The determinants of short-term debt financing / Noraishah Ismail

• Main Author: Ismail, Noraishah
• Format: Student Project
• Language: English
• Published: 2016
• Subjects: Credit. Debt. Loans
• Online Access: https://ir.uitm.edu.my/id/eprint/80498/1/80498.pdf; https://ir.uitm.edu.my/id/eprint/80498/

Generally, short-term financing instrument plays important roles like spontaneous and internal resources and also in investment opportunities. This study is to determine the factors that affect the amount of short-term debt financing for the firms in Malaysia. The study is being conducted in order to examine whether there is a relationship between inventories, account receivables, long-term debt, common shares and quantity of tangible assets towards short-term debt financing. The analysis is based on 15 firms which selected by using stratified random sampling method from company listed in Bursa Malaysia. The firms that related to the real estate and investment industries are being excluded since their nature of short-term debt is varying from the context of this empirical study. The study period is from the quarter 3 of 2009 until quarter 3 of 2014 and a random effects model has been used. DataStream is being used as the sources of panel data and the data were collected quarterly and have a total of 315 observations.