Saturday, 30 July 2022

Determining the Relationship Revaluation of Property, Plant and Equipment Company on Stock Prices and the Rate of Return on Stock on Indonesian Stock Exchange | Chapter 4 | Current Aspects in Business, Economics and Finance Vol. 2

 

 This study sought to ascertain how revaluation of property, plant, and equipment would affect stock prices and the rate of return on investment in a manufacturing company. From January 2011 to December 2013, the manufacturing companies represented in the index LQ45 on the Indonesia Stock Exchange were incorporated into the population. The descriptive technique and multiple regression were both used to analyze the data. Data from an annual financial report on the Indonesian stock exchange were collected, processed, and statistical analysis was used to obtain the information. The primary goal of the financial statement is to deliver data on the financial situation, performance, and changes in the financial status of the business that will be helpful for making financial decisions. The results of this study show that: 1) There is a relationship between the financial asset classes of property, plant, and equipment at fair value and reliability, 2) Reporting of fixed asset property, plant, and equipment at fair value is biased and unreliable, particularly for SE and PPNINC (the increase in the value of property, plant, and equipment company in period t), and 3) The fair value can explain the expl A dependable quality in asset reporting at fair value was not present, according to the findings. This came about as a result of an inconsistency in the reporting of an increase in the value of property, plant, and equipment in some quarters and an inflated increase in the value of company assets in other quarters. Along with investor assessments, changes in the value of property investments, plants, and equipment were also noted and assigned a reliability score.

Author(s) Details:

Lenny Leorina Evinita,
Manado State of University, North Sulawesi, Indonesia.

Please see the link here: https://stm.bookpi.org/CABEF-V2/article/view/7640

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