Debt Maturity And Investment Efficiency Evidence From Korea

This study empirically analyzes the effect of debt maturity on investment efficiency, which is measured by using McNichols and Stubben (2008). Debt maturity is measured using current debt ratio and dummy variable. Specifically, we will investigate how short-term debt affects investment efficiency. Additionally, we will investigate the relation between the short-term debt affects investment efficiency according to debt maturity group. The results of this study are as follows. First, the short-term debt and investment efficiency were significantly positive (+) in both the total sample and the over-investment sample. Second, as a result of analyzing the maturity of debt by group according to the current debt ratio, the relationship between earnings quality and investment efficiency was significantly positive (+) in the short-term debt group. it is suggested that debt maturity and investment efficiency can be different for the total sample, over-investment sample, under-investment sample, and the relationship between earnings quality and investment efficiency can be differentiated by debt maturity group. This study has following additional contributions in comparison with domestic prior studies related to investment efficiency. First, prior studies related to investment efficiency are mainly concerned with the quality of financial reporting. This study implies that the relationship between investment efficiency and quality of financial reporting, and the relationship between debt maturity and investment efficiency among the characteristics of debt. Second, from the results of the analysis of the debt maturity and investment efficiency, it is confirmed that the debt is operating as a mechanism to monitor the investment efficiency of the corporation. Third, the analysis of debt maturity group suggests that the relationship between earnings quality and investment efficiency may be differentiated by short and long debt levels during debt financing. The limitations of this study are as follows. First, we might have not considered omitted other variables. Second, we might not have fully considered other proxies for the characteristics of the debt maturity and investment efficiency. Third, there may be a measurement error in the quality of earnings and investment efficiency. Finally, the relationship between debt maturity and investment efficiency can vary depending on the circumstances of the company. For example, specific debt contract provisions or national regulatory environment. Therefore, attention should be paid to the generalization of the results of this study

Does Board Characteristics Constrain Real Earnings Management? Evidence From Korea

This study empirically analyzes the effect of board characteristics on real earnings management, which is measured by using three proxies including abnormal cash flows from operations, abnormal discretionary expenses, and abnormal production costs. Specifically, we will investigate how board independence (or board size) affects real earnings management. Additionally, we will investigate the relation between the board characteristics and real earnings management according to before K-IFRS mandatory adoption or after K-IFRS mandatory adoption. The empirical results of this study are as follows. First, the relation between board independence (board size) and the absolute value of abnormal cash flows from operations is statistically significant and positive (+). Second, the relation between board independence (board size) and the absolute value of abnormal production costs is statistically significant and positive (+). Third, the relation between board independence (board size) and the absolute value of abnormal discretionary expenses is statistically significant and positive (+). These findings present that the board independence (or board size) does not constrain real earnings management. Thus, these mean that board independence (or board size) does not work as a mechanism to reduce real earnings management. This study contributes to accounting research as it directly tests the relation between the board characteristics and real earnings management in Korea, providing empirical support that a board independence (board size) does not constrain real earnings management as effectively as it constrains accrual earnings management.&nbsp

Anti-inflammatory effects of enzymatic hydrolysates of velvet antler in RAW 264.7 cells in vitro and zebrafish model

Enzymatic hydrolysis has been successfully used for the extraction of numerous biologically active components from a wide variety of natural sources. In the present study, velvet antler was subjected to the extraction process using Alcalase protease. We analyzed bioactive components, such as uronic acid, sulfated-glycosaminoglycans (sulfated-GAGs), and sialic acid, present in the velvet antler Alcalase hydrolysate (VAAH) and assessed their anti-inflammatory effects in zebrafish as well as in vitro using cell lines. VAAH mainly contained uronic acid (78.22 mg/g) and sulfated-GAGs (50.47 mg/g), while the amount of sialic acid was negligible (5.55 mg/g). VAAH inhibited the production of nitric oxide (NO) by lipopolysaccharide (LPS)-induced cells in a dosedependent manner and the inhibitory effect of VAAH on NO production was higher than that of hot water extracts. VAAH treatment also reduced the expression of inflammatory mediators such as nitric oxide synthase (iNOS) and cyclooxygenase-2 (COX-2). Furthermore, we evaluated anti-inflammatory effects of VAAH using LPS-stimulated zebrafish. Treatment with LPS significantly increased cell death, NO, and reactive oxygen species (ROS) levels in zebrafish. Notably, VAAH significantly inhibited the extent of LPS-stimulated cell death and generation of NO and ROS in zebrafish. These results suggest that VAAH alleviated inflammation and cell death by inhibiting the generation of ROS induced by LPS treatment. Thus, VAAH could be used as a potential natural remedy with a trong anti-inflammatory effect. Taken together, we believe that based on our present results, enzymatic hydrolysis of velvet antler may be an effective process to make antler products acceptable as elements of health foods and nutraceutical components with increased biological activity

Emergence of flat bands via orbital-selective electron correlations in Mn-based kagome metal

Kagome lattice has been actively studied for the possible realization of frustration-induced two-dimensional flat bands and a number of correlation-induced phases. Currently, the search for kagome systems with a nearly dispersionless flat band close to the Fermi level is ongoing. Here, by combining theoretical and experimental tools, we present Sc$_3$Mn$_3$Al$_7$Si$_5$ as a novel realization of correlation-induced almost-flat bands in the kagome lattice in the vicinity of the Fermi level. Our magnetic susceptibility, $^{27}$Al nuclear magnetic resonance, transport, and optical conductivity measurements provide signatures of a correlated metallic phase with tantalizing ferromagnetic instability. Our dynamical mean-field calculations suggest that such ferromagnetic instability observed originates from the formation of nearly flat dispersions close to the Fermi level, where electron correlations induce strong orbital-selective renormalization and manifestation of the kagome-frustrated bands. In addition, a significant negative magnetoresistance signal is observed, which can be attributed to the suppression of flat-band-induced ferromagnetic fluctuation, which further supports the formation of flat bands in this compound. These findings broaden a new prospect to harness correlated topological phases via multiorbital correlations in 3$d$-based kagome systems.Comment: 16 pages, 15 figure

Dependence of spontaneous polarization on stacking sequence in SiC revealed by local Schottky barrier height variations over a partially formed 8H-SiC layer on a 4H-SiC substrate

Ballistic electron emission microscopy was used to measure the increase of local Schottky barrier (compared to the surrounding 4H-SiC area) over a partial 8H-SiC layer that is the surface-exposed tail of an 8H stacking fault inclusion extending from 4H substrate. This local increase is believed to be due to polarization charge induced at the interface of partial 8H layer and underlying 4H host, resulting from the spontaneous polarization (SP) difference between SiC regions with different bilayer stacking. This is a direct experimental probe of the dependence of SP in SiC on local stacking sequence by measuring carrier transport.open1