The relationship between CEO power and the probability of dividend payment with emphasis on the impact of profitability and cash flow fluctuations in companies listed on the Tehran Stock Exchange
Mohammad Emrahim Hasankhani
1
(
Assistant Professor, Department of Accounting, Abhar Branch, Islamic Azad University, Abhar, Iran.
)
Majid Dadashinasab
2
(
Assistant Professor, Department of Accounting, khodabandeh Branch, Islamic Azad University, khodabandeh , Iran
)
soghra ramezani
3
(
master's student , Department of Accounting, khodabandeh Branch, Islamic Azad University, khodabandeh , Iran
)
Keywords: : CEO power, dividend payment, profitability, cash flow fluctuations.,
Abstract :
In the present study, the relationship between CEO power and the probability of dividend payment has been investigated with an emphasis on the impact of profitability and cash flow fluctuations in companies listed on the Tehran Stock Exchange. For this purpose, 140 companies were purposefully selected from the companies listed. CEO power was examined in terms of CEO financial knowledge, CEO ownership, CEO gender, CEO compensation, CEO role duality, CEO independence, and CEO tenure. Also, the probability of dividend payment was measured using the earnings per share ratio. The results of the research hypothesis test show that CEO power has a negative and significant effect on dividend payment. Another result is that profitability moderates the relationship between CEO power and dividend payment, and cash flow fluctuations strengthen the relationship between CEO power and dividend payment.Another result is that profitability moderates the relationship between CEO power and dividend payment, and cash flow fluctuations strengthen the relationship between CEO power and dividend payment
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