| dc.description.abstract | Debt financing decision is the most important financial decision for a Firm. Debt financing has a
long-term impact on the financial performance. Debt financing used as an instrument of filling the
budget deficits of a firm. Now every firm report their debt financing in the two ways, short term
debt (STD), long term debt (LTD). Explaining the impacts of debt financing helps to answer
some financial question 1. establish the relationship between debt financing and financial
performance of selected firms. 2.determine the impact of short debt ratio on financial performance
of a firm.3. determine the impact of long-term debt ratio on financial performance of a firm. For
the purpose of this study I take 27 firms with the debt in their capital structure. I determine two
independent variables; they include Short term debt ratio (STDR) and Long-term debt ratio
(LTDR). There are four dependent variables determine: they include Profitability analysis,
Liquidity analysis, Return on Equity (ROE) analysis, Return on Asset (ROA) analysis. This study
used secondary data from audited financial report of those firms between periods of 2016 – 2019.
Descriptive statistics, correlation and regression analysis were used to analyze the data. Statistical
Package for the Social Sciences (SPSS) software was used to analyze the data | en_US |
