The Role of Financial Reporting Quality in mitigating the Restrictive Effect of Dividend Policy on Capital Investment Expenditure: An empirical study | ||
| مجلة البØوث التجارية | ||
| Article 24, Volume 39, Issue 1, January 2017, Pages 43-71 PDF (463.83 K) | ||
| Document Type: تجاریة کل ما یتعلق بالعلوم التجاریة | ||
| DOI: 10.21608/zcom.2017.132495 | ||
| Author | ||
| رØاب Ù…Øمود Øسن* | ||
| قسم المØاسبة، کلية التجارة، جامعة الزقازيق، مصر | ||
| Abstract | ||
| Abstract: Purpose - The purpose of the current study is to provide new evidence on the role of financial reporting quality in mitigating the restrictive effect of dividend policy on capital investment expenditure in some Egyptian listed companies. Based on the presented results of the recent studies about the restrictive effect of dividend policy on capital investment expenditure in the imperfect market. Yet in imperfect markets, external funding constraints that stem from information asymmetry can force firms to forgo valuable capital investment projects in order to pay dividends. Methodology- based on a cross-sectional sample of 35 firms on the year 2014, a cross-sectional regression model estimated to test the study question. Findings – The current study results show that high-quality financial reporting significantly mitigates the restrictive effect of dividend policy on capital investment expenditure. | ||
| Keywords | ||
| Keywords; Financial Reporting Quality, Dividend policy, capital investment expenditure | ||
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