Determinants of Capital Structure of Multinational Companies (Empirical Study on the Indonesia Stock Exchange)
Journal Title: Account and Financial Management Journal - Year 2024, Vol 9, Issue 11
Abstract
This study aims to provide empirical evidence of the effect of business risk, profitability, asset growth and asset structure on the capital structure of multinational companies on the Indonesia Stock Exchange. The population of this study are manufacturing companies listed on the Indonesia Stock Exchange for the period 2018-2022. The sampling technique uses purposive sampling. Data collection using documentation, secondary data sources in the form of company financial reports. Data analysis using multiple linear regression panel data with the eviuws 13 programme. The results found that business risk affects the capital structure of multinational companies. Profitability affects the capital structure of multinational companies. Asset growth has no effect on the capital structure of multinational companies. Asset structure negatively affects the capital structure of multinational companies. Further research is expected to consider adding other variables that influence the capital structure of multinational companies such as liquidity and tangibility variables. In addition, it is also expected to examine the relationship between independent variables, as well as using different samples and populations from this study.
Authors and Affiliations
Rizki Wahyu Utami Ohorella , Herman Darwis
Keywords
Related Articles
- EP ID EP751884
- DOI 10.47191/afmj/v9i11.01
- Views 24
- Downloads 0
The Role of Public Policy Management in Enhancing Sustainable Development: An Applied Study on The Iraqi Ministry of Health
Public policy management was the subject of this paper in as much as dealing with its effectiveness in the realization of sustainable development within the Iraqi Ministry of Health. Using a survey research approach, a s...
Bank Resources, Interest Margin and Long-Term Bank Financing in Franc Zone
The aim of this study is to determine the impact of bank resources and interest margin on the long-term bank lending in the countries of the franc zone over the period 2006-2016. We adopted a static panel data model and...
Assessing the Impact of Cashless Banking on Economic Growth in Nigeria
Notwithstanding the availability of cashless banking instrument in Nigeria, its definite impact on economic growth has not been well established. The goal of this study is to determine how Nigeria's economic growth is im...
Determinants of Generation Z's Interest in Investing in Stock Using Financial Technology Investment Management
In the financial sector, technology that is currently developing rapidly, especially in the investment sector, is fintech investment management. The aim of this research is to analyze the factors that influence interest...
To be a Certified Public Accountant: What Students Say
This study aims to analyze the interest of accounting students in choosing a career to become a certified public accountant in Indonesia. The public accountant profession could be one of the professions considered by ac...