期刊名称：Asian Journal of Business and Management Sciences
电子版ISSN：2047-2528
出版年度：2012
卷号：2
期号：02
页码：51-63
出版社：Society for Business Research Promotion
摘要：The present study focuses on the determinants of capital structure of Machinery & Equipment Sector of Islamic republic of iran. The research examines whether the industry specific attributes of Machinery & Equipment Sector affect the capital structure choice of company and validates our results with Rajan and Zingales (1995) [32] and Booth et. al. (2001) [5] and provide an explanation for the behavior of company in choosing debt equity ratio. The study uses pooled data regression model on the sample of 20 companies of Machinery & Equipment sector of iran and uses liquidity and cost of debt variables which were not used in earlier studies and have significant influence on the debt and equity financing decisions. The results show that the companies which are large in size and having good assets structure should go for debt financing to finance new projects. The results of profitability, taxes and liquidity are statistically significant and are consistent with Static Trade off Theory and Pecking Order Theory. Full Text
