Relation between Capital Structure and Corporate Strategy

Abstract

The focal concern of the report has been to direct a near execution of 33 companies in DSE for the time of 2014-2018. This report is basically prepared for relation between capital structure and corporate strategy. The main objective is to examine relation between capital structures with profitability and debt level. And find the sector wise capital structure different. Capital structure measured by Debt to Equity Ratio, Debt to Total Fund, Debt to Total Assets and Short Term Debt to Total Debt. Profitability of the firm is measured by Net Profit Ratio, Return on Capital Employed, Return on Equity, and Return on Assets. Growth Rate Opportunities, Size of the Firm, Age of the Firm, Assets Structure & Liquidity Ratio is used to know that, how debt level influenced by them. Correlation analysis is use for this study.