THE EFFECT OF CAPITAL STRUCTURE ON CORPORATE PERFORMANCES
Sold By: Joe Project Store | Item Type: Project Material | Report this? | Attributes: 52 pages | 1-5 chapters | Amount: ₦5,000 | Marked useful: 5,065 times
INSTANT PROJECT MATERIAL DOWNLOADTHE EFFECT OF CAPITAL STRUCTURE ON CORPORATE PERFORMANCES (A CASE STUDY OF SELECTED COMPANIES IN ONITSHA.
ABSTRACT
This study examined the effect of capital structure on corporate performance with reference to selected companies in Onitsha, Questionnaires and interviews were used to collect information from the selected companies in Onitsha, Anambra State. Analysis and observations were made which gave rise to the validity of the conclusion at the end of the analysis, the major finding were:
- 1. That these is a relationship between capital structure and cost of capital.
- 2. That capital structure have significant effect on corporate performance (in terms of profitability)
- 3. That there is a high cost of capital which hinders the companies borrowing ability.
The recommendations for the study among others were:
- 1. That companies should increase their efficiency in use of debt capital.
- 2. That since cost of borrowing is so high, if a firm should be able to service fixed charges associated with senior securities and leasing, it can borrow.
- 3. That for improved performance mostly on profitability, the optimum combination of fund from varying sources which is superior to any alternative combination is necessary.
The researchers then concludes that:
- 1. The inability of many companies to adopt optimal capital structure has been increasing their cost of capital.
- 2. Due to increase in the cost of capital for may firms, they were unable to borrow in order to meet up their capital investment hence the decrease in their performance mostly on profitability.
- 3. The optimal capital structure is one in which the marginal real cost (the sum of both explicit and the implicit costs) of each available method of financing is the same.
This material content is developed to serve as a GUIDE for students to conduct academic research
DOWNLOAD THIS PROJECT MATERIAL NOW!
Advertise Here
Not what you were looking for? Perform a search
What's your project topic?
Comment on Facebook:
Related Project Materials
- 1.
EFFECT OF UNETHICAL ACCOUNTING PRACTICES ON FINANCIAL REPORTING QUALITY OF MANUFACTURING FIRMS IN NI...
CHAPTER ONE INTRODUCTION 1.1 Background of the study Over the past decade, there has been a significant global concern regarding the persistent use...More »
Item Type: Project Material | 54 pages | 955 engagements |
- 2.
OFFICE POLITICS AND STAFF PRODUCTIVITY IN PUBLIC ORGANIZATION: A STUDY OF USSA LGA TARABA STATE FROM...
OFFICE POLITICS AND STAFF PRODUCTIVITY IN PUBLIC ORGANIZATION: A STUDY OF USSA LGA TARABA STATE FROM 2013 2017 CHAPTER ONE INTRODUCTION 1.1 Backgro...More »
Item Type: Project Material | 54 pages | 534 engagements |
- 3.
ANALYSIS OF AUDIT PROCEDURES IN CAMEROON'S PUBLIC SECTOR
CHAPTER ONE INTRODUCTION 1.1 Background of the study The administration and oversight of public sector funds has been a persistent worry for the gener...More »
Item Type: Project Material | 54 pages | 586 engagements |
- 4.
ANALYSING THE IMPACT OF LEGAL AUDIT REQUIREMENTS ON AUDITOR PERFORMANCE IN CAMEROON
CHAPTER ONE INTRODUCTION 1.1 Background of the study The extensive body of literature on behaviourist management control and information asymmetry spa...More »
Item Type: Project Material | 54 pages | 553 engagements |
- 5.
AN EXAMINATION OF EFFECTIVE AUDIT SYSTEM AS A PREREQUISITE FOR IMPROVING CORPORATE ACCOUNTABILITY (A...
CHAPTER ONE INTRODUCTION 1.1 Background of the study Society supports the survival and expansion of economic enterprises by furnishing them with fi...More »
Item Type: Project Material | 54 pages | 607 engagements |
- 6.
AN EVALUATION OF THE FACTORS INFLUENCING AUDIT QUALITY OF BUSINESS ORGANIZATIONS IN CAMEROON (A CASE...
CHAPTER ONE INTRODUCTION 1.1 Background of the study The current evolution of the company landscape has demonstrated a growing demand for the imple...More »
Item Type: Project Material | 54 pages | 615 engagements |