study uses quantile regression model (in differentquartiles) and OLS model to estimate beta of 180 firms. Results showed thatfirst, equity total risk (standard deviation) increase in Upper quartile andsecond, stocks beta changes in different quartiles and by moving fromquartile 0.25 to quartile 0.75, systematic risk (beta) increases significantly.Linear regression model and Quantile regression model show also thatunexpected variance can explain excess return at least similar to expectedvariance. The results can also be interpreted with both Insight of standardfinance and insight of behavioral finance. In standard finance area, riskreturnpositive relation that exists in upper quintiles is consistent with longrun growth of economy. Moreover, negative relation between return and riskin lower quintiles imply more uncertainty and as a result causing stockreturns to fall. In behavioral finance area, regime-dependent behavior ofslope coefficients is consistent with prediction of Prospect theory ofinvestor’s behaviors around the reference point.
A Sadr Esfahani; A Saghafi
Volume 9, Issue 34 , July 2012, , Pages 1-32
Abstract
This research examines the consequences of earnings manipulation through real activity and campares it with cosequenses of accrual manipulation based on earnings manipulation models provided by Roychowdhury (2006) and Gunny (2010). Statistical sample consists of listed companies in Tehran Stock Exchange ...
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This research examines the consequences of earnings manipulation through real activity and campares it with cosequenses of accrual manipulation based on earnings manipulation models provided by Roychowdhury (2006) and Gunny (2010). Statistical sample consists of listed companies in Tehran Stock Exchange over the years of 2000 to 2011. Literature Review indicates that real manipulation take place by using mehods such as offering discount, extend more lenient credit terms for sale, overproduction and reduced discretionary expense.Based on literature, firms with low return (first interval to the right of zero inearnings distributions) were detected as suspet firms to real and accrual manipulation. Results indicate an increase in abnormal accruals and abnormal production costs, and abnormal discretionary expenses and operating cash flows in suspect firms. After detecting earnings manipulation proxies, consequence of earnings management through real activities on future profitability and cash flow from operation were examined and compared with accrual manipulation. The Results of testing hypotheses indicate a negative effect of real manipulation on future performance
Ali Saghafi; Mohammad Arab Mazaryazdi; Rafik Baghomian
Volume 3, Issue 10 , July 2005, , Pages 127-156
Abstract
The fast moving pace of developments on the Information and Communication Technologies (ICT) and especially on the Internet, affects all aspects of society. In accounting, the Internet provides a new and revolutionary method of financial reporting. It is fast, cheap and increasingly accessible to shareholders ...
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The fast moving pace of developments on the Information and Communication Technologies (ICT) and especially on the Internet, affects all aspects of society. In accounting, the Internet provides a new and revolutionary method of financial reporting. It is fast, cheap and increasingly accessible to shareholders and other stakeholders of the firms.
Despite above mentioned evolution, there is a little attention toward such changes in Iran.
The organization of this paper is as follows. It first provides a brief literature review of Internet Financial Reporting (IFR) and describes some theoretical approaches on i t. Thereafter the paper reports current situation of IFR and then predicts immediate and future trends of it. The last section reviews the current situation of IFR i n Iran and finally makes suggestions to improve the situation.
Ali Saghafi; Saber Sheri
Volume 2, Issue 8 , January 2005, , Pages 87-120
Abstract
This Study is aimed at examining the usefulness of financial statements information. In particular, usefulness criteria of financial statements depend upon relevance and predictive ability.
So far many models and hypotheses have been developed in order to evaluate and predict stock return through different ...
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This Study is aimed at examining the usefulness of financial statements information. In particular, usefulness criteria of financial statements depend upon relevance and predictive ability.
So far many models and hypotheses have been developed in order to evaluate and predict stock return through different viewpoints. A large number of empirical accounting researches have been done in order to achieve this goal. Different groups of investors and decision makers are interested in evaluation and prediction of Stock return.
This guided research procedure is different from the mere statistical searches because, we have chosen the fundamental variables through theory and famous models. We developed Samuel Stewart’s model and ended up selecting 42 independent Variables (fundamentals). Eighty two listed companies were selected from Tehran Stock Exchange. The selection was done from various industries.
Regression cross-sectional models were developed for the firms within the years 1374 to 1380; 1378 to 1380 and, for each single year of the research period.
We constructed the following hypotheses:
1- The financial Statements information has ability to predict stock return.
2- Using Accounting models for selected industries, industries, increase the predictive ability of financial statements information.
3- Using models based upon sign of variables increase the predictive ability of financial statements information.
Conclusion:
The concluding results of this study, confirms the predictive ability of accounting information. Variables such as rate of return on assets (ROA), rate of return on investments (ROI), growth of sales to total assets ratio (GSTTA), growth of net income to sales ratio (GNITS) and financial expenses to sales (FEXTS), have had the most influence among 9 regressed models, in prediction of stock return.
The performance of models in short run was better than long run. Using models for special selected industries (drug and chemical; mineral and cement) improved the predictive ability of our selected variables. But the models based on sign of variables did not increase the predictive ability of the models.
Ali Saghafi; R. R. Esmaily
Volume 2, Issue 5 , April 2004, , Pages 1-23
Abstract
This Practical and experimental research focuses on the effects of joining Iran to W.T.O with emphasis on auto industry. The aim of this research i s to indicate the influences of joining W.T.O on price and quality. In this research with the use of market segmentation method, Iran's market is compared ...
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This Practical and experimental research focuses on the effects of joining Iran to W.T.O with emphasis on auto industry. The aim of this research i s to indicate the influences of joining W.T.O on price and quality. In this research with the use of market segmentation method, Iran's market is compared with the European one. The result shows that for remaining in the world competitive market two factors should be taken into consideration. First, the car price should be decreased up to 30 %. Second, the quality should be increased. For achieving this goal, the system of cost management and target costing seem to be solution for price decrease. This system is accepted and used practically for Peugeot 405 which is the most required car in coming years.
Ali Saghafi; H Saydi
Volume 1, Issue 2 , July 2003, , Pages 61-82
Abstract
In recent decades, the emergence of crisis in accounting has posed by many thinkers and writers, particularly about theory setting and accounting methodology. As it is mostly accepted in philosophy of science, accounting is a type of social science that we should define it by its end, not by its subjects. ...
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In recent decades, the emergence of crisis in accounting has posed by many thinkers and writers, particularly about theory setting and accounting methodology. As it is mostly accepted in philosophy of science, accounting is a type of social science that we should define it by its end, not by its subjects. It is clear that, nowadays the ends and goals of accounting are two major things: preparing useful information for decision making; and accountability. Many evidences and researches show that positive methodology or positive accounting theory is not an appropriate means in achieving to accountability end. Because the focus of positivism is on objective realities; and it misses the role of mind and subjective ideas, accounting as a social science which has built not only on the physical objects but also on the accountants’ thought and power of mind, cannot rely on positive methodology for theory setting, entirely.
This article has tried to emphasize on the importance of the norms. Values and ethics in obtaining the accounting purposes by collecting some philosophic literature, especially the viewpoints of Immanuel Kant in his books based on critique concept and the members of Frankfurt School and their critical theory. Finally, after a review of the ethical approach in accounting theory, we conclude that the nearest way to accounting ends is relying on normative theories, which are described in this text as a stable bridge between the reality of accounting and its ends.
Ali Saghafi; Javad Rezazadeh
Volume 1, Issue 1 , April 2003, , Pages 3-39
Abstract
This study examines the relationship among the cultural values of Iranian society, disclosure and conservatism degree of Iranian firms in presentation of financial statements. It is argued that an empirical relation exist between the cultural value, as conceived by Hofstede’s theory of the four ...
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This study examines the relationship among the cultural values of Iranian society, disclosure and conservatism degree of Iranian firms in presentation of financial statements. It is argued that an empirical relation exist between the cultural value, as conceived by Hofstede’s theory of the four dimensions of cultural values (power distance, uncertainty avoidance, individualism, and masculinity) and the accounting values are captured by Gray’s two dimension (conservatism and secrecy). 64 corporate annual reports registered on Tehran Stock Exchange (TSE) were examined in order to determine whether culture values correlate with the degree of conservatism and level of disclosure. The results in general support the theoretical expectations.
