Abstract

The main goal of this study is investigation of free cash flow and operating cash flow effects on cash flow distribution among the shareholders of the companies listed in Tehran Stock Exchange. Methodology: Statistical population of this study were Tehran Stock Exchange listed companies from 2006 to 2013 that sample volume was 151 company after eliminating outlier observations and considering to screening method. Results: In this study free cash flow and operational cash flow are considered as independent variables for examining their impact on the company distributed cash. We have been used from data panel with fixed effect. Conclusion: Consequently, results of the analysis of corporate data points out that by using multiple regression (at 95% confidence interval) on one hand there is a direct relationship between the amount of free cash flow and operating cash flow with the amount of cash flow distributed among the shareholders and on the other hand there is a significant difference with the amount of cash flow distributed among the shareholders in large and small companies.

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