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:: year 10, Issue 38 (2018) ::
fa 2018, 10(38): 140-170 Back to browse issues page
Effect of real activities management and quality of corporate governance on market pricing and the amount of cash holdings
Mojtaba Afshar Jahanshahi , Mahdi Bahar Moghaddam *1 , Ahmad Khodamipour
Abstract:   (2133 Views)
This study examines the effect of real activities management (RAM) on market pricing and the amount of cash Holdings and the impact that corporate governance quality can have on this relationship. For this purpose, data from 117 companies for the period 1391 to 1394 were used. However, for measuring some variables, the data of these companies for the 4 years before and one year later, over the years 1387 to 1395 were collected and used. The effect of real activities management on the amount and pricing of cash Holdings with a multivariate regression model was investigated. Also, to assess the quality of corporate governance, a model with commonly used indicators was designed and its impact on the pricing of cash Holdings was investigated. Based on the results of the research, income increasing real activities management has a significant effect on the amount and the pricing of cash Holdings. Also, the results indicate that the coefficient related to the interactive effect of cash Holdings and abnormal gains on asset sales in strong corporate governance firms is significantly more than those in weak corporate governance firms. In other words, corporate governance quality makes a meaningful modification of this effect.
Keywords: Real activities management, Quality of corporate governance, Cash holdings
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Type of Study: Applicable | Subject: Special
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Afshar Jahanshahi M, Bahar Moghaddam M, Khodamipour A. Effect of real activities management and quality of corporate governance on market pricing and the amount of cash holdings. fa 2018; 10 (38) :140-170
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year 10, Issue 38 (2018) Back to browse issues page
فصلنامه حسابداری مالی Quarterly Financial Accounting
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