Application of Financial Decisions, their Determinants, and Financial Performance: A Tabular Summary of Systematic Literature Review

Abstract

Financial decisions (capital budgeting, capital structure and dividend policy) are the most important components of corporate finance and now a days have received the attention of researchers and practitioners. Financial decisions influence the financial performance of a firm. Uncertainty, corporate social responsibility, and stakeholders interest are the most important determinants of the financial decisions. The purpose of this study is twofold: firstly, this study provides a systematic review of literature summarizing the theoretical and empirical literature of the financial decisions, their determinants and financial performance. Secondly, it provides the empirical evidence based on survey and data was collected from Chief Financial Officers of Telecommunication, Banking, and Insurance companies listed in Karachi Stock Exchange (KSE) of Pakistan. This study used SPSS and AMOS for data analysis. This study finds that the financial decisions and their determinants are critical factors for the financial performance of firms.

The Concept of Relationship Between Debt and Receivable: Evidence on Basic Industrial Companies in Indonesia

“…Companies that provide credit to their customers report bad debts as an allowance for doubtful accounts on the balance sheet, also known as a provision for credit losses. Here we can see the importance of considering the funding decision of the creditor (Santos, Pires, & Fernandes, 2018;Hunjra, Bakari, & Batool, 2018) and the consideration of using receivables for the recipient of the debt. And it appears that debt-debt decisions are interrelated in their considerations and the consequences they cause.…”