The determinants of audit fees—evidence from the voluntary sector

Given the growing demand for accountability in the public sector, there is a need to begin to investigate audit pricing issues in this sector. This study makes three contributions. First, it develops and estimates, for the first time, a model of audit fee determinants for the charity sector. As in previous private sector company studies, size, organisational complexity and audit firm location are the major determinants. A positive association between audit fees and fees for non-audit services is also observed. Charity sector factors of empirical significance include the nature of the charity (i.e., grant-making or fund-raising), its area of activity and the importance of trading income. Separate models for grant-making and fund-raising charities reflect the relative complexity of the audit of fund-raising charities. Second, the lower auditor concentration in the charity sector market, compared to the private sector market, permits a more powerful test of whether large firms and/or auditor expertise are rewarded with a fee premium. In the more complex audit environment of fund-raising charities, the results show that Big Six audit firms receive higher audit fees (18.5%, on average) than non-Big Six firms. Also, non-Big Six audit firms with charity expertise are rewarded with a fee premium over other non-Big Six firms. Finally, the study demonstrates that the charity audit fee rate is significantly lower than that of private sector companies; in fact it is approximately half. A change in the reporting of charity audit fees is proposed to reflect any element of ‘charitable giving’ by the audit firm.     

Making charity effectiveness transparent: Building a stakeholder‐focussed framework of reporting

Effectiveness in achieving mission is fundamental to evaluating charity performance, and is of central concern to stakeholders who fund, regulate and otherwise engage with such organisations. Exploring the meaning of transparency in the context of stakeholder engagement, and utilising previous research and authoritative sector discussion, this paper develops a novel framework of transparent, stakeholder‐focussed effectiveness reporting. It is contended that such reporting can assist the charity sector in discharging accountability, gaining legitimacy and in sharpening mission‐centred managerial decision making. Then applying this to UK charities’ publicly available communications, it highlights significant challenges and weaknesses in current effectiveness reporting.     

Charity performance reporting,regulatory approaches and standard-setting

Internationally, there are strong calls for charities’ formal annual reporting to include non-financial performance information. Without the international standards common in other sectors, national accounting standard-setters often regulate charities’ reporting. Lacking evidence on approaches to encouraging/mandating charity performance reporting, and the effectiveness of these approaches, we ask: “How have different jurisdictions responded to calls for increasing performance reporting?”We conduct a benchmarking study that indicates differences in current reporting practices between Australia, New Zealand, the United Kingdom and the United States. By discussing both current regimes and proposed projects, we develop and illustrate a typology of regulatory approaches to performance reporting. These range from command and control, where standard-setters mandate specific performance reporting standards, through to market regulation, where charities and/or sector bodies acting as regulatory entrepreneurs determine what is to be reported. Between these extremes, the typology describes new governance approaches, with standard-setters partnering and collaborating with other actors. These approaches lead to different requirements with potentially significant implications for performance accountability in the respective jurisdictions. We argue that our regulatory typology contributes useful insights for the many jurisdictions grappling with how to regulate their charity sector and encourage performance reporting.     

Trust and accountability in UK charities: Exploring the virtuous circle

Public trust and confidence in charities is essential for the achievement of their missions. However, recent evidence suggests that trust in UK charities has been damaged, potentially affecting charities' and the charity sector's sustainability and effectiveness. This paper constructs accountability as an important means of developing, maintaining and restoring trust in charities. Through a series of interviews with charity managers, it investigates the public and private mechanisms used in discharging accountability to, and building trust with, charities' main stakeholder groups. The paper identifies the use of a wide range of mechanisms, often highly tailored to particular stakeholders' perceived information needs, which are seen as critical in this process. It is argued that the use and interplay of these can create a ‘virtuous circle’ of accountability and trust, where each reinforces the other. It is argued that where this is achieved, trust in individual charities, and the sector as a whole, can be enhanced.     

GOVERNANCE AND CHARITIES: AN EXPLORATION OF KEY THEMES AND THE DEVELOPMENT OF A RESEARCH AGENDA

The concept of governance has been widely discussed in both the business and non-business sectors. The debate has also been entered into within the charity sector, which comprises over 169,000 organizations in the UK. The UK-based Charity Commission, which describes itself as existing to 'promote sound governance and accountability', has taken a lead in this debate by promoting greater regulation and producing numerous recommendations with regard to the proper governance of charitable organizations. However, the concept of what is meant by governance is unclear and a myriad of ideas are placed under the umbrella of 'good governance'. This paper explores the major themes that form the basis of much of this discussion, examining both the theoretical underpinnings and empirical investigations relating to this area (looking from the perspective of the key stakeholders in the charity sector). Based on an analysis of the extant literature, this paper presents a broad definition of governance with respect to charities and outlines a future research agenda for those interested in adding to knowledge in this area     

金融市场发展中的税收立法选择——以税收对金融市场的调控功能为核心

次贷危机的发生引起世界对金融创新风险的广泛关注。为应对这次危机,税收作为财政政策工具,为各国普遍采用。但对适用于金融交易本身的税法规则,各国却未能进行深刻的反思。为促进本国金融市场发展而不断调低对金融交易的税收负担,必须经由比例原则和纳税人权利的审查而获得合理正当化的基础。减轻金融交易的税收负担对促进金融市场健康、稳定、有序发展的作用极为有限,反而在一定程度上削弱了公民权利实现的财政基础。随着金融市场从国民经济的核心演化为投机场所,各国对其课以低税负甚至免税缺乏必要的正当性。因此,对金融市场课税,应当重视的不只是其对金融市场发展的调节功能,而更应当关注税收所固有的财政收入功能,并以此为基础,遵循量能课税原则着手金融交易课税规则的构建。     

A Comparative Study on the Impact of Revised SORP 2 on British and Irish Charities

Charities constitute an important sector in the economies of Britain and Ireland. However, despite their economic importance, charity external financial reporting has been characterised by a diversity of accounting practice and a lack of standardisation. Over the last 20 years an attempt has been made to improve this situation by the publication of a Statement of Recommended Practice (SORP) for charities in 1988 and its revision in 1995. It is argued that inconsistencies in the financial statements of charities and the adoption of dubious accounting practices make it difficult for users of charity accounts to understand (and therefore use) the information provided. Previous studies have mainly looked at the impact of the original SORP (1988) on large charities in Britain. Little is known with respect to the impact on Irish charities. This paper presents the results of a comparative analysis of over 200 financial statements of Irish and British charities with respect to the recommendations contained in the revised SORP (1995). The results provide evidence that the accounts of Irish charities are considerably less compliant with the recommendations made in the revised SORP than their British counterparts. Possible reasons for this are discussed.     

我国慈善供求平衡模式研究——基于34家省会电视台网站调

摘要：现阶段,我国社会贫富差距不断扩大,社会公平感缺失,在人均收入很低背景下迅速进入了老龄化社会,所有这些都在表达慈善需求的极其迫切。然而由于慈善供求总量难以准确计量,本课题组在2009—2011年间,对我国34家省会电视台的网站进行了慈善需求报道的调查统计,结果显示,仅仅地方电视台报道的慈善需求有据可查的就有将近1．3万条,而这只占到所调研电视台实际接收慈善需求总量的3．1％,96．8％的慈善需求报道信息没能得到满足。该调研结果从一个侧面反映出我国慈善供求的严重失衡。本文依据供求平衡理论,在分析我国现有慈善供需失衡障碍的基础上,提出了适合我国当前现状的“哑铃式”慈善供给模式、“下传上达”式慈善需求表达机制以及建立慈善供求交流渠道的具体建议。     

当前我国慈善组织关系探析

慈善组织是慈善事业发展的载体。当前我国慈善组织依据不同方式分为多种类型,不同类型慈善组织之间存在着互助协作一面,也存在着不和谐的一面。慈善组织间不和谐原因在于募捐不规范、组织间缺乏沟通及“大慈善”意识的缺乏,为此需要改进募捐办法、加强组织间沟通、树立“大慈善”意识、发挥政府管理部门“裁判”作用,来解决慈善组织间不和谐状况,促进慈善组织和慈善事业的顺利发展。     

The impact of a changing financial climate on a UK local charitable sector: voices from the front line

Forced to compete with private and public sector providers, charities experience tensions as the quest for a more commercially-oriented position may conflict with their social imperative. Little attention has been given to understanding the experiences of local charities as service providers. This paper captures the reactions of those working on the charity front line.     

Do non-profit hospitals provide more charity care when faced with a mandatory minimum standard? Evidence from Texas

Policymakers often question whether not-for-profit (NFP) hospitals provide enough charity care to justify tax advantages. In 1993, Texas enacted legislation requiring NFP hospitals to provide certain community benefits at levels set forth in specific criteria to retain tax-exempt status; this paper focuses on the effect of the legislation’s requirement that NFP hospitals spend a minimum of 4% of net patient revenue on charity care. We also study a modification of the law passed in 1995, which allows the deduction of bad debts expense when calculating net patient revenue. This change effectively lowers required charity care spending, and our study considers whether Texas hospitals responded by reducing charity care spending.     

6. The capital and industrial output sub-system

The World 3 model has an acknowledged sensitivity to the capital sector. It predicts catastrophe. But the great weakness of the capital sub-system is that it assumes inflexible relationships and constants throughout which make overshoot and collapse typical modes of behaviour of the model. It excludes the possibility of adaptive flexible response to changing circumstances—one of the main characteristics of real world behaviour of the economy.     

EBITDA margin in brazilian companies Variance decomposition and hierarchical effects

This study explores the controversy between the business and academic perspectives regarding earnings before interest, taxes, depreciation, and amortization (EBITDA). Some authors argue that EBITDA is not useful as an indicator, except for comparing companies within the same sector (Assaf Neto, 2003, McClure, 2006, Stumpp, 2000). On the other hand, the business world strongly uses this type of indicator as a tool to support its decisions (Schmalensee, 1985, Moraes, 2005). This difference in opinions has aroused interest in understanding the reasons for its use and has raised questions regarding the usefulness of EBITDA for comparing companies from both the same and different sectors. By applying Hierarchical Linear Modeling (HLM), the main goal of this research is to observe EBITDA behavior across companies selling goods in Brazil, comparing them within the same sector and across different sectors over time. This research allows for the analysis of the reasons why EBITDA patterns occasionally occur. The results show significant variation in EBITDA among companies across the same sector and across companies from different sectors. On the other hand, our results have shown, nevertheless, that the variability among companies from the same sector was the highest one, raising questions on the actual usefulness of this indicator to compare companies from the same sector.     

次贷危机下公允价值计量属性的重新思考

面对不断扩大的次贷危机,某些金融界人士认为公允价值计量是这场金融危机的罪魁祸首。本文在剖析公允价值计量在次贷危机中扮演的角色基础上,指出公允价值计量是全球经济市场化发展的必然结果,是体现公司财务状况的相对较佳的计量方法。我们不应完全抛弃或停止使用公允价值计量,而应该顺应历史潮流,在不断实践的过程中完善公允价值计量准则。针对公允价值计量在我国尚处于发展的初级阶段的情况,本文提出我国必须关注各国的现实选择,尽快完善相关会计规定,加强金融监管,逐步推行公允价值计量。     

慈善组织财务信息披露质量的影响因素与后果研究

本文调查并实证检验了慈善组织财务信息披露质量的影响因素及后果。基金会财务信息披露质量受组织复杂性和管理效率的影响,但影响公募和非公募基金会财务信息披露质量的因素存在差异。成立年限长、管理效率高、非教育助学类的公募基金会财务信息披露质量更高,收入来源分散和管理效率较高的非公募基金会财务信息披露质量更高。而且,基金会财务信息披露质量与后期捐赠收入显著正相关。本文研究证明了财务信息披露质量的确能影响捐赠者的捐赠决策,加强慈善组织财务信息披露监管显得非常必要。     

“十二五”时期的中国银行业改革与发展

受本轮全球经济金融危机影响,"十二五"时期世界经济金融发展格局将发生重大变革,全球银行业也将发生结构调整。本文分析了"十二五"时期中国银行业面临的经济金融环境,并对这一时期中国银行业改革发展的基本定位及具体路径进行了探讨。     

A Primer on Global Environmental Change

This paper sets out the science behind global environmental change, defined by the US Global Change Research Act as ‘changes in the global environment (including alterations in climate, land productivity, oceans or other water resources, atmospheric chemistry, and ecological systems) that may alter the capacity of the Earth to sustain life’. We explain why there is still scepticism about the science in the business world and introduce eight gestalt shifts that are likely to change how executives think about environmental change and the threats and opportunities such changes present. The paper concludes with future research directions on business and global environmental change and outlines how the business case for investment in clean technology means that the transition to clean tech is inevitable.     

能源结构有序调整与绿色信贷政策调控

发展低碳产业有助于促进能源结构优化升级，推动碳达峰与碳中和目标的实现，但调控政策力度不够或“用力过猛”都难以达到好的效果。本文建立包含高碳企业和低碳企业的E-DSGE模型，分析绿色信贷政策对低碳企业发展的促进作用；在差异化能源结构的背景下，针对不同调控力度的绿色信贷政策进行福利分析，讨论政策的最优度，推动能源结构有序调整。结果显示：在长期中，能源结构优化升级是利国利民的必然选择，绿色信贷政策可以促进低碳产业发展，但短期内如果超过政策的最优度，可能导致总产出下降，降低居民消费和就业率。建议继续通过绿色信贷政策引导降低煤电占比、鼓励低碳产业发展；关注调控政策的最优度，充分发挥绿色信贷政策的引导作用，防止短期内出现经济失衡。     

Ten years after: The rise and fall of managerial autonomy in Pompeii

In September 1997, an ad hoc law (Law no. 352/1997) gave the archaeological site of Pompeii a new status. Its previous status as a local branch of the Ministry of Culture (the Soprintendenza) was reconfigured as an autonomous entity (Soprintendenza autonoma). In July 2008, the Italian Prime Minister declared a one year state of emergency in Pompeii, appointing a special Commissioner (Commissario straordinario) in order to cope with “the serious critical situation of the archeological area” (OPCM 3692/2008). The aim of the paper is to review the process of change in Pompeii over ten years, observing major institutional transformations and analyzing the evolution of activities and human and financial resources management. Beyond the substantive elements of interest (the mis-management of one of the most important archaeological sites in the world), the paper sheds lights on the role of accountability in the cultural sector and on the distinctive features of Italian public administration, questioning the existence of a path of international convergence in public sector change.     

Working on nonprofit boards. Don't assume the shoe fits

Contrary to popular perception, businesspeople can be benevolent. For instance, one recent study notes that four-fifths of all Harvard Business School graduates are involved with nonprofits, with more than half of those serving on boards. Most business professionals will spend some time on a nonprofit board. That's the good news, the author says. The bad news is that the involvement of businesspeople can easily backfire. That's because they often try to take what they have learned from business school and the corporate world and apply it to their duties in the nonprofit sector. On the surface, there are similarities between the for-profit and nonprofit sectors. Both have boards of directors, trustees and chairpeople, regular meetings, and so forth. But the governance of nonprofit organizations is very different from the governance of for-profit businesses in several critical areas, including missions, measurements, and board composition. For instance, the CEO in the nonprofit world must manage a relationship with a nonexecutive board chair. In the for-profit world, the CEO is the chair. Such significant differences make it difficult to transfer ideas and practices between the for-profit and nonprofit worlds. In this article, F. Warren McFarlan describes the main differences between serving on a for-profit board and serving on a nonprofit board. As he points out, understanding the differences will make it easier for businesspeople to move smoothly from one environment to the other and will therefore make their commitments more effective. Nonprofits need businesspeople, but only on the right terms.