Determinants of cash holdings: a study of Philippine listed firms
Date of Publication
2008
Document Type
Bachelor's Thesis
Degree Name
Bachelor of Science in Accountancy
Subject Categories
Accounting
College
Ramon V. Del Rosario College of Business
Department/Unit
Accountancy
Defense Panel Chair
Arnel Onesimo O. Uy,
Defense Panel Member
Cynthia P. Cudia
Mc Reynald Banderlipe II
Abstract/Summary
This paper investigates the determinants of cash holdings for a sample of Philippine non-financial firms between 2003 and 2006. Cash is a double-edged blade that has both benefits and costs associated in it. using fixed effects model as estimation method, results indicate that growth opportunity, size, cash volatility, cash flow, non-cash liquid assets, leverage, bank relationship, managerial ownership, board independence and family ownership have significant impact to the level of cash holdings. Moreover, we found that there is a non-linear to cash holdings for leverage and managerail ownership. Divided policy is found not to be ralated to the level of cash holdings. Bank relationship has a positive impact which is explained by the importance of having stable related firms. Independent directors indeed mitigate exploitation and misappropriation of cash holdings. This paper supports the study of Albaum (2003) that Filipino managers are geared at being oriented towards advance planning. Overall, our empirical findings points that the Philippine corporate setting is characterized by firm-stability.
Abstract Format
html
Language
English
Format
Accession Number
TU13272
Shelf Location
Archives, The Learning Commons, 12F, Henry Sy Sr. Hall
Physical Description
129 leaves: ill.; 28 cm.
Keywords
Cash flow -- Accounting; Corporations -- Philippines; Managerial accounting
Recommended Citation
Alberto, A. T., Javier, R. B., & Lopez, E. N. (2008). Determinants of cash holdings: a study of Philippine listed firms. Retrieved from https://animorepository.dlsu.edu.ph/etd_bachelors/5752