THE DETERMINANTS OF CAPITAL STRUCTURE OF NIGERIAN BUSINESS FIRMS: A PANEL DATA STUDY Oba Efayena INTRODUCTION Capital structure decision is one of the most important decisions facing the financial manager. It is one of the most researched fields in corporate finance. However most of the researches on capital structure were carried out in the developed countries but with very
and capital structure According to Brenni (2014) CEO duality describes a situation where the CEO is also the board chairperson. However, Bodaghi and Ahmadpour (2010) argued that CEO duality does not significantly influence corporate financing behavior. According to Butt and Hasan (2009) firms financing conduct is not significantly linked to CEO duality, these results were consistent with those of Heng et al. (2012) who suggested no significant association between the CEO duality and capital structure
In business the current assets includes cash. Cash is necessary for going concern. It should be kept sufficiently for meeting the obligation. In case shortage of cash occurs then it will slow down the operation of the business & in case any excess of it then it is unproductive. In assets, cash is more unproductive i.e. it doesn’t contribute anything to business, while fixed assets like plant, machinery etc. & in current assets such as inventory will add to business earning capacity. The money can
THE FACTORS INFLUENCING CAPITAL BUDGETING DECISIONS IN THE MANUFACTURING SECTOR IN KENYA BY NCHOROKO KEVIN NYAMIAKA 636499 CHAPTER ONE 1.0 INTRODUCTION 1.1Research Background Capital budgeting is a required managerial tool. One duty of a financial manager is to choose investments with satisfactory cash flows and rates of return. Therefore, a financial manager must be able to decide whether an investment is worth undertaking and be able to choose intelligently between two or more alternatives
2.1 Introduction This chapter reviews literature is examine on the financial performance and distress a case of Malaysian construction companies. And then, some model to solve the firms problem in financial. 2.2 Financial Performance Financial Performance is used to track and review an organization’s progress against its strategic plan and specific performance goals. While financial performance measures is important to drive a company or to individual projects to ensure that deadlines are met and
gearing theory excludes the short-term financing from the cost of capital calculation which the firm’s capital structure can be viewed as a required rate of return that must be earned on an investment leaving the firm’s value unaffected which supported the traditional gearing theory. Afrasiabishani (2012) also supported the traditional theory by stating that traditional approach is based on the belief that optimal capital structure always exists, this approach is a combination of (NI) and (NOI) in
Yazdanfar and Öhman (2015) propose that age category has a principal role in defining differences in capital structures of firms by effecting the utilization of financing sources and SMEs depend financially on internal equity and short term debt at the beginning of their life cycle. As the firm grows, the share of long term debt also rises, but not significant to be influential. Moreover, if SMEs capital is exhausted and internal finance are not sufficient, external finance is needed but in form of
It is clear from both theoretical and empirical literature that social capital is a context specific notion and an outcome of a particular community and locality. And so, studies conducted so far and to be conducted in the future in this area could have their own contribution in enriching the theoretical, methodological, and empirical literature of the subject matter. As indicated above, the theme of social capital has got diminutive attention in the policy framework and strategy of national and
salvation for the economies of the region lies in opening themselves up to international forces and becoming truly competitive. This paper will discuss the benefits of Globalization in the Pacific Island countries, its adverse effects in terms of capital flows and the necessary actions that should be taken to solve
house, housing finance companies, venture capital companies, mutual funds etc. and other modarabas, stock exchange and insurance companies. The supervisory responsibilities in case of banks, development finance institutions and micro finance banks under the prevalent legislative structure that falls within legal ambit of state bank of Pakistan while the rest