An Empirical Study of Debt ratio, Corporate Governance and Corporate Performance

• Main Authors: Chiu Tzu Kai, 邱資凱
• Other Authors: 余惠芳
• Format: Others
• Language: zh-TW
• Published: 2012
• Online Access: http://ndltd.ncl.edu.tw/handle/14067271352327634918

碩士 === 清雲科技大學 === 國際企業管理研究所 === 100 === The objective of this study is to use statistical methods to construct a credit risk models, discussed the debt ratio. That made it be possible to predict in advance the probability of a company experiencing financial risk, and raised corporate performance. Empirical analysis, the author built up a credit risk model using K-S test, M-U test and Logistic regression model. Finding, In the case when debt ratio ＞50%, that can significantly affect corporate performance in terms of the financial structure, solvency, operating performance, profitability, cash flow and corporate governance. Adjust financing decision, increase liquid liabilities and long-term funds adequacy ratio, improving financial structure. When debt ratio ≦50%, viewing dividend policy, reduce retention ratio, EPS and cash flow reinvestment ratio, that can enhance operating performance and profitability. Our empirical results suggest that avoiding switch of CPAs, establishment of independent directors and supervisors in order to enhance corporate governance power. Implications, avoiding switch of CPAs, establishment of independent directors and supervisors could reduce credit risk.