Business Series

The Impact of Intangible Assets Efficiency on the Earnings Quality in the Industrial Companies Listed on Amman Stock Exchange

Mohammed Hayek — 2024-12-18

The objective of this study was to investigate the impact of the efficiency of intangible assets on profit quality in the context of the Jordanian industrial companies operating within the business environment. To achieve this fundamental aim, data were collected from 55 industrial companies listed on the Amman Stock Exchange during the period spanning from 2017 to 2021, encompassing a total of 260 observations used for the entire study duration. The study relied on non-tangible resources, human capital, and utilized capital to measure the impact of the independent variable, intangible assets. Furthermore, the dependent variable, profit quality were assessed by calculating the absolute difference between the actual return on assets during the specified period, and the expected return on assets for the same period. Additionally, two control variables were used, namely, market value and company size. The study utilized a multiple regression analysis approach within the E-Views statistical software to examine the hypotheses formulated in the study. The findings demonstrated a substantial influence of intangible assets on profit quality. Also, they revealed the presence of an effect of intangible asset proficiency on profit quality in the presence of company size and market value. Based on the findings of the study, the researchers recommend that companies allocate greater attention to their human capital through enhancing employee knowledge, skills, innovations, and the cultivation of new ideas. This approach is advisable for companies aiming to improve their profit quality and generate additional added value.

The Importance of Accounting Responsibility in the Jordanian Government Apparatus from the Point of View of Managers Working in it

Israa Mansour — 2024-12-18

With the development of the government apparatus worldwide and with the efforts of the Jordanian government to apply modern administrative methods such as the application of the concept of responsibility accounting, the research seeks to identify the importance of responsibility accounting in the Jordanian government apparatus from the point of view of its managers. The research adopted the analytical descriptive approach and distributed the identification to a random sample of finance managers, supervisory directors and administrators working in government units selected as using responsibility accounting. Four units were selected, namely the General Statistics Service, the Central Bank, the National Electricity Corporation and finally the Amman Stock Exchange. The number of questionnaires distributed to the sample was (75), where (57) were retrieved, (6) invalid statistical analyses were excluded, and the number of valid statistical analyses was (51).

One of the most important findings of the study was that there was an important role for responsibility accounting in the development and implementation of the work of the Jordanian governmental machinery, where the views of the research sample were almost identical and similar. The Researcher recommends that responsibility accounting continues to be applied, while following up on the ongoing application of all the departments of the Jordanian government machinery and working to develop them and to train staff more in their better application, as well as addressing the causes for the delays in the decision-making and implementation process, which would weaken the follow-up process.

The Impact of Financial Technology on per Capita Spending in Jordan

Abeer Alabbadi — 2024-12-18

The study aims to identify the impact of financial technology on per capita spending in Jordan spanning from 1991 to 2021. The dependent variable (financial technology) was measured by the following variables: the number of accounts, the number of automated teller machines, the number of credit cards, the number of money transfers, the imports, information and communication technology, the rate of imports of goods and services. The data collection was done through the financial data published by The Central Bank, and the data published by The World Bank. The study used the descriptive and statistical method. The regression equation was also used to analyze the data using the least squares method to test Full Modified Least Squares Cointegration (FMOLS). This is because this statistical method is used to estimate relationships between variables when there is a possibility of cointegration (long-run relationships) and between variables. The results of the analysis showed that financial technology has an impact on per capita spending; however, it is insignificant. The variables with statistical significance have a clear impact on the dependent variable, such as the number of money transfers, the rate of imports of technological goods of the total imports of goods, salaries, inflation, and per capita from the gross domestic product. Whereas, the other variables like the number of accounts, the number of automated teller machines, the number of credit cards, the number of internet users is not statistically significant, and doesn't have a great impact on the dependent variable. The study recommended creating job opportunities which would contribute to achieving economic growth, and increase expenditure, which in turn would reducing poverty rates, improving income distribution, raising the standard of living, reducing customs duties on the imports of the products of information and communication technology, which have a positive impact on the per capita in Jordan.

The Impact of Using Balanced Scorecard in the Relationship between Lean Accounting and Performance Evaluation at the Jordanian Pharmaceutical Manufacturing Companies

Ahmad Husnieh — 2024-12-18

This study aimed to identify the impact of using balanced scorecard in the relationship between lean accounting and performance evaluation at the Jordanian pharmaceutical manufacturing companies. The study population consisted of all 14 registered pharmaceutical companies in the Jordanian association of pharmaceutical manufacturers in 2023. To achieve the objectives of the study, a questionnaire was developed and distributed to 140 individuals including accountants, financial managers, auditors, audit managers, and department heads at the Jordanian pharmaceutical manufacturing companies. 119 questionnaires were retrieved and valid for analysis. In order to test the hypotheses, Simple, Multiple Linear Regression and Path Analysis were used.

The study revealed a number of results, the most significant of which was the presence of the impact of using balanced scorecard in the relationship between the lean accounting and performance evaluation at the Jordanian pharmaceutical manufacturing companies.

Based on the results of this study, the researchers reached several recommendations, the most significant was: The Jordanian pharmaceutical manufacturing companies should necessarily integrate lean accounting and its tools with existing systems and styles like the balanced scorecard for maximum effectiveness, excellence, and improvement in performance evaluation.

The role of artificial intelligence in achieving financial performance using the balanced scorecard for Jordanian banks (An analytical study from the point of view of bank employees)

Hussien AItrawneh — 2024-12-18

The purpose of this study was to demonstrate the role of artificial intelligence (AI) in improving financial performance using the Balanced Scorecard (BSC) for Jordanian commercial banks, especially considering its diverse applications in various aspects of life, including the banking sector. The study followed a descriptive-analytical approach, selecting a random sample and utilizing a questionnaire as the data collection tool. After determining the study population size, which amounted to 66, the questionnaires were distributed to the sample, consisting of 56 participants, with 52 valid responses retrieved for analysis, representing 92.85% of the distributed sample among employees of Jordanian commercial banks.

The study revealed several findings, including the prevailing trend among Jordanian commercial banks towards using
AI applications in line with technological advancements. Additionally, the results indicated a statistically significant positive impact of AI utilization on financial performance using the BSC. Furthermore, a positive correlation was observed between AI, represented by its dimensions, and the Balanced Scorecard, albeit with a very weak impact, as evident from the probability values, which varied across dimensions: Computer Vision (28.1%), Machine Learning (59.1%), Prediction (3.1%), and Natural Language Processing (57.4%), with relative differences among these dimensions.

The study's key recommendations emphasized the necessity for Jordanian commercial banks to diligently work on developing their banking system by expanding the use of AI applications. Additionally, banks in general, and commercial banks in particular, are urged to prioritize training employees on the latest AI technologies and applications. Finally, the study recommended conducting further research to explore additional variables not yet studied, such as the role of AI in reducing loan default rates for commercial banks and utilizing other dimensions of artificial intelligence.