Journal of Accounting and Management Vision

Journal of Accounting and Management Vision

Maximizing the wealth of owners is the main goal of businesses. Today, it is clear that profit can not be a good criterion for evaluating the value and performance of these units and economic value added is considered as one of the best indicators of performance evaluation. The purpose of this study is to study the effect of internal control on the relationship between economic value added and the level of cash holdings. The statistical population

Document Type : Original Article

Author
Naser Gravand
Researcher and Master of Accounting
Abstract
Maximizing the wealth of owners is the main goal of businesses. Today, it is clear that profit can not be a good criterion for evaluating the value and performance of these units and economic value added is considered as one of the best indicators of performance evaluation. The purpose of this study is to study the effect of internal control on the relationship between economic value added and the level of cash holdings. The statistical population of the study of companies listed on the Tehran Stock Exchange and the study sample includes 144 companies listed during the years 1394 to 1398. The research method is descriptive and in terms of the relationship between the variables is causal-correlation and in terms of purpose is applied. Regression method and panel data as well as fixed effects model have been used to process and test the hypotheses. The results of analysis for the research hypotheses showed that economic value added has a positive and significant relationship with the level of cash holding and internal control has a negative and significant effect on the relationship between economic value added and level of cash holding.
Keywords
Internal control
economic value added
level of holding and cash