Record Details

Impact of Financial Leverage on Agency cost of Free Cash Flow

Academic Journal of Accounting and Economic Researches

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Field Value
 
Title Impact of Financial Leverage on Agency cost of Free Cash Flow
 
Creator AsadiLari, Davoud
Vakilifard, Hamid Reza
Dasineh, Mehdi
 
Description Investors and creditors tend to invest in firms that have high free cash flow, because is one of the tools evaluation of debt repayment and determination financial flexibility, is index of free cash flow .But  the important problem  about  free  cash  flow  is considered,  the  funds  are  agency  problems . In this research, a main hypothesis and sub-hypothesis, by selecting the 74 firm from  between firms listed on the Tehran Stock Exchange for a period of 5 years 2008-2013, the Panel method have been tested. The results show between agency costs of free cash flow and financial leverage, debt to equity Ratio and long-term debt ratio there was a significant negative relationship. Findings from the research side also show there was a significant positive relationship between agency costs of free cash flow with profitability, firm size, Q-Tobin ratio and firm ownership management.
 
Publisher Academic Journal of Accounting and Economic Researches ISSN 2333-0783
 
Contributor —
 
Date 2018-03-15
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://worldofresearches.com/ojs-2.4.4-1/index.php/ajaer/article/view/663
 
Source Academic Journal of Accounting and Economic Researches ISSN 2333-0783; Vol 6, No 2 (2017): April 2017
2333-0783
2375-7493
 
Language eng
 
Relation http://worldofresearches.com/ojs-2.4.4-1/index.php/ajaer/article/view/663/452
 
Rights Copyright (c) 2018 Academic Journal of Accounting and Economic Researches ISSN 2333-0783
http://creativecommons.org/licenses/by-nc/4.0