This thesis includes estimating the probability of informed trading, PIN, developed by Easley, Kiefer and O’Hara (1996, 1997a, 1997b), for a large sample of listed firms in China from 2002 to 2008, and I use PIN to explore two independent research questions in corporate finance. First, the probability of informed trading is applied to explain the discount in value for firms with diversified business operations. Although aiming to increase firm value, the corporate diversification decision usually results in a firm value discount, for a variety of reasons, one of which is the transparency problem. My study directly tests the relation between the information asymmetry revealed from the stock market and the firm value discount due to diversification decision. The results show that the corporate diversification decisions result in a lower firm value in China, mainly because the diversified firms suffer from a higher level of information asymmetry or a lower level of transparency. After controlling for the measure of information asymmetry, the strategy of diversification itself does not reduce firm value. Second, the probability of informed trading is applied to explain the payperformance sensitivity of CEO compensation in Chinese listed firms. The payperformance sensitivity measures the change in managerial compensation based on the change in shareholder wealth. A higher information asymmetry helps and encourages shareholders to spend more on incentivizing the management team. My results show that higher level information asymmetry is associated with higher payperformance sensitivity of CEOs in China. The result also holds if information asymmetry is approximated by analysts’ forecast errors. According to the estimates of PIN in this thesis, Chinese firms are shown to exhibit a higher level of information asymmetry than what has been found in the U.S. market. The thesis ends with a brief discussion of the results and what future research could follow.

We re-examine the classic problem of risk aversion and self-protection in this paper. In the beginning of this paper, we conduct comparative statics of risk aversion and prevention efforts based on the mono-periodic two states model of choice under risk. We show this new condition is effective with self-insurance-cum-protection model (Lee, 1998), in which the decision maker's activities to prevent the risk can sever both as self-insurance and self-protection. We suggest a new condition that increased risk aversion induces more prevention activities. This new condition requires only one assumption concerning fear of ruin coefficient, marginal effect of SICP activity on probability and marginal cost of SICP activity. By applying interval dominance order (Quah and Strulovici,2009), we find that a decision maker will exert higher level of SICP activity if he becomes more risk averse, under the condition that his hazard rate is higher than the 'boldness' coefficient (Aumann and Kurz,1977). This new condition is effective even when the optimal level for SICP activity is not interior solution. With our method, the assumption, that optimal solution is interior, is not necessary and marginal utility functions do not need to be monotonic on the interval [0, w0]. Based on this, the optimal solution can be corner solution or inflection point solution. And the DM's attitude towards risk can be variable. Hence, the relation suggested by our findings is more consistent with real world situations.

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No description available.

Thesis (M. Dev.) -- University of LImpopo, 2017. / The new democratic government of South Africa came into power in 1994 and it inherited a dysfunctional municipalities. In fact it inherited a country with high levels of poverty, growing levels of inequality and also social dysfunctionality. The local government sphere was established in South Africa with the main aim of addressing inequality, segregation, inequity, discrimination in the provision of municipal services and eradication poverty within communities. However, ever since the establishment of local government sphere in South Africa, the sphere of local government is fraught with many challenges which make it impossible for municipalities to render proper municipal services to the members of the public. This is evident from the protests which were observed in the country ever since the year 2008 were communities demanded better services from their municipalities. This mini-dissertation therefore discusses the application of the principles of corporate governance in delivering and improving municipal service in South Africa. It further discusses the legislative framework and the institution of government which are responsible for the effective implementation of corporate governance in the local government sphere. Pursuant to that it also explains the concept of Corporate Governance within the local government. Furthermore, it discusses the parameters of the challenges that are faced by the municipalities which are ranging from fraud, nepotism, corruption and poor financial management which result in poor service delivery.

This master thesis deals with analysis of indebtedness and economy of city Havlíčkův Brod in 2010 – 2016. In the theritorial part is defined the territorial self-goverment in the Czech republic, management, indebtedness, revenues and expenditures of city. The analytical part contains the basic information about Havlíčkův Brod. It also deals analysis of the economy and the indebtedness of the city in the years. The final part of the thesis contains suggestions for improvement of the city’s economy.

This Master’s thesis focuses on a financial management of construction order in the context of a group of companies. The thesis is divided into two parts. The theoretical part covers all aspects of this topic, which is to describe a construction company, construction order, financial planning of construction company, financial management of construction order, and further is to define group of companies (association of companies), its contract and authorities. The practical part focuses on financial management of real construction order, which has been realized by group of construction companies. Firstly, the thesis defines costs and revenues of association of companies in detail which are related to real construction order. The practical part is further divided into three variants. First variant determines profit and loss of group of companies and its individual participants for the given period. The next two variants display designed specific model situations and their result is also to determine profit and loss of group of companies and its individual participants. The main goal of the thesis is to compare all variants together and evaluation along with comments.

Delningsekonomi som företagsform har ökat de senaste åren. Delningsekonomi definieras som en digital plattform vilket kan användas privat eller av företag för att dela varor eller tjänster. I definitionen ingår att ingen överlåtelse av äganderätt sker, med andra ord, den som hyr ut har fortfarande kvar ägandet. Tidigare forskning inom ämnet delningsekonomi har målat upp det som en lovande affärsstrategi som lyfter fram ekonomiska aspekter. Dessa visas i termer av positiv koppling till bekvämlighet, bättre service och lägre kostnader. Potentiella fördelar och nackdelar med delningsekonomin har det forskats en del inom, men dock saknas studier som jämför svenska delningsekonomiska företag med svenska traditionella företag ur ett nyckeltalsperspektiv. Syftet med studien är att analysera och jämföra svenska företag inom delningsekonomiska sektorn med traditionella företag med utgångspunkt från nyckeltal för företagen. Strategin som användes i studien är flermetodsforskning. Först gjordes komparativ forskningsdesign med en kvantitativ metod. Tio nyckeltal användes för att kunna påvisa eventuella likheter och skillnader mellan företagen. Sedan gjordes systematisk innehållsanalys av årsredovisning för att förstå mer av företagens ekonomiska situation. Resultatet i denna studie visar på att det finns skillnader mellan delningsekonomiska företag och traditionella företag. Delningsekonomiska företag har generellt sämre nyckeltal; jämförelse med traditionella företag. Delningsekonomiska företag har högrekostnader än traditionella företag. Denna slutsats att delningsekonomiska företag har högre kostnader än traditionella företag går emot tidigare forskning inom ämnet. Grundtanken med delningsekonomiska företag är att kostnaderna ska vara lägre än traditionella företag men i denna studie visas att svenska företag har högre kostnader. Studien ger som resultat att i delningsekonomiska företag är nio av tio nyckeltal är lägre för delningsekonomiska än traditionella företag. De studien har kommit fram till tyder på att delningsekonomiska företag har en sämre ekonomisk ställning än traditionella företag. / Sharing economy is defined as a digital platform which can be used privately or by companies to share goods or services. The definition includes that no transfer of ownership takes place, in other words, the lessor still has the ownership. Previous research in the subject of sharing economy has painted it as a promising business strategy that highlights economic aspects. These are displayed in terms of positive connection to convenience, better service, and lower costs. There has been some research into potential advantages and disadvantages of the sharing economy, but there are no studies that compare Swedish sharing economy companies with Swedish traditional companies from a key figure perspective. The purpose of the study is to analyze key figures and compare Swedish companies in the sharing economy sector and Swedish traditional companies. This study found that nine out of ten key figures had a lower value for sharing economy than traditional companies. The observations the study has shown indicate that sharing economy companies have a worse financial situation than traditional companies.

This diploma work analyzes problems which are connected with financial decision-making in the company. On basis choice methods is effected financial analysis and includes possible project identification problems which can lead to improvement financial position of company in future years.

This thesis evaluates the financial and economic situation of the company Železárny Štěpánov, spol s. r.o. It uses a prime financial analysis methods based on financial statements from the time period of 2004 –2007. Besides the theoretical and the analytic part contains suggestions and recomendations for an improvement of the company´s current position with regards to company opportunities and strategy of its future enterprise.