Abstract:
Purpose. This tesearch s purpose is to investigate the factors and their impact on
southern region cement companies of Pakistan capital structure.
Methodology & Design: To test the variables in this research study procedure of data
which is panel such as least square method has been used for a sample size ofsix (6) cement
companies based in southern region of Pakistan registered on Pakistan stock exchange during
2009 to 2018.
Findings: Indicated results show that all variables which are independent such as
tangibility, liquidity, profitability, cost of debt, growth, tax and size appeared negatively to
dependent variable (debt ratio). While liquidity, profitability, cost of debt and size appeared
significantly in relation to debt ratio (dependent variable) and tangibility, growth, and tax
appeared do not significantly related to debt ratio.
Limitations: For the completion of this research it has time restrictions because for
its completion the research have a period offour (4) months so the in an effective manner this
research study is completed. Study’s scope is also a constraint which is faced in this study
therefor in overall cement industry only southern region cement companies are selected.
Information about statistical technique is another limitation therefore statistical technique
selection is performed based on the understanding of ease ofuse.
