Mohd Fairuz Adnan, Azzihan Nurfarahin Bahrudin, Saleh Hashim
As technology rapidly changes, digital technology has been introduced to the accounting field, forcing businesses to adapt. The accounting profession is expected to embrace the new era of digitalization that will change traditional accounting practices. The roles of the accountants will shift to more challenging. Some of it predicted that this technology would take over the accountant's job, but the roles of accountants in this digital economy are still noteworthy. Amidst COVID-19, the transition to online operations is imperative for all businesses, compelling the accounting sector to embrace this technology alongside others. This study aims to discuss how artificial intelligence (AI) impacts the organization in Malaysia in this digital era. This research is anticipated to incorporate the reasons behind the organization's potential transition from conventional accounting methods to AI-driven accounting systems and analyze the resulting impact on the company's efficiency.
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Accounting is a system to provide information to decision-makers about a company. To facilitate decision-making, accounting reports should provide information that has predictive ability, Beaver, Kennelly, and Voss (1968). The Pathways Commission continues in the same vein and argues that accounting should provide information that facilitates good decisions. Managerial accounting tracks three types of costs: direct materials, direct labor, and factory overhead as these costs move through the manufacturing process from raw materials to work-in-process inventory to finished goods inventory and finally to cost of goods sold. T-accounts are a technique that company managers can use to keep track of costs to determine prices and profits. We demonstrate how to use T-Accounts in a simple manufacturing company to track costs and profits.
会计是一个为公司决策者提供信息的系统。为了促进决策，会计报告应提供具有预测能力的信息，Beaver、Kennelly 和 Voss（1968 年）。Pathways 委员会延续了这一思路，认为会计应提供有助于做出正确决策的信息。管理会计跟踪三类成本：直接材料、直接人工和工厂管理费用，这些成本在生产过程中从原材料到在制品库存到成品库存，最后到已售商品成本。T 型账户是公司经理用来跟踪成本以确定价格和利润的一种技术。我们将演示如何在一家简单的制造公司中使用 T 型账户来跟踪成本和利润。
{"title":"Determining Manufacturing Costs Using T-Accounts and Simple Mathematics","authors":"Donald T. Joyner, Carl B. McGowan Jr.","doi":"10.5430/afr.v13n2p72","DOIUrl":"https://doi.org/10.5430/afr.v13n2p72","url":null,"abstract":"Accounting is a system to provide information to decision-makers about a company. To facilitate decision-making, accounting reports should provide information that has predictive ability, Beaver, Kennelly, and Voss (1968). The Pathways Commission continues in the same vein and argues that accounting should provide information that facilitates good decisions. Managerial accounting tracks three types of costs: direct materials, direct labor, and factory overhead as these costs move through the manufacturing process from raw materials to work-in-process inventory to finished goods inventory and finally to cost of goods sold. T-accounts are a technique that company managers can use to keep track of costs to determine prices and profits. We demonstrate how to use T-Accounts in a simple manufacturing company to track costs and profits.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"74 5","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140677487","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Mohd Fairuz Adnan, Sarah Amalin Zawari, Saleh Hashim
In the dynamic landscape of contemporary business, cloud computing has become a prevalent tool for organizations to manage and store data efficiently as more organizations adopt cloud-based solutions for their IT needs. In this case, the adoption of cloud computing is beneficial not only for managing and storing data but also for implementing effective cloud accounting systems. However, amidst the transformation and benefits, adopting and integrating cloud computing in accounting practices are not without challenges. This study aims to delve deeper into these issues to investigate the key factors influencing the adoption of cloud computing in accounting, particularly in the Malaysian business landscape. The factors explore the distinctive benefits like security, cost-effectiveness and flexibility while also shedding light on the associated challenges, with a particular emphasis on security. Despite these challenges, such as security vulnerabilities, cost overruns and potential for data loss, the study asserts that the benefits of integrating cloud computing into accounting practices substantially outweigh the hurdles. Consequently, it recommends strategic steps to ensure a smooth transition to cloud-based accounting systems. These measures are critical in aiding businesses in navigating through the challenges while capitalizing on the transformative potential of cloud computing, thereby staying competitive and agile in the rapidly evolving digital era.
在当代商业的动态环境中，随着越来越多的组织采用基于云的解决方案来满足其 IT 需求，云计算已成为组织有效管理和存储数据的普遍工具。在这种情况下，采用云计算不仅有利于管理和存储数据，还有利于实施有效的云会计系统。然而，在变革和好处的同时，在会计实践中采用和整合云计算并非没有挑战。本研究旨在深入探讨这些问题，调查影响会计领域采用云计算的关键因素，尤其是在马来西亚的商业环境中。这些因素在探讨安全、成本效益和灵活性等独特优势的同时，也揭示了相关的挑战，其中特别强调了安全问题。尽管存在这些挑战，如安全漏洞、成本超支和潜在的数据丢失，但研究认为，将云计算融入会计实践的好处远远大于障碍。因此，研究建议采取战略性措施，确保顺利过渡到云会计系统。这些措施对于帮助企业克服挑战，同时利用云计算的变革潜力，从而在快速发展的数字时代保持竞争力和灵活性至关重要。
{"title":"Factors Influencing the Integration of Cloud Computing in Modern Accounting Practices in the Malaysian Accounting Sector: A Conceptual Study","authors":"Mohd Fairuz Adnan, Sarah Amalin Zawari, Saleh Hashim","doi":"10.5430/afr.v13n2p63","DOIUrl":"https://doi.org/10.5430/afr.v13n2p63","url":null,"abstract":"In the dynamic landscape of contemporary business, cloud computing has become a prevalent tool for organizations to manage and store data efficiently as more organizations adopt cloud-based solutions for their IT needs. In this case, the adoption of cloud computing is beneficial not only for managing and storing data but also for implementing effective cloud accounting systems. However, amidst the transformation and benefits, adopting and integrating cloud computing in accounting practices are not without challenges. This study aims to delve deeper into these issues to investigate the key factors influencing the adoption of cloud computing in accounting, particularly in the Malaysian business landscape. The factors explore the distinctive benefits like security, cost-effectiveness and flexibility while also shedding light on the associated challenges, with a particular emphasis on security. Despite these challenges, such as security vulnerabilities, cost overruns and potential for data loss, the study asserts that the benefits of integrating cloud computing into accounting practices substantially outweigh the hurdles. Consequently, it recommends strategic steps to ensure a smooth transition to cloud-based accounting systems. These measures are critical in aiding businesses in navigating through the challenges while capitalizing on the transformative potential of cloud computing, thereby staying competitive and agile in the rapidly evolving digital era.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"12 3","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140676647","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Rizwana Md Yusof, Zuraeda Ibrahim, Ahmad Zainal Abidin
The Islamic Capital Markets (ICM) have become part and parcel of the modern financial system which not only assists in the growth and expansion of the heavily monetized economy but often becomes a very major indicator of the business cycle movements as well as the confidence and the sentiments of the business community and investors. Of late, ICM has also been a very important vehicle to raise the necessary amounts of funds to affect the national savings needed for rapid economic growth. Most of Shariah companies in Malaysia do not implement an Islamic corporate governance system because of the lack of regulations and exposure from regulators as well as low demand from investors. In line with this development, this paper compares the corporate governance concepts in the conventional and the Islamic perspective. The discussion then proposes an Islamic corporate governance system and requirement of Shariah supervisory board for Shariah companies that could ensure that firms are operating according to Islamic principle thus improve the quality of monitoring role in firms listed on FTSE Bursa Malaysia EMAS Shariah Index.
伊斯兰资本市场（ICM）已成为现代金融体系的重要组成部分，它不仅有助于高度货币化经济的增长和扩张，而且往往成为商业周期走势以及商业界和投资者信心和情绪的一个非常重要的指标。近来，伊斯兰货币公司也已成为筹集必要资金的重要工具，以满足经济快速增长所需的国民储蓄。由于缺乏监管机构的规定和监督，以及投资者的低需求，马来西亚的大多数伊斯兰公司都没有实施伊斯兰公司治理制度。根据这一发展，本文比较了传统和伊斯兰视角下的公司治理概念。然后，讨论提出了伊斯兰公司治理体系和伊斯兰教法公司伊斯兰教法监事会的要求，以确保公司按照伊斯兰原则运营，从而提高富时马来西亚证券交易所 EMAS 伊斯兰教法指数上市公司的监督质量。
{"title":"Applicability of the Islamic Corporate Governance for Shariah Companies in Malaysia","authors":"Rizwana Md Yusof, Zuraeda Ibrahim, Ahmad Zainal Abidin","doi":"10.5430/afr.v13n2p55","DOIUrl":"https://doi.org/10.5430/afr.v13n2p55","url":null,"abstract":"The Islamic Capital Markets (ICM) have become part and parcel of the modern financial system which not only assists in the growth and expansion of the heavily monetized economy but often becomes a very major indicator of the business cycle movements as well as the confidence and the sentiments of the business community and investors. Of late, ICM has also been a very important vehicle to raise the necessary amounts of funds to affect the national savings needed for rapid economic growth. Most of Shariah companies in Malaysia do not implement an Islamic corporate governance system because of the lack of regulations and exposure from regulators as well as low demand from investors. In line with this development, this paper compares the corporate governance concepts in the conventional and the Islamic perspective. The discussion then proposes an Islamic corporate governance system and requirement of Shariah supervisory board for Shariah companies that could ensure that firms are operating according to Islamic principle thus improve the quality of monitoring role in firms listed on FTSE Bursa Malaysia EMAS Shariah Index.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"5 3","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140727691","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This study focuses on the relationship between the number of securities (n) pre-selected for mean-variance portfolio optimization and the number of optimal securities (k). We propose a heuristic k ≈ square root (n) based on empirical research optimizing different sized (n) portfolios. That is, a sample selection of 20-30 securities should yield a portfolio of about five optimal securities, and an initial sample of 500 securities, should result in an optimal portfolio of about 22. We focus on the tangent portfolio that maximizes the return-to-risk ratio. The heuristic finds its support, rationale, and logic in the numerical properties and statistical nature of the optimization. More specifically, the heuristic seems to originate in the dynamic convergence patterns observable in many statistical processes, especially in standard deviations. It is also supported by available results in the literature. Our “square root” heuristic functions as part of the wider family of approximation around the power law, where some variables (authors, securities, people) receive a disproportionate share of a given collection of items – see, for example, Pareto’s principle, Zipf’s law, Lotka’s law, Price’s square root law, Simon’s law, etc. The heuristic provides assistance not only in anticipating the number of optimal securities chosen by the mean-variance optimizer but also in suggesting selectivity in the effort of pre-selecting securities prior to the optimization and in sharpening portfolio-based approaches to investing in general. In sum, the heuristic k ≈ sqrt(n) seems helpful at all levels of portfolio management.
本研究的重点是均值方差投资组合优化预选证券数量（n）与最优证券数量（k）之间的关系。根据优化不同规模（n）投资组合的经验研究，我们提出了启发式 k ≈ 平方根（n）。也就是说，选取 20-30 个证券样本应能得到约 5 个最优证券组合，而初始样本为 500 个证券应能得到约 22 个最优证券组合。我们关注的是能使收益风险比最大化的切线投资组合。启发式从优化的数字特性和统计性质中找到了支持、原理和逻辑。更具体地说，启发式似乎源于许多统计过程中可观察到的动态收敛模式，尤其是标准偏差。这也得到了文献中现有结果的支持。我们的 "平方根 "启发式是更广泛的幂律近似系列的一部分，在幂律近似系列中，一些变量（作者、证券、人物）在给定的项目集合中占有不成比例的份额--例如，请参见帕累托原理、齐普夫定律、洛特卡定律、普赖斯平方根定律、西蒙定律等。启发式不仅有助于预测均值方差优化器所选最优证券的数量，还有助于在优化前预选证券时提出选择性建议，并有助于改进基于投资组合的一般投资方法。总之，启发式 k ≈ sqrt（n）似乎对投资组合管理的各个层面都有帮助。
{"title":"The Number of Stocks Before (n) and After Portfolio Optimization (k): The Heuristic k ≈ sqrt(n)","authors":"M. Tarrazo","doi":"10.5430/afr.v13n2p32","DOIUrl":"https://doi.org/10.5430/afr.v13n2p32","url":null,"abstract":"This study focuses on the relationship between the number of securities (n) pre-selected for mean-variance portfolio optimization and the number of optimal securities (k). We propose a heuristic k ≈ square root (n) based on empirical research optimizing different sized (n) portfolios. That is, a sample selection of 20-30 securities should yield a portfolio of about five optimal securities, and an initial sample of 500 securities, should result in an optimal portfolio of about 22. We focus on the tangent portfolio that maximizes the return-to-risk ratio. The heuristic finds its support, rationale, and logic in the numerical properties and statistical nature of the optimization. More specifically, the heuristic seems to originate in the dynamic convergence patterns observable in many statistical processes, especially in standard deviations. It is also supported by available results in the literature. Our “square root” heuristic functions as part of the wider family of approximation around the power law, where some variables (authors, securities, people) receive a disproportionate share of a given collection of items – see, for example, Pareto’s principle, Zipf’s law, Lotka’s law, Price’s square root law, Simon’s law, etc. The heuristic provides assistance not only in anticipating the number of optimal securities chosen by the mean-variance optimizer but also in suggesting selectivity in the effort of pre-selecting securities prior to the optimization and in sharpening portfolio-based approaches to investing in general. In sum, the heuristic k ≈ sqrt(n) seems helpful at all levels of portfolio management.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"165 S348","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140731269","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Deena Azriana Wan Mohd Azmi, Seri Ayu Masuri Md Daud
Tax compliance behavior is a multifaceted and extensively explored phenomenon within behavioral economics. However, due to its intricate nature, achieving a full grasp of this topic remains a challenge. This paper is motivated by the lack of coherent structure and lucidity in the existing theoretical frameworks employed to elucidate tax compliance behavior. Firstly, this paper puts forth a novel perspective that seeks to transcend the traditional binary framework of taxpayer behavior, which typically categorizes taxpayers as either compliant or non-compliant. Instead, this paper posits that taxpayer behavior may exist along a spectrum spanning from complete compliance to absolute non-compliance. This conceptual shift aims to provide a more nuanced understanding of taxpayer behavior by acknowledging the potential for varying degrees of compliance. Secondly, to address the existing gaps in the theoretical foundations of factors influencing tax compliance behaviour, the paper introduces a theoretical matrix. This matrix is intended to serve as an organized framework that succinctly encapsulates the prevalent theories underpinning studies concerning the determinants of tax compliance behavior. By methodically categorizing these theories based on ‘types of compliance’ and ‘types of factors’ dimensions, the matrix provides researchers and practitioners with a cohesive overview of the diverse factors influencing taxpayer behavior.
{"title":"Reconceptualizing Tax Compliance Behavior: A Theoretical Matrix Approach","authors":"Deena Azriana Wan Mohd Azmi, Seri Ayu Masuri Md Daud","doi":"10.5430/afr.v13n1p67","DOIUrl":"https://doi.org/10.5430/afr.v13n1p67","url":null,"abstract":"Tax compliance behavior is a multifaceted and extensively explored phenomenon within behavioral economics. However, due to its intricate nature, achieving a full grasp of this topic remains a challenge. This paper is motivated by the lack of coherent structure and lucidity in the existing theoretical frameworks employed to elucidate tax compliance behavior. Firstly, this paper puts forth a novel perspective that seeks to transcend the traditional binary framework of taxpayer behavior, which typically categorizes taxpayers as either compliant or non-compliant. Instead, this paper posits that taxpayer behavior may exist along a spectrum spanning from complete compliance to absolute non-compliance. This conceptual shift aims to provide a more nuanced understanding of taxpayer behavior by acknowledging the potential for varying degrees of compliance. Secondly, to address the existing gaps in the theoretical foundations of factors influencing tax compliance behaviour, the paper introduces a theoretical matrix. This matrix is intended to serve as an organized framework that succinctly encapsulates the prevalent theories underpinning studies concerning the determinants of tax compliance behavior. By methodically categorizing these theories based on ‘types of compliance’ and ‘types of factors’ dimensions, the matrix provides researchers and practitioners with a cohesive overview of the diverse factors influencing taxpayer behavior.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"34 2","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-02-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140439327","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Corporate governance and working capital management (WCM) are treated as essential subjects in financial management. Many researchers have studied the influence of corporate governance, but only a few of them have connected it with WCM efficiency. Particularly in Malaysia, there has been little concentration given to the relationship between corporate governance attributes and the WCM of the companies. Therefore, the present study intends to analyse the impact of corporate governance represented by CEO tenure, CEO Duality, Board size and Audit Committee on WCM represented by the current ratio of 35 Selangor-based companies which are listed under the FTSE Bursa Malaysia Top 100 Index.The results from this study show that CEO tenure has a significant negative impact on the current ratio, while CEO duality has a positive impact on the current ratio. Moreover, board size has no significant impact on the current ratio, and the audit committee has a significant positive impact on the current ratio. These findings imply that effective corporate governance mechanisms can significantly affect WCM. The result is expected to enable the owners of the firms to improve their corporate governance practices to enhance WCM efficiency and, furthermore, contribute to the enhancement of the profitability of the firms and maximise shareholders' wealth indirectly. Additionally, the findings from this study can also be a guide for good corporate governance' criteria that significantly affect the efficiency of WCM to be practised by other companies, including SMEs and other organisations.
{"title":"Examining the Influence of Corporate Governance on Working Capital Management: Insights from Malaysian Public Listed Companies in Selangor","authors":"N. Rahim, Mohd Fairuz Adnan, Yusri Hazrol Yusoff","doi":"10.5430/afr.v13n1p30","DOIUrl":"https://doi.org/10.5430/afr.v13n1p30","url":null,"abstract":"Corporate governance and working capital management (WCM) are treated as essential subjects in financial management. Many researchers have studied the influence of corporate governance, but only a few of them have connected it with WCM efficiency. Particularly in Malaysia, there has been little concentration given to the relationship between corporate governance attributes and the WCM of the companies. Therefore, the present study intends to analyse the impact of corporate governance represented by CEO tenure, CEO Duality, Board size and Audit Committee on WCM represented by the current ratio of 35 Selangor-based companies which are listed under the FTSE Bursa Malaysia Top 100 Index.The results from this study show that CEO tenure has a significant negative impact on the current ratio, while CEO duality has a positive impact on the current ratio. Moreover, board size has no significant impact on the current ratio, and the audit committee has a significant positive impact on the current ratio. These findings imply that effective corporate governance mechanisms can significantly affect WCM. The result is expected to enable the owners of the firms to improve their corporate governance practices to enhance WCM efficiency and, furthermore, contribute to the enhancement of the profitability of the firms and maximise shareholders' wealth indirectly. Additionally, the findings from this study can also be a guide for good corporate governance' criteria that significantly affect the efficiency of WCM to be practised by other companies, including SMEs and other organisations.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"55 24","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-01-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139601079","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Norilmiah Azis, Nor Khadijah Mohd Azhari, Radziah Mahmud, Rosmini Mohd Aripin, Y. N. Abu Bakar
This paper investigates the determinants of cash holdings by Malaysian local authorities. The researchers seek understanding on the motivation/intention behind the pattern of cash holdings and the theory that may be able to explain why the local authorities hold such amount of cash. Extensive research affirms that organizations in the private sector possess reasons to maintain cash, encompassing transactional, precautionary, and speculative objectives. The pecking order theory, trade-off theory, and free cash flow theory are also significant frameworks that explain why individuals, businesses, and institutions hold cash. However, there has been limited investigation into the factors influencing cash holdings in the public sector, particularly among local authorities in Malaysia. Therefore, relationship between the local authorities’ size, growth opportunities, financing deficits, liquidity, leverage, capital expenditure and access to credit market and cash holdings in Malaysian local authorities is examined. The sample in this study is 37 districts in Malaysia and data is collected from financial statements of the studied districts between 2015 and 2019. Thus, the total observations in this study are 185 districts-years.
{"title":"Cash Holdings Determinants: The Case of Malaysian Local Authorities","authors":"Norilmiah Azis, Nor Khadijah Mohd Azhari, Radziah Mahmud, Rosmini Mohd Aripin, Y. N. Abu Bakar","doi":"10.5430/afr.v13n1p18","DOIUrl":"https://doi.org/10.5430/afr.v13n1p18","url":null,"abstract":"This paper investigates the determinants of cash holdings by Malaysian local authorities. The researchers seek understanding on the motivation/intention behind the pattern of cash holdings and the theory that may be able to explain why the local authorities hold such amount of cash. Extensive research affirms that organizations in the private sector possess reasons to maintain cash, encompassing transactional, precautionary, and speculative objectives. The pecking order theory, trade-off theory, and free cash flow theory are also significant frameworks that explain why individuals, businesses, and institutions hold cash. However, there has been limited investigation into the factors influencing cash holdings in the public sector, particularly among local authorities in Malaysia. Therefore, relationship between the local authorities’ size, growth opportunities, financing deficits, liquidity, leverage, capital expenditure and access to credit market and cash holdings in Malaysian local authorities is examined. The sample in this study is 37 districts in Malaysia and data is collected from financial statements of the studied districts between 2015 and 2019. Thus, the total observations in this study are 185 districts-years.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"98 26","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-01-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139606070","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Norli Ali, Nurhazrina Mat Rahim, Mohd Fairuz Adnan, Heri Yanto, K. Kiswanto
The rise in bankruptcy cases among Malaysia’s younger population shows that youngsters have weak money management skills or financial behaviour (FB). Digital financial goods and services (DFS) have increased in popularity because of social isolation due to COVID-19 disease. Therefore, digital financial literacy (DFL) - financial literacy (FL) from the digital standpoint has spurred. Based on the theory of planned behaviour, DFL is expected to influence oneself in executing good FB. This study examines the role of DFL in influencing students’ FB, incorporating other vital factors, such as FL, financial attitude (FAT), peer influence (PEI), parental influence (PRI), and social media influence (SMI). SmartPLS was used to analyse data from a survey of 183 Malaysian university students using partial least squares (PLS) modelling. The measurement model signified that the instrument utilised was valid and reliable. The result indicated that FL, FAT, PRI, and SMI displayed a significantly positive impact on FB. Meanwhile, DFL negatively affects FB, which surprisingly contradicts the expectation that it could foster sound FB. This study concludes that DFL deters sound FB. In light of DFS's recent ascent in popularity, these results add to the expanding body of knowledge on DFL.
{"title":"Determinants of Financial Behaviour: Does Digital Financial Literacy (DFL) Foster or Deter Sound Financial Behaviour?","authors":"Norli Ali, Nurhazrina Mat Rahim, Mohd Fairuz Adnan, Heri Yanto, K. Kiswanto","doi":"10.5430/afr.v13n1p6","DOIUrl":"https://doi.org/10.5430/afr.v13n1p6","url":null,"abstract":"The rise in bankruptcy cases among Malaysia’s younger population shows that youngsters have weak money management skills or financial behaviour (FB). Digital financial goods and services (DFS) have increased in popularity because of social isolation due to COVID-19 disease. Therefore, digital financial literacy (DFL) - financial literacy (FL) from the digital standpoint has spurred. Based on the theory of planned behaviour, DFL is expected to influence oneself in executing good FB. This study examines the role of DFL in influencing students’ FB, incorporating other vital factors, such as FL, financial attitude (FAT), peer influence (PEI), parental influence (PRI), and social media influence (SMI). SmartPLS was used to analyse data from a survey of 183 Malaysian university students using partial least squares (PLS) modelling. The measurement model signified that the instrument utilised was valid and reliable. The result indicated that FL, FAT, PRI, and SMI displayed a significantly positive impact on FB. Meanwhile, DFL negatively affects FB, which surprisingly contradicts the expectation that it could foster sound FB. This study concludes that DFL deters sound FB. In light of DFS's recent ascent in popularity, these results add to the expanding body of knowledge on DFL.","PeriodicalId":512810,"journal":{"name":"Accounting and Finance Research","volume":"26 10","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-01-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139388817","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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