The thesis contributes to the literature in the following ways: First it contributes to the body of literature by extending our knowledge on the predictive ability of alternative Unconditional methodologies. Second it adds to the body of litareture by providing practical tests so as to assess the performance of Conditional models. Third the thesis extends our knowledge on the sensitivity of utilising different portfolio formation criteria, while testing both Unconditional and Conditional asset pricing inferences. Fourth it contributes to the body of literature by extending our knowledge on Unconditional and Conditional beta models and their comparative performance. Fifth the thesis adds to the existing literature by estimating the Industry cost of capital, using the following different models, Unconditional, Conditional, the Arbitrage Pricing Model and the Capital Asset Pricing model. Thus provides empirical evidence using a practical application, estimation of the Industry cost of capital, of which model provides a better description of UK returns. Chapter 4 introduces the portfolio returns used in the thesis and examines the size, price earnings ratio, dividend yield effect and their interactions. The time-series of the primary portfolios start in 1956 and ends in 1996. We find that for the 1976-1996 period, that the dividend yield and PE effect subsume the size effect. However the PE effect subsumes the dividend yield effect and it is the PE effect that is the most dominant. The best documented of all stock market effects, the small-firm premium went into reverse during 1989-1996. The size effect lives on, but for the latest decade, it is the largest firms that outperform the smallest ones by 10.26% per annum. Chapter 5, which examines Unconditional models, aims to examine the predictive ability of alternative Unconditional methodologies. Another objective that is explored is the sensitivity of results to different grouping techniques, of size; PE ratio and dividend yield portfolio groupings. The third issue examined entails the identification of priced factors in the UK market, over a twenty year of period, (1976-1996), and for a data-set (approximately 6000 companies), which provides a complete history of firms traded on the London Stock exchange, inclusive of Unlisted securities market. We find that that the choice of one methodology over another has important implications and that there is a sensitivity of results to different portfolio groupings. Chapter 6, which examines Conditional models, i. e., conditioned on a set of instrumental variables, models the dynamic behaviour of portfolio returns using a Conditional Asset Pricing Model and examine the behaviour of macroeconomic risk premiums over time. We provide practical tests of Conditional Asset Pricing Models and forecast (i) the sign of the price of risk using the probit model, (ii) the magnitude of the price of risk and (iii) portfolio returns for the size, PE ratio and dividend yield portfolios. We find that the instrumental variables show ability to predict variation of the price of risk of the return on FTSE, S&P 500, unexpected UK stock exchange turnover, change in money supply, imports, inflation and portfolio returns. Chapter 7 compares first Unconditional (constant) and Conditional (time-varying & conditioned on a set of instrumental variables) beta models and second the CAPM and the APM, estimates the industry cost of capital. We find differences, between constant unconditional betas and conditional betas cost of capital. The average Mean Square Error (MSE) for the conditional betas are smaller compared to constant betas. Moreover we find that the CAPM has larger MSE not only compared to the APT model with conditional betas, but with APT with unconditional betas. The Conditional beta model provides the best description of UK returns. We also run Monte Carlo simulations and test the statistical significance of the errors of the Conditional beta model. We find the errors to be statistically insignificant.

<p> This dissertation consists of three essays studying the role of accounting data in predicting distributions of stock returns. In the first essay, I explore the ability of accruals to predict future price (earnings) crashes and jumps, representing extreme negative and positive observations in the distribution of firm-level weekly returns (changes in quarterly ROA). I find that high (low) accruals predict a higher probability of price and earnings crashes (jumps) than medium accruals. In the second essay, I re-examine the ability of asset turnover growth, which reflects growth in both assets and sales, to predict future stock returns. While the prevailing view is that this relation is due to the spread between sales and asset growth, my results suggest it is driven mainly by the asset growth component. I do, however, find that this spread is positively related to future returns for a subsample of firms that did not make significant acquisitions or divestitures. In the third essay, I re-examine the puzzling negative correlation between aggregate stock returns and aggregate earnings at the quarterly level. I find that the negative aggregate returns-earnings correlation is unstable and the negative correlation for the period of 1976-2000 is mainly caused by the negative correlation between aggregate earnings and discount rate news.</p>

The aim of this study is to examine the relationship between the adoption of ABC by firms based in Thailand and the Thai economic crisis (1997) through theoretical models of organisational learning and the relationship between the implementation of ABC and the philosophy of organisational learning. The research model in this study is developed from Hurst's (1995) and Argyris' (1999) theoretical models of organisational learning. A mail questionnaire survey was considered an appropriate method for this study. The sample was selected from firms listed on the Stock Exchange of Thailand (SET) that operate in the Bangkok region (292 firms). 101 questionnaires were returned, generating a 34.59% response rate. Furthermore, the structured interviews with a selfselecting sub-sample were conducted to supplement the survey data. Out of 101 questionnaire respondents, 12 agreed to be interviewed. The quantitative data were processed using a SPSS program and the qualitative data gathered from the interviews were analysed using content analysis. The results show that the economic crisis was a significant variable forcing Thai firms to build organisational learning, in terms of the reorganisation or the adoption of innovations, including ABC, for their survival. Due to the changed environment, such as increased competition or growing costs, and the inability of the traditional cost systems to provide information in the new environment, several Thai firms had adopted and implemented ABC in response to the changed environment. This finding also revealed that the adoption of ABC promoted Thai firms' organisational learning in the double-loop mode, which enables an organisation to survive in the rapidly changed environment. In addition, it was found that the development and implementation of ABC were involved with an organisation's learning and the success of ABC was partly contingent on the level of organisational learning. This study also confirmed that behavioural and organisational variables played crucial roles in helping an organisation to create learning about ABC and leading an organisation to achieve the implementation of ABC. Especially, the clarity of the objectives of ABC was an important variable affecting significant variation in the degree of ABC success. Last, the findings suggest that an expansion of coverage of surveys and an extension of study to the government sector would be beneficial. Future researchers can also extend the investigation to other innovations and other variables associated with the implementation of ABC, such as contextual variables.

Thesis (Ph.D.)--University of California, Berkeley, 2005. / (UnM)AAI3190806. Source: Dissertation Abstracts International, Volume: 66-10, Section: A, page: 3707. Chair: Brett M. Trueman.

Thesis (Ph.D.)--University of Washington, 2007. / (UMI)AAI3265436. Source: Dissertation Abstracts International, Volume: 68-05, Section: A, page: 2100. Adviser: Robert C. Higgins.

Thesis (Ph.D.)--Indiana University, Kelley School of Business, 2008. / Title from PDF t.p. (viewed on Jul 23, 2009). Source: Dissertation Abstracts International, Volume: 69-11, Section: A, page: 4394. Adviser: James M. Wahlen.

Thesis (Ph. D.)--Management, Georgia Institute of Technology, 2008. / Mulford, Charles, Committee Member ; Schneider, Arnold, Committee Chair ; Comiskey, Eugene, Committee Member ; Church, Bryan, Committee Member ; Basu, Sudipta, Committee Member.

The prohibition of insurance as specified in the conventional business model has led to Takaful being established for the Muslim community to fulfil their accountability/obligations towards Allah. The absent of a contract in Takaful, a replacement of the conventional sale contract in insurance has resulted in the emergence of Muamalah contracts as a basis for contractual structures and this bear the minimum acceptable requirement of Shariah. The attainability of such contractual structures to be used in Takaful had been unstable in the sense that it needs various reviews, and this has occurred precisely because it has been laden with both Shariah compliance and operational issues detaching the contracts from its original Shariah and economic substances. This research explores how the governance of Takaful in Brunei considered and adapted unstable contractual structure for Takaful operation inciting the divergence from the fundamental principles of Shariah. The main objective of the research is to explore the governance of Takaful in Brunei. The research seeks to identify and analyse the factors that influence the adaption of the Takaful contractual structure, examine the logics behind the current governance framework, and investigate the disclosure of information and financial reporting of Takaful. It utilizes the interpretive approach and this is supported by qualitative research methods in the form of interviews, participant observation and document review. The thesis also uncovers the causal factors of the necessity to adapt unstable contractual structure, and this in turn raises the concern of how Takaful is governed. In this work neo institutional theory of institutional isomorphism is used to identify these factors and the manner in which they influence the adaption process. In addition, the logical reference exhilarating the governance framework of Takaful is examined through the lens of institutional logic theory to understand why it has not been possible to alleviate concerns surrounding the adaption of the contractual structure. The analysis also extends to unravel the core logics of governance driving Takaful disclosure and financial reporting. Empirical findings show that the Brunei government has been the main driving factor in terms of adapting the current contractual structure during the initial creation of Takaful in Brunei. Ironically conventional insurance has been used to define the boundaries for structuring the contractual model for Takaful to replace conventional insurance model. Other factors at the macro (e.g. government influence), meso (e.g. the industry) and micro (e.g. between the companies and within each company) levels have also influenced the current contractual structure through the main three forces: coercive (e.g. government enforcement), normative (e.g. Legal Framework) and mimetic (e.g. following other Takaful operators). Decoupling the substance of the contract and actually implementing it is masked by the Shariah governance responsible for approving the individual contracts without evaluating the whole business structure from the Shariah perspective. The business and Shariah logics are the main dominance of Takaful governance frame of reference. Separation between these two logics served as sustainable force for its ability to reflect the compliance status desired by the industry. This creates trust in governance and an environment of adhering to Shariah in good faith. Disclosure and financial reporting decisions are driven by the regulatory, market and Shariah logics, where the regulatory logic dominates the mandatory disclosures. Finally, in evaluating these factors that influence the governance of Takaful in Brunei the thesis offers options of how to improve the contractual structure and addressing concerns thereof.

Scholars have argued that well-governed firms achieve better firm performance. This study addresses the question of whether a relationship exists between corporate governance mechanisms and the performance of non-financial firms listed on the Kuwait Stock Exchange (KSE). The study combines quantitative (OLS panel regression analysis) and qualitative (interviews) methods. Such triangulation will improve the understanding of the underlying process. The quantitative data produced mixed results. According to the OLS regressions, some governance mechanisms (e.g., non-executive directors, family members on boards, and dividends) positively relate to firm performance value while debt and ownership concentration (based on ROA only) negatively relate to firm performance. However, when the governance mechanisms are treated endogenously using 2SLS regression, based on both measures (Tobin's Q and ROA), several corporate governance principles, such as board size and role duality, have no relationship with firm performance whereas dividends and family directors positively impact firm performance. However, the ownership concentration, proportion of non-executive directors, and debt produced mixed results. The Hausman test provides evidence that the governance mechanisms are endogenous. In addition, if any causal relationship does exist, it would be from the governance mechanism structure to firm performance. The main findings of the qualitative data are similar. A significant change has emerged in Kuwaiti trends related to corporate governance, yet the current corporate governance principles in Kuwait are perceived as irrelevant. Ownership structure provides minority shareholders with weak rights. Meanwhile, family members on boards and role duality produce mixed views. However, other board variables such as the proportion of non-executive directors and board size are not effective. Finally, high dividends mean high firm performance while high debt leads to financial risks and problems with limited roles for Kuwaiti banks in monitoring.

The mandatory adoption of IFRS2 and its equivalent FAS123R (Share-Based Payment) presented a radical change in financial reporting of Share-Option Based Compensation (SOBC). Both IASB and FASB adopted the view that disclosure is not an adequate substitute for recognition; consequently, all SOBC transactions ultimately lead to expense recognition, measured at the grant-date fair value of SOBC. This thesis identifies and evaluates the major financial reporting implications of alternative reporting methods of accounting for SOBC across a global context and over different time periods for pre and post adoption of IFRS2/FAS123R. It explores two key research questions using an international sample of US and EU banks over the period (2004-2011). The first research question aims to identify, analyse, compare and evaluate the total effect of the compulsory adoption of IFRS2/FAS123R, on selected banks’ performance measures. Underpinned by equity valuation and agency theories, the second question aims to assess the extent to which the mandatory recognition approach to expensing SOBC provides more value relevant information that better reflects the incentive properties of such rewards than the disclosure approach. The findings show that the expensing of SOBC has resulted in modest and statistically significant negative effects on both US and EU banks’ selected financial performance measures with the impact being more likely to be higher in the US banking sector. The reported modest impact does not reflect earlier research estimations indicating that concerns and criticism of the implementation of IFRS2/FAS123R are largely unsubstantiated. The results also indicate that the recognition regime to expense SOBC is significantly more value relevant and better reflects the intangible value attributable to such rewards, relative to the disclosure regime. The influence of the differences in the financial reporting contexts on the intangible value attributable to SOBC is less burdensome after the mandatory adoption of IFRS2/FAS123R.