The role of investment property appraisal in European real estate companies

Purpose – This paper examines the connection between appraisals of investment properties and earnings properties in companies from two perspectives: what kind of companies employ the most reputable appraisers and how appraisers produce estimations. Design/methodology/approach – The research uses annual reports of European Union (EU) publicly traded real estate companies and examines the period 2007–2016. Findings – The contribution of this study lies in establishing that some indicators and features of real estate companies affect the choice of appraiser and also in illustrating differences in the results of property valuations. In short, smaller companies with weaker performance are less willing to use external valuation, and external appraisers produce more conservative estimations for investment properties. Practical implications – The research produces beneficial information for investors and other stakeholders interested in real estate industry. Originality/value – This is the first novel study to examine the link between appraisals of investment properties and earnings properties in companies in detail.©2020 Emerald Publishing Limited. This manuscript version is made available under the Creative Commons Attribution–NonCommercial 4.0 International (CC BY–NC 4.0) license, https://creativecommons.org/licenses/by-nc/4.0/fi=vertaisarvioitu|en=peerReviewed

External Appraisal, Auditing, and Information Asymmetries in the Real Estate Industry : European Evidence

This paper investigates whether the use of external investment property appraisers or the adoption of Big 4 auditors reduces information asymmetry across market participants in the real estate industry. The study exploits the annual reports of publicly traded real estate firms in the European Union over the period 2007–2016. The information asymmetry measures used are the firm’s percentage bid-ask spread and the standard deviation of analyst recommendations. The results suggest that firms that adopt an external property valuation trigger less information asymmetries among investors than companies that use internal valuation processes. In a similar vein, the findings indicate that the adoption of a Big 4 auditor reduces bid-ask spreads in the real estate industry.©2022 Association of Business Schools Finland.fi=vertaisarvioitu|en=peerReviewed

An analysis of comment letters on a new, stand-alone standard for audits of less complex entities’ financial statements

Purpose The objective of this paper is to extend the debate on audit quality in the less complex entity (LCE) context by analyzing comment letters submitted to the International Auditing and Assurance Standards Board (IAASB). The IAASB has drafted a new, stand-alone standard for audits of LCEs’ financial statements. Design/methodology/approach The Gioia method is utilized to conduct the qualitative analysis. This enables the material to shine and provide a comprehensive picture of the important aspects of the comment letters about the International Standard on Auditing (ISA) for LCEs. A content analysis of the 145 comment letters is conducted to identify the extent of the support for and the arguments against the new, stand-alone draft standard for audits of LCEs’ financial statements. In addition, this study considers how the comment letters describe the respondents’ views on audit quality in relation to the new standard. Finally, the tone of the comment letters and audit quality arguments is investigated. Findings The findings provide a useful framework of the most frequently used arguments supporting and opposing the ISA for LCEs. Within the themes identified, a wide variety of issues and concerns are discussed. The results reveal that the arguments in the comment letters are contradictory. For instance, when discussing audit quality, those interest groups that perceived many positive opportunities in the adoption of the ISA for LCEs thought that the audit quality would increase. Conversely, those interest groups that were skeptical about the success of the ISA for LCEs argued that the audit quality could be compromised by the general prejudice that the ISA for LCEs might be perceived as a lower-quality audit with fewer procedures. Originality/value This paper is, to the best of the authors’ knowledge, the first to examine the content of comment letters in the context of a new, stand-alone standard for audits of LCEs. The international audience can utilize the results in the context of the widely discussed issue of reducing LCEs’ auditing obligations. This study aims to contribute to the two streams of accounting literature concerning audit quality and political lobbying.© Elina Elisabet Haapamäki and Juha Mäki. Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/legalcode The authors thank an anonymous reviewer and the editors of the journal for their helpful comments, which have led to substantial improvements in the paper. Elina Haapamäki gratefully acknowledges the financial support received from the Foundation for Economic Education and the Evald and Hilda Nissi Foundation.fi=vertaisarvioitu|en=peerReviewed

An examination of comment letters on suggested Part 10 : audits of groups' financial statements in the proposed ISA for less complex entities

Purpose The purpose of this paper is to investigate the comment letters (CLs) in the standard-setting process of audits of less complex entities (LCEs). The objective is to gain insight into the overall picture of the CLs and to report on areas where comment providers agree or disagree with IAASB's Part 10. Design/methodology/approach A content analysis of 60 comment letter (CLs) was conducted to investigate the suggested additional Part 10 on audits of groups' financial statements in the proposed ISA for LCEs. Hence, this study examines three specific topics: (1) the views related to the use of the International Standard on Auditing (ISA) for LCEs for group audits in which component auditors are involved, (2) the proposed group-specific qualitative characteristics to describe the scope of group audits and, finally, (3) insights into the content of the proposed Part 10 and related conforming amendments. The Gioia method is used to provide a holistic approach to concept development of the arguments about the new Part 10. Findings The CLs stated that, while the proposed Part 10 has some weak points, it still provides a solid and practical structure within which to undertake an LCE group audit and a promising basis for further development. For instance, when discussing the improvements, the CLs stated that Part 10 should allow for more auditor judgment when determining when the involvement of component auditors renders a group audit complex. In addition, the CLs asserted that professional judgment should be engaged when considering the qualitative characteristics and the complexity of the group. Originality/value This study contributes to the very scarce research about the ISA for LCEs and the role of lobbying in shaping the audit standard-setting process.© Elina Elisabet Haapamäki and Juha Mäki. Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/legalcodefi=vertaisarvioitu|en=peerReviewed

Ownership Structure and Accounting Method Choice: A Study of European Real Estate Companies

Companies can under IAS 40 Investment Properties choose between the fair value and the cost models. The fair value model arguably results in more relevant information but is also more costly to use. Based on studies suggesting that financial reports are a more important medium for communication with investors if ownership is dispersed, we hypothesize that the use of the fair value model is positively associated with ownership dispersion. We study European Real Estate firms and find support for this prediction. We also find a positive association between trade of shares and ownership dispersion, supporting the view that financial statements are less important if ownership concentration is high. Finally, we examine whether the choice depends on the identity of large owners. Companies with a financial company as the largest owner are somewhat more likely to choose the fair value model. Overall, the results indicate that accounting rules facilitating optional accounting policies have benefits

Jääkäriprikaatin tykistön taktillisesta käytöstä

Kirjoittaja toteaa johdannossa, että yleensä perusyhtymän taktiikalla ymmärretään lähinnä tietyn taistelun suunnittelua. valmistelua ja toteuttamista ja tällöinkin kyse on ensisijaisesti pataljoonien käytöstä. Hänen mielestään joskus voitaisiin tilanteenarvioinnissa ensin tarkastella aselajien tukemismahdollisuudet ja sen jälkeen pohdittaisiin pataljoonien käyttöä. "Jääkäriprikaatin organisaatiota on tänä vuonna tarkistettu. Tulivoimaan ja liikkuvuuteen on kiinnitetty erityinen huomio." Johdannon mukaan tykistön osalta keskeistä muun muassa on, että jääkäripataljoonissa on tulenjohtovoima valmiina joukkuetasolta alkaen, patteristot muodostuvat tuliportaista, viesti- ja johtamistoiminta perustuu pääasiassa automaattiseen, digitaaliseen viesti järjestelmään ja keskussanomalaiteverkkoon. "Tässä tutkimuksessa on pyritty selvittämään, mitä eri vaihtoehtoja tykistön käytöllä on tuettaessa jääkäriprikaatin taistelua. Tämä on edellyttänyt myös tykistölle asetettavien vaatimusten tarkastelua ja niiden huomioon ottamista eri vaihtoehtoja tutkittaessa." Aluksi tarkastellaan jääkäriprikaatin tykistölle asetettavia vaatimuksia, käsitelleen monipuolisesti sen tehtäviä ja kalustoja. Seuraavassa luvussa käsitellään tykistön käyttömahdollisuuksia jääkäriprikaatin taistelun tukemiseksi. Siinä tuodaan havainnollisesti esille toiminta- tai käyttöperiaatteita marsseilla, eri hyökkäysvaihtoehdoissa, viivytyksessä ja puolustuksessa. Päätännässä todetaan muun muassa, että " Tässä tutkimuksessa on päädytty siihen tulokseen, että nykyiset tykistön käyttöperiaatteet ovat käyttökelpoisia jääkäriprikaatin taistelun tukemiseen ja mahdollistavat sen aktiivisen käytön kaikissa taistelulajeissa."ISBN: 951-96314-1-

Paras asia mun koko lapsuudessa - Lapsena kodin ulkopuolelle sijoitettuina olleiden nuorten aikuisten kokemuksia omasta osallisuudestaan ja toimijuudestaan

Tutkimukseni tutkimustehtävänä on selvittää lapsena koettuja osallisuuden- ja toimijuudenkokemuksia niin kodin ulkopuoliseen sijoitukseen johtaneen prosessin kuin varsinaisen sijoituksenkin aikana. Tutkimukseni paikantuu yhteiskuntatieteelliseen lapsuustutkimukseen ja lapsinäkökulmaiseen tutkimukseen sekä niistä käytävään keskusteluun. Tutkimustehtävä jäsentyy kahdeksi varsinaiseksi tutkimuskysymykseksi. Ensimmäinen niistä on, toteutuuko lapsiasiakkaan osallisuus sijoitusprosessin ja varsinaisen sijoituksen aikana? Lapsiasiakkaan osallisuudella tarkoitan hänen oikeuttaan ja tosiasiallista mahdollisuuttaan osallistua itseään koskevaan päätöksentekoon niin, että hän itse kokee tulleensa kuulluksi ja ymmärretyksi. Toinen tutkimuskysymys puolestaan on, voidaanko lapsiasiakkaan kohdalla puhua toimijuudesta sijoitusprosessin ja varsinaisen sijoituksen aikana? Toimijuudella tarkoitan lapsiasiakkaan tosiasiallista mahdollisuutta vaikuttaa itseään koskeviin prosesseihin ja niiden lopputuloksiin. Etsin tutkimuskysymyksiin vastauksia haastattelemalla viittä iältään 20-26 -vuotiasta nuorta aikuista, jotka kaikki ovat jossain vaiheessa lapsuuttaan olleet lastensuojelullisin perustein kodin ulkopuolelle sijoitettuina. Haastattelut olivat ennalta laadittua haastattelurunkoa noudattelevia teemahaastatteluita. Analyysimenetelmänä käytin teemoittelua. Tutkimus osoitti, että kodin ulkopuoliseen sijoitukseen ei välttämättä aina jouduta, vaan usein päinvastoin päästään. Onnistuessaan sijoitus tarjoaa sijoitetulle lapselle positiivisia kokemuksia sekä turvallisia ja eheyttäviä ihmissuhteita, jotka parhaimmillaan kantavat aikuisuuteen asti. Monet haastattelemani nuoret aikuiset pitävät edelleen tiiviisti yhteyttä sijaisperheisiinsä ja lastensuojelulaitosten henkilökuntaan. Lastensuojelullisiin prosesseihin osallistuneet aikuisammattilaiset saivat toiminnastaan positiivista palautetta. Lastensuojelun lapsiasiakkaiden kohtaaminen, osallisuus ja toimijuus oli haastattelemieni nuorten aikuisten kohdalla toteutunut varsin hyvin. Mitä vanhemmasta lapsiasiakkaasta oli ollut kyse, sen paremmin niiden voidaan katsoa toteutuneen. Positiivisesta palautteesta huolimatta aikuisammattilaisten tulee jatkossakin kiinnittää erityistä huomiota lapsiasiakkaan näkyväksi, kuunnelluksi ja ymmärretyksi tekemiseen. Lapsen äänen tulee kuulua kaikissa lapsen ja hänen asioitaan hoitavien aikuisten välisissä keskusteluissa. Sen tulee kuulua myös lapsesta kirjoitettavissa dokumenteissa, joita mahdollisuuksien mukaan työstetään yhdessä lapsen kanssa. Kuuleminen lain edellyttämällä minimitasolla ei ole riittävä taso

Buckwheat - an old crop with new health prospects

Interest in buckwheat has incresed due to it being a valuable raw material for functional food production. It has been reported to have general beneficial effects on health. Buckwheat competes well with weeds and suffers little from other pests. This may be because buckwheat contains allelopathic compounds and its cultivation was observed to reduce weed biomass. Its soil nutritional requirements are low

Evaluation of High-Throughput PCR and Microarray-Based Assay in Conjunction with Automated DNA Extraction Instruments for Diagnosis of Sepsis

BACKGROUND: High incidence of septic patients increases the pressure of faster and more reliable bacterial identification methods to adapt patient management towards focused and effective treatment options. The aim of this study was to assess two automated DNA extraction solutions with the PCR and microarray-based assay to enable rapid and reliable detection and speciation of causative agents in the diagnosis of sepsis. METHODOLOGY/PRINCIPAL FINDINGS: We evaluated two automated DNA instruments NucliSENS® easyMAG® and NorDiag Arrow for the preparation of blood culture samples. A set of 91 samples flagged as positive during incubation was analyzed prospectively with the high-throughput generation of Prove-it™ Sepsis assay designed to identify over 60 gram-negative and gram-positive bacterial species as well as methicillin resistance marker from a blood culture. Bacterial findings were accurately reported from 77 blood culture samples, whereas 14 samples were reported as negative, containing bacteria not belonging to the pathogen panel of the assay. No difference was observed between the performance of NorDiag Arrow or NucliSENS® easyMAG® with regard to the result reporting of Prove-it™ Sepsis. In addition, we also assessed the quality and quantity of DNA extracted from the clinical Escherichia coli isolate with DNA extraction instruments. We observed only minor differences between the two instruments. CONCLUSIONS: Use of automated and standardized sample preparation methods together with rapid, multiplex pathogen detection offers a strategy to speed up reliably the diagnostics of septic patients. Both tested DNA extraction devices were shown to be feasible for blood culture samples and the Prove-it™ Sepsis assay, providing an accurate identification of pathogen within 4.5 hours when the detected pathogen was in the repertoire of the test