Papers by ruba majid mohammad bsoul
Academic Journal of Interdisciplinary Studies, Sep 2, 2022
This paper aims to identify the determinants of credit risk in Jordanian banks. The sample consis... more This paper aims to identify the determinants of credit risk in Jordanian banks. The sample consist of all banks listed on Amman Stock Exchange (ASE); which include 13 conventional banks and 2 Islamic banks, with the data covering the period from 2012-2019. Credit risk is represented by the percentage of nonperforming loans over total loans given by the bank. Both bank-specific variables and macroeconomic variables that are likely to influence credit risk are examined. Based on the multiple regression analysis, the results indicate that the level of credit risk faced by Jordanian banks is negatively related to each of the banks' profitability, interest income earned by the bank, the size of the bank, and the type of the bank. The results also show that there is a significant positive relationship between the banks' loans quality and the unemployment rate in Jordan with the level of credit risk. The results, however, indicate that there is no a significant relationship between liquidity, inflation, and gross domestic products with credit risk faced by Jordanian banks.
Do CEOs’ demographic characteristics affect firms’ risk-taking? Evidence from Jordan
Cogent Business & Management, Dec 14, 2022
International Journal of Management and Sustainability, Dec 13, 2022
The purpose of this study is to examine the association between intellectual capital efficiency a... more The purpose of this study is to examine the association between intellectual capital efficiency and firms' financial performance and market value. The study employs the value-added intellectual coefficient (VAIC) model to measure intellectual capital efficiency. This model consists of three elements: human capital efficiency, structural capital efficiency, and capital employed efficiency. The study uses the return on assets (ROA) ratio to measure firms' financial performance and the market-to-book value (MBV) ratio as a measure of market value. Data for a sample of 113 manufacturing and service companies listed on the Amman Stock Exchange for 2014 to 2018 were analyzed using multiple regression analysis. The results indicate that VAIC has a significant positive relationship with a firm's financial performance, while it is unrelated to a firm's market value. Human and structural capital also have a positive influence on financial performance, but they have no relationship with market valuation. Capital employed is positively related to both financial performance and market value. The findings of this study would enable companies to better understand the role of intellectual capital in adding value for all stakeholders of the company. They may also bring standard setters' attention to the need for recognizing or disclosing intellectual capital either quantitatively or qualitatively within the accounting financial reports, which may have the potential to increase the credibility of financial reporting. Contribution/ Originality: This study contributes to the existing literature by providing evidence on the association between intellectual capital efficiency and a firm's performance and market value from the Jordanian service and manufacturing companies. The study will help investors, firms' managers, policymakers, and researchers understand the importance of intellectual capital in a firm's performance and value creation. 1. INTRODUCTION The resource-based theory suggests that companies can achieve high profits and gain competitive advantages through the efficient use of their resources (Caribano, Garcia-Ayuso, & Sanchez, 2000). In applying this theory, company resources are both tangible and intangible. As stated by Barney (1991), resources consist of assets, capabilities, knowledge, attributes, and organizational processes available within companies and allow them to develop and implement efficient and effective business strategies. In today's knowledge-based economies, the wealth creation capacity has largely moved from physical to intangible resources. In an organizational context, intangible resources are referred to as intellectual capital (IC), which can be defined as having professional skills, applied experience, knowledge, organizational technology, and customer relationships that give a company competitive advantages (Edvinson & Malone, 1997). In this context, IC
International Journal of Critical Accounting, 2018
Ostensibly, the most important constituent of Hofstede's theory on culture is the claim that his ... more Ostensibly, the most important constituent of Hofstede's theory on culture is the claim that his system of six pairs of cultural values can be used to predict sub-cultural values. Eighteen mentally held characteristics by an Iraqi forensic accountant are used as sub-cultural values. Based on the scores assigned by Hofstede to the Iraq dominant cultural values, the alleged predictive ability indoctrinate Iraqis to have an inferiority complex about their culture. Three different tests are used to check the predictive ability claimed by Hofstede. The three tests generate results that render Hofstede's claim on the predictive ability of cultural values to be invalid. On the other hand, a pure theoretical evaluation of the Hofstede's system of six pair of cultural values reveals that the purpose behind the alleged predictive ability is to indirectly promote the superiority of the cash wealth maximisation culture. Thus, believe that you are inferior and the cure is ready, i.e., cash wealth maximisation camouflaged in a system of six pairs of cultural values.
Academic Journal of Interdisciplinary Studies
This paper examines the effect of accounting conservatism on several financial decisions in Jorda... more This paper examines the effect of accounting conservatism on several financial decisions in Jordan. In particular, it aims to expose the effect of accounting conservatism on cash holdings, dividends distributions, and leverage for a sample of 83 Jordanian industrial and service firms listed on the Amman Stock Exchange (ASE) for the period 2015-2019. The feasible generalised least squares (FGLS) regression technique is used to test the association between accounting conservatism and financial decisions. The findings of this paper reveal a negative and significant relationship between accounting conservatism and cash holding. However, positive but insignificant relationships are reported between accounting conservatism and both dividends distributions and leverage. These findings have important implications for investors, corporate managers, and policymakers. The study recommends that future research use different measures of leverage, such as debt-to-equity ratio and long-term debt t...
International Business Research, 2014
This study examines the impact of board composition on the level of voluntary disclosure in the a... more This study examines the impact of board composition on the level of voluntary disclosure in the annual reports of listed Jordanian firms. Content analysis is used to collect the required data form the 2012-annual reports of 103 firms listed on the Amman Stock Exchange. Overall, the empirical evidence provided by the study is in line with the agency theory predictions. Furthermore, they have practical implications for firms and regulators in Jordan on the importance of the board of directors and voluntary disclosure as control mechanisms for mitigating the effect of the information asymmetries and agency problems. The study shows a moderate level of voluntary disclosure in the annual reports of Jordanian firms. However, insurance firms tend to disclose more voluntary information than industrial and services firms. Also, the results suggest that Jordanian firms with a high-level of board ownership concentration tend to keep the level of voluntary disclosure low. On the other hand, the...
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Papers by ruba majid mohammad bsoul