Regression analyses suggest that spare borrowing capacity is linked to company size, proxies for the proportion of company value in intangible form, and upper limits on borrowings. Download this article. The support and assistance of J. Crook and I.R.C. Hirst is acknowledged. Thanks are also due to P. Brown, B. Howieson and H.Y. Ian for their comments. He is also very grateful for the comments of Dr G. Twite and the anonymous reviewers.
Any faults are the author's.
This page was last updated in February, 2001.