Lingesiya Kengatharan

TL;DR: In this paper, the authors explored the behavioral factors influencing individual investors' decisions at the Colombo Stock Exchange and examined the relations between these factors and investment performance and found that most of the variables from all factors have moderate impacts whereas anchoring variable from heuristic factor has high influence and choice of stock variable from herding factor has low influence on investment decision.

TL;DR: The main purpose of as mentioned in this paper was to delineate unearth lacunae in the extant capital budgeting theory and practice during the last two decades and ipso facto become springboard for future scholarships.

Abstract: Purpose – The purpose of this paper is to investigate prevailing capital budgeting practices in Sri Lankan listed companies Design/methodology/approach – A comprehensive primary survey was conducted of 32 out of 46 chief financial officers (CFOs) of manufacturing and trading companies listed on the Colombo Stock Exchange in Sri Lanka Garnered data were then analyzed using appropriate statistical techniques Findings – The results revealed that net present value (NPV) was the most preferred capital budgeting method, followed closely by payback (PB) and internal rate of return (IRR) Similarly, sensitivity analysis was regarded as the dominant capital budgeting tool for incorporating risk and the widely used method for calculating cost of capital was the weighted average cost of capital Moreover, results revealed that size of the capital budget affects the use of the capital budgeting methods (NPV, IRR and PB) and incorporating risk tool (sensitivity analysis and simulation) Further, results revealed that CFOs had higher educational qualification were preferred to use sophisticated capital budgeting practices dominantly NPV, IRR and incorporating risk tool of sensitivity analysis although they were found to be reluctant in use of accounting rate of return In a similar vein CFOs with higher experience were preferred using IRR and sensitivity analysis Originality/value – This study contributed to academics, practitioners, policy makers and stakeholders of the company Moreover, this research has proffered a more reliable and comprehensive analysis of capital budgeting practices in Sri Lankan listed manufacturing and trading firms Since Sri Lanka is an unexplored country on capital budgeting practices, this research was originally contributed to the extant literature per se

TL;DR: In this article, the authors examined the relationship between capital structure and financial performance of listed licensed commercial banks in Sri Lanka and concluded that financial managers should try to finance from internal sources rather than relying heavily on debt capital in their capital structure.

TL;DR: The main purpose of as mentioned in this paper was to delineate unearth lacunae in the extant capital budgeting theory and practice during the last two decades and ipso facto become springboard for future scholarships.