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Evaluating the Relationship between the Past Information with Iranian Co. Capital Structure

Author

Listed:
  • Hossein Heidari
  • Dr. Hassan Ghodrati

Abstract

This study evaluates the relationship between the structure and past information with capital structure between the listed corporations on Tehran stock exchange. To do the study, a sample of 114 corporations from ones listed on exchange was selected by using the stratified random sampling. The study was done during 2007-2012 that 324 observations were totally used to research period. The statistical method Panel data regression was used in this study. For the purpose of study four hypotheses were proposed that all of them were approved. The results show that there is a direct relationship between profitability, book-to-market ratio, corporation size and the ratio of collateral assets with capital structure. It means that capital structure will be increased by increasing independent variables and vice versa.

Suggested Citation

  • Hossein Heidari & Dr. Hassan Ghodrati, 2014. "Evaluating the Relationship between the Past Information with Iranian Co. Capital Structure," International Journal of Management Sciences, Research Academy of Social Sciences, vol. 4(10), pages 455-467.
    • Handle: RePEc:rss:jnljms:v4i10p5
    as

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    References listed on IDEAS

    as
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    5. Alan Bevan & Jo Danbolt, 2002. "Capital structure and its determinants in the UK - a decompositional analysis," Applied Financial Economics, Taylor & Francis Journals, vol. 12(3), pages 159-170.
    6. Miller, Darius P. & Puthenpurackal, John J., 2002. "The Costs, Wealth Effects, and Determinants of International Capital Raising: Evidence from Public Yankee Bonds," Journal of Financial Intermediation, Elsevier, vol. 11(4), pages 455-485, October.
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