This study analyses the cost of financial distress of non-financial firms listed on the Pakistan stock exchange. Furthermore, it considers the moderating role of concentrated ownership in the relationship between debt and expected financial distress costs. We used the panel data of 214 firms...

This paper studies the effect of financial constraints and financial distress on accounting restatements; specifically, we empirically analyse whether several firm-specific characteristics-namely, the level of leverage, the cost of debt, and the interest coverage ratio-influence the likelihood...

Compelling empirical evidence documenting a material effect of corporate taxes on leverage decisions is limited, in part because of difficulties in constructing an effective proxy for the firm's tax benefit of debt. We examine leverage decisions across taxable and nontaxable real estate firms...

This study tests the relationship between financial leverage and firm performance. Previous studies found mixed results (e.g., Gill et al. 2011, Mouna et al. 2017, and Abubaker (2015). Some suggest including the effect of the firms' business strategy and the degree of competitiveness on the...

We study the financial determinants of cash holdings and discuss the importance of firm size in the post-crisis period. We employ panel data regression analysis on a sample of 6629 non-financial and non-utility listed companies in the United Kingdom from 2010 to 2018. We focus on the comparative...

In this paper, I study the inclusion of cost savings and synergy add-backs (cost-synergy add-backs hereafter) in loan contracts. Such add-backs allow borrowers to add unrealized cost savings and synergy gains into contractual earnings calculations and thus reflect timely gain recognition in debt...

We use the staggered introduction of a major financial reporting regulation worldwide to study whether firms make financing decisions consistent with the pecking order theory. Exploiting cross-country and within country-year variation, we document that treated firms increase their issuance of...

We examine how executive equity risk-taking incentives affect firms' choice of debt structure. Using a longitudinal sample of U.S. firms, we document that when executive compensation is more sensitive to stock volatility (i.e., has higher vega), firms reduce their reliance on bank debt...

Using a novel hand-collected dataset of business combination disclosures, we investigate whether and how fair-value adjustments (FVAs) arising from mergers and acquisitions facilitate debt financing. FVAs are the difference between the fair value and the book value of the target's net assets. We...