Gidemy Elibray

Items

• Individual shareholders' understanding of the content of interim reports of South African listed retail companies
  A number of studies conducted, and reports published, by international and local accounting bodies have found that the proliferation of disclosures in financial reports has hampered users’ understanding of these reports. The reports by accounting bodies also indicate that these users prefer more concise financial reports. These findings, in conjunction with a dearth of recent questionnaire-based research on whether individual shareholders understand the content of financial reports, resulted in this study on whether individual shareholders understand the content of interim reports. The study provides empirical proof that a sound knowledge of business, accounting and economic matters is a prerequisite for understanding interim reports in the case of individual shareholders. The results of the study indicate that individual shareholders have a limited understanding of the content of interim reports as a whole, and that a good knowledge of business and economic matters and of accounting results in an improved understanding of the content of interim reports. In particular, specialisation in accounting in undergraduate and postgraduate degrees, professional qualifications, and work experience in the financial field improve the understanding of individual shareholders.
• Acquisitions and the value versus growth phenomenon
  PURPOSE : To investigate whether investors value the future growth from acquisitions and the subsequent realisations thereof accurately. DESIGN / METHPDOLOGY / APPROACH : The paper calculates conventional and adjusted market-to-book ratios and investigates abnormal cumulative returns over 20 quarters after portfolio formation for a sample of S&P 500 firms using a hedge portfolio and regression approach. FINDINGS : Hedge portfolios formed using adjusted market-to-book ratios underperform conventional hedge portfolios over a five year period. Dividing the hedge into its comprising elements reveals that the underperformance of the adjusted hedge is mainly caused by weaker returns from value firms. RESAERCH LIMITATIONS / IMPLICATIONS : Findings are specific to large firms in a specific setting and future research is needed to determine if findings are equally applicable to other situations. Findings imply that investors underrate the growth from new acquisitions and overrate the extent to which this has materialised. PRACTICAL IMPLICATIONS : The study highlights that the extrapolation of future growth rates should be carefully considered in any equity valuation of a firm with current or past acquisitions. ORIGINALITY / VALUE : This study shows that inaccurate valuation of the growth of new acquisitions and the realisation thereof is at least partially responsible for the value versus growth phenomenon. It shows that the accounting information could be improved and highlights the importance of extrapolating past growth rates with care .
• Accounting students access to social media related resources and the risk of tacit social exclusion
  The use of social media platforms to facilitate teaching and learning requires resources (hardware and Internet access) to enable active student participation. Limited access to these resources may impair students' learning and, should the students consequently fail to graduate, tacitly contribute to their social exclusion. The results of a survey amongst students at a South African university, identified statistically significant differences relating to hardware and Internet access between more affluent students, and lower income students. Using social media may, therefore, be countering the objective of widening the admissions to universities in South Africa as an attempt to address past exclusionary practices. This study raises awareness with instructors and administrators globally, about the risk of tacit social exclusion, as a result of the tools selected to facilitate learning.
• Are CSR disclosures value relevant? Cross-country evidence
  Using proprietary data that rate corporate social responsibility (CSR) disclosures of firms in 21 countries, this study examines how the strength of nation-level institutions affects the extent of CSR disclosures. We then examine the valuation implications of CSR disclosures and consider how the relation between CSR disclosures and firm value varies across countries. In contrast to prior studies, we separate CSR disclosures into an expected and unexpected portion where the unexpected portion is a proxy for the incremental information contained in CSR disclosures. We observe a positive relation between unexpected CSR disclosure and firm value measured by Tobin's Q. We also find that, while countries with strong nation-level institutions promote more CSR disclosures, the valuation of a unit increase in unexpected CSR disclosures is higher when nation-level institutions are weak.
• How will AI text generation and processing impact sustainability reporting? Critical analysis, a conceptual framework and avenues for future research
  PURPOSE : The ability of generative artificial intelligence (AI) tools such as ChatGPT to produce convincing, human-like text has major implications for the future of corporate reporting, including sustainability reporting. As the importance of sustainability reporting continues to grow, this study aims to critically analyse the benefits and pitfalls of automated text generation and processing. DESIGN/METHODOLOGY/APPROACH : This study develops a conceptual framework to delineate the field, assess the implications and form the basis for the generation of research questions. This study uses Alvesson and Deetz’s critical framework, considering insight (a review of literature and practice in the field), critique (consideration of the influences on the production and use of non-financial information and the implications for assurers of such information) and transformative redefinition (considering the implications of generative AI for sustainability reporting and proposing a research agenda). FINDINGS : This study highlights the implications of generative AI for sustainability accounting, reporting, assurance and report usage, including the risk of AI facilitating greenwashing, and the importance of more research on the use of AI for these matters. PRACTICAL IMPLICATIONS : The paper highlights to stakeholders the implications of AI for all aspects of sustainability reporting, including accounting, reporting, assurance and usage of reports. SOCIAL IMPLICATIONS : The implications of AI need to be understood in society, which this paper facilitates. ORIGINALITY/VALUE : This study critically analyses the potential use of AI for sustainability reporting, construct a conceptual framework to delineate the field and develop a research agenda.
• The understanding and use of interim financial reports by individual shareholders of South African listed retail companies for investment decisions
  Thesis (DCom)--University of Pretoria, 2013.
• The value-relevance of disclosed summarised financial information of listed associates
  While prior research considers limited elements of the summarised financial informationreported for equity accounted associates under IAS 28, it does not address the collectiveor incremental value-relevance of these disclosures. Therefore, this study investigates theincremental value-relevance of all required elements of disclosed summarised financialinformation for listed associates, and controls for reported fair values. Findings suggestthat individual elements of these summarised disclosures are sometimes incrementallyvalue-relevant, but that elements have the greatest incremental value-relevance as a group.These findings suggest that investors value a firm’s investments in listed associates at a self-developed intrinsic value, rather than using the market value (or fair value) of that associatedirectly. Therefore, underlying accounting information of listed associates remains value-relevant, even when alternative market-based valuations are available.
• Voluntary employee reporting by the wholesale and retail companies listed on the Johannesburg Stock Exchange
  Dissertation (MCom)--University of Pretoria, 2011.
• Determinants, mechanisms and consequences of UN SDGs reporting by universities : conceptual framework and avenues for future research
  PURPOSE : The purpose of this paper is to present a conceptual framework that explores the determinants, mechanisms and consequences of reporting on the United Nations Sustainable Development Goals (UN SDGs) by universities. The framework considers the relationship between reporting on the SDGs and the three main activities of universities: research, teaching and service. As universities hold a unique position in society, understanding their experiences with SDG reporting offers insights into the promotion and integration of SDGs into reporting and practice more broadly. DESIGN/METHODOLOGY/APPROACH : The paper adopts a conceptual approach and draws on existing literature to develop a framework for understanding reporting on the UN SDGs by universities. The framework considers the challenges faced by universities in providing sustainability information and examines the motivations and outcomes associated with reporting. It also explores the coordination and collaboration necessary across departments within universities and discusses the risks associated with greenwashing. FINDINGS : The paper highlights that reporting on the UN SDGs can enhance university engagement with stakeholders, improve their reputation, and foster innovation and transdisciplinary research ideas. However, universities encounter challenges such as limited data availability, resource constraints, lack of coordination and competing priorities. The growing scepticism surrounding reporting motives has led to increased allegations of greenwashing within the sector. ORIGINALITY/VALUE : This paper contributes to the accounting literature by presenting a comprehensive framework that explores the determinants, mechanisms and consequences of reporting on the UN SDGs by universities. The framework offers insights into how reporting on SDGs can lead to embedding the SDGs in research, teaching and service activities and can be adapted to other organisational contexts. The paper also emphasises the need for further research on the mechanisms of reporting, which play a crucial role in driving long-lasting change.
• Pricing of fair value instruments reported under International Financial Reporting Standards 7 : South African setting
  BACKGROUND: Prior literature established that different fair value levels disclosed in terms of the International Financial Reporting Standards (IFRS) 7 are value relevant. SETTING: This study investigates the market pricing of the different fair value levels, as well as the market reaction towards the fair value hierarchy levels reported in terms of IFRS 7. AIM: Prior research found inconsistencies in the market pricing of fair value levels. This study seeks to contribute to this debate. It also focuses on the period after comprehensive guidance on how to measure fair value levels was issued. METHODS: Data from 2009 to 2015 were collected from the financial sector companies listed on the Johannesburg Stock Exchange. The study uses the statement of financial position and the Ohlson model to investigate the market pricing of the different fair value levels disclosed in terms of IFRS 7. RESULTS: The results of the study show that the fair value of assets level 1, 2 and 3, as well as the fair value of liabilities level 3 are value relevant while the fair value of liabilities level 1 and 2 are not value relevant. Furthermore, the market pricing of level 2 and 3 fair value assets and liabilities is not lower for companies with a high debt equity ratio than for companies with a low debt equity ratio. The results further reveal that the pricing of level 3 assets improved with the introduction of IFRS 13 and post the 2008 financial crisis. CONCLUSION: Fair value assets across different hierarchy levels are value relevant. On the contrary, fair value liabilities are priced differently across the different hierarchy levels.
• Industry differences in respect of corporate environmental reporting in South Africa : a research note
  Previous research has revealed industry differences in respect of environmental reporting in South Africa. However, these studies concentrated on particular types of environmental reporting and therefore precluded many other types of environmental reporting in the annual reports surveyed. Past surveys also awarded equal credit to any reference to a particular type of environmental information, whether it comprised a single sentence or several pages. The annual reports of the top 100 companies, in terms of market capitalisation, were analysed and a sentence count of environmental disclosure was done with the use of the Hackston & Milne (1996) methodology. The group of energy companies was defined as comprising companies in energy-intensive industries or companies that are producers of energy carriers. The survey revealed that these companies disclosed significantly more environmental information than other companies, in total and in each category These findings are consistent with the notion of legitimacy, which holds that companies cannot prosper if their aims and methods are not perceived to be in line with that of society. For this reason, companies that have the most obvious environmental impact tend to disclose more environmental information than other companies in an effort to legitimise their aims and methods in the eyes of society.
• Organisational problems in respect of the implementation of activity - based costing in South Africa
  In this study the extent and nature of organisational problems that are encountered in South Africa in respect of the implementation of activitybased costing are examined and compared with difficulties experienced by companies in the British Isles, United States of America and Australia. The investigation comprised a literature survey as well as an empirical study of the companies listed in South Africa. Contrary to the findings of overseas studies, South African companies experience less difficulty in respect of support from senior management and considere the employee resources allocated to the ABC projects to be adequate and satisfactory. ABC objectives are aligned with organisational goals, culture and company strategy. However, whilst implementers are adequately trained, the insufficient training of users and managers is perceived to be a hindrance to success and in the majority of companies other priorities take precedence to the ABC project.
• Obstacles in establishing and operating a public sector internal auditing function in a developing country : the South African experience
  The point of exit in this research is that there should be an internal audit department in a national government department in South Africa to render a top-class internal auditing service that is cost-effective and affordable, preferred by clients, continuously complies with the standards of professional practice of internal auditing and best practice and have a positive impact on the national government department's bottom line. The empirical research has highlighted several factors, including the ignorance of key role players and lack of professional proficiency on the part of internal auditors, as factors that impede the establishment and operation of an internal auditing function in the public sector in South Africa. It is recommended, that audit committees in the public sector should launch a joint marketing action, directed at key role players, to promote the potential value of a top-class internal auditing service in the public sector, as well as the factors that impede it.
• Recovery from Covid-19 towards a low-carbon economy: a role for accounting technologies in designing, implementing and assessing stimulus packages
  Accounting technologies can be used to help stimulus packages achieve the twin goals of economic stimulus and climate mitigation. Utilising an institutional logic perspective, we show that despite the massive financial consequences of climate change, the current climate response is dominated by the economising logic that justifies limited action. Further, despite its strong potential, accounting technologies are not extensively used in the design of stimulus packages. We develop a framework to explicitly integrate accounting technologies in the design, delivery and review of stimulus packages, thereby simultaneously enabling economic growth and social equity whilst addressing the climate crisis.
• Characterization of Brucella spp. and other abortigenic pathogens from aborted tissues of cattle and goats in Rwanda
  BACKGROUND : Abortions cause tremendous economic losses in food-producing animals and may lead to food insecurity. OBJECTIVES : This study aimed to characterize Brucella spp. and other abortigenic pathogens from aborted tissues of cattle. METHODS : For cattle, aborted tissues (n = 19) were cultured, and Brucella spp. were detected using the genus-specific 16S-23S ribosomal DNA interspacer region (ITS) assay and speciated using Brucella abortus, Brucella melitensis, Brucella ovis, and Brucella suis (AMOS) and Bruce-ladder PCR assays. Brucella negative samples were screened using the eight abortigenic pathogens PCR panel. Samples from an abortion outbreak that occurred within a goat tribe were included in this investigation. Sera of females (n = 8) and males (n = 2) were analyzed using the Rose Bengal Test (RBT) and indirect enzyme-linked immunosorbent assay (i-ELISA), while vaginal swabs (n = 3) and aborted tissues (n = 1) were cultured and characterized. RESULTS : The ITS-PCR detected Brucella DNA in cultures from two aborted tissues of cattle (10.5%, [2/19]), which were identified as B. melitensis (n = 1), and B. abortus (n = 1) using AMOS and Bruce-ladder PCR assays. Campylobacter fetus (n = 7) and Leptospira spp. (n = 4) including co-infections (n = 2) of C. fetus and Leptospira spp. were identified from the Brucella negative samples of cattle. Goats (100.0%, 10/10) were brucellosis seropositive on RBT and i-ELISA. Mixed infections caused by B. melitensis and B. abortus were isolated from the vaginal swabs (n = 3) and aborted tissues (n = 1). DISCUSSION AND CONCLUSIONS : This is the first identification of abortion-associated pathogens in aborted cattle indicating the enormous financial losses and a threat to public health. It is therefore essential to include these identified pathogens in the surveillance scheme of veterinary and human services.
• Cash flow risk ratio : an aid to marketing decisions
  In the past, the fully regulated marketing environment allowed producers to neglect or ignore the marketing side of their business. Now, with an open marketing system and increased volatility in the commodity markets, producers will have the right and the responsibility to determine their own financial security. One of the most difficult questions for producers to answer, is how much of his/her crop must be pre-harvest marketed. Knowing his/her production costs (both variable and fixed) and range of acceptable production, price, and financial risks are the key to determining higher price objective. Producers can determine their degree of marketing flexibility by using the cash flow risk ratio. This ratio predicts what percentage of the projected crop must be marketed at the expected season average price to meet cash obligations. In this uncertain and risky future, failing to plan may be the same as planning to fail.
• Business strategies and management accounting in response to climate change risk exposure and regulatory uncertainty
  This study aims to theorise and foster a better understanding of the strategies organisations adopt to respond to the risks and opportunities emerging from changing government climate change policies and the supporting management accounting adopted. Data include interviews and archival documents from five New Zealand electricity generators. We construct a theoretical framework that links climate change risks and opportunities to strategic responses. Climate change risk exposure increased during the period due to changes in the estimation/perception of climate change risks, market opportunities and regulatory uncertainty. Organisations' strategies changed in response, moving from a stable strategy to different combinations of anticipatory, proactive, and creative strategies, and finally regressing to a reactive strategy. Carbon management accounting changed to support the new strategy adopted in each time period. Long term physical and monetarised accounts for sustainability and extensive use of carbon information were prevalent during periods when the companies employed a proactive or creative strategy. In contrast, short-term physical accounts for unsustainability and limited use in decision-making were observed when the companies adopted stable, anticipatory or reactive strategies. Regulatory uncertainty was found to be the major constraint to a proactive strategy and carbon management accounting development in response to climate change.
• Approaches to digital learning and authentic assessment in accounting education
  Thesis PhD (Accounting Sciences)--University of Pretoria, 2022.
• An investigation into problem areas related to rehabilitation management accounting
  The opinions of rehabilitation and environmental managers in the mining industry were researched. There opinions were obtained to questions about the adequate allocation of environmental costs, the visibility of environmental costs, and the influence of a culture of traditional values, beliefs and mindsets, and the evaluation of environmental inputs and gains in non-financial terms. Although an awareness of these problem areas was found, there nevertheless appear to be shortcomings in the actual application of the underlying management accounting principles.
• The accountant as a facilitator of communication
  The broader view of accounting requires a new approach to the communication of accounting information than is reflected in current practices. Accountants' ability to communicate accounting information effectively is crucial to the bridging of the gap between the entity and the users of information. Communication includes writing, speaking, reading, listening and questioning techniques. Research has indicated that decisions are increasingly being based on verbal presentations and that verbal communication skills accelerate career progress significantly. Verbal communication skills have therefore been selected as the subject of this paper. The communication sciences were used as a source of reference taken to identify mechanisms and structures that can enhance the verbal communication skills of accountants. This study focuses on the enhancement of their verbal communication skills to enable them to facilitate communication between accounting entities and the users of accounting information.
• A growing concern
  There has been tremendous growth internationally as well as in South Africa in the demand for forensic accounting services. Indications are that 80% of the income of the forensic practices in the major accounting firms is derived from litigation support in civil dispute issues. The services provided by forensic accountants are not new to accountants. What is new is that it has become an area of specialization. It is now a multi-disciplinary profession consisting of mainly accountants, lawyers and individuals previously employed by the investigative agencies. One of the issues being debated is the ethics of forensic accountants acting for known or suspected criminals or organized crime syndicates. One view is that it should not be a problem because every person is entitled to a fair trial and it is not the forensic accountant's role to be judgmental, but just to obtain the facts. With the further globalization of organizations and cooperation of governments internationally, the demand for forensic accounting services should continue to grow.
• The impact of pre-undergraduate preparation courses in accounting on academic performance
  Thesis (PhD)--University of Pretoria, 2018.
• Research on extended external reporting assurance : an update on recent developments
  We review the recent literature on the assurance of Extended External Reporting published since the review published in 2021 in the Journal of International Financial Management & Accounting. Our review includes 50 articles published between 2020 and August 2023 across 30 journals ranked A*, A, or B on the Australian Business Deans Council 2022 Journal Quality List. We find that the literature continues to be dominated by positivist studies investigating the determinants and consequences of assurance. Studies on determinants examine carbon assurance, ownership, governance, and institutional themes. The consequences studies included in our review examine reportingrelated outcomes and investors' decisions. Other (qualitative) studies we reviewed examine issues such as assurance providers seeking meaning in their work and their attempts to promote assurance beyond merely a verification tool. We highlight several avenues for future research that could inform the work of standard setters and regulators.
• The Global Reporting Initiative’s (GRI) past, present and future : critical reflections and a research agenda on sustainability reporting (standard-setting)
  https://www.emerald.com/insight/publication/issn/0114-0582
• The role of audit styles in financial statement comparability : South African evidence
  This study investigates the role of audit styles at different levels on financial statement comparability in South Africa, a setting where firms report under International Financial Reporting Standards (IFRS), the institutional environment is strong and the audit environment is dominated by the Big 4 audit firms. An output-based comparability measure is used to consider the association between audit styles at a firm level, audit office level and individual auditor level and financial statement comparability. Evidence of audit style effects on financial statement comparability is found at the three different levels—the audit firm, the audit office and the individual auditor. The study further finds some evidence that audit office style dominates audit firm style and individual auditor style dominates audit office style. This finding suggests that even in countries where internal (within the audit firm) and external (country regulations) control mechanisms are strong, the audit style of the individual auditor is present and associated with increased financial statement comparability. Using a setting where firms report under IFRS further suggests that in a principles-based environment, despite strong internal controls and in-house working rules by audit firms, individual auditors continue to have some level of autonomy in the interpretation and application of the accounting principles and in-house working rules.