Stratford Peer Reviewed Journals and Books
Not a member yet
2323 research outputs found
Sort by
Assets Valuation, Mergers and Acquisitions of Business Organisations in Nigeria
No full textAlthough merger and acquisition is very crucial to the growth of organizations, to assess the potential profit and benefits of mergers and acquisitions, company valuation is required. Nevertheless it seems that wrong valuation choices has affected the decisions of many organization as regarding which company to merge with or which one to acquire and this has also affected many business organization. Studies have had inconclusive findings thereby creating a gap which needs to be filled. Hence, this study examined the effect of assets valuation on mergers, and acquisition of selected money deposit banks in Nigeria. This study quantitatively examined how assets valuation affects merger and acquisition of selected money deposit banks in Nigeria. The study employed survey research design. A stratified selection strategy was used to choose a representative sample from the research population. Data were analysed using descriptive and inferential statistics. The study findings shows that Assets valuation has a positive significant effect on mergers, and acquisition of selected money deposit banks in Nigeria (Adj R2 = .279, f = 127.375, p<0.05). The result of hypothesis concluded that assets valuation had a significant effect on merger and acqusition of selected money deposit banks in Nigeria in Nigeria. Based on the findings, the study recommend that adequate valuation of assets be examined or carried before acquiring a bank. Also investors should only invest or merge with banks whose assets have appreciable outlook so as to remain profitable at a long run.
Keyword: Assets, Acquisitions, Stakeholders, Mergers, Valuatio
Internal Audit Function and Budgeting Efficiency in Financial Institutions: A Case of Rwanda Social Security Board
No full textThe main purpose of this research is to examine Internal audit function and budgeting efficiency in financial institutions in Rwanda specifically in Rwanda Social Security Board (RSSB). The research used descriptive research design with a mixed approach of qualitative and quantitative data. The formula developed by Taro Yamane was employed to determine the sample size (n=52). The findings showed that internal audit plan provides guidelines for auditors’ regular audits (mean 4.29); and internal audit reviews for budgets were made available (mean 4.32). It was also revealed that internal audit advised on budgeting (mean 4.25); internal audit provided assurance to the budgeting efficiency (mean 4.15); the internal audit assured budget management that there was an effective internal control for budgeting (mean 4.21); the internal auditor established audit objectives and scopes accordingly (mean 4.41); and internal audit prevented risks and fraudulent malpractices occurring when budgeting (mean 4.34). and those internal auditors follow up on the agreed management action plan based on audit recommendations (mean 4.24); internal auditors provide follow-up reports within a specified duration of time as guided by the organization’s policies for the exercise (mean 4.01); follow-up reports were shared (mean 4.61). According to the research, there is a strong positive correlation between RSSB's internal audit frequent review and budgeting efficiency (r= .713 r= .000); strong positive degree of relationship between internal audit recommendation and budgeting efficiency (r = .634, r = .004) and strong positive correlation between internal audit follow up and budgeting efficiency (r= .784; r = .000). The study concluded that internal audit, through regular reviews, provision of recommendations, and follow-up contributed to the efficiency of budgeting at RSSB. The study recommended that RSSB should strengthen its internal audit plan as a measure of ensuring that auditors are guided on the strategic follow-up plans to adopt and capture recommendations effectively.
Key words: Internal audit, Budgeting efficiency, Public institutions, RSS
Internal Control System and Financial Performance of Cooperatives in Rwanda: A Case of Zigama Credit and Saving Society
No full textThis paper examined the contribution of internal control system on financial performance of cooperative banks in Rwanda with reference to Zigama Credit and Saving Society. Specifically, the study assessed effect of control environment on control activities and risk assessment on financial performance of Zigama Credit and Saving Society. The significance of research will be on practitioners, decision makers and researchers to get the knowledge about internal control system. The researcher used descriptive and correlation study design with a mixed approach on a sample of 167 participants drawn from 287 population using Yamane formula. Simple random technique was employed to obtain respondents and purposive sampling techniques are employed to choose participants and information were collected using questionnaire administered to respondents. Data entry, response code, edit and tabulation were used for data analysis. Data were analysed descriptively and regression analysis helped to general association between independent and dependent variables. Qualitative information analysis used content analysis. Data from the first objective felt that a unity of variation in control environment may stimulate a change in financial success by 0.482. The research established that financial cooperatives had conducive environment. To the second objective, the study show that a unit of adjustment in control activities stimulate variation on financial success by 0.214. Information established that financial cooperative has accounting system, which is strong enough to stimulate financial success through the reduction of risks and errors. Findings on the objective three demonstrated that a unit variation should lead to a change in identifying risks in financial success by 0.101. Results indicated that assessing risks as factor of internal control of the firm impact the financial success this show that managing risks had put in place assessment for reducing critical risks that can come from risk management where they had to assess risk that they are committed to assume responsibilities. In conclusion, the adequate control environment for suitable functions to the success through audit done and the extent to which workers are committed is still at minimum level. The second objective showed that strategic measures established for detecting frauds and errors are applied in way that is inadequate, the review of daily transactions is sometimes done. The third objective showed that strategic measures established to identify, analysis and reduce risks are applied inconsistently. The study recommended that managing team would rely on the clarification of duties, follow up, cost revision, and should rely on risk measurements. Review of daily transactions should on daily basis workers should be trained on regular basis so as to enhance their ethical values and their commitment at work place. Rigorous policies and procedure manual must be applied accordingly. There is a need to ascertain the use of resources that provide financial means to equity ratio has been improved in the last three years. There is a need to improve the adequacy and suitability for increasing the success of Zigama Credit and Saving Society in Rwanda. The research proposed that further studies would be done within other banking sector than Zigama Credit and Saving Society in Rwanda.
Keywords: Internal Control system, Cooperative, Risk assessment, Control activities, and Financial Performance  
Unravelling the Dynamics: The Effects of Leverage on the Financial Stability of Insurance Firms in Kenya
No full textDespite the crucial part that the insurance industry plays, firms operating in this sector have been having trouble maintaining their financial stability. The insurance industry has faced considerable volatility in profitability, resulting in some firms being placed under receivership or even going out of firm. The purpose of this study was to analyse the effect of leverage on financial stability of insurance firms in Kenya. The study was informed by Pecking Order Theory. The research was conducted using an explanatory research design, and the positivist philosophical approach was utilized. The target population for this study consisted of the 46 insurance firms that held IRA licenses and were operating during the time period under consideration (2014-2021). The census method was utilized for the research thesis, which focused on all 46 insurance firms in Kenya. The study used secondary data obtained from audited financial statements, which were publicly available on the websites of individual insurance firms. To gather panel data for the study, a secondary data collection template was employed. In order to draw conclusions from the data that was gathered, this study employed both descriptive and inferential statistical methods. The study employed a generalized method of moments modelling guided by static panel regression. The data processing was done using the Stata software. The research findings were presented through the use of tables, figures, and graphs. The findings of this study showed that leverage significantly and negatively impacted the financial stability of Kenyan insurance firms (β = -3.513831, p = 0.000 < .05). The study concludes that if leverage challenges are not adequately managed, they can have a detrimental influence on the profitability and capital of a particular insurance sector, and in the worst case scenarios, they can even force insurance sectors that are otherwise financially secure to fail. The study recommends that the general insurers in Kenya should enhance their leverage in order to strengthen the financial stability of their firms. However, insurance firms should be careful not to leverage themselves too much, since this can also be damaging to their long-term sustainability.
Keywords: Unravelling Dynamics, Financial Leverage, Financial Stability, Insurance Firms, Insurance Industry Stability, Keny
Long-Term Debt and Financial Performance: A Study of Abbott Manufacturing Firm in Brussels, Belgium
No full textLong-term debt has a significant impact on the financial performance of firms. It can affect profitability by increasing interest expenses and reducing net income. Cash flow can be constrained as regular debt servicing obligations limit available funds for investments or operational activities. High levels of long-term debt can also restrict financial flexibility, making it challenging for firms to secure additional financing or respond to market changes. Moreover, the risks associated with long-term debt, such as debt covenants and refinancing risk, can pose threats to a firm's financial stability and sustainability. Therefore, effectively managing long-term debt is crucial for optimizing financial performance and maintaining a strong financial position. The study used the descriptive research design. The target population was 15 finance officers working in Abbott Manufacturing firm in Brussels, Belgium. The study did sampling of 10 respondents that were selected from the target population of 15 finance officers working in Abbott Manufacturing firm in Brussels, Belgium. Collection of data was done through questionnaires. The study concluded that the interest expenses, cash flow constraints, and limited financial flexibility associated with long-term debt can impact the company's profitability and hinder its ability to invest in growth opportunities. Mitigating risks, optimizing debt structure, improving cash flow management, and diversifying financing sources are key strategies for Abbott Manufacturing to effectively manage long-term debt and enhance its financial performance. The study recommended that Abbott Manufacturing should analyze its current long-term debt structure and explore opportunities to optimize it. The firm should focus on improving working capital management, streamlining operational processes, and implementing cash flow forecasting techniques to optimize cash flow generation and allocation. To reduce the risks associated with heavy reliance on long-term debt, the firm should explore alternative financing sources.
Keywords: Long-Term Debt, Financial Performance, Manufacturing firm, Belgiu
The Macro-Economic Variables, Tax Revenue and Performance of Financial Institutions in South Sudan
No full textTo examine the impact of macroeconomic variables and tax revenue on the performance of financial institutions in South Sudan. The study used secondary data from the Central Bank of South Sudan and other statutory bodies. The study used the Econometric Views (EViews) software for data analysis and management. Descriptive statistics, diagnostic tests, regression, and correlation analysis were conducted to examine the relationships between the variables. The study found that there was an inverse statistically significant relationship between macroeconomic variables and tax revenue and the performance of financial institutions in South Sudan. This means that when macroeconomic variables and tax revenue decrease, the performance of financial institutions also decreases. The study concluded that the government can utilize macroeconomic variables and tax revenue to influence the performance of financial institutions. The government should implement policies to promote economic stability and increase tax revenue in order to improve the performance of financial institutions.
Keywords: Macro-Economic Variables, Tax Revenue, Performance, Financial Institutions
 
Financial Market Development and Economic Growth in Sweden
No full textFinancial market development plays a crucial role in fostering economic growth by providing an efficient platform for the allocation of funds. As financial markets become more sophisticated and inclusive, they enable businesses to access capital more readily for investments in productive assets and innovative projects. Additionally, well-functioning financial markets encourage savings, promote risk-sharing, and enhance liquidity, facilitating economic expansion. Governments and policymakers play a pivotal role in nurturing financial market development through prudent regulations and incentives to drive economic growth and stability. Findings from studies on financial market development and economic growth in Sweden indicate a strong positive relationship between the two variables. Sweden's well-developed financial markets, characterized by a robust banking sector and capital markets, have been instrumental in promoting economic growth and stability. This is particularly evident in Sweden's ability to efficiently allocate capital, encourage innovation, and facilitate a high level of savings, contributing to its strong economic performance. In conclusion, the relationship between financial market development and economic growth in Sweden is robust and mutually reinforcing. Sweden's well-established financial markets, including a strong banking sector and capital markets, have been instrumental in driving the nation's sustained economic growth. These findings underscore the importance of nurturing financial market development as a vital component of fostering economic expansion and stability in Sweden. The study recommended that to further enhance the synergy between financial market development and economic growth in Sweden, policymakers should focus on maintaining regulatory stability and fostering innovation in the financial sector. Promoting financial inclusion to ensure that a broader section of the population can access and benefit from the opportunities offered by well-developed financial markets can be a valuable strategy for driving economic growth.
Keywords: Financial Market Development, Economic Growth, Swede
Effect of Commercial Bank Services on the Growth of Small and Medium Enterprises in Rwanda: A Case of Manufacturing Small and Medium Enterprises Bankrolled by Bank of Kigali
No full textThe general objective of the study was to investigate effects of commercial bank services on the growth of small and medium enterprises in Rwanda. Specifically, the study evaluated the effect of bank loan services on the growth of manufacturing small and medium enterprises in Rwanda, determine the effect of saving services on growth of manufacturing small and medium enterprises in Rwanda and identify the effect of financial literacy services on the growth of manufacturing small and medium enterprises in Rwanda. Located in Kigali's Special Economic Zone, the branch of Bank of Kigali served as the site for the research. The study included both quantitative and qualitative methods. The research was done with small and medium-sized businesses who regularly utilize Bank of Kigali services. The study's population consisted of 317 small and medium-sized manufacturing businesses that do business with Bank of Kigali and have checking accounts there. The study's sample size was determined via the Solvin formula. Purposive sampling was used to pick a representative sample from the population to assure the validity of the results. Quantitative data on the relationship between commercial bank services and SME growth was gathered via a survey of 177 businesses. SPSS (Statistical Product and Service Solutions) was used for the analysis of the gathered data. There is a correlation between the three predictor variables (financial literacy services, saving services, and bank loan services) and the dependent variable (Growth of manufacturing SMEs of Bank of Kigali-Rwanda). Taking into consideration the total number of predictors, the modified R square value of 0.720 is calculated. Growth of manufacturing SMEs of Bank of Kigali-Rwanda results often differ from the projected values based on the model by an average of 0.34637, which is the standard error of the estimate. The results of an analysis of variance (ANOVA) suggest a significance level of 0.000<0.05, with F=130.431. This indicates the study's author is certain that the study's focus on financial literacy, savings, and bank loan services contributed to the expansion of Bank of Kigali-Rwanda's manufacturing SMEs. The results showed a very significant positive link between Growth of manufacturing SMEs of Bank of Kigali-Rwanda and financial literacy, saving, and bank loan services (p< 0.05). Bank of Kigali should expand lending services with competitive rates, promote tailored savings products, and provide incentives for regular savings to support SME growth. Additionally, enhancing financial literacy programs through workshops and consultations will empower SMEs to make informed financial decisions, contributing to their success in Rwanda.
Keywords: Commercial Bank Services, Growth of Small and Medium Enterprises, Bank of Kigali, Rwand
Audit Quality Control and Standards: A Case Study of Auditing Firms in Kigali, Rwanda
No full textMost accounting firms do not acknowledge they are susceptible to non-compliance on audits in lieu to accounting standards globally. The effectiveness of audit quality control mechanisms is essential to maintain the integrity and reliability of financial reporting. However, noncompliance with these controls can jeopardize the quality of audits and erode trust in financial markets. According to studies, accounting standards infringement may happen both inside and internationally and may include clients, staff, or other important stakeholders in a firm. According to the findings of previous studies, non-compliance to accounting standards can happen even when there are no due regulations, tools, and models in place. This proposal sought to explores the critical issue of audit quality control noncompliance and its impact on auditing standards within the context of auditing firms in Kigali, Rwanda. More specifically, this research sought to investigate the influences of influence of competence and standards on auditing firms in Kigali, Rwanda, establish the influence of firm’s accountability and standards on auditing firms in Kigali, Rwanda and finally determine the influence of due professional care and standards on auditing firms in Kigali, Rwanda. The study was anchored on Signaling Theory and agency theory. The study adopted descriptive research design method. The population of the study encompassed all the 23 auditing firms in Kigali, Rwanda thus a census approach was applied. The researcher used secondary data from the auditing firms. Descriptive statistics, such as frequencies and percentages, were used to summarize and present the survey responses. The research result revealed that all the predictor variables had a moderate relationship on standards. Accountability tools ranking last with (r = 0.519). Pearson Correlation coefficient of competence and standards was computed and established as {0.553, p-value < 0.001} policies contribute moderately to fraud control The computed Pearson correlation coefficient for due professional care on standards control was (r=0.547, p-value < 0.001). By investigating the prevalence, causes, and consequences of noncompliance, it sought to provide valuable insights for auditors, regulators, and policymakers to enhance audit quality and uphold auditing standards in Rwanda's financial reporting landscape
Forensic Accounting and Fraud Control in Auditing Firms in Kigali, Rwanda
No full textThe primary goal of this study was to determine how forensic accounting contributes to fraud prevention and control within the Auditing Firms in Kigali, Rwanda. More specifically, the stud y sought to examine how internal controls, knowledge of forensic accounting and skills and management tools influence fraud control in Auditing Firms in Kigali, Rwanda. The study was anchored on Fraud Triangle Theory and Fraud Diamond Model. Descriptive research design was adopted to help determine patterns and trends in order to make conclusions from the data collected. The target population for this study was a total of 76 staff members thereby employing a census approach. The researcher was collected by primary data by use of closed-ended questionnaires to the respondents. For these, the study used simple random sampling to select all the respondents. Primary data was collected by use of closed-ended questionnaires to the respondents. Secondary data was collected using data collection sheet. Secondary Data involved the use of financial reports, regulatory documents, and academic literature will be reviewed to gain insights into the prevailing financial fraud trends in Rwanda. Validity and reliability were tested to ensure the sanctity of the research tool and thus facilitate piloting which was done to selected auditing firms Rusumo. Data analysis was conducting using both descriptive (Frequencies, mean, standard deviation) and inferential (regression and correlation) statistical methods using the Statistical Package for Social Sciences (SPSS version24).
Keywords: Forensic Accounting, Fraud Prevention, Auditing Firms, Internal Controls, Kigali, Rwand