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International Journal of Academic Research in Accounting, Finance and Management Sciences

Open Access Journal

ISSN: 2225-8329

Capital Structure and Corporate Performance of Romanian Listed Companies

Raluca-Georgiana Moscu

http://dx.doi.org/10.6007/IJARAFMS/v4-i1/629

Open access

This research has the purpose to examine the relationship that is established between capital structure and profitability of company for a sample of 53 companies listed on the Bucharest Stock Exchange, in 2010-2012. The results indicate that firm’s performance, which is measured by ROA, ROE, RCA and MBR is significantly influenced by the degree of capital structure. Overall, in our study you may observe that firm’s performance expressed by the Economic Return is positively influenced by the capital structure degree and it is expressed by the Financial Return - ROE, net sales margin rate - RCA Earnings per share - EPS, Market to Book Ratio - MBR is negatively affected by capital structure.

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In-Text Citation: (Moscu, 2014)
To Cite this Article: Moscu, R-G. (2014). Capital Structure and Corporate Performance of Romanian Listed Companies. International Journal of Academic Research in Accounting Finance and Management Sciences. 4(1), 389 – 397.