According to more recent theories on the optimal capital structure, the availability of external financing is not always guaranteed, or it may come at different costs, depending on the methods of financing used (debt vs. equity, long-term debt vs. short-term debt, etc.). Under such...

An influential thesis, dubbed "Doing well by doing good," argues that corporate social responsibility is profitable. But heterogeneity in firm financial constraints can induce a spurious correlation between profits and goodness even if the motives for goodness are non-profit in nature. We use...

In the contemporary economy, financing is a major problem regardless of the nature and size of the organisation. Within the financing policies the cost of capital and the financing decision suppose a profound analysis on which depends the success of the business performed by the organisation....

This paper deals with a present-day issue in corporate finance, i.e. capital structure analysis. As the topic has a quite wide scope, our analysis is limited to the capital structure of large Romanian companies, in terms of maturity of resources. Hence, after a short theoretical presentation of...

This paper studies the implications of the Swedish tax reform of 1994, by explicitly modeling some unusual features of the tax code such as the Annell deduction and the tax equalization reserve (SURV). The paper is about the effects of tax policy on corporate investment and financial structure....

Nordic corporations to a large extent both pay corporate tax and abstain from utilizing their depreciation allowances to the maximum extent possible. In this paper, we attempt to explain the empirical observation that most firms fails to maximize their tax usage. The model employed takes into...

Past researches have revealed significant abnormal returns for bonus issues even though the bonus issue date is known in advance and the distribution contains no new information. This study examines the stock price reaction to the information content of bonus issues with a view of examining the...

Financial stability is a feature of the financial system, reflecting its ability to determine an efficient allocation of the resources and to manage financial risk by its own self-regulating mechanisms. Since the condition of financial systems changes over time, due to various shocks that...

The article highlights the basic theoretical principles for firm financing with trade credit and the results of empirical research by the method of multiple regression analysis of factors, influencing the level of trade indebtedness of Bulgarian non-financial enterprises. Models are constructed...