Evaluation of Capital Structure of Agricultural Cooperatives

One of the major factors, which affect the economic effectiveness, is suitable capital facilities of enterprises. In case of correct adjustment of capital structure, more precisely the ratio of equity capital and foreign capital, it is necessary take into account a number of factors which operate on the structure of capital, for example a variety of funding sources. The main aim of this paper is to analyze the development of the capital structure and capital disparity across the farmers' cooperatives from fourteen regions of the Czech Republic for time series 2009 – 2013. For this analysis is used the debt leverage indicators and method of comparative statics. Data are obtained and processed from the database of enterprises of Albertina. The financial and economic crisis lowered the debt to equity ratio and debt to assets ratio and the profitability ratios as well and the indicators reports V-shaped trend. The disparity of the ratio values among regions at the end of the monitored period seems not to be changed. Usually Prague as the region with the highest GDP per capita during the monitored period reports usually the extreme values in most ratios and higher deviations in debt ratios and lower deviations in profitability ratios. Also the impact of capital structure indicators on the profitability of cooperatives seems to be not significant during the monitored period.


Editor(s):
Konečná, Martina
Issue Date:
Sep 30 2015
Publication Type:
Journal Article
DOI and Other Identifiers:
1804-1930 (Other)
PURL Identifier:
http://purl.umn.edu/231861
Published in:
AGRIS on-line Papers in Economics and Informatics, Volume 07, Number 3
Page range:
37-48
Total Pages:
12
JEL Codes:
GA IN
Series Statement:
Volume VII
3




 Record created 2017-04-01, last modified 2017-08-29

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