Multiple Linear Regression Analysis of The Food Sector BIST-100 Index Statements of Turkey
Keywords:Working capital management, ROA, Multiple linear regression, Autocorrelation, Multicollinearity
AbstractThe aim of this paper is to research the effect of working capital management on firm value. For this purpose, by using the data related to the years between 2012 and 2017 of 28 firms registered in BİST-100 Food Sector, a multiple linear regression analysis is applied. The dependent variable is ROA, the independent variables are average collection period, inventory turnover in days, cash cycle, the logarithm of total assets, growth rate and financial leverage ratio. As a result of the analysis, a positive and statistically significant relationship is found between the total assets, growth rate, financial leverage ratio and ROA. The assumptions of the regression analysis is also discussed in this study, the problem of heteroskedasticity among variables in the models considered and the problem of autocorrelation between the residuals of the estimated models are also solved.
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