Investment and Financing Decisions in the Presence of Time-to-Build

2018 ◽  
Author(s):  
Haejun Jeon
Keyword(s):  
Financing Decisions ◽  
Time To Build ◽  
Investment And Financing

scholarly journals The Dynamics Between Dividends, Financing and Investments: Evidence From Jordanian Companies

2020 ◽  
Vol 11 (4) ◽  
pp. 231
Author(s):  
Abdullah Al Daas ◽  
Moid U. Ahmad ◽  
Suleiman Jamal Mohammad
Keyword(s):  
Investment Decisions ◽  
Market Value ◽  
Annual Data ◽  
Value Drivers ◽  
Financing Decisions ◽  
Time Period ◽  
Investment And Financing ◽  
Vector Auto Regression ◽  
Auto Regression ◽  
Major Decision

Dividend decisions, Financing decisions and Investment decisions are three very imperative decisions taken by a firm. The effect of these decisions is on the performance of the firm which subsequently effects the valuation of the firm. These decisions in a firm are also influenced by the growth and status of the respective economy.The current research attempts to analyze the dynamics between these three major decision areas and also assess their relationship with the market value of the firm. These dynamics are further tested against the economic growth of the respective economy. Annual data for 50 companies from Jordanian economy for the time period 2007-2018 is used to achieve the objective. Basic and advanced statistical techniques such as regression analysis and Vector Auto Regression (VAR) have been used in the study. The sample involved 50 Jordanian companies.The study found that the value of the firm is affected by three key decisions (value drivers) of dividend, investment and financing and this effect is best measured at a lag of two years. Also the combined effect of the three value drivers is more than standalone effect.

scholarly journals Key factors in working capital management in the Brazilian market

2012 ◽  
Vol 52 (1) ◽  
pp. 55-69 ◽  
Author(s):  
Nathalie Vicente Nakamura Palombini ◽  
Wilson Toshiro Nakamura
Keyword(s):  
Balance Sheet ◽  
Internal Variables ◽  
Capital Management ◽  
Key Factors ◽  
Working Capital ◽  
Public Companies ◽  
Working Capital Management ◽  
Financing Decisions ◽  
Investment And Financing

Many studies have been conducted in corporate finance regarding long-term investment and financing decisions. However, short-term asset investments play a significant role in the balance sheet of companies. Moreover, financial managers dedicate significant amounts of time and effort to the subject of working capital management, balancing current assets and liabilities. This paper provides insights regarding the key factors of working capital management by exploring the internal variables of a number of companies. This study used data from 2,976 Brazilian public companies from 2001 to 2008, and found that debt level, size and growth rate can affect the working capital management of companies.

Do financial constraints affect the sensitivity of investment to cash flow? New evidence from franchised restaurant firms

2018 ◽  
Vol 24 (6) ◽  
pp. 645-661 ◽  
Author(s):  
Kwanglim Seo ◽  
Jungtae Soh ◽  
Amit Sharma
Keyword(s):  
Cash Flow ◽  
Specific Effect ◽  
Resource Scarcity ◽  
Restaurant Industry ◽  
Financing Decisions ◽  
The Us ◽  
Cash Flow Sensitivity ◽  
Investment And Financing ◽  
Restaurant Firms ◽  
New Evidence

This study investigates whether industry-specific characteristics such as franchising can affect investment and financing decisions when restaurant firms have limited access to capital. Building on the resource scarcity theory and investment-cash flow sensitivity (ICFS) model, this study developed an industry-specific ICFS model that analyzes corporate demand for franchising as a means of complementing the firms’ ability to invest in imperfect markets. Using a sample of US restaurant firms, we empirically evaluated the extent to which franchising provides greater insights into ICFS. By investigating the industry-specific effect of franchising on ICFS, the current study provides a more comprehensive understanding and explanation for the interaction between investment and financing decisions in the US restaurant industry. The findings of this study will provide restaurant investors and shareholders with valuable insights into how to monitor the investment behavior of management.

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