ISSN: 2222-6990
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Board of Director (BOD) is an important corporate governance mechanism that is useful in monitoring and controlling the opportunistic behavior of corporate managers. Hence, the size of BOD is expected to have an impact on corporate managers’ decisions with respect to a firm’s capital structure. Using a total of 44 Malaysian plantation companies as sample, this study investigates whether BOD size and independent director’s composition in the board impacted firms’ capital structure. Findings of this study showed that both the size of BOD and the presence of independent directors in the board have an impact on firm’s debt components but not the equity.
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In-Text Citation: (Ebun, Abdullah, 2020)
To Cite this Article: Ebun, A., and Abdullah, S. (2020).The Effect of Board Size and Independent Director Composition on Firm’s Capital Structure: A Study on Malaysian Plantation Companies. International Journal Academic Research in Business and Social Sciences. 10(8), 752-762.
Copyright: © 2020 The Author(s)
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