• Title of article

    An investigation on the effect of the corporation governance structure and free cash flow on over- investment

  • Author/Authors

    Taghavi، Mehdi نويسنده Prof., Department of Management, School of Management and Human Sciences, Tehran North Branch, Islamic Azad University (IAU), Tehran, Iran , , Khodaei Valahzaghard ، Mohammad نويسنده , , Amirjahadi، Neda نويسنده M.Sc. Student, Department of Accounting, School of Management and Human Sciences, Tehran North Branch, Islamic Azad University (IAU), Tehran, Iran ,

  • Issue Information
    ماهنامه با شماره پیاپی 27 سال 2014
  • Pages
    6
  • From page
    567
  • To page
    572
  • Abstract
    This study examines the impact of corporate governance structure and free cash flow on over-investment on 121 firms listed in Tehran Stock Exchange over the period 2008-2011. To measure over-investment, free cash flow and corporate governance variables based on available information reported on financial statements are gathered and using cross section regression method, different hypotheses of the survey are examined. The results indicate that among corporate governance mechanisms investigated in survey, there is a significant relationship between percentage of non-executive directors and ownership concentration with over-investment. However, there was no meaningful relationship among controlling shareholders and duality with over-investment. Furthermore, a significant relationship between free cash flow and over-investment has been found.
  • Journal title
    Management Science Letters
  • Serial Year
    2014
  • Journal title
    Management Science Letters
  • Record number

    1015553