bluuebunny/crossref_metadata_2025 huggingface dataset:
A CROSS‐CULTURAL MODEL OF INTERNATIONAL ACCOUNTING COMPATIBILITY
Authors: Locke Joanne , Tower Greg
Published: June 2008

A cross‐cultural model of international accounting compatibility is offered by blending Perera's (1989) cultural schema with other dynamic theories. Rahman's (1990) explanatory variables of the accounting regulator and the profession are included along with costly contracting theories (Watts and Zimmerman, 1990) regarding management's behaviour. These latter perspectives help explain the dynamic changes in the external environment. An application of the resulting cross‐cultural model follows through an examination of the potential accounting impact of the emerging free trade zone between New Zealand and Australia. The ability of the tuo national systems to harmonise is suggested by similarities in the environmental factors identified by the extended model. Differences in the regulatory approach between New Zealand and Australia are shown to be supported by underlying cultural factors and may be a persistent barrier. Recent initiatives are les sening this gap. The implications for the New Zealand Society of Accountants' ability to retain control over the standard setting process in New Zealand are also considered.
RELIANCE ON BUDGETARY CONTROL, ENVIRONMENTAL UNCERTAINTY, AND THE PERFORMANCE OF MANUFACTURING AND MARKETING UNITS
Authors: Dunk Alan S.
Published: June 2008

Responses to environmental uncertainty have included designating marketing units to interface with the environment to enable manufacturing units to operate in conditions approximating certainty. If buffering is effective, the impact of environmental uncertainty should be lower and conditions may be more suitable for a greater reliance on budgetary control in manufacturing than in marketing departments. The objectives of this study are to first, assess if there is a difference in the level of environmental uncertainty between these functions. Second, to evaluate if the relation between reliance on budgetary control and unit performance is influenced by departmental function. Third, since function and environmental uncertainty are unlikely to be perfectly correlated, if environmental uncertainty influences that relation. The results suggest that there is no difference in the level of environmental uncertainty or reliance on budgetary control between manufacturing and marketing departments. Furthermore, the findings suggest that reliance on budgetary control is no more effective in enhancing performance in either unit category. On relaxing the presumption that function proxied for environmental uncertainty, it was found that reliance on budgetary control is more effective in enhancing performance in conditions of low rather than high environmental uncertainty.
JAVANESE LANGUAGE SPEECH LEVEL: A METAPHOR FOR DESCRIBING ACCOUNTING PRACTICES
Authors: Sawarjuwono Tjiptohadi
Published: June 2008

This article argues that accounting practice is complex. The determination to implement a particular type of accounting practice is not a simple task. It is a decision that necessitates thorough considerations involving knowledge, human needs and interests, and situations surrounding the decision maker. The decision process itself thus represents complex activities. To ease understanding of this complexity, this study suggests to use metaphor, Javanese Language Speech Level metaphor. Metaphor, many have argued, helps to highlight and explain the core idea of a study, and to understand the nature, the significance, and the social dimensions of the phenomena being investigated. In sustaining its arguments, this study provides an illustration of some accounting practices that satisfy the appropriateness of Javanese language as metaphor.
ACCOUNTING STANDARDS AND CORPORATE FINANCIAL REPORTING IN INDIA
Authors: Joshi P.L. , Abdulla Jasim
Published: June 2008

This study makes a critical examination of the present accounting standard setting process and current issues and practices of corporate financial reporting (CFR) in an Indian context by referring to 95 annual reports of large sized companies. It is found that Indian accounting standards have many alternative accounting choices which make financial statements of companies less comparable. The Accounting Standard Board (ASB) has issued 12 definite accounting standards, yet none of them has been reviewed. The membership of ASB lacks proper representation particularly from the users side. The standard setting process has deficiencies in the absence of public hearing and the machinery for enforcement of accounting standards is not apparent. While a review of CFR shows a strong tendency for companies to follow strict legal requirements in the disclosure and preparation of financial statements, there is much diversity in voluntary reporting practice particularly with respect to value added accounting, reporting by segments, inflation accounting, human resource accounting, and corporate social performance reporting, and there has been a tendency towards minimum disclosure. The study suggests that, to improve standards the Institute of Chartered Accountants in India should establish a Financial Reporting Council (FRC) to oversee ASB and to prepare a conceptual framework for financial reporting purposes.
ANNUAL REPORT FINANCIAL RATIO COMPONENT CONSISTENCY
Authors: Courtis John K.
Published: June 2008

Annual changes in financial ratio values are susceptible to ambiguous interpretation because of different applications of generally accepted accounting principles and different numerator/denominator component selections. The paper investigates financial ratio disclosure within annual reports, and the extent to which the underlying ratio components vary within and between companies, within industries and over time. Financial ratios disclosed voluntarily within the annual reports of 101 listed public companies in Hong Kong between 1988–1992 were examined. Findings indicate numerator‐denominator inconsistency between companies and industries at a point in time, but generally consistent within companies across time. Also, sets of ratios reported between years are not constant. Ten potential research questions about financial ratios have been identified.
A Study of Short‐Run Overreaction in Hong Kong Stock Market
Authors: Chan Dennis
Published: June 2008

Investors in Hong Kong tend to overreact to good news but not to bad news in the short run. ‘Winner’ stock portfolios making abnormal gains on the event day tend to make abnormal losses in the subsequent test period. On the contrary, abnormal losses persist in the test period for the loser stock portfolios. This may be attributable to the speculative nature of the Hong Kong market and thin trading of small‐sized stocks. Some evidence of small firm effect is found in this study, but price overreactions are more apparent with large size portfolios. Apart from size, asymmetrical investors' response to good news and bad news also drives stock prices to behave differently after experiencing abnormal gains or losses. For winner stocks, larger abnormal gains on day 0 are followed by larger abnormal losses in the subsequent 10‐day period. Whereas for loser stocks, larger abnormal losses are followed by larger but further losses in the test period. Last but not least, symptoms of weekly price seasonally are found amongst the abnormal return patterns in this study.
The Impact of Contingency Factors on the Effectiveness of Budgetary Emphasis in Sino‐Foreign Joint Ventures
Authors: Taylor Dennis W
Published: June 2008

Behavioural consequences of emphasis on budget‐related performance evaluation measures have been extensively researched in single countries, but not in cross‐cultural organizational settings. Contingency theory is invoked in this study to model the “fit” for international joint venture companies (IJVs) between two contingency factors — environmental uncertainty (EU) and organizational objectives conflict (OOC)—and the organizational control sub‐system variable of budgetary emphasis (BE). The impact of this “fit” on the effectiveness of managers from Chinese and Western sides of an IJV partnership is tested in respect of the effectiveness outcomes of self‐rated managerial performance (MP) and the creation of budgetary slack (BS). These two effectiveness constructs are chosen for this study because they provide a complementary picture of effectiveness in a budget‐related behavioural settings. To test the various “fit” hypotheses, this study provides results from a survey of Sino‐foreign JVs. Specifically, middle and senior managers representing the foreign partner to a Sino‐foreign JV were chosen in two groupings, Hong Kong Chinese managers and Western managers. Multiple regression was performed for the independent variables (EU, OOC and BE) in relation to the respective dependent variables (MP and BS) and the respective sample groups (HK Chinese and Western). Both main and interaction effects are reported in this study. Implications of the findings for the use of budgetary emphasis in management performance evaluation in IJVs are discussed.
The Impact of Cultural Influences on the Relationship Between Budgetary Participation, Role Stress, and Job Satisfaction
Authors: Goodwin David , Sethapokin Sirirat
Published: June 2008

This paper re‐examines an earlier research outcome which concluded that budgetary role ambiguity intervenes in the budgetary participation ‐ job satisfaction relationship. In this study, it is argued that this outcome will not occur in a high power distance cultural setting where managers have a high expectation of participation in decision making. Given the formality often associated with participation in such a setting, it was not expected that budgetary role ambiguity would intervene in the relationship. Path analysis was used to analyse the data which was gathered in Thailand. The results of the analysis support the theoretical expectations. The relationship of budgetary role conflict and job satisfaction is also explored in the paper. It is argued that, in a nation where a female is traditionally of a lower status than a male, the role conflict experienced by a female manager will be negatively and significantly related to job satisfaction. This outcome was not expected for male managers. Again, me results support the theoretical expectations. The paper concludes with a number of ideas for future research in this topic.
An Empirical Investigation of Adoption Issues Relating to Activity‐Based Costing
Authors: Van Nguyen Hieu , Brooks Albie
Published: June 2008

This paper provides empirical evidence relating to the characteristics of firms adopting ABC compared to those not adopting ABC. The empirical evidence is based on responses received from 120 manufacturing companies. The characteristics explored relate to what are referred to as firm characteristic and business environment variables which are defined as those relating to: cost structure, production complexity, production diversity, firm size and the level of competitive intensity. Five hypotheses are developed from a discussion of the literature relating to adoption issues. The results suggest that there would appear to be significant differences between firms adopting ABC and those not adopting ABC in relation to production complexity, firm size and level of competitive intensity, while there would appear to be no significant differences in relation to the proportion of overhead costs in total manufacturing costs and production diversity.
Stability of Financial Ratios: A Study of Listed Companies in Singapore
Authors: Tan Patricia M.S. , Chye Koh Hian , Chin Low Lay
Published: June 2008

This study seeks to evaluate the stability of financial ratios across industry and over time. The sample comprises companies listed on the Stock Exchange of Singapore from 1980 to 1991 over six industry groupings. A set of 29 most commonly used ratios was selected for the study. Descriptive statistics, factor analysis and analysis of variance were performed. From the factor analysis results, eight representative ratios were identified. Analysis of variance and multiple comparisons were subsequently performed for each representative ratio to test if it is significantly different across industry and over time. The results indicate that financial ratio averages of the various industries are significantly different. This implies that the appropriate benchmark for evaluating company performance and position should be industry‐specific instead of economy based. Also, five of the representative ratios are significantly different over time and not all the industrial averages move consistently over time (i.e., interaction effects of industry and time exist). Thus, industry averages are not necessarily appropriate benchmarks for setting and evaluating performance through time.
Examining Perceptions of Harmonisation The Case of Singapore and Malaysia
Authors: Carlson Peter
Published: June 2008

The stated goal of the IASC is to facilitate the harmonisation of financial reporting practices by encouraging nations to adopt its accounting standards. Whilst some views of harmonisation are based upon the assumption that identical accounting standards are needed to achieve harmony, it is not certain, however, that the mere harmonisation of accounting standards will necessarily lead to high levels of harmony between financial reporting practices. Further, the continuity of harmony, once achieved, is not guaranteed. Environmental determinism theories suggest that where environmental factors are similar, there will be a strong level of correlation between financial reporting practices. Singapore and Malaysia are two countries where considerable levels of harmonisation are expected to exist and, therefore, they provide useful ground to examine questions about the achievability of harmonisation. The absence of harmony between the financial reporting practices of two such nations would raise concerns as to the achievablity of harmonisation across broader regional and international environments. This paper addresses the extent of harmonisation achieved between the financial reporting practices of Singapore and Malaysia whilst issuing standards under the IASC framework.
Cash Controls Within Christian Churches: An Exploration Of The Determinants
Authors: Woodbine Gordon
Published: June 2008

This paper examines the proposition that local congregations within Western Australia provide satisfactory safeguards aimed at limiting opportunities for mismanagement and fraud. A questionnaire survey was administered to a large sample of local congregations of Christian churches. The aim of the survey was to investigate the extent to which accounting controls were applied in the field of cash collections and disbursements and to determine the influence on cash control performance of various socio‐economic and organisational/administrative variables. An index of cash control performance was constructed and regressed against six surrogate indices obtained by factoring the independent variables. Three indices, namely church funding capacity, central/external influences and local administrative arrangements (particularly those pertaining to employment policy) were found to contribute to the variation in the dependent variable, although the overall explanatory power of the determinants was limited, justifying the need for further consideration of contributing factors.
Sources of Funding and Monitoring Effects on Nonprofit Organisations from an Agency Perspective
Authors: Chan Terence , Chau Gerald , Chan Dennis
Published: June 2008

Nonprofit Organisations (NPOs) receive their funding in three major types: government subvention, donations and fees collected for services provided. While the contributors do not normally act as the decision agents, the potential existence of agency problem has to be dealt with. This paper investigates whether effective monitoring of principal‐agent relationship exists in NPOs in Hong Kong, which may be perceived to be attached to different types of funding provided to NPOs. While findings from previous studies suggest that NPOs' expense level will be low when they are subject to external monitoring, our results reveal that the expense level of NPOs is similarly associated with the type of funding. More specifically, sizeable donations induce a perception of effective external monitoring on the decision agents, which leads to the adoption of a lower expense level. On the other hand, due to the weak control that can be imposed by existing regulatory framework and disclosure requirements, government subvention and fees collected do not seem to impose any effective monitoring effects on NPOs.
Employers' Expectations on Today's Accounting Profession: A Malaysian Case‐Study
Authors: Penafort Frances , Binti Ahmad Bedah
Published: June 2008

The accountant's role today has been dramatically expanded, that is, from being the steward of assets and preparer of financial statements to a more challenging one, namely, one who is involved in various areas of management. Hence in response to the changing needs of the business environment, potential employers of accounting graduates now seek additional qualities from the graduates, besides them being technically competent. Some of these qualities include possessing qualitative skills such as being more effective communicators, possessing strong leadership skills and being able to think logically and critically. An attempt is made in this research to determine the current scenario of potential employers of Malaysian accounting graduates, notably with respect to their requirements of qualitative skills. This is determined from an analysis of a sample of 500 classified advertisements from a major local daily, spanning a period of 12 months, namely July 1995 till July 1996. From this research, it was evident that besides seeking academic qualification, computer literacy and relevant working experience, the majority of potential employers required the accounting graduates to possess additional qualities such as leadership, motivation, innovative skills, being independent and able to work under pressure.
The Export of Accountancy Education To Malaysia And Singapore: An Australian Experience
Authors: Cooper Barry J. , Adams Kevin
Published: June 2008

The export of accountancy education to South East Asia has grown rapidly for a number of Australian universities. This study describes the experience of one university in establishing both a twinning degree programme and a completely off‐shore degree programme in accountancy. Using a case study methodology, the perceptions, experiences and actions of those managing such off‐shore programmes are related. The philosophy underlying off‐shore programmes, together with the pedagogical approaches used, are discussed. Initial concerns about dealing with the anecdotal stereotype Asian student have been addressed, and the Asian students have, in general, achieved comparable results to the Australian students. Some modifications to the degree programmes have been made to allow for local differences but the fundamental principle of offering the same degree as that offered in Australia has been strictly adhered to.
Developing Strategic Supplier Alliances in the Australian Automotive Industry: A Case Study
Authors: Clarke Judyann , Kloot Louise
Published: June 2008

Traditional purchasing practices typically play a supportive role to production, but recently the purchasing function has been recognised as being capable of making significant contributions to a firm's corporate objectives through the development of strategic supplier alliances or relationships between manufacturers and their supplier networks. This study focuses on the nature and progress of strategic supplier relationships in the automotive industry. It examines the progress made towards partnership relationships by the Australian subsidiary of a major Japanese motor vehicle manufacturer. These relationships are examined using Helper's 1991 framework which classifies relationships as ‘voice’ or ‘exit’ according to the method used to resolve problems between the parties. Voice relationships arise from joint problem resolution, exit relationships arise from the threat of withdrawal by the customer. Previous research in Japan, Europe and the United States suggests that voice relationships lead to better performance than non‐voice relationships. This research was carried out at an organisational rather than an industry level, surveying the suppliers to one major motor vehicle manufacturer. It examined the extent of information exchange and commitment from the suppliers' perspective. The suppliers were classified along a continuum from voice to transitional to exit relationships on the basis of information exchange and commitment. The results indicated that from a supplier perspective fewer voice or true strategic alliances existed than the manufacturer would like, with limited progress made towards them to date. There was evidence of supplier mistrust towards the manufacturer and perceptions of unfair treatment by the manufacturer. Future development of supplier relationships will depend on the manufacturer's ability to recognise and address the current of mistrust which remains as a legacy of past practices.
Bahraini Auditors' Perceptions of the Importance of SelectedInherentRisk Factors in the Evaluation of Audit Risk
Authors: Al‐Basteki Hasan
Published: June 2008

The main purpose of this study is to gain insight into Bahraini auditors' perceptions of the importance of 17 variables in the assessment of inherent risk of various audit assignments. The study also seeks to examine whether differences exist in the evaluation of variables, influencing the assessment of inherent risk between auditors working for the Big‐Six accounting firms and those working for local or regional firms and between auditors practicing in Bahrain and those practicing in the UK. A questionnaire was distributed and responses from 58 auditors were received. The study found that auditors practicing in Bahrain have difficulties in identifying variables associated with the assessment of inherent risk. Of the 17 variables examined in this study, only six variables were identified by the majority of Bahraini auditors as inherent risk factors. The results also suggest that statistically significant differences exist between auditors working with “Big Six” firms and those working for local/regional firms with respect to identification of selected variables as inherent risk factors and their importance in the assessment of inherent risk. Finally, the findings suggest that UK auditors appear to be better trained than their Bahraini counterparts at identifying factors affecting inherent risk.
Does the Hong Kong Stock Market Overreact?
Authors: WT Leung Robert , Li Mandy
Published: June 2008

This study examines whether the Hong Kong stock market overreacts. By using monthly return data of all the common stocks listed on the Hong Kong Stock Exchange from January 1980 to December 1995, it examines the profitability of a contrarian strategy of buying prior losers and selling prior winners. The evidence shows that prior losers outperform prior winners by up to 68.59% in the subsequent five‐year test period. This finding can be interpreted as investors' tendency to react over‐optimistically to positive information and over‐pessimistically to negative information, thus causing stock prices to take temporary swing away from their intrinsic values and then reverse back subsequently. Our result is consistent with that documented by Debondt and Thaler (1985) for the U.S. market. This study also investigates whether seasonality accounts for the abnormal return but finds that the overreaction effect is not caused by the well‐known January effect. Further tests are conducted to investigate whether changes in betas of the winners and losers account for the abnormal return. The evidence shows that such changes are also minor, which cannot explain the price reversal phenomenon.
Corporate Financing Policy in Oman: Perceptions of Executives
Authors: Abdulla Jasim
Published: June 2008

The literature dealing with the firm's financing decisions in developing capital markets is limited. This paper aims to contribute to the published research by documenting the perceptions of managers of Omani firms listed on the Muscat Securities Market with regards to the capital structure of their firms. Survey responses show that financial decision‐making behavior of Omani firms can be explained by the “pecking order” view of capital structure. The effect of tax and bankruptcy on capital structure is not clear. Firms' relationships with banks and government shareholdings minimize the effect of financial distress. Further, managers tend not to release information to the suppliers of funds even though this might reduce the cost of funds required. Most firms seem to maintain spare borrowing policy. The conclusion is that executives of Omani firms are not less sophisticated than their American, Australian, British, Korean, Hong Kong, or Singapore counterparts in terms of their decision‐making process related to financial leverage.
Evidence of Environmental Accounting in Australian Companies
Authors: Frost Geoffrey R. , Wilmshurst Trevor D.
Published: June 2008

A growing concern for environmental issues has resulted in calls for improvement in corporate environmental performance. In Australia, as elsewhere, this has involved the discussion as to the role of accounting and accountants in environmental management (Burritt and Gibson, 1993; Hrisak, 1995). This paper reports on the adoption of environmental accounting practices by Australian companies. Using a survey instrument, information was collected on the existence and development of environmental accounting processes within Top 500 Australian companies. The results indicate that many companies are utilising internal systems for the generation of environmental accounting data; however there appears to be a limited translation of the internal accounting information into external environmental reporting, despite a belief by many respondents that such information is useful to users of the annual report.
The Quality of Accounting Research and Internal, External, and Construct Validity
Authors: Iselin Errol R.
Published: June 2008

The “Mathews Committee” (Mathews, 1990) concluded that the research performance of the accounting discipline in Australia was weak. This paper is motivated by the need to improve the quality of accounting research in Australia and probably some other countries as well. It discusses three issues of crucial importance to research quality ‐ internal, external, and construct validity with the discussion illustrated with examples from existing accounting research. Internal validity is concerned with the ability to make causal statements from a piece of research. External validity is concerned with the ability to generalize from the research and construct validity is interested in the validity of the variables measured. Internal and external validity are discussed within the context of five common research designs. No one design is strong in both types of validity and tradeoffs between internal and external validity are necessary. When designing a new research project, the particular tradeoffs made should depend on the research objectives. The paper discusses how these choices might be made and how, if internal validity problems exist, they might be minimized. With construct validity, no tradeoffs are appropriate ‐ the researcher should attempt to eliminate this type of invalidity. The paper discusses how this might be done.
A Framework for Describing National Financial Accounting Systems: Towards an Archetype
Authors: Craig Russell , Diga Joselito
Published: June 2008

This paper proposes a framework to facilitate description of national financial accounting systems. Its first element, broad aims, identifies the fundamental purpose of national financial accounting systems as being to effect a macro‐user or micro‐user orientation. From this emerges the second element, institutional environment, which describes the nature of regimes put in place to effect regulation. This influences the third element, the specific accounting rules and practices adopted. Aspects of international practice relating to each of these three elements are illustrated. The pedagogical benefits of the framework are demonstrated. The standard vocabulary and the structured format of the framework is used to describe, in capsule form, the national financial accounting systems of Korea and Indonesia. The framework seems likely to enhance understanding of the similarities and differences in national financial accounting systems and to contribute useful insights to international accounting matters.
The True and Fair View Concept: Evidence from Australia
Authors: Kilgore Alan , Leahy Sharron , Mitchell Graeme
Published: June 2008

Considerable conceptual and technical ambiguity still surrounds the use of the true and fair view concept. Despite these ambiguities, this concept has been adopted into the corporate legislation of numerous countries. Investigations into the use of the true and fair view in Europe have revealed variations in interpretation and practice suggesting that countries are tending to interpret the concept in the context of national culture and national accounting tradition. An important feature of the way in which this concept has evolved in Australia, for example, is that whilst the pre‐eminence of a true and fair view has been retained, in practical terms its status has changed substantially due to numerous, significant amendments made to the legislative requirements. As such, there is a clear need to discover how the true and fair concept is interpreted and employed in practice. This study investigates the actions undertaken by finance directors of Australian firms to ensure that their financial statements can be seen to give a true and fair view i.e., how, in practice, directors apply the concept. The results of this study indicate that Australian finance directors: are unlikely to take specific additional actions to comply with the requirement that their financial statements give a true and fair view. Rather, they are likely to rely on their auditors to ensure compliance with statutory and professional requirements.
An Analysis of the Ethical Predisposition of Australian and Malaysian Business Students Towards Consumer Issues: Do Ideological Differences Exist?
Authors: Woodbine Gordon F. , Chou Tungshan F. , Fisher James
Published: June 2008

When developing and justifying courses of study in business ethics the designer will be interested in setting benchmarks reflecting his/her understanding or appreciation of the moral views of participating members. Such considerations are often complicated by the fact, relevant in many Australian institutions of higher learning, that most of the cohorts contain overseas students from a variety of Asian countries. If insights into the ethical perceptions of students with differing ethnic origins could be measured in some objective fashion, then curriculum planners might take such matters into account when developing strategies for courses involving business ethics. This paper reports the findings of a questionnaire survey that examined the ethical perceptions of 407 second and third year students completing business courses at two Western Australian universities. Two country groupings, Australian and Malaysian students, were identified and their responses examined to ascertain whether relevant demographic factors relating to age and gender could be used to explain the strong differences in perceptions which were noted with respect to issues involving questionable practices involving consumers. Demographic factors failed to explain observed differences and a subsequent examination of the underlying constructs, using factor and cluster analyses, resulted in the realisation that the two groups demonstrated significantly variant patterns of ethical predisposition.
Professional Accounting Qualification Choices: Do Gender, Ethnicity, University and Selection Process Matter?
Authors: Kloot Louise , Marles Kath , Vinen Denis
Published: June 2008

This paper reports on an exploratory study examining factors which may affect the career choice of accounting students. Although prior studies have examined factors affecting the choice of an accounting major, few studies have examined factors affecting the choice of career of accounting graduates. This study found that more students aspired to become Certified Practising Accountants (CPAs) of the Australian Society of Certified Practicing Accountants (ASCPA) rather than Associate Chartered Accountants (ACAs) of the Institute of Chartered Accountants in Australia (ICAA) This study also found that there were differences in career aspirations between males and females, and between students at different universities. Female students perceived gender discrimination would have a greater adverse effect on their future careers compared with male students, particularly in chartered accounting and industry; and overseas students were more conscious of discrimination than Australian students. There is also some evidence that Big 6 selection practices are perceived as biased.
International Accounting and the Accounting Curriculum: The New Zealand Case
Authors: Smith Sue , Gallhofer Sonja , Haslam Jim
Published: June 2008

This study explores the teaching of International Accounting on both undergraduate and postgraduate degrees in New Zealand in New Zealand's polytechnic and university sectors. Included in the study is an analysis of course outlines of international accounting courses from business and commerce faculties of the New Zealand tertiary sector. The paper compares the teaching of international accounting in New Zealand with that of the United Kingdom, Australia and the US. Results suggest that even though international accounting issues have been given significant prominence in accounting research as of late, there is a paucity of International Accounting education offered to New Zealand accounting students including in comparison with the UK, Australia and the US. Through our analysis and discussion we seek to engender a more critical review of international accounting education.
An Experimental Study of Hong Kong and Chinese Auditors' Perceptions of Auditor Independence
Authors: Narasimhan Ramesh , Ng Stephanie S.H.
Published: June 2008

The objective of this study is to compare the perceptions of Chinese and Hong Kong auditors towards auditor independence. There is growing concern about auditors' independence in the Peoples Republic of China (PRC) as a result of the rapidly changing business environment. These include the fast economic growth, changes in the accounting and auditing requirements including increases in demand for auditing services, competition and the status of accounting profession in the PRC. The purpose of this study is to investigate whether these changes affect the perceptions of auditor independence. The factors used in this study include the size of audit fee, provision of management advisory services, tenure of services provided and the relationship between the client and the auditor. The data were analyzed using analysis of variance (ANOVA). The overall hypothesis of a difference in the perceptions of Hong Kong and Chinese auditors was found to be significant. The results provide some indications of the stage of development of the accounting profession in China and the directions in harmonizing with international practices. Though there are some limitations of this study, it provides information for limited research in the accounting profession in China and highlights several areas for future study.
Comprehensive Income: The Perceived Usefulness of Total Recognised Revenues and Expenses in New Zealand
Authors: Beale Robert , Davey Howard
Published: June 2008

Since 1995, the financial reports of New Zealand entities have been legally required to disclose a measure of comprehensive income known as Total Recognised Revenues and Expenses (TRRE). Financial analysts and members of the Institute of Chartered Accountants of New Zealand were surveyed between 1994 and 1996 to investigate their views on whether TRRE is useful for financial analysis, making economic decisions, and whether it is a useful addition to the financial reports. The findings provided a reasonable level of support for the view that TRRE is useful for financial analysis, such as assessing return on investment. However, there were strong reservations over whether it is useful to use TRRE as a basis for determining remuneration packages for top management, or for predicting cash flows. Overall, there was strong support for the view that TRRE provides information that assists with making economic decisions, and that it is a useful addition to the financial reports.
Users and Uses of Environmental Accounting: The Case of the Philippines
Authors: La Notte Alessandra , Burritt Roger
Published: June 2008

Identification of the users and uses for environmental accounting information are not well researched in developing countries. Development of an environmental accounting system at the national level has, since the Rio Conference and Agenda 21 in 1992, become a requirement for ‘environmentally responsible’ countries. This paper addresses users and uses of environmental accounting information in the context of sustainable development processes in the Philippines. The Philippines is a developing country which was already developing an environmental accounting system before the Rio initiative. Since Rio, it has continued to develop its existing system while, at the same time, exploring, in parallel, the infrastructure for a new system supported by the United Nations. Following a brief examination and comparison of the two systems, it is concluded that the time is right for moving the emphasis away from policy making uses and towards the needs of other stakeholders, if transparency about stewardship of natural resources is to be encouraged. Over time, action to integrate the two systems must occur if there is to be an efficient and effective institutionalising process which will provide lessons for environmental accounting by other developing countries.
The Influence of Selected Contingent Variables on Half‐Yearly Reporting Compliance by Listed Companies in Australia and Singapore
Authors: Tan Samantha , Tower Greg
Published: June 2008

This paper reports the results of a study on the half‐yearly reporting compliance practices of Australian and Singapore listed companies. The possible influence of four contingent variables (country of origin, industry, company size and debt leverage) upon compliance practices is considered. In relation to the issue of half‐yearly reporting, a theoretical framework developed by Thomas (1991) is utilised by linking the variables examined to compliance practices adopted. 186 half‐yearly reports were examined for this study in the 1995/6 fiscal year from Australia and Singapore. The degree of compliance was measured using a compliance index. A series of statistical tools, namely analysis of variance (ANOVA), independent sample t‐test, logistic and multiple regressions, were used to analyse the data collected. Tests conducted to examine whether there was a significant country‐effect upon compliance practices adopted found overwhelming evidence to conclude that Singaporean companies' compliance was significantly higher than their Australian counterparts.
Managerialism in Local Government
Authors: Kluvers Ron
Published: June 2008

The manifestations of managerialism in State and Federal public services have been discussed by Considine (1990), Guthrie (1993), and Zifcak (1997). While this literature is often critical of managerialism the reasons for its apparent failure are examined in a limited way. This paper looks at managerialism in Victorian local government by examining the introduction and impact of program budgeting and performance indicators. Two issues are focused on in this paper: 1) the limited success of Planning Programming Budgeting (PPB) and performance indicators; 2) the reasons for their ineffectiveness. The data used in this paper were gathered and analysed for a larger project. All 210 councils in Victoria were sent a questionnaire, of which, 60% were completed and returned. The findings suggest that the introduction and development of PPB and performance indicators is dominated by management. The findings also indicate that these technologies have little impact on resource allocation or decision making, however, there does appear to be a greater emphasis placed on planning. It is argued that the limited success of the managerialist technologies can be attributed to the domination of management over the development and implementation process.
Business Student Progress in Open Learning Courses: A Test and Reconceptualisation of Kember's Model
Authors: de Lange Paul , Mavondo Felix
Published: June 2008

This study empirically tests Kember's (1995) model of adult student progress using a cohort of Australian business undergraduates studying via open learning. Kember's model identifies five key variables which have a significant impact on student progress, namely social integration, academic integration, external attribution, academic incompatibility and grade point average (GPA). A self‐report questionnaire identical to that developed by Kember was administered to 246 open learning students. The findings from this study clarify the relationships among social integration, academic integration and GPA on outcomes as identified in Kember's model and as a result, suggestions for further improvement of the model are provided.
Supplemental Instruction and the First Course in Accounting
Authors: Howitt Gordon , Harding Noel
Published: June 2008

This paper reports on the introduction of a scheme based on the principles of Supplemental Instruction into the accounting curriculum at the University of New South Wales, Australia. Supplemental Instruction is argued to have a number of benefits which complement the traditional faculty facilitated lectures, tutorials and seminars. The scheme was introduced into the first course in accounting with a view to improving student performance, reducing withdrawal rates, and encouraging the development of communication and interpersonal skills. Qualitative and quantitative data was collected in order to understand how students perceived the scheme, and what effect the scheme had on student performance. The results suggest that the scheme has had a positive impact on student performance. In providing this account, we hope to assist accounting academics identify subjects where Supplemental Instruction might be of benefit to students, and the issues to consider when tailoring the program to the specific needs of the subject.
Personality and Cultural Influences on Aggressive Financial Reporting Practices
Authors: Cable Dawn , Patel Chris
Published: June 2008

The objective of this paper is to contribute to the accounting education literature by demonstrating that there are significant differences in judgments between Australian and Chinese subjects studying within an Australian university with respect to an important issue in accounting, namely, aggressive financial reporting practices. Aggressive financial reporting is the exercise of professional judgment by accountants (including students preparing for a career in accounting) that fails to depict ‘financial reality’. Our study provides some evidence on the influence of culture (operationalised as one's ethnic background), as well as a personal belief variable, ‘belief in a just world’, on students acceptance of aggressive financial reporting practices. The results have implications for improving accounting education. We suggest that assumptions about uniformity in perceiving Western notions of independence and objectivity embedded in official national and international accounting pronouncements are reflections of ‘culture‐blindness’. Additionally, we suggest that accounting educators may like to ensure that the meanings intended in the official accounting pronouncements which are used as primary teaching material are conveyed to students within specific cultural contexts. Moreover, accounting educators and students need to pay greater attention to the role of various contextual factors in the international accounting harmonisation process.
Ethical Perceptions of Earnings Management in Malaysia, Singapore, Hong Kong, Thailand, and the UK
Authors: Simon Jon
Published: June 2008

This study contributes to the limited literature dealing with ethical perceptions of earnings management in developing capital markets by investigating the perceptions of managers, accountants, and investment analysts in Malaysia, Singapore, Hong Kong and Thailand, to ethical issues concerning the management of earnings. The results are compared to similar studies undertaken in the US and UK. The results show that East Asian managers, accountants, and analysts tended to be less willing to condemn situations as clearly unethical and use a narrower range of ethical responses than their US/U K counterparts. However, there was a remarkable overall consistency of perceptions between East Asian and US/UK managers, accountants, and analysts in relation to many issues.
Fairness and the Interdivisional Allocation of Cost and Benefit: An Experimental Study
Authors: Fong Chua Wai , Hooper Cameron , Wai Yeong Mak Bobby
Published: June 2008

Much managerial and behavioural accounting research assumes that people are rational, self‐interested, expected‐utility maximisers. Often, this reduces to the central expectation that individuals are concerned only with their own material self‐interest and are unconcerned with the welfare of others. Here, we consider a preference for achieving fair outcomes in the context of an interdivisional cost and benefit allocation scenario. Consistent with prior research, we reject a simple wealth maximisation hypothesis and find that subjects actively attempt to achieve fair allocations. Interestingly, subjects were willing to adversely affect the outcome of one party to the transaction when they considered themselves to have been treated unfairly by a third party against whom they had no redress. Also, where subjects expected to have their wealth reduced by another party, who freely chose not to do so, these subjects appeared willing to give a lower share of a future windfall gain to them.
Economic Value‐Added: A Review of the Theoretical and Empirical Literature
Authors: Worthington Andrew C , West Tracey
Published: June 2008

With increasing pressure on firms to deliver shareholder value, there has been a renewed emphasis on devising measures of corporate financial performance and incentive compensation plans that encourage managers to increase shareholder wealth. One professedly recent innovation in the field of internal and external performance measurement is a trade‐marked variant of residual income known as economic value‐added (EVA). This paper attempts to provide a synoptic survey of EVA's conceptual underpinnings and the comparatively few empirical analyses of value‐added performance measures. Special attention is given to the GAAP‐related accounting adjustments involved in EVA‐type calculations.
Corporate Culture and Performance: A Study of Firms in Bahrain
Authors: Chung Shifei , Haddad Kamal
Published: June 2008

Although the extant literature widely recognizes the impact of corporate culture on performance, such findings are either speculative or mostly based on US companies, thus may not be generalisable to other national settings. In addition, while industry effect is considered in a few studies, its combined effect with other factors on performance has not been explored. This study modifies the existing model of corporate culture on performance by adding industry effect to the model. This is also the first study that tests such a relationship in a Middle East setting. Due to its unique culture, data collection in the Middle East region has been difficult if not impossible. More research in this region is needed since most of it is still in its infancy. This study investigates firms in Bahrain, the financial hub of the Arab World, to shed some insight onto this region. The results confirm a positive relation between Culture and performance and marginal industry effect between banks and hotels.