Return on assets

Open Access Article

1 - Specification and Development a Model for Estimating of Accounting Conservatism in Iran
H. Nikoomaram B. Banimahd

Accounting conservatism has recently been under attacked. For example, Financial Accounting StandardBoard (FASB) point out that conservatism increase conflict between qualitative characteristics such asrepresentational faithfulness, neutrality, and comparability. The Bo More

Accounting conservatism has recently been under attacked. For example, Financial Accounting StandardBoard (FASB) point out that conservatism increase conflict between qualitative characteristics such asrepresentational faithfulness, neutrality, and comparability. The Board concludes that any attempt tounderstate results consistently is likely to raise question about the reliability and integrity of informationabout those results. Recently, in the IASB and FASB joint conceptual framework, conservatism andprudence have been abolished. In other side, some of researchers such as Professor Watts from the universityof Rochester tried to provide a better understanding of accounting conservatism in Accounting Horizon(2003). He defended accounting conservatism by documenting of the research results.Watts suggests thatconservatism likely evolved from the contracting role of accounting. He argues that accounting conservatismhelps to reduce agent's opportunistic behavior and mitigates conflicts of interest over dividend policybetween shareholders and bondholders.This study, by adopting of new studies outcomes on accounting conservatism, develops a new firm-levelconservatism measure from Givoly & Hayn (2000) accrual model. This measure represents conservatismmeasure from an income statement and balance sheet perspective. The outcomes of the study indicated thataccounting conservatism measure has positively correlated to return on asset (ROA) and sale growth, on theother hand, has negatively correlated to leverage and cash flows from operations to total assets ratio.The research results show firms experiencing more severe bondholder-shareholder dividend policy conflictsadopt less conservative accounting and firms that use more conservative accounting incur a high debt ratio.The results also suggest existence of high income smoothing and show a strict decrease in accountingconservatism in Iranian financial reporting environment. This decrease accompanies with decreases ofprofitability index (ROA) and economic performance index (CFO/Asset). It seems governmental ownershipand governmental management and lack of management accountability are important factors of this problemin Iranian industries. The outcomes of this study differ from the US studies results. Manuscript profile

Open Access Article

2 - Survey of Governmental Effect on Financial Function (Profitability)
P. Saidi J. Ghezelsefloo

This paper investigates privatization including Return on Assets (ROA), Return on Equity (ROE) andReturn on Sale (ROS) in the Tehran stock exchange. From 1996 to 2004, 29 companies receivedgovernmental share in the private sector. This first sectorincludes two level ces More

This paper investigates privatization including Return on Assets (ROA), Return on Equity (ROE) andReturn on Sale (ROS) in the Tehran stock exchange. From 1996 to 2004, 29 companies receivedgovernmental share in the private sector. This first sectorincludes two level cession using a Wilcoxonsinged rank test and regression in the OLS method and second sector three level cession using theFriedman test. The results shows that first sector financial function companies increase, and secondsector do not. Manuscript profile

Open Access Article

3 - Surveying the Effect of Off-Balance Sheet Financing on Profitability Ratios
Gh. , Talebnia F. Rahnamaye roodposhti Ch. Talebpoorasl

In this thesis the effect of off-balance sheet financing on profitability ratios (ROA,ROE,ROI) inTehran Stock Exchange has been studied. In fact, this study is an answer to this question that "whateffects can off-balance sheet financing (operating lease) has on profitab More

In this thesis the effect of off-balance sheet financing on profitability ratios (ROA,ROE,ROI) inTehran Stock Exchange has been studied. In fact, this study is an answer to this question that "whateffects can off-balance sheet financing (operating lease) has on profitability ratios in Tehran StockExchange?" Off-balance sheet financing means investing or increasing firm´s capital (increaseoperating activities) according to law and accepted accounting concepts that all or part of thatfinancing is not shown on balance sheet and profitability ratios evaluate firm´s efficiency and ability tomake use of resources using sales revenue and investment.In this study causal-comparative method has been used. Which library method (exchange’s archive)were used for gathering needed information in theorical basis and financial information based auditedfinancial statement. In this study, firm´s profitability ratios before and after off-balance sheetfinancing, and firms having and without off-balance sheet financing are compared.Hypothesizes analysis show that, from 1380-1385, off-balance sheet financing hasn’t had considerableeffect on profitability ratios. Manuscript profile

Open Access Article

4 - Appraising the Usefulness of Ratios Used in DuPont System in Predicting Profitability
فریدون اوحدی

In economic theory, there is no more important proposition than that, under competition, the rate of return on investment tends toward equality in all industries’. Although this notion is applicable to total profitability measures such as return on assets (ROA), More

In economic theory, there is no more important proposition than that, under competition, the rate of return on investment tends toward equality in all industries’. Although this notion is applicable to total profitability measures such as return on assets (ROA), there is good reason to believe that various components of ROA  identified by Dupont analysis will not revert to economy-wide levels, Industries have unique operating structures that Dupont analysis decomposes return on investment such as ROA into two multiplicative components, Profit margin (PM) and Asset turnover (ATO). This analysis is useful because each component measures different aspects of a firm’s operation. Advocate of this type of analysis claim that the components of ROA should provide additional insight into the business and operations of the firm and assist in forecasting. In this paper I examined whether Industry part of profit margin, Asset turnover and return on assets and Industry adjusted values of these variables (called abnormal) can predict future values (changes) of these variables , I found that decomposing each of these components into an abnormal and Industry component is useful for predicting also I found that profit margin and Asset turnover has a negative correlation with each other and the same is true with, their abnormal, (Industry-adjusted). In this paper pooled regression is used in predicting ROA, PM, and ATO of Industries and their Industry-adjusted values. Result showed that the regression equation is informative and significant. and provides enough information for decision making.   Manuscript profile

Open Access Article

5 - Investigating the relationship between customer focus and asset returns and inventory turnover ratios Companies Listed in Tehran Stock Exchange
Seyyed Alireza Mosavi

The purpose of this study was to investigate the relationship between customer focus and return on assets and turnover ratio of listed companies in Tehran Stock Exchange. The purpose of this study is applied and is descriptive-correlational. The population of the study More

The purpose of this study was to investigate the relationship between customer focus and return on assets and turnover ratio of listed companies in Tehran Stock Exchange. The purpose of this study is applied and is descriptive-correlational. The population of the study consisted of listed companies in Tehran Stock Exchange who were active from 2014 to 2016. The sample size was 118 companies in total and 472 companies - year in the time range collected by systematic removal of screening technique. Research data were determined. The tools used in this study are reports published by the Stock Exchange, Exchange Monthly, and Modern Access Software, Desert & Dena and auditing reports, financial statements and the online community of Certified Public Accountants. Pearson's correlation, Pearson correlation and linear regression were analyzed. The results showed that there is a positive significant relationship between customer focus and return on assets at 95% confidence level and also a positive and significant relationship between  customer focus and inventory turnover ratio. Finally, both hypotheses were confirmed. Manuscript profile

Open Access Article

6 - Investigating the Relationship between Sales Growth and Return on Assets with Board of Directors of Companies Listed in Tehran Stock Exchange
Seyyed Alireza Mosavi

The board of directors and in other words the board of directors of the corporations are the members of its board of directors. Shareholders invest their funds in the company by selecting board members and trusting in their good performance and wisdom, and they benefit More

The board of directors and in other words the board of directors of the corporations are the members of its board of directors. Shareholders invest their funds in the company by selecting board members and trusting in their good performance and wisdom, and they benefit from the company and shareholders by leveraging their intelligence and creativity after the financial year expires. With their intelligence and creativity, make a profit on the company and shareholders after the end of the financial year. The purpose of this study was to investigate the relationship between sales growth and return on assets with remuneration of board of directors of listed companies in Tehran Stock Exchange. The purpose of this study is applied and is descriptive-correlational. The population of the study consisted of companies listed in Tehran Stock Exchange that were active from 2014 to 2016. Sample size was determined by systematic elimination of screening technique of 118 companies and in total 472 companies / year in the timeframe of data collection. The tools used in this study are reports published by the Stock Exchange, Exchange Monthly, Modern Access Software, Sahara and Dena, and audit reports, financial statements, and the Internet Portal of Accountants. The data were analyzed using Chua and Housman tests, Mann-Whitney test, Pearson correlation and linear regression. The results showed that there is a positive significant relationship between sales growth and company board remuneration at 95% confidence level also, there is a positive and significant relationship between return on assets and corporate board reward, which both hypotheses were ultimately confirmed. Manuscript profile

Open Access Article

7 - A Comparative Study on the Relationship among Extended Market Orientation (EMO), Refined Economic Value Added (REVA) and Return on Assets (ROA)
Sh. Nayebzadeh M. Moein Aldin Z. Gheisary

The concept of marketing means that the performance of each business unit starts with recognizing its customers and their needs. Every organization is responsible for not only producing and selling products and services, but also satisfying its customers; thus observing More

The concept of marketing means that the performance of each business unit starts with recognizing its customers and their needs. Every organization is responsible for not only producing and selling products and services, but also satisfying its customers; thus observing its customers’ needs and wants empower the organization t in its indented markets. In accordance to this statement, many researchers have tried their best to introduce some methods and models to make this concept more applicable. Regarding the fact that the success of many organizations depends on creating a substantive competitive privilege and the key to make such a privilege is offering superior value for costumers; concentration on customers, competitors and the other influencing factors as a determinant culture in the organization or in the form of solitary complex consisting of purposeful activities toward market under some concepts such as market-orientation and customization in practice have been used. The current research has studied the relationship between Extended Market Orientation and business performance. Therefore, the subjects of this research project were the stock exchange companies which produced consuming products and their economic and financial data of 2004 to 2008 were available. The main variables of this research project were: Extended Market Orientation (EMO), the criteria of business financial performance (Rate of Return Assets (ROA)) and the criteria of business economic performance (Refined Economic Value Added (REVA)). In this research project, statistical inference, parametric and nonparametric statistical methods, Spearman and Kendall correlation test have been used. In this research project, the data which were required for determining the business performance criteria have been extracted from financial accounts of the organizations and the required data to evaluate the extent of market orientation in the mentioned companies have been collected by use of s standardized questionnaire used in international researches. In order to assess the market orientation, the questionnaire besides a letter from the university has been sent to each company and after repeated follow-up, 23 questionnaires were returned. After collecting the required data and using them to analyze the hypotheses, the results showed there is a significance relationship between extended market-orientation and rate of return assets while extended market orientation has no correlation with adjusted value economic added. Manuscript profile

Open Access Article

8 - Social Responsibility, Financial Performance and Institutional Ownership Reporting
Zahra Amirhosseini Maesume Ghobadi

In recent years, corporate social responsibility has been the sensitive topic of interest, and tends to invest in companies that are reporting corporate social responsibility is rising andit has become important in the area of financial reporting, especially in manageme More

In recent years, corporate social responsibility has been the sensitive topic of interest, and tends to invest in companies that are reporting corporate social responsibility is rising andit has become important in the area of financial reporting, especially in management accounting. Reviews of books show that there is an indirect relationship between social responsibility and institutional ownership. So, this study examined the mediating effect of financial performance on a relationship between corporate social responsibilities and institutional ownership. To this end, in the period 1389 to 1392,23 investing companies were tested in two stages as research sample. First, the relationship between corporate social responsibility and financial performance was examined and then the relationship between corporate social responsibilities having an institutional ownership considering the effect of mediator of financial performance was evaluated. The results show that there is an effect of mediator of financial performance on the relationship between the social responsibility and institutional ownership. Manuscript profile

Open Access Article

9 - Factors affecting enterprise risk management in companies listed on the Tehran Stock Exchange
mohamad hosein pourahmadi Gholam Reza Farsad Amanollahi zahra Lashgari

Enterprise risk management can identify, measure, control, and monitor risk levels. The issue of enterprise risk management has been of interest to companies in recent years. The purpose of this study is to determine the implementation of enterprise risk management prog More

Enterprise risk management can identify, measure, control, and monitor risk levels. The issue of enterprise risk management has been of interest to companies in recent years. The purpose of this study is to determine the implementation of enterprise risk management programs and then to examine the factors affecting the management of organizational risk 118 companies during the years 1388 to 1398. Factors such as firm size, growth opportunity, return on assets, financial leverage and dividends were also used as factors influencing the implementation of enterprise risk management. The test results of the hypotheses showed that the size of the company with 0.2853 and growth opportunity with 0.2349 multiplaiers is meaningful and positive. Also, financial leverage with -0.03935 and dividend with -0.01095 don’t have significance. In other words, at the 95% confidence level, firm size, growth opportunity, return on assets have an impact on enterprise risk management and financial leverage, dividend variables have no effect on enterprise risk management in companies listed on the Tehran Stock Exchange. In other words, enterprise risk management can improve the operational performance and increase the value of the company, and companies that are exposed to high risk due to environmental uncertainty can prevent and control the adverse effects of risk Manuscript profile

Open Access Article

10 - The impact of ownership concentration and dividend policy on the financial performance and capital structure of banks
Amirreza Keyghobadi Marjan Damankeshideh

In public companies, shareholders (employers) delegate decision-making power to their directors (ie, control, albeit to varying degrees, of ownership of this separation of interests). Managers are working in the best interests of the owners, as has been suggested by Mal More

In public companies, shareholders (employers) delegate decision-making power to their directors (ie, control, albeit to varying degrees, of ownership of this separation of interests). Managers are working in the best interests of the owners, as has been suggested by Mali's theory. In public corporations, ownership structures can be fragmented (large number of small shareholders) or concentrated (small number of major shareholders). When ownership is in the hands of the overwhelming agents, the centralized control system and when the ownership is distributed, the control system will be decentralized. Since ownership concentration is seen as an important determinant of corporate governance, it seems that the identity of the controlling owners has a fundamental role to play in ownership. In this paper, the effect of dividend policy and ownership concentration on the financial performance and capital structure of the banks listed in Tehran Stock Exchange is investigated using static panel estimators. The estimation of the regression model is done in 3 separate models. The research period is between 2012 and 2017 in 17 selected banks of the country. Manuscript profile

Open Access Article

11 - Factors Influencing the Performance of Acquisition Companies
Mohammad Reza Eghbal Seyed Ali Nabavi Chashmi Naser Yadollahzadeh Tabari

Moving toward globalization is one of the most contemplative and challenging issues of today. One of the best strategies for the growth and development of companies that operate in a changing environment and always be ready to respond is acquisition. The purpose of this More

Moving toward globalization is one of the most contemplative and challenging issues of today. One of the best strategies for the growth and development of companies that operate in a changing environment and always be ready to respond is acquisition. The purpose of this study is to investigate the factors affecting the performance of the acquirer companies. The study population is all companies listed in the Tehran Stock Exchange that were in the acquisition process from 2013 to 2016, and 48 of them were identified as acquisition companies and the statistical sample of the present study. The results indicated that the acquisition variable, intangible assets, and size of companies were positively correlated with ROA. In addition, the acquisition and size variables have a positive relationship with corporate performance with respect to ROE. Manuscript profile

Open Access Article

12 - Studying the Effect of the components of the cash conversion cycle and return on assets in abkame company.
Khosro Faghani Makarani Zahra Bineshian Yaser Ahmadi

This study examines the relationship between the cash conversion cycle and return on assets in this company from (1382) through (1390).in this research we study the effect of different variables of cash conversion cycle on profitability in this company. these variables More

This study examines the relationship between the cash conversion cycle and return on assets in this company from (1382) through (1390).in this research we study the effect of different variables of cash conversion cycle on profitability in this company. these variables consist of: Account Payable period,Inventory Turnover Period,Account Receipt Period. Current ratio, debt ratio, sales growth was considered as a control variable. For analyzing datas and accepting or rejecting each hypothesis we use from pearson and regresun correlation coefficient also we use that for normality. The conclusion of this study shows an inverse relationship between variables of cash conversion cycle and return on assets. it means if account receipt, cash conversion cycle and period of debt payment  increase ,the profitability of this company will decrease  so managers can create the positive value for shareholders with decreasing period of debt payment, period of inventory turnover, period of demand collection and… Manuscript profile

Open Access Article

13 - A Study of the Correlation between Board of Directors' Human and Social Capital and Corporate Financial Performance
Ali Nazari Abarbekouh Midya Azizi

Purpose: The purpose of the present study is to review the correlation between board of directors' human social capital and corporate financial performance.Method: To conduct this research, 163 corporations accepted in Tehran Stock Exchange during 2016-2021 were chosen. More

Purpose: The purpose of the present study is to review the correlation between board of directors' human social capital and corporate financial performance.Method: To conduct this research, 163 corporations accepted in Tehran Stock Exchange during 2016-2021 were chosen. Human capital is composed of 4 aspects including education, expertise, experience (in industry), and credit of board of directors while social capital consists of two internal and external segments. Financial performance was measured through 2 criterions of return on assets and Tobin's Q ratio and then the hypotheses were tested using multivariate regression and generalized least squares.Findings: There is a significantly positive relation between the number of experts in board of directors and return on assets whereas the number of experts in board of directors, the number of experienced members (in industry), and external/internal social capital have a significantly positive relation with Tobin's Q ratio.Conclusion: Hiring board of directors with higher human and social capital can improve the corporate value that is useful for the maximization of stockholders' wealth.  Manuscript profile

Open Access Article

14 - Evaluation of the association between company performance and Iran’s stock market liquidity
Zahra Amirhosseini Sadegh Hadipour

10.22034/amfa.2018.540831

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Open Access Article

15 - The Effect of Internal and External Factors on Outstanding Claims of Banks (Case Study of Listed Banks on the Tehran Stock Exchange)
Seyed Ali Nabavi Chashmi Reza Mansourian Asghar Azizi

10.22034/amfa.2016.527815

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Open Access Article

16 - The Effect of the Sale of the Company to Disclose Bad News for Companies at Different Levels of Activity Ratios
Mitra Mohammad Talebi Majid Davoodi Nasr Bahark Mohammadtalebi

10.22034/amfa.2016.527822

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Open Access Article

17 - Enhanced Prudential Standards Under Basel Iii: What Consequences For The Profitability Of Banks
Selma Haj Khlifa Amal Zaki

10.22094/joie.2020.677810

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Open Access Article

18 - The Effects of Entry of Real Shareholders and Exchange Rate Volatility on the Return on Assets in the Pharmaceutical Materials and Products of Tehran Stock Exchange (Dynamic Panel Data Approach)
Fereshteh Shams Safa marjan damankeshideh Majid AfsharRad Manijeh HadiNejad Alireza Daghighi Asl

AbstractPharmaceutical industry has a main share in capital market and a considerable role in stock market transactions through the collection of community micro-savings. Hence, the cruicial aim of this paper is to investigate the effects of nominal exchange rate volati More

AbstractPharmaceutical industry has a main share in capital market and a considerable role in stock market transactions through the collection of community micro-savings. Hence, the cruicial aim of this paper is to investigate the effects of nominal exchange rate volatility and entry of real shareholders on the return on assets (ROA) in the 32 pharmaceutical materials and products of Tehran stock exchange as a import oriented companies during the period of 2011-2019. For achieving this, by using of Panel GARCH method, the exchange rate volatility has been estimated and then, the impacts of this variabble with other explanatory variabbles such as entry of real shareholders, profit margin, capital and interest rate to the operational profit, have been examined on return on assets in these companies. The empirical results of model estimation by GMM estimator revealed that the exchange rate volatility has negative and entry of real shareholders has positive and significant effect on the return on assets. Moreover, the auxiliary variables like profit margin, capital and interest rate have positive, positive and negative effects on the return on assets. By results of this study, we can suggest that the financial policy makers with decreasing of exchange rate volatility through control of domestic prices and capital market stabilization policies, motivate real shareholders to enter the capital market and increase the production and profitability of pharmaceutical companies. Manuscript profile

Open Access Article

19 - The Impact of Credit Risk on the Banking System's Performance: (PANEL VAR Approach)
علی احمدی حسین‌علی احمدی جشفقانی اصغر ابوالحسنی هستیانی

Iran's banking industry due to the lack of adequate development of capital markets and inefficiencies in the market long-term and short-term financing to undertake major economic activity. Accordingly, lending an important part of the financing operations of any bank a More

Iran's banking industry due to the lack of adequate development of capital markets and inefficiencies in the market long-term and short-term financing to undertake major economic activity. Accordingly, lending an important part of the financing operations of any bank account, but the probability of timely repayment of the loan and facilitates the credit risk in banks and inattention in this regard to adverse results in the performance of the banks, if the amount of risk in the public and private banks also have significant differences, it is also the impact of such risks on the performance of these banks will be different. Given the importance of this study is to evaluate the effect of credit risk on the banking system as well as comparison of public and private ‌Y credit risk in banks during the period 1383-1392 has been discussed. In this regard, the operation panel data regression methods were used. The results showed jolts to the size of a standard deviation leads the credit risk of bank liquidity, return on assets and profitability of banks will be reduced. Based on the results, the long-term role in determining the profitability of banks is credit risk, but liquidity and efficiency in the long run significantly affected ‌Ha bank assets with credit risk. Manuscript profile

Open Access Article

20 - Analysis of the relationship between intellectual capital and competitive power factors(changes in ROA and company sales)
Mahdi Goodarzi Aliakbar Chaharmahali Ehsan Rahmaninia Hashem Nikoomaram محسن امینی خوزانی

The intellectual capital role on success of companies emphasizes addressing the issue of intellectual capital. Also, disclosure of this type of capital is important since it can affect the decisions of investors and financiers and subsequently the optimal allocation of More

The intellectual capital role on success of companies emphasizes addressing the issue of intellectual capital. Also, disclosure of this type of capital is important since it can affect the decisions of investors and financiers and subsequently the optimal allocation of resources, which leads to competitive advantage creation for companies. Furthermore, involvement of some factors affect the relationship between intellectual capital and companies' competitiveness. The purpose of this research is explaining some of these factors’ role and importance including strategic management accounting and political connections in process of influencing intellectual capital on asset returns and sales from the dimensions of companies' competitiveness. Findings have shown that in addition to the existence of a significant positive relationship between intellectual capital and asset returns and sales from the dimensions of competitive power, strategic management accounting also has an increasing moderating role in the relationship between intellectual capital and these dimensions of competitive power. Also, the political connections has a moderating role in the positive relationship between intellectual capital and sales dimension of competitiveness. The Results of this research emphasize the importance of two factors of strategic management accounting and political connections and their control in the relationship between intellectual capital and companies’ competitiveness. Manuscript profile

Open Access Article

21 - The Relative and Incremental Information Content of Earnings VS. Cash Recovery Rates for Measuring the Company’s Performance
Jalil Khodaparast Shirazi Ghodratallah Talebnia Tahereh Mosallanejad

The Content of Earnings have been investigated in many times. Accounting researchers have been looking for measurement which can be used as a competitor against earnings. One of the major competitors against earnings is cash flows. In this study, returns on assets is as More

The Content of Earnings have been investigated in many times. Accounting researchers have been looking for measurement which can be used as a competitor against earnings. One of the major competitors against earnings is cash flows. In this study, returns on assets is as proxies for earnings-based measures, and estimated internal rates of return is as proxies for cash recovery-based measures, That their relationship were investigated Tobin'Q and the stock returns, which are both indicators of the company’s performance. The research's method of the present study is based on the correlations. This study was conducted on the companies which were present in Tehran Stock Exchange. The study was done 2005 to 2008. Pearson product moment correlations and multiple regressions were used to test hypotheses. according to the results, it can be concluded that the relative information content of earnings is more than the relative information content of cash recovery rates. and the incremental information content can't be investigated. Manuscript profile

Open Access Article

22 - Implementation of Direct Subsidy System and Profitability Indicators in Political Economy Theory
علی مسیبی بهروز فرزانه حاجی حسنی

The present paper investigates the effect of establishing a direct subsidy system on profitability indicators (sales return rate, shareholder return rate, asset return rate) within the framework of political economy theory. The statistical population of the present stud More

The present paper investigates the effect of establishing a direct subsidy system on profitability indicators (sales return rate, shareholder return rate, asset return rate) within the framework of political economy theory. The statistical population of the present study is Tehran Stock Exchange, which 168 companies were selected as the sample of the study from 2006 to 2020 period. In order to perform statistical analysis in the present study multiple linear regression method with panel-effects method was used. Findings from the analysis of research data show that profitability indicators decreased in the period after the establishment of the direct subsidy system. Also other findings show that the accruals based earnings management has increased in the period after the establishment of direct subsidy system. Based on the findings of the present study, it can be concluded that subsidizing targeting plan has reduced the profitability of companies and increased accrual-based earnings management through cost pressures on producers.   Manuscript profile

Open Access Article

23 - The Effect of Income Smoothing and Earnings Quality on Financial performance of Firms
zeinab ariamand seyyed abbas ebrahimi

Profit smoothing can be seen as a deliberate reduction in profit fluctuations, so that the activities of the company appear to be normal. Managers are making profit smoothing to reduce this volatility. Some experts believe that investors are more willing to invest in sm More

Profit smoothing can be seen as a deliberate reduction in profit fluctuations, so that the activities of the company appear to be normal. Managers are making profit smoothing to reduce this volatility. Some experts believe that investors are more willing to invest in smoothing companies and are willing to pay more for them. Researchers believe that some of the characteristics of the company influence the motivation of managers to smooth profits. This study attempts to explain the theoretical foundations of the research, the relationship between earnings smoothing and company characteristics such as earnings quality, P/E and ROE and ROTA. Check the securities. In order to investigate the relationship between earnings smoothing and firm characteristics, data related to the period 2010-2017 were collected and analyzed. Logistic regression was used to test the research hypotheses. The results show that companies with higher price to earnings (P/E) ratios have more incentive to report earnings. And companies with higher earnings quality are more motivated to report earnings smoothly. Finally, it was found that larger ROTAs had a greater incentive to report earnings. Manuscript profile

Open Access Article

24 - Investigating the impact of corporate controversies on the performance
Mehdi ershadi mozhgan safa Zohreh Hajiha Hossein Moghadam

Purpose: This research was carried out with the aim of investigating the effect of corporate controversies on the performance of companies in the Tehran Stock Exchange.Method: In this research, the required data were extracted from Rahavard Novin software, financial sta More

Purpose: This research was carried out with the aim of investigating the effect of corporate controversies on the performance of companies in the Tehran Stock Exchange.Method: In this research, the required data were extracted from Rahavard Novin software, financial statements of companies and text mining, as well as the Tehran Stock Exchange website. The statistical population of the current research is the companies listed in the Tehran Stock Exchange in the period from 1391 to 1400. In order to test the research hypotheses, the combined data model was used. The software used for data analysis is Stata version 14.Findings: The results of research hypotheses show that three performance calculation criteria (return on assets, return on equity, economic added value) are negatively affected by company controversies. In other words, increasing the level of controversy with controversial and tension-causing factors reduces the ability of management to a significant extent.Conclusion: The negative perception by the stakeholders can have various consequences, including increasing financial risk, increasing the cost of debt, reducing the company's reputation and credibility, which will reduce the company's performance.Keywords: corporate controversies, company performance, return on assets, return on equity, economic added value Manuscript profile

Open Access Article

25 - The Relationship Between JIT-Based Quality Management and Financial Performance in Car Company Listed on the Stock Exchange
aysan seyfi hossein Boudaghi Khajeh Nobar

Nowadays, the quality management systems are important in the management of companies and organizations. Purpose of these systems is to increase profitability, survival of the organization and customer's satisfaction, along with steady decline of real costs. The impleme More

Nowadays, the quality management systems are important in the management of companies and organizations. Purpose of these systems is to increase profitability, survival of the organization and customer's satisfaction, along with steady decline of real costs. The implementation of these strategies can help organization to move from traditional form and led to dynamic and flexible structure. Thus many organizations cost a lot to achieve the benefits of establishment these systems. But in some cases, due to lack of correct understanding of the systems and particular conditions of the organization, implementation of these strategies leads to failure. The purpose of this paper is to examine the relationship between JIT-based quality management and financial performance of organizations. To do so, car companies listed on the stock exchange during the years 1389-1385 selected and their financial information examined. The results indicated that between JIT-based quality management and return on equity, there is a significant relationship at the 99% confidence level while, there is no any significant relationship between JIT-based quality management and return on assets.  Manuscript profile

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