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Global Journal of Educational Research Vol.2(1) pp.013 – 019 July 2012
Available online http://www.globalresearchjournals.org/?a=journal&id=gjer
Copyright ©2012 Global Research Journals
Review.
Exploring Financial Statement Indexes of Nonprofits: A Study of Private Schools in Taiwan
Li-Tze Lee
Department of Accounting and Information, Overseas Chinese University
No. 100, Chiao Kwang Rd., Taichung 407, Taiwan (R.O.C.)
E-mail: leelitze@ocu.edu.tw
| Abstract |
Nonprofit organizations have become the important employment in many societies. However, the measurement of nonprofit organizations did not receive enough attentions. This study built an evaluation model by examining financial indexes of private technical and vocational schools in Taiwan.
One hundred and fifty-six samples were collected from private technical and vocational schools in Taiwan during 2004 to 2007. Seventeen financial indexes and seven factors were finalized by Exploratory Factor Analysis method. Seven factors are identified as nonprofit organizations financial factors and named as: “Liquidity”, “Financial Structure”, “Cash Flow”, “Profitability”, “Earning Capacity”, “Operational Efficiency” and “Financial Fitness”. Comparison on financial indexes between private technical and vocational schools and business organization are reported and managerial implications are analyzed and discussed.
Keywords：Financial Statement Analysis, Nonprofit Organization, Exploratory Factor Analysis