Surveyingof capital structure effect and its chanyer on profit division policy in companiesaccepted in tehran stok Exchange (TSE)

Document Type : Original Article

Authors

1 Faculty member of Islamic Azad University, Firouzkouh branch

2 M.A. in Accounting

Abstract

In this paper, it has been surveyed  the effect of capital structure (the ratio of cash from operating cash flows, the stock holders' rights ratio to assets) on profit division policies and also the variables interactive  effect on profit division policy in various industries. The profit division policy is the cash dividend ratio on Earning per share. The research hypotheses test has been performed by multiple regression analysis using sign data. In present research, it has been surveyed the effect of independent variables on dividend in two ways. It has been evaluated the effect of each variables on dividend separately using the method of consolidated  least  squares and interactive  effect of possession structure variables with the industry type as virtual variable on dividend using the method of least generalized squares. Surveying statistical society of all accepted companies in Tehran Stock Exchange (TSE) between the years 2008 to 2013, except investment companies and financial intermediary/. Finally, 35 accepted companies in Tehran Stock Exchange (TSE) were tested in Cement, pharmaceutical, Mines, Metals and petrochemical industries (Chemical and petrochemical) which all required data on them were available. The results represented that among capital structure variables (the ratio of cash from operating cash flows, the stock holders' rights ratio to assets) have significant relationship with dividend and also the interactive effect of capital structure on profit division policy is significant.

Keywords

Accounting and Auditing Research
Volume 9, Issue 35
October 2017
Pages 129-144

Files

Share

How to cite

Statistics