The relationship between accounting information and firm capital structure,

Thesis Overview

<p> The capital structure of a firm, comprising the mix of debt and equity financing, is a critical determinant of its financial risk, cost of capital, and value creation. Accounting information plays a pivotal role in shaping the capital structure decisions of firms, influencing their financing choices, risk management strategies, and investor perceptions. This research project aims to investigate the relationship between accounting information and firm capital structure, exploring how financial reporting, earnings quality, and accounting metrics impact the composition of a firm's capital structure. By analyzing the interplay between accounting information and firm capital structure, this study seeks to provide valuable insights for financial managers, investors, and policymakers in understanding the implications of accounting information on capital structure decisions and financial risk management. The findings of this research are expected to contribute to the existing body of knowledge in the field of accounting and capital structure, offering practical implications for financial management, investor decision-making, and policy formulation in the context of accounting's impact on firm capital structure. <br></p>