Embedded value

Abstract: This paper examines the value relevance of financial statements variables namely net income, book value and cash flows simultaneously relative to Jordanian services and industrial firms for the period from 2000 to 2009. The main findings of this paper are three- dimensional. First, net income is value relevant, while book value and cash flows are irrelevant. Second, net income is more value relevant than book value and cash flows in both sectors. Third, this value relevance is greater in services sector than in industrial sector. The study shows that net income assist more in explaining market values in Jordanian services and industrial firms. Since research on the value relevance of these variables has neglected Jordan (and the Middle Eastern region), the study tries to fill this practical gap. The study is the first in Jordan that examines the value relevance of net income, book value and cash flows simultaneously and compares this value relevance according to Amman Stock Exchange sectors in one study in Jordan.

Abstract: Preface Value Added Reporting under Price Change Models Information Content of Value Added Data Explaining Market Return: Value Added versus Earnings and Cash Flow Productivity, Profit, and Firm Value Performance Plan Adoption and Performance The Systematic Risk and Value Added Variables Takeover and Value Added Variables The Effects of Ownership Structure and Diversification Strategy on Earnings and Value Added Performance Index

Abstract: There are some common forces in today’s government environment which are shaping the direction of public management in many countries. Some of the forces, for example, can be linked to the realities of the global village. These influences include what I have labeled elsewhere the ‘CNN generation’ (Halachmi, 1997) to denote the changes in the way the public views its government and the marked changes in the role of the media in shaping the public agenda and attitudes toward government. Another environmental force that results from the evolution of the global village is the fierce competition among companies and nations over the sympathy and the purses of citizens in other countries. Other environmental forces that shape government activities at the start of the new millennium involve the embracing of concepts such as quality, customer satisfaction and value creation as criteria for assessing organizational performance. At the same time the public and the media keep articulating demands for accountability, ethics and transparency; empowerment of employees; and timely exploitation of advances in information technology. These environmental forces are highly interactive. For example, advances in information technology have resulted in a reduction in the efficiency gap between large and small organizations, thereby creating a more competitive environment than that which existed before (Australian CPA, 1998). Globalization has had a similar impact, in terms of opportunities in the opening of new markets and the impact of new competitors from elsewhere in the world marketplace. For governments, globalization and the media’s scrutiny of national and international events around the clock has fueled critical assessments of government operations with requests for more and better services on the one hand, and growing demands for economy, efficiency, accountability and transparency on the other. Advances in information technology are now allowing organizations to capture information previously considered unviable or impossible. This, in turn, is allowing managers, as well as most other stakeholders of a government agency, to

Abstract: The search for measures or criteria to determine the economic and financial performance of a company is ever present in the scientific and professional realm. In recent years there has been, in our opinion, a new element introduced into the equation which is the desire of the giant international consulting firms to market their products. In many cases they design products which are little more than a return to fundamentals. In this paper we will analyse one of these measures, the EVA or Economic Value Added. We will compare it with Net Present Value and examine the breakeven point in both measures, moreover, we will propose and develop a new measure, the Financial Value Added, which attempts to reflect the virtues of EVA while aiming for a perfect alignment of outcomes with the Net Present Value.