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The Influence of Firm¡¯s Size, Growth, and Profitability on Firm Value with Capital Structure as the Mediator: A Study on the Agricultural Firms Listed in the Indonesian Stock Exchange

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  • Purwohandoko

Abstract

This study aims to examine the effect of size, growth, and profitability on corporate value with capital structure as a mediator. This study was conducted on agricultural companies listed on the Indonesia Stock Exchange from 2011 to 2014. The population of this study is an agricultural company listed on the Indonesia Stock Exchange period 2011-2014 with a sample of 14 companies, using purposive sampling method. Data were analyzed using smartpal, because this research adds capital structure as mediator variable. The results of this study indicate that firm size and firm growth have no effect on capital structure. Profitability negatively affects the capital structure.

Suggested Citation

  • Purwohandoko, 2017. "The Influence of Firm¡¯s Size, Growth, and Profitability on Firm Value with Capital Structure as the Mediator: A Study on the Agricultural Firms Listed in the Indonesian Stock Exchange," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 9(8), pages 103-110, August.
    • Handle: RePEc:ibn:ijefaa:v:9:y:2017:i:8:p:103-110
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    References listed on IDEAS

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    8. Gaver, Jennifer J. & Gaver, Kenneth M., 1993. "Additional evidence on the association between the investment opportunity set and corporate financing, dividend, and compensation policies," Journal of Accounting and Economics, Elsevier, vol. 16(1-3), pages 125-160, April.
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    Cited by:

    1. Endro Andayani & Harti Budi Yanti, 2021. "The effect of tax avoidance, sustainbility report, corporate governance on firm value: Leverage as moderating (Empirical Study On Registered Manufacturing Companies On the Indonesia Stock Exchange 201," Technium Social Sciences Journal, Technium Science, vol. 19(1), pages 506-519, May.
    2. Mohammed Ibrahim & Bula Yila Dengel, 2021. "Cash Conversion Cycle and Value of Listed Oil and Gas Companies in Nigeria," Review of Market Integration, India Development Foundation, vol. 13(1), pages 20-41, April.
    3. Bernardina Algieri & Antonio Aquino & Marianna Succurro, 2020. "The Impact of Cash-Flow and the Main Components of the Capital Structure on Innovative Performances of European Firms," Review of Economics and Institutions, Università di Perugia, vol. 11(1-2).

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    More about this item

    Keywords

    size; growth; profitability; capital structure; firm value; agricultural sector;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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