Download or read book The Debt equity Choice written by Ronald W. Masulis and published by . This book was released on 1988 with total page 168 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Debt equity Choice written by Tim Opler and published by . This book was released on 1997 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Debt equity Choice with Asymmetric Information written by Karen Schuele Walton and published by . This book was released on 1991 with total page 344 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Debt equity Choice written by Tim Opler and published by . This book was released on 1997 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book An Empirical Examination of the Debt equity Choice in Small and Large Firms written by Dan Jubinski and published by . This book was released on 2003 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Debt equity Choice of Japanese Firms written by Terence Tai-leung Chong and published by . This book was released on 2013 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Firm Value and the Debt equity Choice written by Robert M. Hull and published by . This book was released on 2004 with total page 25 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Debt Equity Choice written by CMA(Dr.) Ashok Panigrahi and published by . This book was released on 2013 with total page 10 pages. Available in PDF, EPUB and Kindle. Book excerpt: Debt-equity choice is one of the most important decisions in financing policy. Studies on capital structure have made great contributions in understanding the behavior of firms with respect to their choice among the use of debt or equity. The present study analyses the financing pattern of 300 Indian private sector companies, comprising of 20 different sectors for the period 1999-2000 to 2007-2008, duly grouping them on the basis of their region, size, age, and nature. By using simple financial and statistical tools like ratio, funds flow and correlation analysis, effort has been made to find out the ways in which different companies at different times and in different institutional environments have financed their operations; and to identify possible implications of these financing patterns. The result shows that, leverage is negatively correlated with profitability. Tangibility is positively correlated with the total debts. The dependence on debt capital is more by manufacturing companies as compared to service sector companies. There is a negative correlation between the size of the company and dependence on debt capital. Larger the size of the company, lower is the debt equity ratio and vice-versa. Hence, as a result of debt-dominated capital structure, the Indian corporate are exposed to a very high degree of total risk as reflected in high degree of operating leverage and financial leverage and, consequently, are subject to a high cost of financial distress which includes a broad spectrum of problems ranging from relatively minor liquidity shortages to extreme cases of bankruptcy.
Download or read book Debt Equity Choice as a Signal of Earnings Profile Over Time written by Anton Miglo and published by . This book was released on 2020 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyzes the debt-equity choice for financing a two-stage investment when a firm's insiders have private information about the firm's expected earnings. When private information is one-dimensional (for example when short-term earnings are common knowledge while long-term earnings are private information) a separating equilibrium does not exist. When private information is two-dimensional a separating equilibrium may exist where firms with a higher rate of earnings growth issue debt and firms with a lower rate of earnings growth issue equity. This provides new insights into the issue of different kinds of securities by different types of firms under asymmetric information as well as the link between debt-equity choice and operating performance.
Download or read book Examine the Debt Equity Choice with Nested Logit written by Luo Zuo and published by . This book was released on 2008 with total page 140 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Debt equity Choice in the North American Aluminum Industry written by Seiichi Masuyama and published by . This book was released on 1973 with total page 174 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Debt Equity Choice in Europe written by Philippe Gaud and published by . This book was released on 2005 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: Using a sample of over 5,000 European firms, we document the driving factors of capital structure policies in Europe. Controlling for dynamic patterns and national environments, we show how these policies cannot be reduced to a simple trade-off or pecking order model. Both corporate governance and market timing impact upon capital structure. European firms limit themselves to an upper barrier to leverage, but not to a lower one. Debt constrains managers to payout cash, and equity may become cheap during windows of opportunity. Internal financing, when available, is preferred over external financing, but companies limit future excess of slack as it constitutes a potential source of conflict.
Download or read book Corporate Capital Structures in the United States written by Benjamin M. Friedman and published by University of Chicago Press. This book was released on 2009-05-15 with total page 404 pages. Available in PDF, EPUB and Kindle. Book excerpt: The research reported in this volume represents the second stage of a wide-ranging National Bureau of Economic Research effort to investigate "The Changing Role of Debt and Equity in Financing U.S. Capital Formation." The first group of studies sponsored under this project, which have been published individually and summarized in a 1982 volume bearing the same title (Friedman 1982), addressed several key issues relevant to corporate sector behavior along with such other aspects of the evolving financial underpinnings of U.S. capital formation as household saving incentives, international capital flows, and government debt management. In the project's second series of studies, presented at the National Bureau of Economic Research conference in January 1983 and published here for the first time along with commentaries from that conference, the central focus is the financial side of capital formation undertaken by the U.S. corporate business sector. At the same time, because corporations' securities must be held, a parallel focus is on the behavior of the markets that price these claims.
Download or read book Financing the Deficit written by Xin (Simba) Chang and published by . This book was released on 2005 with total page 45 pages. Available in PDF, EPUB and Kindle. Book excerpt: If Pecking Order behavior of financing choice is mitigated by debt capacity concerns, then Tradeoff and Pecking Order theories are difficult to distinguish empirically. In this paper, we extend the Myers and Majluf (1984) model to derive new testable implications of the interaction between adverse selection costs and debt capacity constraints. Our model predicts that the probability of debt issuance will be a non-monotonic function of the size of the financing deficit. The probability of debt issuance will initially increase in the size of the deficit as adverse selection costs of issuing equity outweigh the costs due to loss of debt capacity, then decrease as costs due to loss of debt capacity become more important, and finally increase again as the deficit becomes very large. Our empirical tests on a sample of firms from COMPUSTAT from 1971-1998 classified into five size groups demonstrate that, even after allowing for the possible endogeneity of the financing deficit, the predicted non-monotonicity prevails for all size group of firms. Even for those firms in the smallest size group for which debt capacity is not a dominant concern, the initial range over which the relationship between the deficit size and the probability of debt issue is significantly positive includes as much as 67% of all issues. Consistent with the predictions of the model, the intermediate range between the two turning points (over which the probability of debt issue decreases in the size of the deficit and debt capacity concerns dominate) is larger for smaller and younger firms. It is also larger for firms with lower past profitability, and firms with higher growth opportunities. We also find that the probability of debt issue is lower (higher) for firms that are above (below) an estimated target debt ratio, and higher for firms with higher past profitability, lower market-to-book, and poor recent stock price performance. Aside from demonstrating the relevance of both adverse selection costs and debt capacity constraints for firms' financing decisions, our results also show that firms exhibit target-reverting behavior and time the market.
Download or read book Testing Static Trade off Against Pecking Order Models of Capital Structure written by Lakshmi Shyam-Sunder and published by . This book was released on 2023-07-18 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Adventure Finance written by Aunnie Patton Power and published by Springer Nature. This book was released on 2021-05-28 with total page 339 pages. Available in PDF, EPUB and Kindle. Book excerpt: The venture capital model doesn’t work—at least not for 99% of startups and small businesses. In this 99% are a lot of companies with incredible potential: businesses headed by female founders and those from diverse racial backgrounds, organizations headquartered outside of venture capital hubs, and purpose-driven enterprises that are creating social and environmental impact alongside financial success. Counter to what the press-savvy venture capital world would have you believe, there are a lot of funding options out there for startups and small businesses. Adventure Finance is designed to help you understand some of these options, and walk you through real examples of how other founders and funders have put them to use. In simple, approachable language, the book breaks down the different types of funding options available from revenue-based financing to recoverable grants to redeemable equity to distributed ownership and more. Through a mix of storytelling and frameworks, based on a decade of research and experience in investing in early-stage companies, this book will give you the ability to determine how each of these structures can contribute to your own funding journey. The goal for this book is to shift the conversation about startup funding and help founders and funders widen the spectrum of “mainstream” investment options in order to make the venture financing world more inclusive and purpose-driven.
Download or read book Capital Structure and Corporate Financing Decisions written by H. Kent Baker and published by John Wiley & Sons. This book was released on 2011-03-31 with total page 504 pages. Available in PDF, EPUB and Kindle. Book excerpt: A comprehensive guide to making better capital structure and corporate financing decisions in today's dynamic business environment Given the dramatic changes that have recently occurred in the economy, the topic of capital structure and corporate financing decisions is critically important. The fact is that firms need to constantly revisit their portfolio of debt, equity, and hybrid securities to finance assets, operations, and future growth. Capital Structure and Corporate Financing Decisions provides an in-depth examination of critical capital structure topics, including discussions of basic capital structure components, key theories and practices, and practical application in an increasingly complex corporate world. Throughout, the book emphasizes how a sound capital structure simultaneously minimizes the firm's cost of capital and maximizes the value to shareholders. Offers a strategic focus that allows you to understand how financing decisions relates to a firm's overall corporate policy Consists of contributed chapters from both academics and experienced professionals, offering a variety of perspectives and a rich interplay of ideas Contains information from survey research describing actual financial practices of firms This valuable resource takes a practical approach to capital structure by discussing why various theories make sense and how firms use them to solve problems and create wealth. In the wake of the recent financial crisis, the insights found here are essential to excelling in today's volatile business environment.
