The Empirical Research On Capital Structure Optimization Of Enterprise Based On EVA

The capital structure runs through the entire life cycle of the enterprise,which is the description of capital proportion from different source.As a result of the existence of capital time value and opportunity cost,enterprises must pay the corresponding cost.Different capital structure will affect corporate profitability and market competitiveness,so more and more enterprises begin to pay attention to the optimization of capital structure.Economic Value Added,namely EVA,which is the difference value between the net operating profit of the company and the weighted average capital cost.To the research of EVA,we can largely correct the defect in capital structure theory that directly ignores the cost of capital on the net profit index,so as to further perfect the system of the capital structure theory and make the new practical attempt on exploring the optimal capital structure for the enterprise.The main research of this article begins with the review and summarize about capital structure,the optimization of capital structure and EVA.Through the study on these theories,it is known that enterprise value maximization is the common ground between capital structure and economic added value.Then we further illustrate the necessity of capital structure optimization based on EVA.Through standardized research and empirical research method,the paper constructs management system about the optimization of capital structure based on EVA,and suggests key points in this management system.Then combined with the panel data of listed companies,the article respectively analyzes the relationship from EVA rate to asset-liability ratio,ratio of commercial credit,bank loan ratio and ratio of fixed assets to equity,and demonstrates the optimization of capital structure based on EVA.Affected by economic structure system in china,domestic scholars study later in the theoretical and empirical research of capital structure,and leads to the inability to form a unified conclusion.On the basis of using the concept of EVA,continuing tostudy the optimization of capital structure is beneficial to solving the practical problems,reducing the enterprise cost and improving enterprise value creation ability.