CAPITAL STRUCTURE DETERMINANTS. A SECTORAL ANALYSIS OF COMPANIES LISTED IN BOMBAY STOCK EXCHANGE

      Аннотация: Capital structure determinants: A sectoral analysis of companies listed in Bombay stock exchange provides an in-depth empirical analysis of 89 companies from 10 sectors by examining market capitalization. This book acts as a guide in determination of debt-equity mix. There are many determinants of leverage, which influence the decisions of capital structure. The degree of the speed of adjustment is the key theme of this empirical analysis. It indicates how fast companies move towards their target leverage. The speed of adjustment indicates the selected companies in the study period have optimal capital structure by maintaining with their target leverage and thereby maximizing their firm value. This book examines the trade off theory of capital structure. This is a valuable resource which gives in practical way in determining the leverage towards optimal capital structure. The analysis highlights the key issues in making a choice between debt and equity which helps the leaders and the financial advisors.

Ключевые слова: Capital Structure, Leverage, debt, Equity, Firm, Value maximization