Corporate Governance and Agency Costs in Non-Financial Listed Companies in Sri Lanka
The purpose of this research study is to analyze the corporate governance mechanisms on agency costs in Sri Lankan listed firms. To analyze this effect, board size, board independence, remuneration, and managerial ownership are considered as effective governance mechanisms in this study. The study adopted a quantitative research approach and panel data analysis was used to estimate the association between corporate governance and agency costs, using data of 50 non-financial listed firms in Colombo Stock Exchange during 2016-2019 from the annual reports. The empirical results indicated that board size, independent directors on the board, and managerial ownership have negative impact on the assets utilization ratio while the firm size is negatively related to the assets utilization ratio. But remuneration and leverage has a positive impact on agency cost. Evidence of this study revealed that there is a significant relationship between corporate governance mechanisms and agency costs in Sri Lanka. This study supports key shareholders, managers, and other on how internal corporate governance practices affect to minimize conflict of interest between principal and agent
Year of publication: |
[2022]
|
---|---|
Authors: | A.D.A.P., Weerapperuma ; K.M., Panditharathna |
Publisher: |
[S.l.] : SSRN |
Subject: | Sri Lanka | Corporate Governance | Corporate governance | Prinzipal-Agent-Theorie | Agency theory | Aktiengesellschaft | Listed company |
Saved in:
freely available
Extent: | 1 Online-Ressource (12 p) |
---|---|
Series: | |
Type of publication: | Book / Working Paper |
Language: | English |
Notes: | Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments November 11, 2021 erstellt |
Other identifiers: | 10.2139/ssrn.4117100 [DOI] |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10013406382
Saved in favorites
Similar items by subject
-
Rooly, M. S. A. Riyad, (2021)
-
Vintila, Georgeta, (2014)
-
Agency costs of overvalued equity and earnings management in companies listed on WSE
Kałdoński, Michał, (2017)
- More ...
Similar items by person
-
How cyber entrepreneurs benefitted by technology during the COVID-19 pandemic?
Nimeshi, G. K. S, (2023)
- More ...