International Journal of Accounting & Finance Review 2020-11-25T17:19:51+00:00 Managing Editorial Board Open Journal Systems International Journal of Accounting & Finance Review (IJAFR),Accounting & Finance Review,Accounting, Finance THE IMPACT CORPORATE GOVERNANCE ON INTERNET FINANCIAL REPORTING: EMPIRICAL EVIDENCE FROM PALESTINE 2020-11-01T18:17:36+00:00 Firas S. Q. Barakat M. Victoria Lopez Perez Lázaro Rodríguez Ariza Orobah Ali Barghouthi K. M. Anwarul Islam <p><em>The current research investigates whether the difference in the Internet Financial Reporting standard is clarified by corporate governance. A study was carried out on a selection of 48 companies listed on the 2019 Palestine Stock Exchange. An index was also selected from several previous studies to assess the standard of Internet financial reporting. One of the first analytical researches to investigate the relationship between corporate governance and Internet Financial Reporting in Palestine is the latest analysis. Firstly, the scope of disclosure of Internet Financial Reporting in Palestinian businesses appears to be limited. Second, the educational history of boards is greatly related to Internet Financial Reporting. Nevertheless, the board independence coefficient and board audit committee are negligible. Thirdly, an important element in strengthening internet financial reporting standards is a broad audit company. Fourthly, there is a strong positive correlation between the concentration of ownership and financial reporting on the Internet. Companies mainly held by stakeholders are more likely to reveal internet data and to strengthen the reports released. Finally, profitability and market capitalization have a direct connection with Internet Financial Reporting, and Internet Financial Reporting does not justify the composition of the board, board meetings, international investors, and business size. </em></p> 2020-11-01T18:12:23+00:00 ##submission.copyrightStatement## DEMONETIZATION AND IMPROVISATION OF VALUE CHAIN DYNAMIC IN AFGHANISTAN: AN EXPLORATORY STUDY 2020-11-17T10:12:48+00:00 Abdul Masood Panah Y. Muniraju <p><em>Demonetization is the elimination of the backing of the money granted by law to the notes is, therefore, legal tender. On Wednesday_ September 2002, the new president of the transition government announced from television to the people of Afghanistan that the decision had been reached in response to Afghan and foreign experts. They had advised the new Government to replace the currency and reform Afghanistan’s banking system. “This will help in controlling the massive inflation and stabilize the economy. A survey was conducted with a pre-tested questionnaire among the common public in Kabul and Parwan’s main two provinces to collect their views on factors associated with demonetization in Afghanistan. PCA (Principal component analysis) technique has been used for factor extraction and dimension reduction using the Varimax orthogonal rotation. The top key factors related to the implementation of demonetization have been identified as socio-economic factors, public hardships, challenges, and implementation challenges. The survey data’s descriptive analysis shows that most survey respondents either ‘strongly agree’ or ‘agree’ with the 19 measures on perception and opinion of the common man (general public) on demonetization in Afghanistan. </em></p> 2020-11-17T10:11:29+00:00 ##submission.copyrightStatement## FACTORS AFFECTING SEASONALITY IN THE STOCK MARKET: A SOCIAL NETWORK ANALYSIS APPROACH 2020-11-24T11:56:58+00:00 K. Kajol Mausami Nath Ranjit Singh H. Ramananad Singh Amit Kumar Das <p><em>The study aims at identifying the factors influencing the seasonality effect in the stock market and further identifying the relationship between the influencing factors. The study aims at conducting a complete analysis of the influencing factors along with measuring their impact on seasonality using Social Network Analysis (SNA). The factors affecting the seasonality effect in the stock market were identified through the literature review. Experts’ opinions were sought for determining the relationship among the factors and finally, the importance of those factors was analyzed using Social Network Analysis (SNA). It was found that volatility is the most important factor affecting the other factors of seasonality and consequently seasonality effect finally. Besides, earning announcements, dividend, and January effects strongly influence the effect of seasonality in the stock market because of their higher in-degree and out-degree. To understand the mechanism of the stock market, the policymakers need to impart training to the investors through awareness campaign or by opening learning investors’ Club at different places. With this they can evaluate their standing in the stock market and the capability of bearing the risk which, in the long run, will be reflected in their investment behavior along with that the culture of equity investing will also be promoted among the investors.</em></p> 2020-11-24T11:41:38+00:00 ##submission.copyrightStatement## LOSS AVERSION IS CONSISTENT WITH STOCK MARKET BEHAVIOR 2020-11-25T17:19:51+00:00 Samih Antoine Azar <p><em>The purpose of this paper is to verify that discrete statistical distributions of the US stock market are consistent with loss aversion. Loss aversion has the following tenets: an S-shaped valuation function, characterized by diminishing sensitivity, a loss aversion coefficient higher than +1, probability weighting, and reference-dependence. Diminishing sensitivity implies that the exponent of the valuation function is between 0 and +1. It is expected that this exponent be higher for losses. Probability weighting replaces objective with subjective probabilities. Loss aversion is indicated by a coefficient higher than +1 for the valuation of losses. There are three parameters: the two exponents of the valuation function, and the loss aversion coefficient. There is one non-linear equation: the certainty equivalence relation. The procedure is to fix two parameters and find the third parameter by solving the non-linear certainty equivalence equation, using the EXCEL spreadsheet. The program is repeated for more than one case about the fixed parameters, and by enriching the analysis with probability weighting. The calibrations executed point strongly to the conclusion that loss aversion is consistent with six discrete distributions of the first two moments of returns of the US stock markets. The calibration process provides for reasonable estimates of the key parameters of loss aversion. These estimates suggest a more pronounced diminishing sensitivity, and a higher than expected coefficient of loss aversion, especially when probability weighting is imposed. </em></p> 2020-11-25T17:18:02+00:00 ##submission.copyrightStatement##