CHAPTER 5

Data Analysis and Results

5.1

Descriptive Statistics

5.2

Panel Data Regression

5.3

Interpretation
5.3.1

Profitability (PROFIT)

5.3.2

Growth (GRWTH)

5.3.3

Size (FSIZE)

5.3.4

Non-Debt Tax Shields (FNDTS)

5.3.5

Tangibility (TNGBL)

REFERENCES
Achchuthan, S., & Kajananthan, R. (2013). Liquidity and Capital Structure: Special reference to Sri Lanka Telecom
Plc.Advances in Management & Applied Economics, 3(5), 11. Retrieved October 1, 2014, from
http://www.scienpress.com/Upload/AMAE/Vol%203_5_6.pdf.
Ahwan, H.M., Bhatti,M.I., Ali, R. Qureshi,A. (2010 How are growth opportunities related to corporate structure
decisions? Investment management and Financial Innovations Volume 7 issue 1. Retrieved on October
25,2014. From: http://businessperspectives.org/journals_free/imfi/2010/imfi_en_2010_01_Awan.pdf.
Allen, F., Brealey, R., & Myers, S. (2011).Principles of Corporate Finance (10th ed.). New York: McGrawHill/Irwin.
Akinsulire, O. (2002). Financial Management. Lagos: Ceemol Nigeria Limited.
Anderson, R. W., & Carvernhill, A. (2010, February 9). Liquidity and Capital Structure. London School of
Economics. Retrieved October 1, 2014, from http://personal.lse.ac.uk/ANDERSOR/corpliq_2010_01.pdf.
Asvanunt, A., Broadie, M., & Sundaresan, S. (2011). Managing corporate liquidity: strategies and pricing
implications. International Journal Of Theoretical & Applied Finance, 14(3), 369-406.
Bloomberg Professional service | Software for Data, Analytics, News. (n.d.). Bloomberg.com. Retrieved October 27,
2014, from http://www.bloomberg.com/professional/
Babihuga, R. (2007, May). Macroeconomic and Financial Soundness Indicators: An Empirical
Investigation. Google Books. Retrieved October 25, 2014, from http://books.google.com.ph/books?
id=BW75Nhf3bnMC&pg=PA27&lpg=PA27&dq=target+ratio+is+not+directly+observable&source=bl&ots
=iKLchMAjzh&sig=HS-lWD2-wHEWn65a3mk60VMU3A&hl=en&sa=X&ei=IMhOVKO7CouQ8QXWmIHgCA&ved=0CCAQ6AEwAA#v=onepage&q
&f=false.
Baltagi, B. H. (2008). Econometric analysis of panel data. Chichester: Wiley.
Basyith, A., Fauzi, F., & Idris, M. (2013). The Determinants of Capital Structure: An Empirical Study of New
Zealand-Listed Firms. Asian Journal of Finance & Accounting, 5(2). Retrieved October 19, 2014, from
http://dx.doi.org/10.5296/ajfa.v5i2.3740.
Bloomberg Markets. (2013, January 31). The Top 20 Emerging Markets: Global Emerging Markets.
Bloomberg.com. Retrieved October 1, 2014, from http://www.bloomberg.com/slideshow/2013-01-30/thetop-20-emerging-markets.html#slide2.

Boyle, G. W., & Eckhold, K. R. (1997). Capital structure choice and financial market liberalization: evidence from
New Zealand. Applied Financial Economics, 7(4), 427-437. Retrieved October 19, 2014, from
http://dx.doi.org/10.1080/096031097333547.
Cekrezi, A. (2013). Impact of Firm Specific Factors on Capital Structure Decision: An Empirical Study Of Albanian
Firms. European Journal of Sustainable Development, 2(4), 135-148. Retrieved October 3, 2014, from
http://www.ecsdev.org/images/conference/siICSD2013/cekrezi%20135-148.pdf.
De Angelo, H., & Masulis, R. W. (1980). Optimal capital structure under corporate and personal taxation. Journal of
Financial Economics, 8(1), 3-29. Retrieved October 19, 2014, from http://dx.doi.org/10.1016/0304405X(80)90019-7.
Downs, T.W. (1993) Corporate Leverage and Non-debt Tax shields: Evidence on Crowding out. The Financial
Review
Volume
28
No.4
Retrieved
on
October
25,2014
from:
http://bama.ua.edu/~tdowns/tfr_tax_shields.PDF.
Enow, A. B. (2010). A Study of Capital Structure in Extremely Different Environments. Blekinge Tekniska
Hgskola.
Retrieved
October
26,
2014,
from
http://www.bth.se/fou/cuppsats.nsf/all/e4ce7030ef342894c1257776003dbff1/$file/A%20STUDY%20OF
%20CAPITAL%20STRUCTURE%20IN%20EXTREMELY%20DIFFERENT%20ENVIRONMENTS.pdf.
Farsian, S., Karbale S. M., and Khalaj, B. (2013). Liquidity and Capital Structure: Case of Malaysian Top 100
Public Listed Companies .Proceedings of 3rd Asia-Pacific Business Research Conference, 3. Retrieved
October 10, 2014, from http://www.wbiworldconpro.com/uploads/malaysia-conference-2013/finance/358Bahman.pdf.
Frank, M. Z., & Goyal, V. K. (2005). Tradeoff and Pecking Order Theories of Debt. Handbook of Corporate
Finance:
Empirical
Corporate
Finance, 7.
Retrieved
October
26,
2014,
from
http://www.tc.umn.edu/~murra280/WorkingPapers/Survey.pdf.
Ghazouani, T. (2013). The Capital Structure through the Trade-Off Theory: Evidence from Tunisian
Firm .International Journal of Economics and Financial Issues, 3(3), 625-636. Retrieved October 27, 2014,
from http://www.econjournals.com/index.php/ijefi/article/viewFile/448/pdf.
Guinigundo, D. C. (2009). The impact of the global financial crisis on the Philippine financial system an
assessment. Bank for International Settlements Papers, 54. Retrieved October 1, 2014.
Hadoo, A., & Kapil, S. (2014). A study on determinants of capital structure in India. Indian Institute of Management
Bangalore Management Review, 26, 170-182. Retrieved October 3, 2013, from DOI:
10.1016/j.iimb.2014.07.009.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership
structure. Journal of Financial Economics, 3(4), 305-360. Retrieved October 19, 2014, from
http://dx.doi.org/10.1016/0304-405X(76)90026-X.
Jiraporn, P., Jumreornvong, S., & Udomsirikul, P. (2011). Liquidity and Capital Structure: The Case of
Thailand.Journal of Multinational Financial Management, 21(2), 12. Retrieved September 26,
2014http://www.researchgate.net/publication/227420549_Liquidity_and_capital_structure_The_case_of_T
hailand.
Kaur, R., & Rao, N. (2009). Determinants of Capital Structure: Experience of Indian Cotton Textile
Industry. Vilakshan: The XIMB Journal Of Management, 6(2), 97-112.
Khediri, K., & Daadaa, W. (2011). Stock Trading and Capital Structure in Tunisian Stock Exchange. Journal Of
Business Studies Quarterly, 3(2), 10-24.
Lee, Z., Liang, S., & Miglo, A. (2014). Capital Structure of Internet Companies: Case Study. SSRN, 120. Retrieved
October 19, 2014, from http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2444026.

Listed Company Directory. (n.d.). Philippine Stock Exchange. Retrieved September 30, 2014, from
http://www.pse.com.ph.
Luigi, P., & Sorin, V. (n.d.). A REVIEW OF THE CAPITAL STRUCTURE THEORIES.steconomice. Retrieved
October 26, 2014, from http://steconomice.uoradea.ro/anale/volume/2009/v3-finances-banks-andaccountancy/53.pdf.
Miglo, Anton, The Pecking Order, Trade-Off, Signaling, and Market-Timing Theories of Capital Structure: A
Review
(March
23,
2010).
Available
at
SSRN: http://ssrn.com/abstract=1629304 orhttp://dx.doi.org/10.2139/ssrn.1629304
Modigliani, F. and Miller, M. H. (1958). The cost of capital, corporation finance and the theory of investment. The
American Economic Review. 48(3): p. 261-297.
Modigliani, F. and Miller, M. H. (1963). Corporate income taxes and the cost of capital: a correction. The American
Economic Review. 53(3): p. 433-443.
Modigliani, F., & Miller, M. (1977). Debt and taxes. Journal of Finance, 32(2), 261e276.
Moosa, I., & Li, L. (2012). Firm-Specific Factors as Determinants of Capital Structure: Evidence From
Indonesia. Review Of Pacific Basin Financial Markets & Policies,15(2), 1150007-1-1150007-17.
Myers, S. C., & Majluf, N. (1984). Corporate financing and investment decisions when firms have information that
investors do not have. Journal of Financial Economics, 13(2), 187e221.
Nyanamba, S.O. , Nyangweso, G.N., Omari, S.M. 2013 July 7 Factors that Determine the Capital Structure among
Micro-Enterprises: A Case Study of Micro-Enterprises in Kisii Town, Kenya, American International
Journal
of
Contemporary
Research
Retrieved
on
October
15,
2014
from:
http://www.aijcrnet.com/journals/Vol_3_No_7_July_2013/17.pdf.
Ofumbia, S., & Uchenna, R. (2012). The Impact of Capital Structure and Liquidity on Corporate Returns in Nigeria:
Evidence from Manufacturing Firms. International Journal of Academic Research in Accounting, Finance
and
Management
Sciences,
2(3),
16.
Retrieved
September
28,
2014,
from
http://www.hrmars.com/admin/pics/913.pdf.
Oolderink, P. (Director) (2013, June 27). Determinants of Capital Structure: Static Trade-off Theory vs. Peckingorder Theory Evidence from Dutch Listed Firms.1st IBA Bachelor Thesis Conference. Lecture conducted
from University of Twente, Faculty of Management and Governance, The Netherlands.
Pagano, M. (2005). The Modigliani-Miller Theorems: A Cornerstone of Finance.Centre fro Studies in Economics
and Finance, 139. Retrieved October 25, 2014, from
https://www.google.com.ph/url?
sa=t&rct=j&q=&esrc=s&source=web&cd=5&ved=0CDsQFjAE&url=http%3A%2F
%2Fwww.researchgate.net%2Fpublication%2F256020410_I_Teoremi_Di_ModiglianiMiller_Una_Pietra_Miliare_Della_Finanza_(The_ModiglianiMiller_Theorems_A_Cornerstone_of_Finance)%2Flinks
%2F0deec517edd7ff2352000000&ei=kBFPVIdDhteYBYTUguAD&usg=AFQjCNEkrSNgg3cgR5ZCrKz
QsdKmmmZ1PQ&sig2=QqRC_CPyUXdpjZwEf2t8Qg&bvm=bv.77880786,d.dGY&cad=rja.
Serrasqueiro, Z., & Nunes, P. M. (2010). Are trade-off and pecking order theories mutually exclusive in explaining
capital structure decisions? . African Journal of Business Management, 4(11), 2216-2230. Retrieved
October 27, 2014, from http://www.academicjournals.org/article/article1380783873_Serrasqueiro%20and
%20Nunes.pdf.
Setayesh, M.H., Monfared Maharlouie, M. ,Ebrahimi, F. (2011) Investigating the Factors Affecting the Capital
Structure from the Viewpoint of Agency Theory, Journal of Accounting Advances Retrieved on October 15,
2014, from: http://www.sid.ir/en/VEWSSID/J_pdf/100572011600303.pdf.

Song, H.S. (2005) Capital Structure Determinants: An Empirical Study of Swedish Companies, Electronic Working
Paper
series.
Retrieved
on
October
15,
2014
from:
http://www.divaportal.org/smash/get/diva2:565199/FULLTEXT01.pdf.
Myers, S. C., & Shyam-Sunder, L. (1999). Testing static tradeoff against pecking order models of capital
structure.Journal of Financial Economics, 51, 219-244. Retrieved October 27, 2014, from
http://pages.stern.nyu.edu/~eofek/PhD/papers/SM_Testing_JFE.pdf
Hossain, F., Ali, A. (2012) Impact of Firm Specific Factors on Capital Structure Decision: An Empirical Study of
Bangladeshi Companies, International Journal of Business Research and Management. Retrieved on
October 15, 2014 from: http://www.cscjournals.org/manuscript/Journals/IJBRM/volume3/Issue4/IJBRM94.pdf.