Influence of the joint management of financial resources on the Economic Value Added of brazilian companies
DOI:
https://doi.org/10.22561/cvr.v35i1.7698Keywords:
Joint management, Financial resources, Capital structure, Financial slack, Added Economic ValueAbstract
The objective is to verify the influence of the joint management of financial resources on the Added Economic Value of brazilian companies. The information was collected from the Thomson Reuters Eikon® database and from the website of the Central Bank of Brazil (BACEN). The research sample covered 184 publicly traded brazilian companies listed on Brasil, Bolsa, Balcão (B3), covering the period between 1997 and 2018. Data were operationalized by statistical techniques, with emphasis on quadratic regression with one predictive variable (isolated influence) and, above all, quadratic regression with two predictive variables (joint influence). The results confirm that, in isolation, the capital structure and financial slack present ideal level to maximize the Economic Value Added Margin (MEVA) of brazilian companies. Even more considerable is the evidence that decisions about financial resources – capital structure and financial slack – must be dealt with jointly to achieve the highest MEVA in brazilian companies. Specifically, the results indicate that the ideal level of capital structure and financial slack to maximize the corporate MEVA can fluctuate in absolute terms by up to 9.65% when comparing the isolated influence with the joint influence, which is an important aspect for better decision making by stakeholders. Such findings support the assertion that it is no longer acceptable to observe the phenomenon in question through linear relationships and/or isolated effects, given its shortcomings. The new knowledge then passes, from this point observed in a three-dimensional way, in forward.
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