IDEAS home Printed from https://ideas.repec.org/a/mth/ber888/v4y2014i2p251-264.html
   My bibliography  Save this article

The Effect of the Financial Leverage on the Profitability in the Tourism Companies (Analytical Study- Tourism Sector- Jordan)

Author

Listed:
  • Dr. Maher Odeh Al-Shamaileh
  • Salim. M. Khanfar

Abstract

This study aims to identify the financial leverage ratio and the rate of return on investment on profitability for sources of the funding in tourism companies which operating in Jordan. And to achieve this study the researcher use some companies related to the Tourism sector from the firms that listed in Amman Stock Exchange. The study finds the existence of a statistically significant impact for the independent variables (financial leverage and ROI) of the Tourism companies on the Profitability. Moreover, this study concluded that the independent financial variables explain the 4.4% percentage of changes occurring in the Profitability since they are considered as the dependent variable. Furthermore, the results indicate the presence of a statistically significant impact for the financial leverage on the Profitability of the Tourism companies listed in the Amman Exchange.

Suggested Citation

  • Dr. Maher Odeh Al-Shamaileh & Salim. M. Khanfar, 2014. "The Effect of the Financial Leverage on the Profitability in the Tourism Companies (Analytical Study- Tourism Sector- Jordan)," Business and Economic Research, Macrothink Institute, vol. 4(2), pages 251-264, December.
    • Handle: RePEc:mth:ber888:v:4:y:2014:i:2:p:251-264
    as

    Download full text from publisher

    File URL: http://www.macrothink.org/journal/index.php/ber/article/view/5546/5383
    Download Restriction: no
    File URL: http://www.macrothink.org/journal/index.php/ber/article/view/5546
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. S. G. Badrinath & Omesh Kini, 2001. "The Robustness Of Abnormal Returns From The Earnings Yield Contrarian Investment Strategy," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 24(3), pages 385-401, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ahmad Dahiyat, 2016. "Does Liquidity and Solvency Affect Banks Profitability? Evidence from Listed Banks in Jordan," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 6(1), pages 35-40, January.
    2. repec:hur:ijaraf:v:5:y:2015:i:1:p:35-40 is not listed on IDEAS

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kwame Addae-Dapaah & James Webb & Kim Ho & Yan Tan, 2010. "Industrial Real Estate Investment: Does the Contrarian Strategy Work?," The Journal of Real Estate Finance and Economics, Springer, vol. 41(2), pages 193-227, August.

    More about this item

    Keywords

    Financial Leverage; Profitability; Tourism Sector; Amman Stock Exchange; Equity; Loan; Operating Leverage;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mth:ber888:v:4:y:2014:i:2:p:251-264. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Technical Support Office (email available below). General contact details of provider: http://www.macrothink.org/journal/index.php/ber .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.