An examination of leasing policy, tax rates, and financial stability in the restaurant industry

Journal of Hospitality and Tourism Research

Volumn 23, Issue 1, 1999, Pages 85-99

  Upneja, Arun ^a   Dalbor, Michael C ^b  

^a PENNSYLVANIA STATE UNIVERSITY   (United States)

^b UNIVERSITY OF SOUTHERN MISSISSIPPI   (United States)

Author keywords

Capital structure; Leasing; Tax rates

Indexed keywords

EID: 0007125102     PISSN: 10963480     EISSN: 15577554     Source Type: Journal    
DOI: 10.1177/109634809902300107     Document Type: Article

References (29)

1. Altman, E. (1968). Financial ratios, discriminant analysis and the prediction of corporate bankruptcy. Journal of Finance, 23, 589-609.
2. Andrew, W. P. (1988). The effect of firm debt maturity structure on firm value. Unpublished doctoral dissertation, The Pennsylvania State University, University Park.
3. Andrew, W. P. (1993). Capital structure in the hospitality industry (Working Paper). The Pennsylvania State University.
4. Begley, J., Ming J., & Watts, S. (in press). Bankruptcy classification errors in the 1980's: An empirical analysis of Altman's and Ohlson's models. Review of Accounting Studies.
5. Bowen, R., Daley, L., & Huber, C., Jr. (1982). Evidence on the existence and determinants of inter-industry differences in leverage. Financial Management, 11, 10-20.
6. Bradley, M., Jarrell, G., & Kim, E. (1984). On the existence of optimal capital structure: Theory and evidence. Journal of Finance, 39, 857-878.
7. Coggeshall. (1995a, May). Germany lives up to its potential. Airfinance Journal, pp. 26-27.
8. Coggeshall. (1995b, April). Taxing issues. Asset Financing & Leasing Digest, p. 37.
9. DeAngelo, H., & Masulis, R. W. (1980). Optimal capital structure under corporate and personal taxation. Journal of Financial Economics, 8, 3-30.
10. de Ruyter, P. (1980). Lending to the restaurant industry. Journal of Commercial Lending, 62(6), 2-15.
11. Emery, D., & Finnerty, J. (1991). Principles of finance with corporate applications. St. Paul, MN: West.
12. Equipment Leasing Association of America. (1998, September 7). Trends and forecasts for equipment leasing in the U.S. [On-line]. Available: http://elaonline.com/fastgrow.htm.
13. Graham, J. R., Lemmon, M. L., & Schallheim, J. S. (1998). Debt, leases, taxes and the endogeneity of corporate tax status. Journal of Finance, 53(1), 131-162.
14. Jensen, M., & Meckling, W. H. (1976). Theory of the firm: managerial behavior, agency costs, and ownership structure. Journal of Financial Economics, 3, 305-360.
15. Long, M., & Malitz, I. (1985). Investment patterns and financial leverage. In B. Friedman, (Ed.), Corporate capital structure in the United States. Chicago: University of Chicago Press.
16. Marler, J. H. (1993). Off balance sheet lease financing in the restaurant industry. Journal of Hospitality Financial Management, 3(1), 15-28.
17. Masulis, R. W. (1980). The effects of capital structure change on security prices: A study of exchange offers. Journal of Financial Economics, 8, 139-178.
18. Masulis, R. W. (1983). The impact of capital structure change on firm value, some estimates. Journal of Finance, 38, 107-126.
19. Miller, M. (1977). Debt and taxes. Journal of Finance, 32, 261-275.
20. Modigliani, F., & Miller, M. (1958). The cost of capital, corporation finance and the theory of investment. American Economic Review, 48, 261-297.
21. Modigliani, F., & Miller, M. (1963). The cost of capital, corporation finance and the theory of investment: A correction. American Economic Review, 53, 433-443.
22. Myers, S. C. (1984). The capital structure puzzle. Journal of Finance, 39, 575-592.
23. Ohlson, J. A. (1980). Financial ratios and the probabilistic prediction of bankruptcy. Journal of Accounting Research, 18(1), 109-131.
24. Ross, S. A. (1977). The determination of financial structure: the incentive signaling approach. Bell Journal of Economics, 8, 23-40.
25. Scholes, M., Wilson, P., & Wolfson, M. (1990). Tax planning, regulatory capital planning, and financial reporting strategy for commercial banks. Review of Financial Studies, 3, 625-650.
26. Scott, D. Jr., & Martin, J. (1975). Industry influence on capital structure. Financial Management, 4, 67-73.
27. Sheel, A. (1994). Determinants of capital structure choice and empirics of leverage behavior: A comparative analysis of hotel and manufacturing firms. Hospitality Research Journal, 17(3), 3-16.
28. Titman, S., & Wessels, R. (1988). The determinants of capital structure choice. Journal of Finance, 43, 1-19.
29. Volk, C. (1995). Lending to chain restaurants. Journal of Commercial Lending, 78(2), 45-58.