IJRTI
International Journal for Research Trends and Innovation
International Peer Reviewed & Refereed Journals, Open Access Journal
ISSN Approved Journal No: 2456-3315 | Impact factor: 8.14 | ESTD Year: 2016
Scholarly open access journals, Peer-reviewed, and Refereed Journals, Impact factor 8.14 (Calculate by google scholar and Semantic Scholar | AI-Powered Research Tool) , Multidisciplinary, Monthly, Indexing in all major database & Metadata, Citation Generator, Digital Object Identifier(DOI)

Call For Paper

For Authors

Forms / Download

Published Issue Details

Editorial Board

Other IMP Links

Facts & Figure

Impact Factor : 8.14

Issue per Year : 12

Volume Published : 11

Issue Published : 118

Article Submitted : 21508

Article Published : 8513

Total Authors : 22399

Total Reviewer : 805

Total Countries : 158

Indexing Partner

Licence

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Published Paper Details
Paper Title: A STUDY OF THE TOOLS OF FINANCIAL MANAGEMENT TO INCREASE THE WEALTH OF THE SHAREHOLDERS IN THE PERSPECTIVE OF THE INDIAN COMPANIES
Authors Name: DEEPAK NAMA
Download E-Certificate: Download
Author Reg. ID:
IJRTI_186015
Published Paper Id: IJRTI2304108
Published In: Volume 8 Issue 4, April-2023
DOI:
Abstract: in business, leverage refers to the use of a relatively small investment in fixed assets or small amount of debt to achieve greater profits. That is, leverage is the use of assets and debt to boost profits while balancing the risks involved. Creation of shareholders’ wealth is key objective of financial management. Indeed one of the most basic and fundamental tenets of capitalism is the obligation to create and maximize shareholders’ wealth. Maximization of shareholders’ wealth, which is the heart of economic growth, as a long term proposition delivers higher economic output through productivity gains, employment growth and higher wages. Financial leverage on the other hand, results from the use of debt and preferred stock to increase stockholder earnings. Although operating and financial leverage involve a certain amount of risk, they can bring about significant benefits with little investment when successfully implemented The aim of this paper is to explore relationship between Shareholders’ wealth and leverage of Indian companies of oil and gas sector. Data consisted of ROCE, sales, net worth, debt equity ratio, total debt to total assets ratio of top 10 companies of this sector, which were on the basis of market capitalization. These data were collected for a period of five years 2013-14 to 2017-18. The collected data were used to find the impact of leverage on shareholders’ wealth of the companies. Panel data regression, fixed effect model and random effect model were estimated and compared on the basis of diagnostic parameters to find the most parsimonious model. It was found while performing panel data regression that random effect model was the most parsimonious model. The model proved to be significant from the calculated F value and explained 91.5% variability in the ROCE. Both the variables, which proxies for leverage (debt equity ratio and total debt to total assets ratio), were impacting ROCE Maximization of shareholders’ wealth, which is the heart of economic growth, as a long term proposition delivers higher economic output through productivity gains, employment growth and higher wages. Financial leverage on the other hand, results from the use of debt and preferred stock to increase stockholder earnings...
Keywords: Economic Growth, Productivity Gains, ROCE ,Shareholders’ Wealth,.
Cite Article: "A STUDY OF THE TOOLS OF FINANCIAL MANAGEMENT TO INCREASE THE WEALTH OF THE SHAREHOLDERS IN THE PERSPECTIVE OF THE INDIAN COMPANIES", International Journal for Research Trends and Innovation (www.ijrti.org), ISSN:2455-2631, Vol.8, Issue 4, page no.654 - 659, April-2023, Available :http://www.ijrti.org/papers/IJRTI2304108.pdf
Downloads: 000205212
ISSN: 2456-3315 | IMPACT FACTOR: 8.14 Calculated By Google Scholar| ESTD YEAR: 2016
An International Scholarly Open Access Journal, Peer-Reviewed, Refereed Journal Impact Factor 8.14 Calculate by Google Scholar and Semantic Scholar | AI-Powered Research Tool, Multidisciplinary, Monthly, Multilanguage Journal Indexing in All Major Database & Metadata, Citation Generator
Publication Details: Published Paper ID: IJRTI2304108
Registration ID:186015
Published In: Volume 8 Issue 4, April-2023
DOI (Digital Object Identifier):
Page No: 654 - 659
Country: baran,, Rajasthan, India
Research Area: Arts
Publisher : IJ Publication
Published Paper URL : https://www.ijrti.org/viewpaperforall?paper=IJRTI2304108
Published Paper PDF: https://www.ijrti.org/papers/IJRTI2304108
Share Article:

Share Facebook Twitter Google+ Pinterest LinkedIn Email Tumblr WhatsApp Google Gmail

Click Here to Download This Article

Article Preview
Click Here to Download This Article
Major Indexing from www.ijrti.org
Google Scholar ResearcherID Thomson Reuters Mendeley : reference manager Academia.edu
arXiv.org : cornell university library Research Gate CiteSeerX DOAJ : Directory of Open Access Journals
DRJI Index Copernicus International Scribd DocStoc

ISSN Details

ISSN: 2456-3315
Impact Factor: 8.14 and ISSN APPROVED, Journal Starting Year (ESTD) : 2016

DOI (A digital object identifier)


Providing A digital object identifier by DOI.ONE
How to Get DOI?

Conference

Open Access License Policy

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

Creative Commons License This material is Open Knowledge This material is Open Data This material is Open Content

Important Details

Join RMS/Earn 300
IJRTI

WhatsApp
Click Here

Indexing Partner
Copyright © 2026 - All Rights Reserved - IJRTI