Rozainun Abdul Aziz

Publications (2)0 Total impact

• Source

  Available from: SSRN

  Article: Value Relevance of Aggregated vs. Disaggregated Book Value and Earnings: Evidence from Malaysian High-Tech Firms

  Mohd Halim Kadri, M. K. Ibrahim, Rozainun Abdul Aziz
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  ABSTRACT: This study aimed at investigating the value relevance of aggregated and disaggregated book value and earnings of high-tech firms listed on Bursa Malaysia for the period from 2003-2008. Using the Ohlson (1995) basic and modified equity valuation models, this study investigated whether disaggregated book value and earnings could explain the variation in market value better than aggregated book value and earnings. The results of the basic model show that the explanatory powers of both book value and earnings are fluctuating with book value is in a decreasing trend whereas earnings is in an increasing trend. The results of the modified models show that disaggregated book value and earnings could explain the variation in market value better than aggregated book value and earnings.
  Corporate Finance: Valuation, Capital Budgeting & Investment Policy eJournal. 01/2011;
• Article: Value Relevance of Book Value and Earnings: Evidence from Two Different Financial Reporting Regimes

  Mohd Halim Kadri, M. K. Ibrahim, Rozainun Abdul Aziz
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  ABSTRACT: This study aimed at investigating the value relevance of book value and earnings and the relationship between earnings and operating cash flow of two different financial reporting regimes in Malaysia. A market and non-market valuation approaches were utilised for that purpose. The result of market valuation approach of pool sample shows that book values and earnings are value relevant. We also observed that the change in financial reporting regime affects significantly the value relevance of book value and but not earnings. While book value and earnings are value relevant during the MASB period, only book value is value relevance during the FRS period. The result of non-market valuation approach on the other hand, shows that the change in financial reporting regime has no significant effect on the relationship between earnings and operating cash flow. The result of market valuation approach implicates that the introduction of new or improved standards under FRS regime strengthen the position of book value thus leaving earnings behind in equity valuation. The result of non-market valuation model implicates that the level of relationship between earnings and operating cash flow persists as long as operating cash flow comprise of cash and cash equivalent components whereas earnings comprise of cash and accruals components. The study contributes to the existing literature in the area of the effect of adoption of FRS on value relevance of accounting numbers in Malaysia.
  Emerging Markets: Finance eJournal. 11/2009;