• The Korean Journal of Financial Management
• /
• v.26 no.4
• /
• pp.1-34
• /
• 2009

We test the effect of corporate cash holdings on firm value by using the KOSPI listed firms over the period between 2002 and 2007 from the agency theories perspective, which has not been the central interest of prior studies. Unlike existing studies, using the manager's ownership ratio or foreign investor's shareholder ratio as a proxy variable for agency costs, we use the individual firm's corporate governance scores by the KCGS to test the effect of agency costs on the value of firm's cash holdings. We find that a firm value is positively related with its cash holdings. We also find that a firm with good corporate governance tends to experience a higher value of its cash holdings, compared with a firm with bad corporate governance. These results are consistent even after controlling for the endogeneity problems between corporate governance and firm value, strongly supporting the agency theory of cash holdings. Therefore, a firm's cash holdings, even from liquidity or precautionary motives, could increase the firm cash value, as long as its managers' interest is shareholders' wealth maximization rather than their private benefits.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.9 no.2
• /
• pp.109-116
• /
• 2014

In this study, the factors affecting the profitability of the oriental medicine hospitals of University to be analyzed. To do this, profitability indicators and current ratio, liquidity, turnover ratio, cost factors analysis and suggested ways to improve management. The results are as follows, the operating margin(1.17%). the return on assets(3.76%), the net profit to gross revenues(2.37%), and the net profit to total assets(-1.89) were lower than the average of the entire oriental medicine hospitals in Korea(respectively 8.9%, 8.7%, 2.6%, 2.5%). Current ratio(256.76%), quick ratio(231.17%), fixed ratio(121.02%), and total assets turnover(135.69%) were similar to the average of all oriental medicine hospitals in Korea. But growth rate of total assets(-2.21%), and growth rate of patient revenue(1.89%) is low. And salaries(53.39%), materials costs(16.62%), administrative expenses(28.58%) were different to the average of all oriental medicine hospitals in Korea(respectively 35.3%, 10.7%, 45.1%). Meanwhile, the cost ratio of the oriental medicine hospitals of University was 98.59%. It was 7.49% higher than the 91.1% of the average of all oriental medicine hospitals in 2011. Correlation analysis, growth rate of patient revenue and operating margin increased at the same time, and net profit to gross revenues and net profit to total assets with a growth rate of total assets increased. And administrative expenses and profitability indicators showed a negative correlation. It means, in order to improve the profitability of the oriental medicine hospitals of University should focus on reducing administrative expenses. Multiple regression analysis, growth rate of total assets, total assets turnover, administrative expenses, and salaries has affected the profitability. Therefore, in order to improve the profitability of the oriental medicine hospitals of University to increase the total capital and the total capital turnover, and to reduce administrative expenses effort.

• Journal of Preventive Medicine and Public Health
• /
• v.31 no.3 s.62
• /
• pp.490-502
• /
• 1998

This study purports to find the predictor of hospital bankruptcy in Korea and to examine the predictive power of the discriminant function model of hospital bankruptcy. Data on 17 financial and 4 non-financial indicators of 31 bankrupt and 31 profitable hospitals of 1, 2, and 3 years before bankruptcy were obtained from the hospital performance databank of Korea Institute of Health Services Management. Significant variables were identified through mean comparison of each indicator between bankrupt and profitable hospitals, and the discriminant function model of hospital bankruptcy was developed. The major findings are as follows 1. As for profitability indicators, net worth to total assets, operating profit to total capital, operating profit ratio to gross revenues, normal profit to total assets, normal profit to gross revenues, net profit to total assets were significantly different in mean comparison test in 1, 2, and 3 years before hospital bankruptcy. With regard to liquidity indicators, current ratio and quick ratio were significant in 1 year before bankruptcy. For activity indicators, patients receivable turnover was significant in 2 and 3 years before bankruptcy and added value per adjusted inpatient days was significant in 3 years before bankruptcy. 2. The discriminant function in 1, 2, and 3 years before bankruptcy were; $Z=-0.0166{\times}quick$ ratio-$0.1356{\times}normal$ profit to total assets-$1.545{\times}total$ assets turnrounds in 1 year before bankruptcy, $Z=-0.0119{\times}quick$ ratio-$0.1433{\times}operating$ profit to total assets-$0.0227{\times}value$ added to total assets in 2 years before bankruptcy, and $Z=-0.3533{\times}net$ profit to total assets-$0.1336{\times}patients$ receivables turn-rounds-$0.04301{\times}added$ value per adjusted $patient+0.00119{\times}average$ daily inpatient census in 3 years before bankruptcy. 3. The discriminant function's discriminant power in 1, 2, and 3 years before bankruptcy was 77.42, 79.03, 82.25% respectively.

• Korean Journal of Plant Resources
• /
• v.25 no.5
• /
• pp.624-632
• /
• 2012

As there have been lately many worldwide resource challenges such as potential exhaustion of fossil fuels, sudden rise of oil price and ever-rising grain pricing due to global food crisis, there have been more interests focused on recycling vegetable oils and fats into clean natural fuel and producing new resources based on waste cooking oil as a part of reusing waste resources. An Experiment was performed by using ratio of 50:50, 75:25 (w/w) mixture of based rapeseed oil, camellia oil, and olive oil. 50:50, 25:75 (w/w) mixture of based palm oil. The result was that the oleic acid ($C_{18:1}$) got the lowest percentage of 42.8%, when we combined the mixture of rapeseed oil and soybean oil. While the highest percentage of 72.1% was when the mixture of camellia oil and rapeseed oil were combined at 50:50 ratio. In 75:25 (w/w) case, mixture of rapeseed oil and soybean oil got the lowest. The highest ratio was the mixture of camellia oil and olive oil. Based on the component of palm oil, the total saturated fatty acid was decreased. It is expected that stabilizing oxidation through controlling of fatty acid after mixture and that liquidity at a low temperature. The acid value indicated that stabilizing oxidation got a range of highest to lowest. Camellia oil ranked as the highest, followed by olive oil, and the oil seeds as the lowest in rank. Controlling iodine value through mixture and improvement of stabilizing oxidation will provide a good quality. The quality of color has no significant change about mixture in ratio and maintenance. The reduction of the cost of refining process is expected by controling of mixture ratio at biodiesel production in the future.

• The Journal of the Korea Contents Association
• /
• v.20 no.11
• /
• pp.131-144
• /
• 2020

Political connection are widespread in many countries and are a hot topic in economic research right now. In China, companies are actively forming political connections in several ways. Based on the research model and theoretical analysis, this thesis puts forward the research hypothesis and constructs the research model of political connections and corporate performance using the financial data and corporate governance data of China A-share listed real estate companies in 2010-2014. The thesis mainly analyzes the political association of CEO. For the analysis result, this research uses the univariate regression analysis and multivariate analysis to carry out the robustness test. The empirical study analysis includes three parts: firstly, in Chinese listed real estate enterprises, CEO political connection has a significantly negative correlation with corporate performance. It means real estate enterprises whose CEO has political connections gain a lower performance than other enterprises; Secondly, from the personal characteristics of the CEO, age, sex and education level have positive relationship with the performance of the enterprise, the additional post situation negatively related to the firm's performance; Finally, the firm's scale liquidity ratio and capital asset rario have a negative relationship with corporate performance, and the number of top managers is positively related to corporate performance. This research made a study on the political connection in Chinese real estate industry, which could also provide beneficial references for the development of enterprises in this industry.

• Journal of the Korean Geotechnical Society
• /
• v.15 no.1
• /
• pp.151-160
• /
• 1999

A series of laboratory tests for the marine clay sampled under the sea of Kwangyang bay have been conducted. The main types of tests are the general index property tests, the oedometer tests and the triaxial compression tests in both undrained(CIU) and drained(CID) conditions. The clayey samples, classified as CL, CH with natural water content of 38.3~84.6% and liquidity index of 0.71~0.98, are in the normally consolidated state with O.C.R. of 1.0l~l.60. The undrained stress path from CIU tests can be normalized with isotropic consolidation pressure$(p_0)$ and equal shear strain contour is linear passing through the origin in the (q, p) plot. The undrained shear strain is found to be the only function of the stress ratio($\eta$) and linear with intercept in the ($\varepsilon/\eta,\eta$) plot. The built-up pore pressure normalized with pc is also linear with respect to $\eta$. and its slope is defined by ´C´ as a pore pressure parameter. Equations to predict the undrained stress path and the shear strain are proposed. It is proved that the proposed equations give better agreements to the measured values than the Cam-clay theories. The failure points of the stress path are located on the same C.S.L. in (q, p) plot during both CIU and CID tests, which justifies the concept of critical state theory.

• Journal of the Korea Academia-Industrial cooperation Society
• /
• v.12 no.1
• /
• pp.216-221
• /
• 2011

After the year of 2000, the Korean government has abolished the limit on foreign investments. Foreign investments in the domestic market have been thriving since. In domestic stock market, the proportion of market value held by foreign investors reaches over 40%. There are many followers in the markets, asking about what kinds of the firm that foreign investors prefer. Prior researches show that foreign investors in the American and European markets prefer stocks of the firm which are well known and are geographically closer. In this paper, we attempt to define the financial characteristics of the firms in which foreigners invest in the Korean market. The result shows that foreign investors in the domestic market tend to prefer firms with high market value of capital and dividend yield. It also shows that foreign investors in the Korean market choose firms with high book value to market value over others, while the firms with high debt ratio and the portion of the largest stock holders are shunned. This research suggests that foreign portfolio investments in the Korean market have contributed to liquidity of stock market and changed the governance structure of domestic firms in a positive way.

• Journal of Navigation and Port Research
• /
• v.44 no.4
• /
• pp.338-346
• /
• 2020

In this study, we first measured the Malmquist productivity index by DEA among the Korean ocean carriers. Second, it was intended to present measures to improve productivity by identifying the influence and discriminating power between productivity and the major financial ratios (profitability, financial stability, liquidity, efficiency and value-added productivity). Compared to 2017, there are 11 more shipping carriers with decline in productivity (MPI) than those with an increase in 2018. The increase in productivity is attributed to an increase in the Technology Change Index (TCI) affected by the external environment. There is strong significant correlation between the productivity (MPI) and the management efficiency (CRS). Additionally, the TECI (TECHI) index of the technological efficiency changes from internal factors of the shipping carrier is significantly higher than that of the efficient shipping carrier. This is because of the differences in scale efficiency. The ratio of charter cost/sales is also lower than that of the carriers with high productivity (0.17) and with low productivity (0.21). With 7% of the shipping carrier with MPI>1, only 1% of MPI <1 is found to have a significant impact on its productivity.

• The Journal of Small Business Innovation
• /
• v.19 no.3
• /
• pp.1-16
• /
• 2016

Korean government had used public 'credit guarantee schemes' (CGS) as a counter-cyclical measure. However, it is still controversial about the effectiveness of policy financing on the SMEs. Criticism on policy financing involves the argument that supporting enterprises hampers competition and innovation of SMEs by increasing their dependence on the government and delays the exit of marginal firms. In this paper, we investigate how to effectively build up the rationale of running public CGSs. At the same time, we propose the ways to coexist of public credit guarantee and market-based private finance system for SMEs. First, CGS, as a counter-cyclical function, must coexist with the private financial system by compensating the market failure caused by pro-cyclical behavior of the private financial market. Second, CGS has the comparative advantages, compared to both the interest rate policy of the central bank and fiscal policy of the government. The credit guarantee is the symptomatic treatment that could revitalize the economy shortly by providing liquidity. Also, knowing that CGS is provided based on the leverage ratio defined by outstanding guarantee divided by capital fund, public 'credit guarantee' (CG) has an advantage that is free from the risk of government deficit. Third, the reason for existence of the CGS should be founded in supporting services for SMEs, available only in a public sector that is difficult to expect from private banks. In this regard, it is desirable to strengthen the publicness of credit guarantee over the support for start-ups, growing companies, the improvement of productivity, increase of exports, a long-term investment in facilities, the employment-creating businesses, and innovative enterprises.

• Journal of Navigation and Port Research
• /
• v.44 no.6
• /
• pp.541-549
• /
• 2020

This study conducts differential analysis on the financial positions of Korean shipping companies before and after the bankruptcy of the H carrier, looking specifically at their financial ratios, profit and loss patterns, and other factors related to their financial operation. Firstly, it was discovered that major measures of financial health, such as average assets per carrier, were not affected by the bankruptcy of the H carrier. However, despite this, most carriers experienced large changes in profits and losses, with total sales and shipping revenues averaging 424.5 billion won and 381.7 billion won respectively before the bankruptcy, but falling by half to 252.1 billion won and 234.6 billion won after the bankruptcy. Additionally, charter revenues and expenses also dropped by more than half. EBIT/sales and pre-tax revenue margins were also heavily affected after the bankruptcy, with both figures averaging 8% and 3% respectively before the bankruptcy, but falling into the negative range at -2% and -8% post-bankruptcy, resulting in significant deterioration in operational profitability. The study concludes that there is an urgent need to establish a global sales network, improve cost structures, and consistently secure stable cargo in order to increase Korean carriers' profitability. Of all financial measures, liquidity and total asset efficiency were identified as the most severely-impacted by the H carrier bankruptcy, thereby requiring the most pressing policy addressing.