Dissertation for Master's Degree
Orientation: Accounting
Abstract:
Capital structure theory presents two competing models for the financing decisions of joint-stock companies. The parallel model and the preferential model. In the parallel model, companies identify the optimal leverage by balancing the benefits and costs of debts. Accumulated, then with debt, and finally with stocks. Empirical research provides contradictory results about how to choose the capital structure for companies. In this regard, this research seeks to investigate the effect of effective factors and delayed information on changes in financial leverage of companies (Namazi, 2016, p. 139) 1. For this purpose, the data required for this research was collected from 122 companies active in the Tehran Stock Exchange during the years 1381 to 1386. Then, the information related to the variables during a 5-year period was collected and tested in a centralized manner, as well as on an annual basis, in order to test the hypotheses using the statistical method of multiple regression, the effect of each of the financial factors was examined. And also from a statistical point of view, this relationship is very strong. Therefore, it is suggested that the managers of the companies admitted to the stock exchange first use internal sources (Sudanbank, savings, etc.) and then use external financial sources (loans, issuance of new shares, etc.). Therefore, the findings of this research confirm the theory of financial hierarchy and reject the theory of stable or stable balance.
Introduction:
In today's world, according to the conditions Market competition and rapid changes in technology, financial decisions require expertise in financial affairs. Economic enterprises need capital to enter a new business and to operate in that field or to develop their activity. The funds needed to provide this capital can be collected from various sources and in many ways.
To the extent that some scientists refer to it as the mystery of capital structure and ask themselves how companies choose their capital structure, since then, many studies have been conducted in this field and very useful information has been provided, but due to the complexity of the market conditions and their dynamics and various factors influencing the choice of capital structure, studies have continued in different dimensions of this issue. And it is required. Determining the target capital structure and the target debt ratio, as stated by the capital structure theory, is in the field of command theory. But the factors of deviation from this goal come from the real world, which should be investigated in the field of proof theory. By examining the behavior of the real world, this research aims to determine the influencing factors and delay variables on the changes in the financial leverage of companies admitted to the stock exchange. Therefore, the main goal of this research can be said to be the development of necessary awareness and knowledge about the behavior of the real world in the financial field in relation to the capital structure (Namazi, 2016, p.140). Economic enterprises need capital to enter a new business and to operate in that field or to develop their activity. The funds needed to provide this capital can be collected from various sources and in many ways. Capital markets are one of the most important sources of capital for most economic enterprises. In these markets, companies and other institutions that need funds to finance their operations are gathered together with individuals and institutions that have money to invest. The most obvious type of these markets is the secondary market, where securities transactions that have already been published take place. This market is active in Iran in the form of the Tehran Stock Exchange Organization. Therefore, in this research, the companies admitted to this stock exchange are examined. Modigliani[1] and Miller are among the pioneers of theorizing about capital structure. By presenting their theories, they have laid the foundation of scientific debates about capital structure and their composition. In the following years, other scientists, including Jensen[2] and Smith and Myers[3], also did not consider the existing knowledge of their time to be a satisfactory framework for solving all the problems faced by corporate financial affairs.In other words, the appropriate combination of the company's capital structure has been introduced from unsolved problems. 2-1 Statement of the problem Financing and investment decisions in companies are decisions that are both made with a future perspective. In financing decisions, the company uses its desired funds in the present so that in the future it can fulfill its obligations to the suppliers of financial resources, and what plays a key role in investment decisions is the company's cost of capital, while the company's cost of capital. It is a function of its capital structure. The capital structure itself provides two competing models for financing decisions of joint-stock companies. These models include parallel model and preferred model. In the parallel model, companies identify the optimal leverage by establishing a balance between the benefits and costs of debts, but in the preferential model, companies finance first with accumulated profits, then with debts, and finally with stocks. Therefore, different methods can be used regarding how to choose the capital structure. which can include factors originating from the company itself and other factors originating from the market (Namazi, 1384, p. 76)1.
However, many accounting researchers have shown in their studies about the efficiency of the stock exchange that the Tehran Stock Exchange is inefficient in terms of efficiency at a weak level, as a result, the flow of the influence of company and market factors on the stock exchange is associated with a time delay (Namazi and Shushterian, 1374, p. 82)2. In this regard, this research seeks to investigate the effect of effective factors and delayed information on changes in financial leverage of companies, which financial leverage is used as a representative and representative of capital structure. Therefore, the question that is raised in this connection is: Is there a relationship between the delayed variables of the research, which include profitability, company size, M/B ratio, and collateral assets, and the dependent variable, which is financial leverage? Is there a relationship or not? And if this relationship exists, which one is more effective? 3-1 The importance of research One of the important issues that all financial experts and financial managers agree on. The issue is capital structure (financial leverage). A company that has no debt. It is a company with a completely capital structure. But in the real world, we do not know such a company and all companies use leverage in different proportions. Therefore, for interested individuals and institutions, it is significant and important that the company in question has used its assets from what amount of debt and what amount of stock (equity) to provide financial resources. Because this will affect their decisions regarding that company. Banks need to know the financial structure when granting loans to companies and investors when buying shares of companies, so that they can take loans and issue new shares if necessary. Therefore, taking a loan and issuing new shares need to have a proper financial structure. until both banks are willing to grant loans and investors welcome the capital increase (issuance of new shares). Therefore, due to the complexity of the conditions of the markets and their dynamic economy and the existence of various factors affecting the choice of capital structure and the fact that the appropriate combination of the capital structure of the companies has not been solved, therefore the fundamental issue is to find the appropriate combination of the capital structure. It is to identify the most important factors of delayed information on capital structure and can be a good guide for future research. Therefore, the main goal of this research is:
The effect of delayed structures and variables on the capital structure of listed companies in the Tehran Stock Exchange. And the secondary objectives of this research include.
A) There is a significant relationship between profitability and the capital structure of a company.
B) There is a significant relationship between the M/B ratio and the capital structure of a company.
C) There is a significant relationship between the size of the company and the capital structure of a company.
D) There is a significant relationship between the ratio of collateral assets and the capital structure of a company.