Accounting and Auditing
صدیقه کامران راد; Seyed Hesam Vaghfi; Maliheh, Ghazvini
Articles in Press, Accepted Manuscript, Available Online from 18 April 2024
Abstract
One of the topics that has been well discussed in the theoretical foundations of financial economics is the sensitivity of investment costs to cash flow. The degree of reliance of a company on internal resources is determined through the sensitivity of investment to the cash flow of that company. In ...
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One of the topics that has been well discussed in the theoretical foundations of financial economics is the sensitivity of investment costs to cash flow. The degree of reliance of a company on internal resources is determined through the sensitivity of investment to the cash flow of that company. In this regard, the present study examines the moderating role of agency costs on the relationship between CEO characteristics (including CEO optimism, ability, influence, and experience) and investment sensitivity to companies' cash flows. For this purpose, 136 production companies were selected from Tehran Stock Exchange through screening technique during 11 years (1390-1400). This research is a library and analytical-causal study and is based on panel data analysis; Also, factor analysis has been used to index CEO characteristics. The results showed that the CEO's optimism, ability, influence and experience have a significant effect on the sensitivities of companies' investment cash flows. In addition, the results showed that agency costs have a significant effect on the relationship between optimism, experience, ability and influence of the CEO and the sensitivities of cash flows of companies' investments.
Elahe Kharaziyan Motlagh; Seyed Hesam Vaghfi
Volume 4, Issue 3 , October 2023, , Pages 233-251
Abstract
Purpose: Investors usually react to risk, and risk criteria affect their investment decisions. The continuity of stock trading is very important for investors. Therefore, the current research aims to investigate the impact of risk criteria on the continuity of transactions of stock exchange companies, ...
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Purpose: Investors usually react to risk, and risk criteria affect their investment decisions. The continuity of stock trading is very important for investors. Therefore, the current research aims to investigate the impact of risk criteria on the continuity of transactions of stock exchange companies, emphasizing the effectiveness of risk management from 2019 to 2020.Methodology: The multivariate regression method and financial information of 107 companies accepted in the Tehran Stock Exchange were used to test the research hypotheses. The research method is inductive-deductive, in which the theoretical foundations and background were collected through the library, articles, and the internet. These were used to test the research hypotheses by applying appropriate statistical methods to generalize the results. The financial data has been collected in Excel software to form a database and then analyzed using EViews software version 12 to test the research hypotheses.Findings: The study showed that the risk criteria, according to the theoretical foundations of the research, aim to reduce the continuity of the company's transactions, and also risk management has a significant and direct impact on the relationship between systematic risk, financial risk, and stock price risk with the continuity of the company's transactions, but the effectiveness of the management. The risk of the relationship between the risk of financial crisis and the continuity of transactions was not confirmed.Originality/Value: No research has been done on Iran's transaction continuity and risk problem, even though investors and company managers usually consider both criteria. The existence of an effective risk management system can also have informational content regarding the risk and continuity of transactions. This issue has also been examined in the current research. According to the results of the study, it can be said that risk criteria for investors have informational content, so managers who prioritize the liquidity of their company's shares should act in their decisions in such a way that the amount of debt to assets in be the optimal limit or behave in such a way that the company does not fall under the problems of the financial crisis.
