MEASURING IMPACT OF CAPITAL STRUCTURE ON FINANCIAL PERFORMANCE OF VIETNAMESE SOES

Cite this:
Quang, D. X. (2015). MEASURING IMPACT OF CAPITAL STRUCTURE ON FINANCIAL PERFORMANCE OF VIETNAMESE SOES. Innovative Journal of Business and Management, 4(06), 114–117. https://doi.org/10.15520/ijbm.vol4.iss6.37.pp114-117
© 2022 Interactive Protocols
RIGHTS & PERMISSIONS
Article Views
189
Altmetric
1
Citations
-
LEARN ABOUT THESE METRICS
   PDF  

Abstract

This research uses the non-linear model to measure the impact of capital structure on financial performance of Vietnamese state-owned enterprises (SOEs). The study results show that there are different relations between capital structure and financial performance at different thresholds. For example, in the range of (0.040; 0.703), capital structure (measured by the ratio of long-term debt on equity) is positively related to financial performance (measured by the ratio of profitability on equity), outside that range, the relation is negative. In this study, we find out that quadratic and cubic non-linear models have a significant in measuring the relationship between capital structure and financial performance.

KEYWORDS:

 Special Issue

Article Metrics Graph

Chart Graph | Range Graph

Content

Section

Source

License

COPYRIGHT AGREEMENT AND AUTHORSHIP RESPONSIBILITY

 

All paper submissions must carry the following duly signed by all the authors:

“I certify that I have participated sufficiently in the conception and design of this work and the analysis of the data (wherever applicable), as well as the writing of the manuscript, to take public responsibility for it. I believe the manuscript represents valid work. I have reviewed the final version of the manuscript and approve it for publication. Neither has the manuscript nor one with substantially similar content under my authorship been published nor is being considered for publication elsewhere, except as described in an attachment. Furthermore I attest that I shall produce the data upon which the manuscript is based for examination by the editors or their assignees, if requested.”