The major objective of the study is to develop a model and to test the relationship among liquidity risk and firm performance through its facets. The main facets of firm performance in the study are i-e profitability, firm size, leverage, share prices and earnings on assets. The present study mainly attempts to analyses qualitative, quantitative & contextual relationship of liquidity risk in Pakistan. Moreover, liquidity risk is less investigated in Pakistan and mainly regarding Islamic banking sector with respect to current data. Therefore, study is mainly investigated on the fourth pillar of significance i-e contextual significance. While, Islamic banking sector of Pakistan is investigated in current study. And the data is acquired from state bank of Pakistan database and through annual reports of the banks. Though, the study has supported past investigations results. Hence, the study has revealed key findings that will be fruitful for theorists, educationists and research scholars as well.
Do Profitability And Size Affect Financial Leverage Of Jordanian Industrial Listed Companies (Published)
The main purpose of this study is to investigate the effect of Profitability, and firm’s Size as independent variables on leverage as proxy of Debt to Total Assets ratio (leverage) as dependent variable. A sample of 52 Jordanian Industrial listed companies on Amman Stock Exchange (ASE) for the year ended Dec.31, 2013 was selected. The results of the research show that there is a significant effect of profitability in for of ROA , and size on leverage of industrial companies , on the contrary , ROE has not. Therefore, industrial companies may enhance the profitability of their firms by maximizing the profit, and increasing financial assets compared with total assets. So, the study concludes some recommendations that are beneficial to the stakeholders.