/jurnalpengurusan Tue, 31 Jan 2023 07:33:59 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.1 /jurnalpengurusan/article/financing-decisions-is-the-quality-of-information-still-relevant-to-be-considered/?utm_source=rss&utm_medium=rss&utm_campaign=financing-decisions-is-the-quality-of-information-still-relevant-to-be-considered Tue, 31 Jan 2023 07:33:59 +0000 /jurnalpengurusan/?post_type=article&p=6672 Information asymmetry makes it difficult for company management to make decisions regarding funding sources. This study aims to investigate and explain the behaviour of company management when faced with asymmetric information problems. Data on 459 companies in Indonesia during the 2005–2019 period are surveyed in an attempt to provide the latest evidence regarding this issue. Investigations using the fixed-effect model approach and dynamic two-step system generalised method of moments are carried out using preliminary and robustness tests. The results show that in addition to company-specific factors, the problem of asymmetric information is an important factor considered by management in determining funding sources. The worsening information gap has led companies to increasingly use external funding from borrowing instead of adding additional funding sources from equity issuance (confirming the pecking order theory). Robust results in this study will be of use to regulators and enrich the literature related to corporate funding decisions in developing countries.

]]> /jurnalpengurusan/article/does-accounting-education-affect-professional-skepticism-and-audit-judgment/?utm_source=rss&utm_medium=rss&utm_campaign=does-accounting-education-affect-professional-skepticism-and-audit-judgment Sat, 15 Oct 2022 13:27:45 +0000 /jurnalpengurusan/?post_type=article&p=6447 This study examines the extent to which enrollment in accounting programs influences students’ skepticism levels. We compare the skepticism scores between final-year accounting students in undergraduate and professional programs. This study also investigates the impacts of trait skepticism and situational skepticism on the participants’ initial judgment of fraud or errors. Situational skepticism in this study is represented by audit experience from previous years. This study employs an experimental design of 2×3 between-subjects, where trait skepticism is divided into higher and lower levels, and the audit experience from previous years is manipulated into positive, negative and neutral. The participants in this study are 227 accounting students from both undergraduate and professional programs. The results of this study show that accounting students in the professional program are likely to exhibit higher levels of trait skepticism compared to their counterparts in the undergraduate program. The results also indicate that participants make an audit judgment based mainly on their prior experience with the client, not on their trait skepticism. This propensity is more salient particularly in the case of the less-skeptical participants. In sum, the higher that the formal education of a participant is, then the higher is his/her trait skepticism, and thus he/she is able to retain his/her skeptical judgments regardless of his/her prior experience with the client.

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