The relationship between capital structure with more investment

nasrin ghadamyari¹ Fatemeh eftekharikhorasan²

1) Graduate Master of Islamic Azad University, Neyshabur
2) Graduate Master of Islamic Azad University, Neyshabur

IOI Code : XYAC-ZCBZZ
Publication : 3rd.International Conference on Modern Research’s in Management,Economics & Accounting(3meaconf.com)
Abstract :
    Among the issues to reach a satisfactory financial situation in the company is required to determine the capital structure of the company. Financed through debt, one of the most important factors in investment decisions at the micro level is Vklan. Decide on the means of financing capital structure, as well as other management decisions affect the value of the company. Directors as representatives of shareholders, the composition of the company s capital structure to adjust to the trend of increasing corporate value, the increase shareholder wealth is to leave a positive impact. This study seeks to answer the question whether capital structure and investment relationship is over or not? Indicators used for variable capital structure includes four of the total debt to total assets, total debt to total equity, total debt to total capital and total long-term debt to total assets is. For this purpose, information relating to the financial statements 84 member companies of Tehran Stock Exchange during the years 1385 to 1390 were used. After collecting data to test hypotheses using logistic regression and linear correlation and finally analyzed using Eviews 7 software. The results indicate that the ratio of total debt to total assets and total long-term debt to total assets with more investment there is no relation. The ratio between total debt to total equity and total debt to total capital investment of more significant relationship is established.

Keywords : capital structure more investment investment efficiency