An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom
This study attempts to investigate the determinants of capital structure of a sample of 136 listed firms on the FTSE 350 Index in the United Kingdom from year 1994 to 2008. In doing so, a correlation matrix is run in order to separate a set of significant factors influencing the capital structure fr...
| Main Author: | |
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| Format: | Dissertation (University of Nottingham only) |
| Language: | English |
| Published: |
2009
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| Online Access: | https://eprints.nottingham.ac.uk/23201/ |
| _version_ | 1848792529029300224 |
|---|---|
| author | Hui, Kiki |
| author_facet | Hui, Kiki |
| author_sort | Hui, Kiki |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | This study attempts to investigate the determinants of capital structure of a sample of 136 listed firms on the FTSE 350 Index in the United Kingdom from year 1994 to 2008. In doing so, a correlation matrix is run in order to separate a set of significant factors influencing the capital structure from the list of the following independent variables: assets structure, profitability, liquidity, growth opportunities, firm size, product uniqueness, business risk, non-debt tax shields, free cash flow. As a result of the Hausman test, fixed effects regression is then conducted in order to examine the relationship between capital structure and its potential determinants. The evidence generally suggests that asset structure, profitability, liquidity, growth opportunities, firm size, product uniqueness and non-debt tax shields are factors in influencing debt-equity ratios of firms in UK in this study; in contrast, business risk does not have any explanation power for UK firm’s financing choices. |
| first_indexed | 2025-11-14T18:45:51Z |
| format | Dissertation (University of Nottingham only) |
| id | nottingham-23201 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T18:45:51Z |
| publishDate | 2009 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-232012018-01-23T01:34:01Z https://eprints.nottingham.ac.uk/23201/ An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom Hui, Kiki This study attempts to investigate the determinants of capital structure of a sample of 136 listed firms on the FTSE 350 Index in the United Kingdom from year 1994 to 2008. In doing so, a correlation matrix is run in order to separate a set of significant factors influencing the capital structure from the list of the following independent variables: assets structure, profitability, liquidity, growth opportunities, firm size, product uniqueness, business risk, non-debt tax shields, free cash flow. As a result of the Hausman test, fixed effects regression is then conducted in order to examine the relationship between capital structure and its potential determinants. The evidence generally suggests that asset structure, profitability, liquidity, growth opportunities, firm size, product uniqueness and non-debt tax shields are factors in influencing debt-equity ratios of firms in UK in this study; in contrast, business risk does not have any explanation power for UK firm’s financing choices. 2009 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/23201/1/An_Examination_of_Corporate_Capital_Structure_Decisions_in_the_Context_of_the_United_Kingdom.pdf Hui, Kiki (2009) An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom. [Dissertation (University of Nottingham only)] (Unpublished) |
| spellingShingle | Hui, Kiki An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom |
| title | An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom |
| title_full | An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom |
| title_fullStr | An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom |
| title_full_unstemmed | An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom |
| title_short | An Examination of Corporate Capital Structure Decisions in the Context of the United Kingdom |
| title_sort | examination of corporate capital structure decisions in the context of the united kingdom |
| url | https://eprints.nottingham.ac.uk/23201/ |