Akuntansi Bisnis & Manajemen (ABM)
Vol 7 No 2 (2000): Oktober

POLA PEMILIHAN SUMBER DANA PADA INDUSTRI MANUFAKTUR YANG PERTUMBUHAN PENJUALANNYA DIATAS TINGKAT PERTUMBUHAN INTERNAL DALAM PERSPEKTIF TEORI PECKING ORDER

Nafiron Musfiqin Uddin (STIE Malangkucecwara)



Article Info

Publish Date
02 Oct 2000

Abstract

The Firm experiencing sales growth beyond an internal level is in which to expand the business on the wider market. So that, financing constraint factor, that used to finance growth, is one of the problems experienced by management. The purpose of this research is to identify how firms finance growth in sales when that growth is in excess of an internal level. There are three alternatives in which to raise the additional funds needed to finance that growth : 1) increase the firm?s internal financing; 2) use of debt financing ; 3) issue external equity. Myers (1984) indicates that firms typically employ a pecking order of financing choices, using internal equity before the issuance of external debt, followed by the issuance of external equity. The go public manufactured industry in Bursa Efek Jakarta, that sales growth is in excess of an internal level for the period of 1993 - 1996, include as a sample. The statistical method used in this research are contingency tables in conjunction with a chi-square test and logistic regression. Contingency tables used to test whether there is any relationship, without considering causation, between type of financing method and rate of growth above internal level. Logistic regression analysis is performed to test for the probability that a firm will choose 1) internal or external financing and, if external, 2) debt or new equity financing. The statistical results show that the faster firms are growing, the more they used up available internal financing and, thus, must raise funds externally. In addition, Logistic regression analysis evidences that firms with lower profitability and asymmetric information tend to raise the majority of their funds externally, with debt being the primary choice, followed by external equity. So that, both sets of results provide indirect support for Myers? pecking order theory.

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