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

• Main Authors: Akhmadi Akhmadi, Bambang Mahmudi, Moh Muksin, Indra Suhendra, Rina F
• Format: Article
• Language: English
• Published: Asosiasi Fakultas Ekonomi & Bisnis Indonesia (AFEBI) 2020-12-01
• Series: AFEBI Management and Business Review
• Subjects: dar, roe, dpr, firm size
• Online Access: http://journal.afebi.org/index.php/ambr/article/view/313

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.