Company-specific characteristics and the choice of hedge accounting for derivatives reporting: Malaysian case
Azrul Abdullah (lurzabdullah@hotmail.com) and
Ku Nor Izah Ku Ismail
International Journal of Accounting, Auditing and Performance Evaluation, 2017, vol. 13, issue 3, 280-292
Abstract:
This study investigates the choice of applying hedge accounting among Malaysian listed companies in reporting their use of derivatives for hedging activities. Based on a sample of 300 Malaysian listed companies, we found that only 162 companies (54%) use derivatives to hedge their financial risk exposure and only 30% of those companies choose to apply hedge accounting. In addition, this study examines the relationship between company-specific characteristics and the choice to apply hedge accounting. The logistic regression results show that the decision to apply hedge accounting by Malaysian companies is positively influenced by company size and leverage. The implications of the findings are discussed and some conclusions are drawn.
Keywords: derivatives; financial instruments; hedge accounting; HACC; disclosure; company-specific characteristics; determinants; Malaysia. (search for similar items in EconPapers)
Date: 2017
References: Add references at CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed
Downloads: (external link)
http://www.inderscience.com/link.php?id=85183 (text/html)
Access to full text is restricted to subscribers.
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ids:ijaape:v:13:y:2017:i:3:p:280-292
Access Statistics for this article
More articles in International Journal of Accounting, Auditing and Performance Evaluation from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker (informationadministrator5@inderscience.com).