Determinants of Capital Structure among Shariah Compliant Industrial Product and Services Firms Listed on Ace Market, Bursa Malaysia
DOI:
https://doi.org/10.31436/jif.v9i1.397Abstract
The importance of capital structure management has been the issue of intense attention. Firms need to manage their capital structure to ensure that their operations continue profitable and further growth shareholders fund. The aim of this paper is to provide the evidence on the determinant’s capital structure among Malaysia Shariah compliant trading firms in Ace Market of Bursa Malaysia.  Secondary data from year 2011 until 2018 was analyzed using eview software. Result of random effect shows that profitability, non-debt tax shield and liquidity are the determinants that have significantly influenced on debt ratio for trading firms in Malaysia Ace Market. The result could fill up the gap in this area and creates an important implication for investors, managers as well as policy makers in order for them to make strategic investments and financial decisions.
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