International Journal of Finance and Managerial Accounting
Volume:8 Issue: 30, Summer 2023

The present research studied the effect of prospective business strategy on audit fee and auditor’s opinion according to competition theory and risk-based auditing theory. It investigated whether audit fee and independent auditor’s opinion are affected by the client’s business strategy. The statistical population included firms listed in Tehran Stock Exchange, out of which 75, from period 2010-2018, were selected as the sample. To conduct statistical analyses, multiple linear regression with least squares (LS) method with panel-fixed effects approach, and binary logistic regression were used. Data analysis showed that the artificial variable “prospective business strategy” has a positive, significant relationship with dependent variables “audit fee” and “auditor’s modified opinion”. It can be thus concluded that audit fee and the probability of issuing a modified audit opinion are greater in clients with prospective business strategy. The research results provided, for the first time, evidence on the empirical relationship between client’s business strategy and audit fee and auditor’s opinion. Therefore, they can be exploited in legislations on auditing.

Currently, any organization's effectiveness depends not only on the organization's technological efficiency but also on the management's broad perspective towards decision making. It is more important to know that a manager has a significant task of decision-making in any organization and accordingly, any organization can be successful and or not. In this study, the researcher uses Hofstede's view to find an answer to how culture influences Financial decision-making styles and unplanned decisions. We used an exploratory data mining method in this research in order to examine the cultural dimensions of Hofstede and its relationship with four decision-making styles. We have used SOM software to analyze collected data, the possibility of using survey data, and realizing four alternative clusters applying the self-organizing network clustering method among stock exchange investors indicated the difference in cultural evaluation. Analyzing four different clusters explained that the effects of decision-making styles were different.Investor decision-making style, Hofstede cultural framework, unplanned decisions

The present study seeks to examine the effect of preparing financial bank statements based on international financial reporting standards on the environment of Iran in the resistance economy framework. Fuzzy Delphi method was used to identify the indicators and fuzzy DEMATEL was used to examine the relationship between these indicators. The final results of the study indicate that the four main areas of transparency and reducing corruption, the quality of balance sheets, improvement of the supervision, and the development of entrepreneurship and maximization of people’s participation in the economy which include the main indicators of increasing transparency, tax affairs and profits, the cost of accessing bank information, honest expression, financial statement comparability, banks' financial statement quality, the community's perception of the risk of the banks, accountability, international pressures, the risk of banks, attention to the interests and tights of minority shareholders, maintaining the reputation of the bank, entrepreneurship and employment, the banking industry's share out of GDP, and the process of banks' resource allocation are affected by the application of international financial reporting standards by banks in the resistance economy framework. Besides, results of investigating the relationships between the indicators indicate that the indicators of increasing transparency, accountability, and the banking industry’s share out of the GDP have the greatest impact on other variables while the variables of international pressures, attention to the interests and rights of minority shareholders, maintaining the reputation of the banks, and banks’ resource allocation process are most influenced by other variables.

Due to the importance of financial structure in various fields, recognizing the major factors that affect the financing of projects and firms, is significant and important so that each company can take into account those determining and effective factors and the extent of impact. Each should plan and decide on their financial structure. The present study has identified and categorized the factors affecting the financing of social businesses through the banking industry. This research is applied and methodologically mixed. In the qualitative stage; the data collection tool was a qualitative and in-depth interview with experts. The statistical population included banking industry experts with a sample size of 15 people by purposeful judgment sampling to reach the theoretical saturation point. Findings were analyzed using data foundation theory. In a quantitive step ; the data collection tool was a researcher-made questionnaire and the statistical sample of the research included 150 bank managers in the country. Data analysis was performed by using structural equation modeling , SPSS and Smart PLS software. Then, using the obtained factors as sub-criteria and main components as pairwise comparison criteria, the ranking of social business financing instruments by AHP method according to the opinions of experts was shown so that the highest rank in terms of the factors required to finance social businesses through the banking industry is related to the factor of consequences and then respectively to the strategies, the pivital phenomenon, the intervening conditions, the grounding conditions and finally the causal conditions.

The process of tax collection and the government access to extensive financial resources are established by reviewing the taxpayers' information and submitting the tax auditor's report. Therefore, any defects or mistakes in the tax audits’ reports or stopping the tax receiving system and their failure make it impossible to access the mentioned goals, imposes costs on the government and people and non-accomplishment of social justice. Many factors influence the submission of inefficient tax reports. The purpose of this qualitative research is to present a conceptual pattern of failure of tax reports using a grounded theory approach. The statistical population of this research includes experts and specialists of taxation that 16 participants in this research were selected according to the research objective by using the purposeful sampling approach. Data was collected by interview, the general interview guide approach and semi-structured collecting method by two revising methods of participants and non-participated scholars review to validate the data in the research. The central issue is the failure of tax reports for which 15 causes were identified as causal conditions. Then, strategies are formulated and the final conceptual model is extracted based on it in terms of the context and intervening conditions.

Accounting information system is the main information system of the organization that provides the necessary information for planning, decision making and control. The strategy of combining decentralization with the advanced accounting information system will only be more effective in terms of the performance of the accounting information system if the level of job uncertainty is high. The accounting information system design should be commensurate with the degree of decentralization within a company. In other words, an organization needs appropriate information from an accounting information system to achieve a higher level of performance in proportion to its organizational structure. Therefore, based on this argument, the aim of the present study is to design and evaluate the role of adjustment of organizational decentralization on the relationship between the characteristics of accounting information systems and system performance. The results of interviews with financial managers and accounting experts of 60 companies listed on the Tehran Stock Exchange and analysis and analysis of data by structural equation modeling show that the characteristics of the accounting information system affect the performance of the system. It also moderates the impact of accounting information system features on system performance based on the results of the second hypothesis of organizational decentralization

The topic of taxes has a crucial role in the financial and economic literature of every country. In the informational atmosphere of accounting in Iran, the tax is one of the foundations which affects the financial reports. So it seems that many companies are struggling with tax avoidance and because of that, determining the affecting factors on the tax avoidance level is very important. Therefore, in this research, by focusing on various indexes by using the fuzzy method, a comprehensive index for evaluating tax avoidance is introduced. And then, we investigate the effect of the comprehensive model of tax avoidance evaluation on the company attributes by using multivariate regression. Also, for testing and evaluating the function of the designed model, the data of the 102 companies during the years from 1390 to 1398 have been utilized by the hybrid approach. So, a questionnaire for an opinion poll from experts about validity and importance of considered criteria for evaluating the tax avoidance of company was provided and distributed among them and by using one of the multiple-criteria decision-making models (Shannon Entropy), validity and importance of the criteria were determined. Also, confirmatory factor analysis was used to evaluate the relationships of the latent variable in this tax avoidance research. The achieved results demonstrate that the suggested model is a suitable index for tax avoidance. Furthermore, the results showed that the company attributes (company size, profitability, and progress of company) could affect tax avoidance, and it causes an increase in tax avoidance.

The Relationship between the Audit Report Tone and Audit Market Competition Abstract Purpose – The primary purpose is to investigate the relationship between the tone of the audit report and the audit market competition. Design/methodology/approach – A descriptive-correlational study is conducted based on the published information listed firms on the Tehran Stock Exchange during 2012-2019 with a selected sample of 128 firms. The method used for hypothesis testing is linear regression using panel data. Findings -The results show a positive and significant relationship between the audit report tone and competition in the audit market based on two indicators of auditor's and client’s concentrations. Moreover, to obtain better results using exploratory factor analysis of two variables, the relationship between the tone of the audit report and competition in the audit market was examined. The results showed a positive and significant relationship between the tone of the audit report and audit market competition with factor analysis. Originality/value – Since the present study is conducted in an emerging financial market, like Iran, where the auditing market is highly competitive, determining the relationship between the tone of the audit report and audit market competition can provide useful information for readers. Keywords: audit report tone, audit market competition

The formation and emergence of new scientific branches in management shows the complexity of management. The present study aims to provide a model of investment ethics with financial crises based on the grounded theory approach and this research is applied in terms of purpose and has been done with an exploratory approach and quantitative research design. Participants in the interview consisted of 9 experts and experts in the field of finance and the total number of questionnaires distributed was 180. Interviews were analyzed using theme analysis method using MaxQDA software and statistical analysis was performed using SPSS software version 21. The results showed that 5 main categories, 31 sub-categories and 74 open codes were obtained from the interview. According to the confirmation of the fit of the studied model in Smart PLS software and the general fit indices of GOF and Q2 criterion, the optimal model of investment ethics in the financial crisis was presented.

The purpose of this study is to investigate the effect of management control system on behavioral accounting with emphasis on the perception of organizational justice and organizational commitment. This study is an applied study in terms of its objectives. Besides, the data were collected using standard questionnaires. The statistical population of this study includes financial deputies, financial managers, supervisors and heads of accountings of listed companies. To investigate the impact of the research variables, structural equation modeling with the partial least squares approach was used. The results showed that managers' participation in setting objectives which is one of the components of the management control system will increase managers' perception of procedural justice and thus leads to behave ethically in accounting and improves the quality of financial statements. The Perception of procedural and distributive justice was also observed in the use of multiple measures of performance and quality of feedback by the company. Moreover, multiple measures of performance have an indirect positive effect on the quality of financial statements through organizational commitment and also distributive justice has an indirect positive effect on the quality of financial statements through organizational commitment.

Forward-looking information is intended to satisfy the increasing requirements of investors as it offers investors additional means of evaluating future perspective and risks along with current concerns of the firm. Futuristic investors want to invest in those firms who have high performance in future. As a result, the financial statements which reveal future information will useful to existing and potential investors in particular and to the other users in general. The aim of this study is to examine the effect of Forward-looking Information Disclosure on Future Profitability in the Tehran Stock Exchange. The overall research method is applied in terms of its purpose and is based on post-marketing research design. Of the comparable firms listed in Tehran Stock Exchange, through systematic knockout, 130 companies have been studied over a period of 6 years. To determine the relationship between variables, multiple linear regressions based on panel data analysis with fixed effects has been used. Findings showed that there is no significant relationship between the level of forward-looking information disclosure and the tone of forward-looking information disclosure with the firms’ Future profitability.

Companies face various factors that are unpredictable during their economic life, and it is the managers who make the final decisions necessary for the company. Managers must have the necessary ability to identify the specific position and characteristics of the company in order to be able to make the best decision for the company based on their knowledge. Ability to manage is one of the dimensions of corporate human capital that is classified as intangible assets (Hajib et al., 2016). When managers' decisions have a significant impact on the performance of the organization; The ability of managers will lead to effectiveness in the day-to-day operations of the organization. Therefore, the ability of managers improves the net present value for the organization (Burke and Stanton, 2007). Recent research shows that the ability to manage is one of the determinants of corporate performance. On the other hand, it can be expected that the improvement of economic data (including market value added) will also strengthen the predictability of managers.This study investigates the two-side relationship between management ability and market value added using the method of simultaneous equations. For this purpose, the required information for the period of 2014-2018 was collected for 105 companies and the research hypothesis was tested using the method of simultaneous equations (granger-causality). The results showed significant two-side relationship between management ability and MVA, also; two side granger-causality between management ability and economic value added: p-value (0.000), with 95 percent statistical significance.

The financial crisis has become one of the most important challenges for financial institutions. To overcome this challenge, financial institutions must have an accurate estimate of the risks involved and maintain adequate capital to protect the bank. In recent years, in the international community, economic capital, as the appropriate capital to cover unexpected loss, has become a more accurate criterion for estimating the required capital to deal with risks. In this paper, we estimate economic capital of a selected bank portfolio which includes publicly traded companies using Monte Carlo simulation with two approaches of structural models. The first approach is to use the random matrix method in order to take fluctuating asset correlations into account and the second one is the classical Merton method which does not take into account the fluctuations of correlations. The results show that the bank ‘s risk will be significantly underestimated if the classical Merton approach is used.

Insurance industry is one of the most important factors for the economic development of the countries. For example, insurance industry can be important for the stability of financial systems mainly because they are large investors in financial markets, because there are growing links between insurers and banks and because insurers are safeguarding the financial stability of households and firms by insuring their risks. Data Envelopment Analysis (DEA) has been used as a powerful tool for the efficiency assessment of the different organizations, such as insurance industries, hospitals, schools and etc. This paper focuses on evaluation the insurance companies and explores a use of DEA to measure the insurers risk in these companies. For this purpose, we use the dataset of the car insurance policies of Saman insurance company during the years 2018-2019 and measure the Returns to Scale (RTS) for desirable outputs and Damages to Scale (DTS) for undesirable outputs.

Given that cost management and expanding its various dimensions have an important effect on the efficiency and operational effectiveness of companies and institutions, the main purpose of creating cost management is to reduce the cost of services (fixed and variable costs) to help To increase profitability. In this study, the positive relationship between organizational capital and the sticky behavior of sales, public and administrative costs has been investigated. The statistical population of the study includes companies listed on the Tehran Stock Exchange that 75 companies in the period 2007 to 2013 have been selected from the statistical population by a systematic elimination method. In terms of purpose, the present study is a descriptive-correlational study in which, with a deductive-inductive approach, the primary data is collected through experiment and observation and analyzed using statistical methods. Finally, these lead to the production of theory. The result of the research is to provide a cost management model with an efficiency approach that can help managers in effective designing and implementing goods and services cost management system. As a result, managers and owners of companies, considering the above reason, learn the strategies related to adjusting this cost model in order to achieving methods to improve cost efficiency through handeling performance of firm.

Designing a comprehensive model of acquisition and Merger, this is called the processes related to the composition and merger of companies. Acquisition and merger create a contunious competitive advantage, and this is when there is an incompatibility between the resources, capabilities and opportunities available for two companies. Resources include marketing excellence, distribution network, R&D, and surplus operational capacity.

The methodology considered in this research is qualitative in which the grounded theory method is used. The statistical population of this research includes experts familiar with acquisition and merger in knowledge-based companies, of which 10 experts were identified. The snowball sampling method continued until the theoretical saturation was reached and is considered as a statistical sample of the research and finally analyzed by FDAHP Method.

In addition to special emphasis on various factors such as professionalism, performance management, empowerment, etc., this model, considering that the existence of knowledge-based companies increases the scientific capacity and also the synergy of science and knowledge among individuals of society is in opposition to the traditional knowledge system, that is also considered the context and structure of integration in knowledge-based companies,

In the present study, introduces the use of the acquisition and Merger model of knowledge-based and start-up companies as a prerequisite of research for knowledge-based companies in the target community and in this regard considers the presentation of the acquisition and Merger model of knowledge-based and start-up companies.

In this research, using two methods of foresight, namely, interaction analysis (passing) and scenario planning, first identify and strategic factors affecting the future of the audit and then the main scenarios for the future of the audit are reviewed and analyzed.Preliminary research data were analyzed using Mick Mac software. Finally, the results of using cross-impact analysis method indicate that 9 key factors of network integration and business intelligence, cloud computing related businesses, forecasting and caution using sensitivity analysis and social network data, marketing and E-commerce, expanding the application of new science and technology in business, investing in the global and national infrastructure of the economy, expanding business opportunities related to augmented and virtual reality and valuing digital assets, increasing competition with the entry of outsiders Profession and performing audit duties by other fields such as computer, industry, financial engineering, etc.Demand for several skills from auditors has been identified among the factors that will have the greatest impact on the future of auditing. Then these factors were used as the main basis in screenwriting.In order to write a scenario, expert experts were consulted at this stage.With the analysis performed by Wizard scenario software, 3 strong scenarios, 27 believable scenarios and 153 weak scenarios related to 9 key drivers were extracted. According to the research results, it is suggested that activists and actors influencing the profession, make long-term and accurate planning to lead to the flourishing and promotion of the profession in the future.

Professional skepticism is one of the main aspects of auditing that can lead to risky occasions for auditors. It is also one of the most delicate and controversial issues which is discussed in practice and standards of auditing. The purpose of this study is to identify and investigate the factors affecting professional skepticism and to develop a qualitative model of professional skepticism in auditing financial statements. In order to do so, among the qualitative research methods, the meta-synthesis method, which includes septet steps, has reviewed and analyzed 247 cases of previous research findings in recent years (from 1981 to 2021 and 1370 to 1400 solar calendar). After compositing the model, the opinions of 20 experts and professors have been collected by a questionnaire in 2021 in order to ensure the validity of the findings. Finally, the factors that have affected the most on professional skepticism were analyzed and categorized into 4 main categories and 16 axial codes. The CASP Critical Appraisal Skills Program was used to assess validity and the Kappa coefficient was used to assess reliability. The components had appropriate validity and reliability. Findings derived from the meta-combination steps show that four main factors were identified for the professional skepticism of auditing. These factors include: (1) individual factors, (2) environmental factors, (3) factors related to the auditee, and (4) factors related to the audit firm. Factors had appropriate validity and reliability. Finally, the research findings were ranked and provided in form of a qualitative model.

The purpose of this study was to investigate the impact of supply chain activities on firm financial performance with respect to the role of top management support. In this regard, the financial information of 165 companies among the companies listed on the Tehran Stock Exchange was evaluated. Financial performance improvement is considered as a dependent variable, supply chain activities and top management support are considered as the main independent variables and the financial structure and firm size are considered as control variables. In order to measure the variables of supply chain activities and top management support, a survey has been used for these companies’ managers. After performing diagnostic tests, structural equation pattern and composite regression have been used to determine the relationship between variables. Data analysis showed that supply chain activities in all three dimensions of suppliers, Intra-organizational and customers lead to improved financial performance with measures of sales return, return on investment and return on equity. Additional analysis confirmed the moderating role of top management support.

AbstractThe purpose of this study is to investigate the effect of organizational ethics and culture on the professional judgment of the auditor with respect to corporate social responsibility using structural equation modeling. The present study is descriptive and field-based in terms of data collection. The population of the research is experts and accountants. The sample size was determined using Cochran's formula of 211 people. In this research, simple random sampling method has been used. Data were analyzed using SPSS22 software and structural equation modeling. Findings showed that organizational ethics has a significant effect on the auditor's judgment. However, organizational culture did not have a significant effect on the auditor's judgment. Findings also showed that organizational culture has a significant effect on organizational ethics. In addition, corporate social responsibility does not moderate the impact of organizational ethics on the auditor's professional judgment. However, corporate social responsibility moderates the impact of organizational culture on the auditor's professional judgment.

Regarding constrained resources and consequently the developing significance of growing funding performance, on this research, the connection among funding performance and economic constraints and company governance has been investigated. In order to attain this goal, 3 hypotheses were advanced and structural equations were used to check the studies hypotheses.In this research, OLS regression became used to degree funding performance and economic constraints. The type used on this study for the financial constraint variable became supplied with the aid of using Dr. Baradaran Hassanzadeh according with the Iranian marketplace and the funding performance version is supplied with the aid of using the researchers of this article. Also, the degree of company governance is the awareness of ownership, institutional ownership, board independence and authority ownership. This studies became performed in 129 businesses indexed at the Tehran Stock Exchange, primarily based on facts contained the economic reviews of businesses indexed at the Tehran Stock Exchange among 2007 and 2017. The consequences confirmed that funding performance has a widespread courting with company governance and financial constraints.

Transparency of the information environment and proper pricing system can lead to the allocation efficiency of financial markets in the long run. Information risk is one of the factors through which the impact of the company's information environment on the discovery of companies' stock prices can be examined. The purpose of this study is to evaluate the information risk factor in increasing the power to explain the excess return on companies' stocks. Using the monthly stock' excess return data of 201 companies listed on the Tehran Stock Exchange during the period 2012 to 2021, combined information risk factor (information asymmetry, stock price synchronicity, stock price delay reaction and conservatism) was added to the five-factor model of Fama and French (2013) and by the Generalized Method of Moments (GMM) method on the monthly return of excess stock regressed. The results showed that by adding the combined information risk factor nonlinearly to the five-factor model of Fama and French (2013), its explanatory power increases by 4.5% and can explain approximately 18.5% of the monthly excess return on risk of the company's stock.

Those companies and industries whose activities have large-scale environmental, social, and economic effects are encountered with serious challenges in the field of information disclosure for green accounting activities. So, The aim of this research is to identify the influential variables on environmental accounting using the qualitative method of grounded theory. Moreover, it tries to investigate the effectiveness of this model using the ORESTE technique. The present research has been conducted using a mixed research method in the two qualitative and quantitative section. In the qualitative section, To collect the data required, the existing documents were studied, and 20 experts aware of the research subject were interviewed using the method of snowball sampling, and the statistical population of the research in the quantitative section is 194 managers, experts, and informed people in the field of environmental accounting. To analyze the qualitative data, open, axial, and selective coding have been used. Criteria were also prioritized using the ORESTE technique and a questionnaire. The results of the present study indicate the extraction of 6 axial coding and 91 open coding in the grounded theory qualitative method in the form of a paradigm model. Then, using paired comparisons in the ORESTE technique, after calculating the weight of the selected criteria of environmental accounting and ranking them, it was shown that the axial criteria of organizational justice, corporate social responsibility, and ethical charter had a higher degree of importance (weight).

based on behavioral finance theories, managers' decisions are not completely rational and are influenced by their cognitive distortions and behavioral biases, which reduce quality of company's performance in relation to capital market, shareholders and other stakeholders. Therefore, their trust and confidence in capital market will also undergo fundamental changes. So, purpose of this research is to examine prevailing conditions (causal, contextual and intervening conditions) on comprehensive risk management in Iran's capital market. In this research, in order to identify prevailing conditions on comprehensive risk management in Iran's capital market, strategies and its future consequences, initially, the interview was conducted with 20 managing directors, members of board of directors, mid-level managers and senior experts of active and effective manufacturing companies in various industries of country's capital market, as well as current and former senior officials of capital market in 2022. Then, the final researcher-made questionnaire was distributed among financial and capital market experts, and finally, to analyze the received responses from 302 respondents (financial and capital market experts), the partial least squares structural equation modeling method was used in PLS 3 software. Findings of research indicate effect of causal, contextual and intervening conditions, as well as interactive effect of causal conditions in contextual and intervening conditions on comprehensive risk management in capital market. Finally, comprehensive risk management in capital market requires strategies such as dynamic thinking, critical thinking, social interactions and awareness and these strategies have consequences including increasing individual ability, optimizing decision process and reducing psychological consequences.

The purpose of this research is the analysis of the relationship between the shadow economy and the elements of competitiveness in developing oil countries. The current research is applied in terms of purpose, descriptive-analytical in terms of inference method, and post-event in terms of the overall design of the research. The final sample used for this study is the data of 72 developing oil countries during the years 2005-2020. The data was analyzed by applying Eviews software through vector panel autoregressive distributed lag model (PARDL) and the Markov switching method. The results showed that in the short term there is a significant relationship between the shadow economy and the input-oriented elements of the developing oil countries, but the significant relationship between the shadow economy and the efficiency-oriented and creativity-oriented elements of the competitiveness of the developing oil countries was not confirmed. Also, in the long term, there is a significant relationship between the shadow economy and the efficiency-oriented and input-oriented elements of the developing oil countries, but the significant relationship between the shadow economy and the creativity-oriented elements of the competitiveness of the developing oil countries was not confirmed. In addition, in the long term, there is a significant relationship between the shadow economy and the index of ease of doing business in developing oil countries, but in the short term, there is a significant relationship between the index of ease of doing business and the shadow economy of oil countries

Interest rate risk is one of the most important financial risks that economic enterprises faced. This risk is actually the probability of a decline in the value from unexpected fluctuations in interest rates in the market. Firms use different analytical models to evaluate the interest rate assessment and the effect of interest rate fluctuations on liabilities and assets and their cash flows. One of the risk hedging strategies is risk management using operational techniques.In this research, with the aim of proposing an operational technique for hedging interest rate risk, the sensitivity coefficient of firms' stock returns to interest rate fluctuations in the period of 2011 to 2021 and after entering the debt market has been investigated and analyzed. In order to measure the interest rate sensitivity coefficient, a model similar to the model of Flannery and James (1984) and Deleze and Korkeamaki (2018) has been used. In this research, the autoregressive integrated moving average (ARIMA)model has been used to estimate the unexpected part of changes in interest rates, and the rolling window regression and panel data models have been used to estimate the interest rate sensitivity coefficient and analyze and investigate this sensitivity coefficient. The result of the research shows a decrease in the sensitivity coefficient to interest rate changes after the first entry into the debt market and finally the facilitation of interest rate risk management among debt bond issuers.

AbstractThere are many studies about demand for money in Iran, varying in variables and methods. But in this research, first, we used real amount of money, real M1, as dependent variable. Real GDP, real interest rate, real exchange rate, and real household religious costs are explanatory variables. Second, we included household religious costs (urban and rural) as a religious measure of Iran Islamic-based economy. And third, we employed NARDL framework to determine asymmetric effects of exchange rate and household religious costs on M1, simultaneously.By employing NARDL method and using bounds testing approach and, results demonstrate that there is a cointegration relationship between variables. Both GDP and interest rate show positive long run effects on M1. Furthermore, employing Wald test to check asymmetric effects revealed that negative and positive movements of exchange rate and household religious costs have asymmetric effects on M1, both in short and long run.Keywords: Money Demand, Household Religious Cost, Nonlinear ARDLJEL Classification: E41, C32