Firm Size As A Moderation Factor: Testing The Relationship of Capital Structure With Dividend Policy

Authors

  • Akhmadi Akhmadi University of Sultan Ageng Tirtayasa
  • Bambang Mahmudi University of Sultan Ageng Tirtayasa
  • Moh Muksin University of Sultan Ageng Tirtayasa
  • Indra Suhendra University of Sultan Ageng Tirtayasa
  • Rina F University of Sultan Ageng Tirtayasa

DOI:

https://doi.org/10.47312/ambr.v5i2.313

Keywords:

DAR, ROE, DPR, Firm Size

Abstract

This study examines size as a variable that can strengthen and weaken the relationship between debt policy and dividend policy. Presearch using a sample of 26 companies  of 65 population Basic industrial and chemical manufacturing companies listed on the Indonesia Stock Exchange in 2011-2015, which is determined by purposive technique. The variables observed include debt policy as an independent variable, dividend policy as the dependent variable, and firm size as a moderating variable. The analysis tool uses regression moderating analysis (MRA). The results prove that the Debt to Asset Ratio (DAR) has a negative and insignificant effect on the Dividend Payout Ratio (DPR), firm size negatively moderates and there is a significant relationship between capital structure and dividend policy.

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Published

2020-12-27

Issue

Vol. 5 No. 2 (2020): December

Section

Articles

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