Firm size and solvency performance of wood-based companies listed in Bursa Malaysia

Previous studies on the relationship between the firm size and solvency performance has been insufficient especially in wood-based industry. Thus, this study was conducted to determine the relationship of firm size and solvency performance as well as to investigate the impact of firm size’s indicato...

Full description

Bibliographic Details
Main Author: Chang, Wai Loong
Format: Project Paper Report
Language:English
Published: 2019
Online Access:http://psasir.upm.edu.my/id/eprint/84699/1/FH%202019%2075%20IR.pdf
_version_ 1825951976184086528
author Chang, Wai Loong
author_facet Chang, Wai Loong
author_sort Chang, Wai Loong
collection UPM
description Previous studies on the relationship between the firm size and solvency performance has been insufficient especially in wood-based industry. Thus, this study was conducted to determine the relationship of firm size and solvency performance as well as to investigate the impact of firm size’s indicators toward the solvency performance of wood-based listed companies in Bursa Malaysia. The Pearson correlation results showed that both indicators of firm size, total assets and share capital, had a positive significant relationship with the indicators of solvency performance, which are debt-to-asset ratio and debt-to-equity ratio. The multiple linear regression results for the two models showed that only total assets caused an impact to the indicators of solvency performance. Results of this study are useful to several relevant parties such as managers, creditors and shareholders. Future study should investigate on other variables especially on the determinants of solvency performance.
first_indexed 2024-03-06T10:38:05Z
format Project Paper Report
id upm.eprints-84699
institution Universiti Putra Malaysia
language English
last_indexed 2024-03-06T10:38:05Z
publishDate 2019
record_format dspace
spelling upm.eprints-846992021-03-10T00:36:21Z http://psasir.upm.edu.my/id/eprint/84699/ Firm size and solvency performance of wood-based companies listed in Bursa Malaysia Chang, Wai Loong Previous studies on the relationship between the firm size and solvency performance has been insufficient especially in wood-based industry. Thus, this study was conducted to determine the relationship of firm size and solvency performance as well as to investigate the impact of firm size’s indicators toward the solvency performance of wood-based listed companies in Bursa Malaysia. The Pearson correlation results showed that both indicators of firm size, total assets and share capital, had a positive significant relationship with the indicators of solvency performance, which are debt-to-asset ratio and debt-to-equity ratio. The multiple linear regression results for the two models showed that only total assets caused an impact to the indicators of solvency performance. Results of this study are useful to several relevant parties such as managers, creditors and shareholders. Future study should investigate on other variables especially on the determinants of solvency performance. 2019 Project Paper Report NonPeerReviewed text en http://psasir.upm.edu.my/id/eprint/84699/1/FH%202019%2075%20IR.pdf Chang, Wai Loong (2019) Firm size and solvency performance of wood-based companies listed in Bursa Malaysia. [Project Paper Report]
spellingShingle Chang, Wai Loong
Firm size and solvency performance of wood-based companies listed in Bursa Malaysia
title Firm size and solvency performance of wood-based companies listed in Bursa Malaysia
title_full Firm size and solvency performance of wood-based companies listed in Bursa Malaysia
title_fullStr Firm size and solvency performance of wood-based companies listed in Bursa Malaysia
title_full_unstemmed Firm size and solvency performance of wood-based companies listed in Bursa Malaysia
title_short Firm size and solvency performance of wood-based companies listed in Bursa Malaysia
title_sort firm size and solvency performance of wood based companies listed in bursa malaysia
url http://psasir.upm.edu.my/id/eprint/84699/1/FH%202019%2075%20IR.pdf
work_keys_str_mv AT changwailoong firmsizeandsolvencyperformanceofwoodbasedcompanieslistedinbursamalaysia