Size Matters: Indian Companies' Capital Structure Determined by Firm Size
The study looked at what factors influence how companies in India decide on their capital structure. They analyzed data from the financial reports of the top 20 companies in the BSE Sensex from 2011 to 2014. The researchers found that as companies grow, become more profitable, have more cash, and own more assets, they tend to use less debt. However, the size of a company is a key factor in determining how it structures its capital.