A risk study of brazilian credit unions based on accounting beta
Credit unions are essential for many Brazilian municipalities with no access to bank credit. It is important to analyze how the PEARLS system's accounting indicators are related to the risk of cooperatives, directly impacting the development of deprived areas. This research aimed to investigate...
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| Format: | Article |
| Language: | English |
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Conselho Regional de Contabilidade de Santa Catarina
2020-10-01
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| Series: | Revista Catarinense da Ciência Contábil |
| Subjects: | |
| Online Access: | http://revista.crcsc.org.br/index.php/CRCSC/article/view/3025 |
| _version_ | 1828822822123732992 |
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| author | Igor Costa Teixeira Vinicius Mothé Maia Rudolph Fabiano Alves Pedroza Teixeira |
| author_facet | Igor Costa Teixeira Vinicius Mothé Maia Rudolph Fabiano Alves Pedroza Teixeira |
| author_sort | Igor Costa Teixeira |
| collection | DOAJ |
| description | Credit unions are essential for many Brazilian municipalities with no access to bank credit. It is important to analyze how the PEARLS system's accounting indicators are related to the risk of cooperatives, directly impacting the development of deprived areas. This research aimed to investigate whether the accounting indicators proposed by the PEARLS system are related to the risk of Brazilian credit unions. If this hypothesis is confirmed, it can be said that the accounting information contained in these indicators is useful to assist its users in decision making. To this end, an econometric model was built using the cooperative accounting beta (risk) as the dependent variable explained by the PEARLS accounting indicators. The results indicate a positive and significant relationship between the risk and total deposits of a cooperative, its provision for the estimate of doubtful receivables (default), and its operating expenses. Furthermore, all variables were relevant to explain the risk of credit unions, suggesting that the accounting information present in the PEARLS indicators is useful to assist its users in decision-making regarding these entities' risk assessment. This finding is relevant because cooperatives' potential insolvency impacts not only the members but also their locations. |
| first_indexed | 2024-12-12T13:21:29Z |
| format | Article |
| id | doaj.art-fa17dfed7cc1480e829d538bc891b21a |
| institution | Directory Open Access Journal |
| issn | 1808-3781 2237-7662 |
| language | English |
| last_indexed | 2024-12-12T13:21:29Z |
| publishDate | 2020-10-01 |
| publisher | Conselho Regional de Contabilidade de Santa Catarina |
| record_format | Article |
| series | Revista Catarinense da Ciência Contábil |
| spelling | doaj.art-fa17dfed7cc1480e829d538bc891b21a2022-12-22T00:23:17ZengConselho Regional de Contabilidade de Santa CatarinaRevista Catarinense da Ciência Contábil1808-37812237-76622020-10-0119010.16930/2237-7662202030251835A risk study of brazilian credit unions based on accounting betaIgor Costa Teixeira0Vinicius Mothé Maia1Rudolph Fabiano Alves Pedroza Teixeira2Universidade Federal do Rio de JaneiroUniversidade Federal do Rio de JaneiroUniversidade Federal do Rio de JaneiroCredit unions are essential for many Brazilian municipalities with no access to bank credit. It is important to analyze how the PEARLS system's accounting indicators are related to the risk of cooperatives, directly impacting the development of deprived areas. This research aimed to investigate whether the accounting indicators proposed by the PEARLS system are related to the risk of Brazilian credit unions. If this hypothesis is confirmed, it can be said that the accounting information contained in these indicators is useful to assist its users in decision making. To this end, an econometric model was built using the cooperative accounting beta (risk) as the dependent variable explained by the PEARLS accounting indicators. The results indicate a positive and significant relationship between the risk and total deposits of a cooperative, its provision for the estimate of doubtful receivables (default), and its operating expenses. Furthermore, all variables were relevant to explain the risk of credit unions, suggesting that the accounting information present in the PEARLS indicators is useful to assist its users in decision-making regarding these entities' risk assessment. This finding is relevant because cooperatives' potential insolvency impacts not only the members but also their locations.http://revista.crcsc.org.br/index.php/CRCSC/article/view/3025cooperativismocooperativa de créditobeta contábilrisco |
| spellingShingle | Igor Costa Teixeira Vinicius Mothé Maia Rudolph Fabiano Alves Pedroza Teixeira A risk study of brazilian credit unions based on accounting beta Revista Catarinense da Ciência Contábil cooperativismo cooperativa de crédito beta contábil risco |
| title | A risk study of brazilian credit unions based on accounting beta |
| title_full | A risk study of brazilian credit unions based on accounting beta |
| title_fullStr | A risk study of brazilian credit unions based on accounting beta |
| title_full_unstemmed | A risk study of brazilian credit unions based on accounting beta |
| title_short | A risk study of brazilian credit unions based on accounting beta |
| title_sort | risk study of brazilian credit unions based on accounting beta |
| topic | cooperativismo cooperativa de crédito beta contábil risco |
| url | http://revista.crcsc.org.br/index.php/CRCSC/article/view/3025 |
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