Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria
The increasing importance and role of intangible assets in todays economic environment is a source of concern for scholars and accounting practitioners. As an attempt to explore the relevance of reported intangible assets, the study investigated the market value relevance of different intangible ass...
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| Format: | Article |
| Language: | English |
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UUM Press
2020
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| Online Access: | https://repo.uum.edu.my/id/eprint/30087/1/JES%2002%2002%202020%2039-51.pdf |
| _version_ | 1803629804068536320 |
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| author | Oryina, Ephraim Suleiman, Salami |
| author_facet | Oryina, Ephraim Suleiman, Salami |
| author_sort | Oryina, Ephraim |
| collection | UUM |
| description | The increasing importance and role of intangible assets in todays economic environment is a source of concern for scholars and accounting practitioners. As an attempt to explore the relevance of reported intangible assets, the study investigated the market value relevance of different intangible asset (intellectual properties, computer software cost, and goodwill) reported by listed manufacturing firms in Nigeria. To achieve the research objective, the study adopted a correlational research design. The study utilized secondary data extracted from the annual reports and accounts of manufacturing firms listed on the Nigerian stock exchange. The study concentrated on firms that reported components of intangible assets for six years (2013-2019). The model was estimated using the random effect regression technique. The findings revealed intellectual properties to be positively and significantly associated with the market value of listed manufacturing firms in Nigeria. However, goodwill was shown to have a negative and significant relationship with market value. Based on the findings, the study recommends, amongst others, that the management of manufacturing firms bring their expertise to develop innovative technologies and business adaptations, as well as direct policies that will improve brand names and trademarks and protect patents and other intellectual properties as they will impact the market price. |
| first_indexed | 2024-07-04T06:43:40Z |
| format | Article |
| id | uum-30087 |
| institution | Universiti Utara Malaysia |
| language | English |
| last_indexed | 2024-07-04T06:43:40Z |
| publishDate | 2020 |
| publisher | UUM Press |
| record_format | dspace |
| spelling | uum-300872023-11-29T08:33:32Z https://repo.uum.edu.my/id/eprint/30087/ Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria Oryina, Ephraim Suleiman, Salami HG Finance The increasing importance and role of intangible assets in todays economic environment is a source of concern for scholars and accounting practitioners. As an attempt to explore the relevance of reported intangible assets, the study investigated the market value relevance of different intangible asset (intellectual properties, computer software cost, and goodwill) reported by listed manufacturing firms in Nigeria. To achieve the research objective, the study adopted a correlational research design. The study utilized secondary data extracted from the annual reports and accounts of manufacturing firms listed on the Nigerian stock exchange. The study concentrated on firms that reported components of intangible assets for six years (2013-2019). The model was estimated using the random effect regression technique. The findings revealed intellectual properties to be positively and significantly associated with the market value of listed manufacturing firms in Nigeria. However, goodwill was shown to have a negative and significant relationship with market value. Based on the findings, the study recommends, amongst others, that the management of manufacturing firms bring their expertise to develop innovative technologies and business adaptations, as well as direct policies that will improve brand names and trademarks and protect patents and other intellectual properties as they will impact the market price. UUM Press 2020 Article PeerReviewed application/pdf en cc4_by https://repo.uum.edu.my/id/eprint/30087/1/JES%2002%2002%202020%2039-51.pdf Oryina, Ephraim and Suleiman, Salami (2020) Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria. Journal of Economics and Sustainability (JES), 2 (2). pp. 39-51. ISSN 2637-1294 https://e-journal.uum.edu.my/index.php/jes/article/view/12561 |
| spellingShingle | HG Finance Oryina, Ephraim Suleiman, Salami Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria |
| title | Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria |
| title_full | Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria |
| title_fullStr | Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria |
| title_full_unstemmed | Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria |
| title_short | Effect Of Intangible Assets on Value Relevance: Evidence from Listed Manufacturing Firms in Nigeria |
| title_sort | effect of intangible assets on value relevance evidence from listed manufacturing firms in nigeria |
| topic | HG Finance |
| url | https://repo.uum.edu.my/id/eprint/30087/1/JES%2002%2002%202020%2039-51.pdf |
| work_keys_str_mv | AT oryinaephraim effectofintangibleassetsonvaluerelevanceevidencefromlistedmanufacturingfirmsinnigeria AT suleimansalami effectofintangibleassetsonvaluerelevanceevidencefromlistedmanufacturingfirmsinnigeria |