The relationship between selected determinants of capital structure and cost of capital of publicly-listed firms in the property sector for the year 2008-2012

Date of Publication

2014

Document Type

Bachelor's Thesis

Degree Name

Bachelor of Science in Accountancy

College

Ramon V. Del Rosario College of Business

Department/Unit

Accountancy

Thesis Adviser

Eric Magcale

Defense Panel Chair

Herminigilda E. Salendrez

Defense Panel Member

Cynthia P. Cudia
Eric J. Magcale

Abstract/Summary

This thesis provides an evaluation of selected determinants of capital structure. The purpose of this study is to know the relationship of selected determinants of capital structure to the cost of capital of the 33 companies listed in the property sector of the Philippines Stock Exchange for the years 2008-2012. Using the stepwise regression model, the researchers concluded that firm size, earnings volatility, and profitability are significantly related to the capital structure. Specifically, the results showed that firm size and profitability are both positively related to capital structure while earnings volatility is negatively related to capital structure. Moreover, results showed that liquidity has a negative but insignificant relationship to capital structure. Lastly, the results also showed that the capital structure has a significant positive relationship with the cost of capital.

Abstract Format

html

Language

English

Format

Print

Accession Number

TU18857

Shelf Location

Archives, The Learning Commons, 12F, Henry Sy Sr. Hall

Physical Description

127 leaves ; 28 cm. + ; 1 computer optical disc.

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