Editorial - Relato de um momento importante: reflexões dos alunos da disciplina teoria da contabilidade do mestrado da USP, trinta anos depois

ID: 6884

Authors: Anísio Candido Pereira, Antonio de Jesus Mendes, Antonio J. Baccarin S. de Camargo, Carlos Alberto Hideo Matsuda, Carlos Matias Kolb, Clóvis Ioshike Beppu, José Carlos Marion, José Hiro Nakamura, Luiz Antonio Girnius, Luiz Carlos Miranda, Luiz Licco Netto, Marcelo André Steuer, Márcio Roberto Veneroso, Mussolini Orrú, Natan Szuster, Reinaldo Guerreiro, Waldomiro Carvas, Walter Rodrigues Filho, William Celso Silvestre, Yung Un Song.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 5-6, January-April, 2008. 2 page(s).

Document type: Editorial (Portuguese)

Detecting earnings management in Brazil: estimating discretionary accruals

ID: 6334

Authors: Antonio Lopo Martinez.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 7-17, January-April, 2008. 11 page(s).

Keyword: Accruals , Discretionary Accruals , Earnings management , Net income

Document type: Article (Portuguese) Show Abstract

This paper analyzes classic models used in international academic literature to estimate discretionary accruals, which are an empirical proxy to detect earnings management. Additionally, it provides evidence that Brazilian public companies practice earnings management in response to capital market incentives. Initially, some important concepts are clarified, such as accruals and discretionary accruals. After a critical analysis of the main accruals model, the Kang & Silvaramakrishnan model (1995) was implemented in the context of Brazilian companies, which is technically considered the most accurate model for Brazil. To check the robustness of the model, circumstances were investigated where there were strong incentives to practice earnings management. The results confirm the earnings management hypothesis. Evidences were documented that Brazilian public companies manage their earnings to: a) Avoid reporting losses; b) Sustain recent performance and c) Worsen the current net income in order to have better future results (take a bath).

A model for the classification of companies credit risk

ID: 6335

Authors: Giovani Antonio Silva Brito, Alexandre Assaf Neto.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 18-29, January-April, 2008. 12 page(s).

Keyword: Credit risk model , Default event , Financial ratios , Logistic regression , Publicly traded companies

Document type: Article (Portuguese) Show Abstract

The process of credit risk management in financial institutions has been revised in recent years. In this context, large banks have developed and implemented several new techniques for measuring borrowers credit risk. This research aims to develop a risk classification model to assess the credit risk of companies in the Brazilian market. The model was built based on a sample of publicly traded companies classified as solvent or insolvent during the period from 1994 to 2004. Logistic regression was used to develop the model. The independent variables of the model are financial ratios, calculated from the financial statements and used as proxies of companies economic and financial situation. The validation of the model was done using the Jackknife method and a ROC Curve. The results of the study indicate that the risk classification model developed predicts default events one year prior to failure with good level of accuracy. The results also indicate that financial statements contain information that allow for the classification of companies as probably solvent or probably insolvent.

Possibilites for inserting Brazilian accounting research in the international scenario: a proposal for the assessment of scientific accountancy and auditing journals published in english and available in the CAPES journal portal

ID: 6336

Authors: Fernando Dal-Ri Murcia, José Alonso Borba.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 30-43, January-April, 2008. 14 page(s).

Keyword: Accounting journals , Accounting research , CAPES Portal , International penetration , Journal evaluation

Document type: Article (Portuguese) Show Abstract

This paper aims to propose a methodology to evaluate accounting and auditing journals published in English and available in the CAPES Journal Portal. The research is justified by two basic premises: Brazilian accounting research needs international penetration and foreign journals have not been evaluated by CAPES yet. This study sample is composed of the journals that had the words accounting and auditing in their title. Non-academic journals were not analyzed and the final sample consisted of 40 journals. Data were collected from the journals websites and involved an analysis of the following aspects: editorial board, instructions for authors, aim/focus, blind review, indexation in SCOPUS and Institute for Scientific Information, Journal of Citation Report impact factor and temporality ratio. To collect information on the journals cut rate, e-mails were sent to the chief editors. Based on the proposed methodology, 8 journals received an "A" concept, 20 "B" and 12 "C". The three best evaluated journals according to this study are: Journal of Accounting and Economics (JAE), Accounting Organization and Society (AOS) and The Accounting Review (TAR). This paper aims to contribute to Brazilian literature by proposing an alternative methodology for scientific journal evaluation.

In search of a plan for ranking international accounting periodicals for Qualis CAPES

ID: 6337

Authors: Ilse Maria Beuren, José Carlos de Souza.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 44-58, January-April, 2008. 15 page(s).

Keyword: Accounting , International Journals , Propostal , Qualis CAPES , Ranking

Document type: Article (Portuguese) Show Abstract

The objective of this article was to search for ways to support the outlining of a proposal for ranking international accounting periodicals for use by Qualis CAPES. To do so, an exploratory cross-sectional survey was carried out, using a quantitative approach. Data was collected from the CAPES Journal Portal, obtaining a total of 50 periodicals. Results show: international accounting journals available through the CAPES Journal Portal; international accounting journals indexed in SCOPUS or ISI but not available through the CAPES Journal Portal; accounting journals cited in accounting journals indexed in SCOPUS; accounting journals cited in accounting journals indexed in SCOPUS but not available through the CAPES Journal Portal; and the 2006 impact factor of accounting journals cited by accounting journals indexed in SCOPUS. Based on these research results, a proposal for classification of international accounting journals was outlined for use by Qualis CAPES, intended as a starting point for discussion and construction of a proposal in the light of the 2007 Qualis CAPES revision.

Use of agricultural future contract in the mean investment profile of Pension Funds in Brazil

ID: 6338

Authors: Thiago de Melo Teixeira da Costa, Carlos Alberto Piacenti.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 59-72, January-April, 2008. 14 page(s).

Keyword: Adapted Sharpe Index , Agricultural derivatives , Pension Funds , Value at Risk

Document type: Article (Portuguese) Show Abstract

Pension Funds have become increasingly representative internationally and nationally. These institutions present an efficient administration of their investment portfolios. At the same time, the negotiations with agricultural future contracts are increasingly consolidated in Brazil as an alternative for investors wanting to diversify their portfolios. This work aimed to evaluate the viability of using agricultural derivatives as a form of minimizing the risks of investment portfolios of Pension Funds in Brazil, within the legal limits those entities are submitted to, based on these institutions profile in relation to the allocation of their investments in the country. Thus, the performance of portfolios without and with 1% agricultural derivatives was assessed. The risk analyses were accomplished through the model Value-atrisk (VaR), using conditional variance models (Family GARCH) for the extraction of the daily series of volatilities. The returns were risk-weighted by the Adapted Sharpe Index (ASI). The results showed that, within the established parameters for each investment modality, the introduction of agricultural future contracts was beneficial for all the proposed profiles, reducing the risk more than proportionally to the return. The work becomes more significant as the financial figures involved are analyzed. Assuming, for instance, that the Pension Funds invest, overall, 1% of their assets, it is expected that over R$ 2 billion would be injected into the future market of agricultural commodities, a value representing approximately 10% of all invested resources in financial movements for 2004.

Adherence to the balanced scorecard in public and private companies

ID: 6339

Authors: Daniel Augusto Dietschi, Auster Moreira Nascimento.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 73-85, January-April, 2008. 13 page(s).

Keyword: Balanced Scorecard , Capital Markets , Economic Value Added , Performance Management , Strategic Planning

Document type: Article (Portuguese) Show Abstract

Various studies have indicated that public companies search to meet shareholder expectations can often lead to decision making with a short-term profit focus. This would lead to the loss of investment opportunities in more profitable medium and long-term return projects. Some researchers believe that this problem can be solved by using management tools that favor a balance between financial and non-financial aspects in the company. Among these researchers, Kaplan and Norton argue that this is the main virtue of the Balanced Scorecard (BSC). Considering the problem BSC intends to solve, this study aims to identify if its characteristics are more adherent to public than to private companies. The problem was investigated through a survey involving executives from 77 companies with annual revenues above R$10 million. Frequency distribution analyses, chi-square tests and Phi and Cramérs V tests were applied, with the support of SPSS software. The results indicate that BSC characteristics are more adherent to public than to private companies, with financial aspects prevailing in companies whose shares are negotiated in the Stock Exchange.

Corporate interest rate risk management with derivatives in Australia: empirical results

ID: 6340

Authors: Luiz Augusto Ferreira Carneiro, Michael Sherris.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 86-107, January-April, 2008. 22 page(s).

Keyword: Derivatives, Hedging IFRS , Interest rate risk management , JEL classification: C13, C23, G32, N27 , Panel-data estimation

Document type: Article (English) Show Abstract

Financial and insurance theories explain that large widely-held corporations manage corporate risks if doing so is costective to reduce frictional costs such as taxes, agency costs and financial distress costs. A large number of previous empirical studies, most in the U.S., have tested the hypotheses underlying corporate risk management with financial derivative instruments. In order to quantify corporate hedge demand, most previous studies have used the ratio of principal notional amount of derivatives to company size, although they recognize that company size is not an appropriate proxy for financial risk. This paper analyzes the interest-rate-risk hedge demand by Australian companies, measured through the ratio of principal notional amount of interest rate derivatives to interest-rate-riskbearing liabilities. Modern panel data methods are used, with two panel data sets from 1998 to 2003 (1102 and 465 observations, respectively). Detailed information about interest-rate-risk exposures was available after manual data collection from financial annual reports, which was only possible due to specific reporting requirements in Australian accounting standards. Regarding the analysis of the extent of hedge, our measurement of interest-rate-risk exposures generates some significant results di erent from those found in previous studies. For example, this study shows that total leverage (total debt ratio) is not significantly important to interest-rate-risk hedge demand and that, instead, this demand is related to the specific risk exposure in the interest bearing part of the firms liabilities. This study finds significant relations of interest-rate-risk hedge to company size, floating-interest-rate debt ratio, annual log returns, and company industry type (utilities and non-banking financial institutions).

Analysis of cognitive skills required from candidate accountants in the Brazilian federal public administration, using indicators based on Bloom'S Taxonomy

ID: 6341

Authors: Jorge José Barros de Santana Junior, Dimmitre Morant Vieira Gonçalves Pereira, Jorge Expedito de Gusmão Lopes.

Source: Revista Contabilidade & Finanças, v. 19, n. 46, p. 108-121, January-April, 2008. 14 page(s).

Keyword: Cognitive Skills , Intellectual Performance , Professional Accountant , Professional challenges

Document type: Article (Portuguese) Show Abstract

This study aims to detect, by means of the six knowledge levels in Bloom´s Taxonomy, tendencies in the cognitive abilities required when professional accountants are demanded by the Brazilian Direct and Indirect Administration, using the analysis of questions posed during some recent selection exams (1999 to 2006), to evidence the intellectual performance profile outlined by the public sector. Based on this analysis, attempts are made to reflect on future measures to allow professional accountants to comply with the intellectual performance demands posed by the current global technological and economic development scenario. The article was developed using the inductive method, through bibliographical and documental research, besides statistical research techniques. The history of the last changes occurred in the professional market is addressed, particularly in the public sector, as well as the understanding of the fundamentals of Bloom´s Taxonomy, proposing some learning indicators more directed at current reality. O resultado da pesquisa demonstrou que não se está exigindo dos candidatos ao cargo de contador (ou com especialidade em contabilidade) os mais altos indicadores de habilidades cognitivas. Verifica-se, portanto, a necessidade de mudanças efetivas nos rumos dessa profissão, para que se possa garantir o espaço almejado para todos aqueles que optaram em trabalhar e desenvolver as Ciências Contábeis. The research results showed that the highest cognitive skill indicators are not being demanded from candidate accountants (or with a specialization degree in accountancy). The need for effective changes are needed in where this profession is heading, in order to guarantee the space wanted by everybody who chose to work in and develop Accountancy.