The Capital Structure Impacts on Firms’ Performances the Case of Jordanian Insurance Firms

[vc_row gap=”10″ css=”.vc_custom_1586683682159{padding-top: 25px !important;}”][vc_column width=”2/3″ css=”.vc_custom_1529918136495{padding-top: 15px !important;}”][vc_column_text]

Proceedings of ‏The 10th International Conference on Modern Research in Management, Economics and Accounting

Year: 2020


Fulltex PDF

The Capital Structure Impacts on Firms’Performances the Case of Jordanian Insurance Firms

Dr. Ahmed Al Omush



This study seeks to investigate the impact of capital structure on firm performance by analyzing
the relationship between the operating performance of Insurance companies listed in the Amman
Stock Exchange during the period 2014- 2019, measured by return on asset (ROA) and return on
equity (ROE) with short-term debt (STD), long-term debt (LTD) and total debt (TD). To examine
the association, across sectional data and pool data analysis were used. The study has shown a
positive relationship between short term debt and return on equity and a negative correlation
between long term debt and return on investment. Therefore suggesting that Insurance sector
utilize more short term debt because of low-interest expenses and most Insurance companies suffer
losses because using excessive long term debt and a large amount of financial cost. Thus Insurance
companies firms utilize debt, but more portion of financing should be through short term debt
(STD) and long-term debt (LTD) in less proportion. .

Keywords:Capital Structure, Operation Performance, Insurance sector, Debt.

[/vc_column_text][/vc_column][vc_column width=”1/3″ el_class=”smkrowshadow” css=”.vc_custom_1586683216261{padding-top: 25px !important;padding-bottom: 20px !important;}”][vc_single_image image=”6136″ img_size=”200×200″ alignment=”center” style=”vc_box_shadow_circle_2″ css=”.vc_custom_1589197307868{margin-bottom: 15px !important;}”][vc_column_text css=”.vc_custom_1586941807049{margin-top: 0px !important;padding-top: 0px !important;padding-bottom: 10px !important;}”]

Dr. Ahmed Al Omush

The Hashemite University, Accounting Department


Receive the latest news

Sign up in the newsletter form below to receive the latest news and updates about this Conference

  • This field is for validation purposes and should be left unchanged.

About Cookies on This Site

We use cookies to give you the best experience on our website. By continuing to browse our website, you agree to our cookie policy.