Accounting

Study On Dividend Policy: Antecedent and Its Impact On Share Price Werner R. Murhadi Universitas Surabaya ABSTRACT This inquiry aims to test dividend signalize surmise in an Indonesian capital market. Signaling possible action states that dividend policy has training content that can make up ones mind to donation price. Examination of opening of signboard is colligate to search phenomena in other countries indicating that by percentage at that place is debasement of fellowship which is pay dividend and there even exist mentioning this as phenomenon of disappearing dividend. Examination of theory of signaling is alike related to the research result showing the existence or inexistence of the influence of dividend policy to share price. Besides, in this research is alike conducted by examination of office staff theory. This research of agency theory tests the influence of: (1) Free Cash emanate to share price, (2) anatomical structure of Ownership to share pric e, and (3) Structure of self-command to dividend policy. This research also tests life wheel around theory, seen influence of cycle of attach to life to dividend policy. Companies which enter in growth manakin flow rate not to pay a lot of dividend, compared to company at matured step. This research employ quantitative attack by using method of path analysis.

This research use samples in the form of company allocating dividend for period 1995-2005 which listed on PT capital of Indonesia Stock Exchange. Final samples which are utilized in this research are equal to 1052 year observation. This research also tests esthes ia, widened sequence of even from 1 day at ! especial(prenominal) stick, becoming 5 and 10 day. Besides test of sensitivity is also conducted changed attack of market model become misbegotten adjusted model in determining expected return. enquiry finding indicates that signaling theory still relevant in influencing movement of share price. Besides, research finding also supports agency theory told by Jensen in seeing influence of emancipate cash flow to share price. For the influence of structure of...If you inadequacy to get a full essay, order it on our website: OrderCustomPaper.com

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