scholarly journals The Influence of Debt Financing on Firms’ Performance: Empirical Evidence from Malaysia

2021 ◽  
Vol 5 (1) ◽  
pp. 76-87
Author(s):  
Yien Yien Lee
Keyword(s):  
Fixed Effect Model ◽  
Short Term ◽  
Return On Assets ◽  
Causality Test ◽  
Listed Firms ◽  
Effect Model ◽  
Lm Test ◽  
And Performance ◽  
The Relationship

This study investigated the relationship between the listed firms’ debt level and performance in Bursa Malaysia during a five-year period. Based on the results of the Hausman test and Breusch-Pagan LM test, the fixed-effect model is the most appropriate model that used to analyze the panel data of 50 Malaysian listed companies within the property sector from the year 2015 to 2019. The results indicated that the short-term debt (STD) and long-term debt (LTD) have positive and insignificant effects on return on asset (ROA), which means that the increase in the short-term debt and long-term debt will lead to an increase in the return on assets. Besides that, account payables (AP) has a negative and insignificant effect on the profitability of property sector companies. According to the outcome of the Granger Causality test, the return on assets does not affect by the account payables, short-term debt, long-term debt and firm size. There is only one unidirectional causality relationship that proves that short-term debt is affected by long-term debt. Additionally, this study focuses on enhancing the existing empirical knowledge of debt financing's influence on the profitability of the listed firms in the property sector.

Effect of Goal Proximity and Goal Specificity on Muscular Endurance Performance: A Replication and Extension

1991 ◽  
Vol 13 (2) ◽  
pp. 174-187 ◽  
Author(s):  
Gershon Tenenbaum ◽  
Saadia Pinchas ◽  
Gabi Elbaz ◽  
Michael Bar-Eli ◽  
Robert Weinberg
Keyword(s):  
High School Students ◽  
Endurance Performance ◽  
Experimental Period ◽  
Baseline Period ◽  
Short Term ◽  
School Students ◽  
Goal Specificity ◽  
And Performance ◽  
The Relationship

The purpose of the present investigation was to extend the literature on the relationship between goal specificity, goal proximity, and performance by using high school students and attempting to control for the effects of social comparison. Subjects (N=214) in Experiment 1 were randomly assigned to one of five goal-setting conditions: (a) short-term goals, (b) long-term goals, (c) short- plus long-term goals,(d) do-your-best goals, and (e) no goals. After a 3-week baseline period, subjects were tested once a week on the 3-minute sit-up over the course of the 10-week experimental period. Results indicated that the short- plus long-term group exhibited the greatest increase in performance although the short-term and long-term groups also displayed significant improvements. In Experiment 2, a short- plus long-term group was compared against a do-your-best group. Results again revealed a significant improvement in performance for the combination-goal group whereas the do-your-best group did not display any improvement.

scholarly journals Impact of Capital Structure on Profitability:An empirical analysis of listed firms in India

2018 ◽  
Vol 7 (2) ◽  
pp. 1-6
Author(s):  
Atif Ghayas ◽  
Javaid Akhter
Keyword(s):  
Capital Structure ◽  
Stock Exchange ◽  
Short Term ◽  
Return On Equity ◽  
Listed Firms ◽  
Relationship Capital ◽  
The Impact ◽  
The Relationship ◽  
Positive Effect

This study aims to empirically examine and analyze the impact of capital structure decision on the firm’s profitability by using a sample of 35 Indian pharmaceutical companies listed on Bombay Stock Exchange (BSE) during the period of 5 years from 2012 to 2016. Regression Analysis is used to measure the extent and nature of the relationship. Capital structure variables used in the study are ratio of long-term debt to total assets (LDA), ratio of short-term debt to total assets (SDA) and ratio of Total debt to total assets (DA) while profitability has been measure by Return on Equity (ROE). Firms Size (SIZE)and Salesgrowth(GROW) are also used as control variables. Results reveal a positive effect of SDA and DA on ROE, while a weak-to-no effect was found of LDA on ROE.

A Star Is Born: The Relationship Between Performance and Achieving Status Through Certification Contests in the Context of Equity Analysts

2022 ◽  
Author(s):  
Eugene Taeha Paik ◽  
Timothy G. Pollock ◽  
Steven Boivie ◽  
Donald Lange ◽  
Peggy M. Lee
Keyword(s):  
High Status ◽  
Short Term ◽  
Equity Analysts ◽  
Subsequent Performance ◽  
The Social ◽  
And Performance ◽  
The Relationship ◽  
Status Position ◽  
Over Time

We investigate how the relationship between status and performance decouples over time by addressing two questions: (1) how performance affects the likelihood that an actor achieves high status and (2) how achieving high status affects the actor’s subsequent performance. In doing so, we focus on the role repeated certification contests play, where evaluators assess actors’ performance along particular dimensions and confer high status on the contest winners. Using the context of sell-side (brokerage) equity analysts and the “All-Star” list from Institutional Investor magazine, we first investigate whether analysts who make the All-Star list are more likely to produce accurate and/or independent forecasts. Then, we investigate analyst performance after recent and multiple wins. Our results demonstrate the decoupling of status and performance over time and the roles played by both the high-status actor and the social evaluators conferring their status. Whereas analyst performance increases the likelihood of being designated an All-Star, recent and multiple All-Star designations differentially affect both how subsequent performance is assessed, and how the All-Star analysts subsequently perform. In the short term, achieving high status can increase performance and solidify an analyst’s status position; however, in the long term, it can lead to lower performance and eventually result in status loss, which further erodes performance.

scholarly journals An Assessment on the Influence of Capital Structure on Performance of the Listed Firms in Tanzania

2021 ◽  
Vol 4 (1) ◽  
pp. 1-13
Author(s):  
Martin Ayo ◽  
Seif Muba
Keyword(s):  
Capital Structure ◽  
Significant Influence ◽  
Fixed Effect Model ◽  
Fixed Effect ◽  
Control Effect ◽  
Listed Firms ◽  
Total Debt ◽  
Effect Model ◽  
Equity Ratio ◽  
The Relationship

The research mostly assessed and established the influence of capital structure on the performance of firms listed under the Dar Es Salaam stock exchange (DSE). Specifically, the study aimed to assess the influence of total debt to equity ratio (TDE), total debt to assets ratio (TDA), total equity ratio (TEQ) on the performance of listed firms in Tanzania. Also, the study aimed to determine the control effect of firm size (FS) on the relationship between firm performance and capital structure. The quantitative panel data approach was used. The fixed-effect model for ROA was done to see the influence of TDE on ROA. Results indicated that only TEQ has a significant positive influence on the ROA while TDE and TDA have no significant influence on the ROA. Also, the fixed-effect model for ROCE was carried out to see the relationship between TDE and ROCE. Results showed that TDA and TEQ are insignificant to the ROCE, while TDE is significant to the ROCE. Findings also showed that the presence of the FS on the model of capital structure and ROA, results in TDA, and TEQ having a significant influence on ROA, while TDE becomes insignificant to ROA. Moreover, results indicated that the presence of the FS on the model of capital structure and ROCE results in the only TDE to have a significant influence on ROCE, while TDA and TEQ became insignificant to ROA. The study concluded that TDE has no significant influence on the ROA but TDE has a significant influence on ROCE. Also, the study concluded that TDA has no significant influence on both the ROA and ROCE while TEQ influences ROA positively, and has no significant influence on ROCE. Moreover, the study concluded that the presence of the FS on the model of capital structure and ROA, results in TDA, and TEQ having a significant influence on ROA, while TDE becomes insignificant to ROA. Furthermore, FS resulted in TDE having a significant influence on ROCE, while TDA and TEQ become insignificant to ROCE. The study recommends that companies very carefully must decide on a reasonable capital structure to maintain the performance of the company.

scholarly journals PENGARUH CORPORATE GOVERNANCE TERHADAP FIRM’S DEBT PADA PERUSAHAAN SEKTOR INDUSTRI BARANG KONSUMSI PERIODE 2013-2018

2020 ◽  
Vol 1 (1) ◽  
pp. 30-41
Author(s):  
Francisca ◽  
Mariana Ing Malelak
Keyword(s):  
Corporate Governance ◽  
Random Effect ◽  
Random Effect Model ◽  
Fixed Effect Model ◽  
Board Composition ◽  
Short Term ◽  
Board Size ◽  
Total Debt ◽  
Effect Model

Era globalisasi menjadikan perusahaan menjadi bersaing dan menentukan strategi bisnis yang sesuai dengan kondisi perusahaan. Kemampuan perusahaan dalam menentukan kinerjanya akan meningkatkan daya saing perusahaan. Penelitian ini bertujuan untuk meneliti pengaruh corporate governance terhadap firm’s debt pada perusaha­an sektor industri barang konsumsi periode 2013-2018. Sampel yang digunakan adalah 31 perusahaan sektor industri barang konsumsi yang tercatat selama periode 2013-2018. Metode analisa data dilakukan dengan menggunakan regresi data panel dengan fixed effect model dan random effect model. Variabel kontrol yang digunakan pada penelitian ini terdiri dari profitability dan firm size. Hasil penelitian in menunjukkan bahwa board size dan board composition berpengaruh signifikan terhadap short term debt, board size tidak berpengaruh signifikan terhadap long term debt namun board composition berpengaruh signifikan terhadap long term debt, serta board size dan board composition tidak berpengaruh signifikan terhadap total debt.

scholarly journals An Empirical Analysis of the Link between Economic Growth and Exports in Côte d’Ivoire

2019 ◽  
Vol 12 (9) ◽  
pp. 94
Author(s):  
Daouda Coulibaly ◽  
Fulgence Zran Goueu
Keyword(s):  
Economic Growth ◽  
Gross Domestic Product ◽  
Causal Relationship ◽  
Empirical Analysis ◽  
Annual Data ◽  
Short Term ◽  
Causality Test ◽  
Long Run ◽  
The Relationship

This paper aims to analyze the relationship between exports and economic growth in Côte d’Ivoire. In order to achieve this objective, annual data for the period 1960-2017 were tested by using the cointegration approach of Pesaran, Shin and Smith, including the causality test of Breitung and Schreiber. According to our analysis it is only exports that drive economic growth and not the opposite. Exports act positively and significantly on economic growth in the short term as well as in the long term. The causality test of Breitung and schreiber indicates a one-way long-run causal relationship ranging from exports to gross domestic product (GDP). All those results show that exports are a source of Ivorian economic growth.

scholarly journals International Application Model Short-Long Term Between GDP and Consumption : Case Study Indonesia

ECONOMICS ◽  
2018 ◽  
Vol 6 (1) ◽  
pp. 81-90
Author(s):  
Teguh Sugiarto ◽  
Ludiro Madu ◽  
Ahmad Subagyo ◽  
◽  
Keyword(s):  
Causal Relationship ◽  
Short Term ◽  
Causality Test ◽  
Ardl Model ◽  
Long Run ◽  
Equilibrium Relationship ◽  
Term Change ◽  
Short Run ◽  
The Relationship

SUMMARY More recently, significant fluctuations in the Indonesian economy justify the need to pay more attention to this issue. In this case, the main purpose of this research is to know the relationship between two issues related to Indonesian macro economy called consumption and GDP for data period during 1967 until 2014. This study investigates the relationship between GDP variables and Indonesian consumption consumption variables using the test ARDL, cointegration and Granger causality. The result of the research can be concluded that, there is long-run equilibrium relationship between GDP and consumption with long-term ARDL model, 10% change of consumption will produce long-term change of 44% in GDP. It is not surprising that there is no short-run equilibrium relationship between GDP and consumption. 10% of consumption will result in a short-term ARDL model change of 95% in GDP. The variables and consumption of GDP are cointegrated in the long run significantly at lag interval 10, whereas the use of lag interval 1 and 5 is not credited in the long run. Using a cointegration test with lag interval 1, 5 and 10 indicates significant for all usage slowness. So it can be summarized in the context of GDP and coordinated short-term economic consumption for all the prevailing interval lags. concluded that long-term causality test results between GDP variables and significant consumption with time intervals 5 and 10. intervals 1, 15 and 20 have no long-term causality relationship between GDP variables and consumption variables. a short-term causal model. With lagging intervals of 1, 5, 10 and 15, there is a short-term causal relationship between the variable GDP and consumption. As for the use of delay interval 20 there is no causal relationship in the short term between the variable GDP and consumption in Indonesia.

scholarly journals Ownership Structure and Financial Performance of Companies Listed at the Nairobi Securities Exchange, Kenya

2021 ◽  
Vol 3 (1) ◽  
pp. 1-9
Author(s):  
Nathan Mwaka Nzuki ◽  
Charity Njoka
Keyword(s):  
Ownership Structure ◽  
Secondary Data ◽  
Managerial Ownership ◽  
Local Ownership ◽  
Return On Assets ◽  
P Values ◽  
Listed Firms ◽  
Data Collection Sheet ◽  
And Performance ◽  
The Relationship

Performance of firms is predominantly contingent on the deliberate decisions cautiously made and executed by the owners therefore a linkage exists between ownership structure and performance financially. Owners are part of a segment that makes decisions by the virtue of their relationship with the firm. Therefore, the question of what maybe the most efficient ownership structure is relevant. Through the period 2014 to 2018, there was an increase in the listed firms that issued profit warnings with others like Kenya Airways and Uchumi Supermarket running into huge financial losses. This research aims at determining the relationship between structure of ownership on company’s performance financially and are anchored on two explicit objectives: to ascertain whether institutional local ownership impact on performance and to evaluate whether managerial ownership impact on performance. This exploration is built on, stewardship, Agency and stakeholder theories which expound an association of structure of ownership and performance financially of all Kenyan listed firmsthrough2014 to 2018. The examination adopts a causal research design. A census of the 60 listed firms is drawn in this study. Secondary data relating to ownership structure and return on assets is collected using secondary data collection sheet. Panel regression model is utilised to ascertain the relationship between the predictor and dependent variables. The effect of Institutional local ownership on Return on assets is significant as shown by the p values of 0.007. Managerial ownership is found to have an insignificant impact on Return on assets as shown by the p values of 0. 611.The study is recommending that in pursuit for high Return on assets firm can come up with incentives to encourage institutions to invest more in the company to raise performance.

scholarly journals THE INFLUENCE OF MODAL STRUCTURE, THE SIZE OF THE COMPANY AND SALES GROWTH ON COMPANIES PROFITABILITY THAT LISTED ON SRI-KEHATI INDEX

2016 ◽  
Vol 15 (2) ◽  
Author(s):  
Arif Herlambang ◽  
Putu Anom Mahadwarta ◽  
Niafatul Aini
Keyword(s):  
Firm Size ◽  
Secondary Data ◽  
Fixed Effect Model ◽  
Sales Growth ◽  
Short Term ◽  
Effect Model ◽  
Analysis Technique ◽  
Firm Profitability ◽  
The Impact

The purpose of this paper is investigate the impact of capital structure growth on firm profitability from companies that listed on SRI-KEHATI Indeks in 2011-2015. Independent variable that used to represent firm profitability is Return on Asset (ROA), while the independent variables that used to represent long term debt, short term debt, firm size, and sales growth. The data used in this study is secondary data derived from the financial statements of companies listed in the SRI-KEHATI index period 2011-2015. Data analysis technique in this research use regression analysis of panel data of Fixed Effect Model (FEM). From the test, it can be seen that the variable of long-term debt, short term debt, firm size and sales growth give significant influence to profitability of companies listed in SRI-KEHATI index in 2011-2015 period.

scholarly journals The Impact of Share Pricing on Firm Performance: Empirical Evidence from Pakistan

2021 ◽  
Vol 2 (2) ◽  
pp. 133-137
Author(s):  
MUHAMMAD ILYAS ◽  
DR.SHAHID JAN ◽  
MUHMMAD NISAR KHAN
Keyword(s):  
Random Effect ◽  
Balance Sheet ◽  
Fixed Effect Model ◽  
Profit Margin ◽  
Return On Assets ◽  
Listed Firms ◽  
Earnings Per Share ◽  
Effect Model ◽  
Net Profit ◽  
The Impact

Researchers examined the impact of share pricing on firms performance in Pakistan. Selected 98 firms from five different sectors listed on Karachi Stock exchange1 . Selected sample on the bases of availability of complete data of sample firms during period of this study (2006-2011). Data used are secondary in nature and source of data is balance sheet analysis of listed firms. Used Net profit margin as depended variable while earnings per share used as independent variable and return on assets overhe1 ads and earnings before interest and tax used as control variables. For analysis used Panel data techniques as fixed and random effect models. On the basis of Hauseman effect test select fixed effect model for analysis and concluded that the impact of earnings per share, earnings before interest tax and overheads are significant on net profit margin. However, impact of return on assets on net profit margin is insignificant.

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