Editorial

ID: 10934

Authors: Fábio Frezatti.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 101-101, May-August, 2013. 1 page(s).

Document type: Editorial (Portuguese)

International experiences with accrual budgeting in the public sector

ID: 10935

Authors: Bento Rodrigo Pereira Monteiro, Ricardo Corrêa Gomes.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 103-112, May-August, 2013. 10 page(s).

Keyword: Accrual basis , Fiscal policy , Public budgeting

Document type: Article (Portuguese) Show Abstract

With the adoption of accrual accounting as the basis for accounting records applied to accounting in the public sector of many countries, governments have to decide between keeping a cash basis for the preparation of budget documents and broadening the spectrum of change to include the field of public budget generation. This subject has been studied particularly by national governments and international organizations to verify the appropriateness of the paths taken by these countries. This article aims to initiate an important discussion for Brazil regarding the future passing of laws on public finances and paves the way for additional studies that expound on the discussion on accrual budgeting. International studies conducted on accrual budgeting together with government documents of the countries that have adopted the practice have been used as data sources. Based on the compilation of these documents from the Internet, content analysis was conducted, making it possible to identify differences between existing regimes and to identify advantages and disadvantages of accrual budgeting. Notably, differences were identified in terms of recorded amounts related to non-financial expenditure (e.g., depreciation) and recognition of liabilities during their generation rather than at the time of their payment. It is important to compare countries that use cash-based budgeting after the adoption of the accrual basis of accounting with countries that have adopted accrual budgeting and accounting to ascertain to what extent the same regime should be used for accounting and budgeting.

Social disclosure and cost of equity in public companies in Brazil

ID: 10936

Authors: Rodrigo de Souza Gonçalves, Otávio Ribeiro de Medeiros, Jorge Katsumi Niyama, Elionor Farah Jreige Weffort.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 113-124, May-August, 2013. 12 page(s).

Keyword: Brazilian companies , Cost of equity , External social programs , Market efficiency , Social disclosure

Document type: Article (Portuguese) Show Abstract

This study aims to analyze the relationship between the level of social disclosure and the cost of equity in public companies in Brazil. The hypothesis is that external social programs promoted or supported by a company increase the organization's reputation, compensate for externalities and bring economic benefits through the negative relationship with the cost of equity. To test this hypothesis, social responsibility reports of 83 companies listed on the São Paulo Stock, Mercantile and Futures Exchanges (Bolsa de Valores, Mercadorias e Futuros de São Paulo - BM) from the period 2005-2009 were collected and analyzed. A composite index of 13 indicators was used to evaluate the social disclosure level of the companies analyzed. The cost of equity was risk-adjusted using the capital asset-pricing model (CAPM) and regression tested using panel data with cross-sectional fixed effects. The results show a negative relationship between the cost of equity and level of social disclosure, indicating that the Brazilian stock market has a semi-strong form of market efficiency.

Solid waste environmental disclosures of public companies in Brazil of environmentally sensitive industries

ID: 10937

Authors: Barbara de Lima Voss, Elisete Dahmer Pfitscher, Fabricia Silva da Rosa, Maísa de Souza Ribeiro.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 125-141, May-August, 2013. 17 page(s).

Keyword: Environmental Disclosure , Public Companies in Brazil of Environmentally Sensitive Industries , Solid Waste

Document type: Article (Portuguese) Show Abstract

This study is motivated by companies' obligations to submit environmental information on solid waste in 2010. The research question is as follows: how was environmental information related to the solid waste of public companies in Brazil of environmentally sensitive industries disclosed in 2010? The general method used to answer this question was an analysis of public companies in Brazil of environmentally sensitive industries about of solid waste environmental disclosures in 2010. The following specific objectives were set: (i) to propose a model to identify documents as solid waste environmental disclosures and (ii) to evaluate the level of environmental disclosure and correlate it with financial variables. An analytical model of the solid waste environmental disclosure (Waste-Ede) was constructed for data analysis, which combined the concepts contained in the Environmental Disclosure Evaluation model, national policies regarding solid waste (Federal Law. no. 12.305/2010) and the Global Reporting Initiative (GRI) (2006) guidelines. The results show that most companies did not publish a sustainability report. The non-probabilistic final sample included 86 companies. The results limited to this sample showed that companies are disclosing information on solid waste at the market level (according to the model), with a mean of 12.44 points, and that there was a significant correlation at the 95% level between the Waste-Ede index and the following financial variables: environmental investments, total assets, net equity and gross revenues. In conclusion, in 2010, public companies in Brazil of environmentally sensitive industries that were part of the study most likely complied with regulations because of pressure from investors, given that regulators had no power of enforcement.

The influence of the ownership and control structure on corporate market value in Brazil

ID: 10938

Authors: Daniel Ferreira Caixe, Elizabeth Krauter.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 142-153, May-August, 2013. 12 page(s).

Keyword: Corporate governance , Corporate market value , Generalized Method of Moments , Ownership and control structure

Document type: Article (Portuguese) Show Abstract

The Brazilian model of corporate governance is characterized by a highly concentrated ownership structure, which usually culminates in an overlap between ownership and management. According to the literature, the accumulation of shares by the controller(s) can affect corporate performance due to both the alignment (or incentive) effect and the entrenchment effect. At first, the presence of large shareholders is associated with benefits for an organization because it increases the effectiveness of management monitoring. However, very high levels of ownership concentration can allow controllers to dominate the corporation's decision-making process, which could result in the expropriation of wealth from minority shareholders. The relevance of the ownership structure as an internal mechanism of corporate governance motivates the present study. This article aims to test whether ownership and control concentration influences corporate market value. An unbalanced panel was used for the period from 2001 to 2010, composed of 237 Brazilian non-financial publicly traded companies, totaling 1,199 observations. Dynamic regression models were used, estimated by the System Generalized Method of Moments (Sys-GMM), to mitigate possible sources of endogeneity, such as the omission of variables, the feedback effect, and the simultaneity. A quadratic relationship was found between cash flow rights of the largest shareholder and firm market value. Moreover, the results indicate that the corrected market value of the total shares held by the largest shareholder captured the incentive effect, while voting rights concentration captured the entrenchment effect.

The effect of corporative diversification on the capital structure of Brazilian firms

ID: 10939

Authors: Jandir Nicoli Junior, Bruno Funchal.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 154-161, May-August, 2013. 8 page(s).

Keyword: Capital structure , Corporate diversification , Cross-pledging

Document type: Article (Portuguese) Show Abstract

This study aims to determine whether corporate diversification increases the borrowing capacity of Brazilian companies by means of cross-pledging. Using a panel data model, we estimated the relationship between leverage and the degree of corporate diversification using a sample of companies listed on the São Paulo Stock Exchange (Bovespa) between 2009 and 2011 and Brazilian companies with access to international markets through American Depositary Receipts (ADRs) in the period 2003-2011. Using empirical tests, we found no relationship between diversification and debt in either sample, indicating that a strategy of corporate diversification should not be used as a strategy to expand a company's financing capacity.

Self-determination theory: an analysis of student motivation in an Accounting Degree Program

ID: 10940

Authors: Edvalda Araújo Leal, Gilberto José Miranda, Carlos Roberto Souza Carmo.

Source: Revista Contabilidade & Finanças, v. 24, n. 62, p. 162-173, May-August, 2013. 12 page(s).

Keyword: Accounting , Motivation , Self-Determination , Students , Teaching

Document type: Article (Portuguese) Show Abstract

The Self-Determination Theory has been widely discussed in the field of motivation in school learning and, according to some researchers, this theory can be summarized as a continuum of self-determination that indicates six types of motivation, which vary qualitatively according to the internalization of external rules of behavior. In this sense, the present study aimed to evaluate the motivation of Accounting Science students in a public university in light of the Self-Determination Theory. The research sample consisted of 259 students enrolled in all academic terms of the Accounting degree program of a public higher education institution in Brazil. The survey results were analyzed using exploratory factor analysis, which identified seven factors that explain 61.09% of the total data variability. The results of the present study are somewhat consistent with those found in previous studies, and the motivation for learning was quite diverse among the students studied. However, some students were concerned with deepening their level of expertise or achieving adequate foundations for their future role. Others were concerned only with getting their diploma or were present in classes simply to meet attendance requirements. These findings show the relevance of studies on the teaching of Accounting because the field has epistemological peculiarities that must be considered while teaching and learning. It is important to emphasize the importance of understanding and evaluating students' motivational levels because this will facilitate planning while encouraging and exploring motivation in academic settings.