ACADEMIC WRITING

NAME : AUJI AMALIA

NPM : 1701102010024

[***]

REVIEW ARTICLE OF SECONDARY DATA

1. Title : An explanation of capital structure of China’s listed property firms

Authors : Jian Lian, Liu Fang Li, Han-Suck Song

A. Introduction
a. Objective of Riset : The purpose of this paper is to investigate the
determinants of the capital structure of listed property firms in China.
b. Why Author choose the problem : Property industry is unique ini different
industries in terms of capital structure choice, because property companies
have more collateral ( real estate assets) to deal with larger amounts of
debt, and usually have higher leverage ratios. Real estate corporations
have more fund raising channels such as Real Estate Investment Trusrs
compare with firms in other inudsties.
c. Orginality of research : The special financial behaviour of China’s
property firms and the unique, financial and property market conditions
highlight the necessity of researching the capital structure of listed
property firms in China. However, most of the existing literature focuses
on the company financial behaviour in developed countries, and very few
studies have been done concerning property firms’ financing behaviour in
emerging economies such as China, and this research prospects to fill this
blank.
d. Promblem Formulation : the first empirical study investigating the
determinants’ dynamic impact on the financial behaviour of property
companies in emerging markets like China
e. Limition of research : The findings confirm the applicability of trade-off
theory (except for the correlation between leverage and the tax shield) on
property companies in China. They also highlight the importance of
government policies and special market conditions in explaining the
 financing behaviour of property companies in transaction countries like
China.
f. Future research : Complimentary policies should be established along
with property market restriction policies to offset their unequal negative
effect on property companies with less state-owned shares. Furthermore,
government should invest efforts to eliminate the discrimination credit
treatment of banks against property companies with non-existent or few
state-owned shares.
B. REFERENCES
a. Upadate of the references : the reference of this article is not up to date,
the author use reference article from 1980 untill 2013.
b. Discussion of paper : No, they do not discussion new problem here.
c. The authors of this article have background from Department of property
and also the research and consultancy.
d. Indicator :
e. Model : Quantitavie methods
f. Hypothesis development : share-owned share’ impact on leverage ratio is
unclear in hypothesis.

C. Research Method
a. The reponden of this article are the property company that list on China
Exchange Market. The sample is from 2006 to 2010.
b. Determine the sample : China Securities Regulation Commission, there
are 63 property companies listed on China’s stock market, and over half of
them (35 listed property companies) had significant state-owned shares (at
least 15 per cent) by the end of 2010.
c. Collecting data
d. Technique of data processing : Regression model Panel data
e. Hypothesis Prove :
D. Disccussion
a. Solution of problem :
b. Research Design : – The study is based on quantitative methods such
as dynamic panel data models and a panel data set containing financial
and accounting data for all listed property companies from 2006 to
2010 in China.
c. Research Result : Some of the findings above such as positive
correlations between leverage and tangibility ratio, total size and state-
ownership ratio are consistent with the results of Qian et al. (2007)
which used a sample of all the listed companies in China.
 d. Unsucces Research : Some of the findings above such as positive
correlations between leverage and tangibility ratio, total size and state-
ownership ratio are consistent with the results of Qian et al. (2007)
which used a sample of all the listed companies in China.

E. Conclusion
a. All question are answerd in the paper.
b. Big contribution of this paper :
c. Therefore, more data from non-listed property firms need to be
incorporated in future research in order to investigate the different
financing behaviour between public and private property companies.
2. Title : The Effect of Capital Structure on Profitability and stock returns, Empirical
Analysis of Firms listes in Kompas 100.
Author : Teddy Chandra, Achmad Tavip Junaedi, Evelyn Wijaya, Suharti Suharti, Irman
Mimelientesa and Martha Ng
A. Introduction
a. Objective : The purpose of this study is to examine the factors that
influence capital structure, profitability and stock returns and the
relationship between capital structure, profitability and stock returns.
The endogenous variables in this study are capital structure,
profitability and stock returns, whereas the exogenous variables are
firm size, growth opportunity, tangibility, liquidity, volatility and
uniqueness.
b. Why Author Choose this problem : Indonesia’s foreign debt tends to
increase every year. It reached $US202.41 in 2010 and $US352.25 in
2017
c. Originality/value – Path analysis is a model similar to the multiple
regression analysis, factor analysis, canonical correlation analysis,
discriminant analysis and more general multivariate analysis groups.
This research discusses that capital structure is useful for increasing
the value of the company in the sense that the more debt that is used, a
tax deduction will be obtained because of interest costs. So that the
company's profits will increase and eventually will increase the value
of the company. This opinion remains a controversy among financial
experts. Until now, there is no agreement that can explain the capital
structure in all conditions of the company. There are two important
theories concerning capital structure, trade-off theory and pecking
order theory.
d. Problem Formulation :
e. Future Research :
 f.

B. References :
a. The year of reference article is mix. Because some of reference is from
article that published on 1976, but some also published at least 6-7
years ago.
b. Discussion are not load new theme.
c. The author master the major studied.
d. Indicator :
e. Model : Secondary data and use Path Analysis
f. Hypothesis Development : H1. Effect of company size, growth,
tangibility, liquidity, capital structure and profitability on stock
returns. H2. Effect of growth, tangibility, liquidity, uniqueness,
volatility on capital structure. H3 Effect of firm size, growth,
tangibility, liquidity, uniqueness, volatility and capital structure on
profitability.
C. Research Method :
a. The population used is a company that is listed on the compass
index 100 period of August 2016.
b. Total of company researched is 64 companies
c. Collecting Data : The sample is selected by using purposive
sampling. The criteria used are that: the company has been
registered before January 2009 and the banking companies are not
included in the analysis because banking companies have different
perception of valuation of capital structure than other companies.
d. Technique : The data analysis technique used is path analysis with
the help of AMOS.
e. Hypothesis test results : The results of hypothesis testing for this
research model can be seen in. Firm size, Growth, tangibility,
liquidity, uniqueness, volatility and capital structure. To explain
the results of this study, we will explain the results per research
variable in the following section.
D. Discussion
a. Solution
b. Research Design : he population used is a company that is listed on
the compass index 100 period of August 2016. A total of 64
companies are sampled in this study. The unit of analysis is 448
data. The data analysis technique used is path analysis with the
help of AMOS.
c. Research Result :
d. The lack of research :

E. Conclusion
a. All question are solved by research.
b. Big contribution :
c. No information future.
REVIEW ARTICLE OF PRIMERY DATA

1. Tittle : Determinants of Financial Sustainability for Farm Credit Applications—A Delphi

Study
Author : Johannes I. F. Henning and Henry Jordaan
A. Introduction
a. Objective : identify factors that are currently considered, but also to
identify other personal attributes that may improve the accuracy in
predicting the repayment ability of potential borrowers.
b. Unique side of article : The paper presents an alternative view of the
indicators used in the agricultural credit process by considering the
process from the credit providers’ perspective and not from the borrowers.
c. Originality :
d. Problem Formulation : o explore the current credit assessment process to
understand the factors and characteristics that are used to assess credit
applications, and to identify other factors and characteristics that could
improve the degree of accuracy with which repayment ability is predicted
e. Limition :
f. Future Research :

B. Reference :
a. The date of article used here is mix. Some of aricles are up to date but
some was so old.
b. No, discussion only about this them, credit.
c. Yes, author is master for the major studied.
d. Indicator : considering the process from the credit providers’ perspective
and not from the borrowers.
e. Research Model : The Delphi Techinque
f. Hypothesis Development :

C. Research Method
a. The Responden of the research is the Farmer of South Africa.
b. How to identified the sample : looking for some of indicator.
c. Collecting data : Questioner
d. Technique : The Delphi Technique
 e. How about Hypothesis prove :
D. Discusion
a. Sulution :
b. Reseacrh Design :
c. Yes, the research is success
d. No.

E. Conclusion :
a. Not at all. Still have lack.
b. the most important factors included the financial performance,
sustainability, and security of the applicant.
c. Recommended that further research be conducted to investigate the
implementation of objective statistical methods to determine repayment
ability within the South African agricultural sector where these identified
factors can be implemented to extend or contribute to the current decision
making variables in credit instruments. Research would include
identifying measurement instruments to identify and/or measure these
identifying factors in such a way that the factors can be include in the
credit instruments.

2. Title : Financial Statement Disaggregation Decisions and Auditors’ Tolerance for

Misstatement
Author : Robert Libby and Timothy Brown

1. Introduction :
a. Objective Of research : investigate the possibility that disaggregation as
well as the location of disaggregated numbers will affect the behavior of
auditors in a manner that also affects the reliability of bottom line net
income and other statement subtotals and totals
b. Why Author coose this problem : examine whether voluntary
disaggregation of income statement numbers increases the reliability of
income statement subtotals because auditors permit less misstatement in
the disaggregated numbers.
c. Originality : Correction of smaller errors in disaggregated numbers.
d. Problem Formulation : 1) whether disaggregation increases the reliability
of income statement numbers by decreasing the amount of misstatement
that auditors tolerate, (2) whether location (statement or note presentation)
of the disaggregated data moderates this effect, (3) the degree of
consensus among auditors on these two issues, and (4) what concerns
drive auditors’ consideration of disaggregated line item amounts in
judging the materiality of discovered financial statement errors.
e. Limition :
f. Future Research :
2. References :
a. The date of article used here is mix. Some of aricles are up to date but
some was so old. The range from publishing the article more than 10
years.
b. No, not load another theme discussion
c. Yes, the article write by Lecturer on the major studied.
d. Indicator :
e. Model :
f. Hypothesis : H1: Auditors will require correction of smaller errors when
disaggregated expense item amounts are added to the face of the income
statement in a between-subjects setting. H2: Auditors will require
correction of smaller errors when disaggregated expense item amounts are
added to the face of the income statement as opposed to the notes in a
between-subjects setting. H3: Auditors will judge errors to be more
material when disaggregated expense item amounts are added to the face
of the income statement in a within-subjects setting. H4: Auditors will
judge errors to be more material when disaggregated expense item
amounts are added to the face of the income statement as opposed to the
notes in a within-subjects setting..
3. Research Method
a. A total of 78 experienced U.S. auditors from three Big 4 firms participate
in the study. Of the 78, 76 identify their current position as audit manager;
two identify as audit seniors. Of the 78 participants, 37 complete the
experiment online and 41 complete a pencil-and-paper version of the task.
b. How to determine the size of participant :
c. The three firms provide between 14 and 41 auditors each. The auditors are
selected and contacted directly by a senior member from the executive
office of their firm. Most of the participants’ experience is with public,
commercial (nonfinancial), for-profit companies.
d. Panel data from the participant that they determine about the audit and the
topic.
e. The article data is descriptive
4. Dicussion :
a. Solution : These studies, our own results, and our discussions with
representatives from major firms suggest the prominence of ‘‘5 percent of
pre-tax income’’ as the key quantitative benchmark in normal times.
b. Design of research : Panel data from autit financial statement.
c. Yes, the research is success
d. No briefly expalain.
5. Conclution :
a. Yes, all question is prove by hypothesis and solve.
b. Not solving problem
c. Next research : suggests that disaggregating expense items can reduce the
allowable error in the disaggregated amounts, increasing the reliability of
the disaggregated amounts as well as the resulting statement subtotals and
totals.