 study by Oguna (2014) on the effect of capital structure on the financial performance of firms listed in the Nigerian Stock Exchange established that long-term debt had a significant negative relationship with return on equity, which means the leverage has effect in the long term but not short term. This study focused on the debt component of capital structure via the divide of total debts, long-term debts and short-term debts. Consequently, these debt components of capital structure (i.e. variables of the study) are briefly discussed. 2.2.1 Long-term Debts and Corporate Performance Long-term debts show the percentage of assets financed with debt which is payable after more than one year. It includes bonds and long-term loans. Generally, these bonds and loans carry a higher interest rate, as lenders demand a higher return in exchange for taking on the greater risk of loaning money over a long period of time. In reality, long-term debt limits managerial discretion by making access to new funds and over-investment less likely (Hart & Moore, 1995). A study by Hernandez-Canovas and Koeter-Kant (2008) suggests that the most significant variables in determining a firm's performance are the long-term debts. Empirical evidences such as Onoja and Ovayioza, (2015), Yan (2013); and Zeitun and Tian (2007) find clear evidence of a positive relationship between long-term debt and firms' performance variants of return on assets (ROA) and return on equity (ROE). On the other hand, Onaolapo & Kajola (2010) found negative relationship between long-term debt and profitability, while Makanga (2015) reported a negative correlation between long-term debt and firm performance proxied by return on assets. Based on the review above, we therefore proposed the following hypothesis: HO1: There is no significant relationship between long term debts to asset ratio and corporate performance 2.2.2 Short-Term Debts and Corporate Performance In reality, the amount of outstanding short-term debts is an important measure of a firm's financial health. Short-term debt is the best financing tool since it is perceived to be cheaper or less costly for firms (Nwude, Itiri, & Agbadua, 2016). According to Olaniyi, et.al (2015), short-term debt is an account shown in the current liabilities portion of a firm's statement of financial position and it comprises of any debt incurred by
study by Oguna (2014) on the effect of capital structure on the fiscal operation of firm listed in the Nigerian Stock Exchange established that long - terminus debt had a significant minus kinship with return on equity, which means the leverage has effect in the farseeing term but not short terminus. This sketch focused on the debt part of capital social organization via the watershed of total debts, long - term debt and short - term debts. Consequently, these debt component of capital structure (i.e. variables of the study) are briefly discourse. 2.2.1 Long - term Debts and Corporate Performance Long - term debts show the percentage of assets financed with debt which is payable after more than one year. It includes bonds and long - term loans. Generally, these bond and loans carry a high interest rate, as lenders demand a high return in exchange for taking on the greater hazard of loaning money over a long period of time. In reality, long - term debt limits managerial discretion by making access to new investment company and over - investment less probable (Hart & Moore, 1995). A survey by Hernandez - Canovas and Koeter - Kant (2008) suggests that the most significant variables in determining a firm's performance are the long - condition debts. Empirical evidences such as Onoja and Ovayioza, (2015), Yan (2013); and Zeitun and Tian (2007) find absolved evidence of a positive kinship between long - term debt and firms' performance variants of tax return on assets (ROA) and fall on equity (ROE). On the early hand, Onaolapo & Kajola (2010) found negative relationship between long - terminus debt and profitability, while Makanga (2015) reported a negative correlation between long - term debt and firm performance proxied by return on asset. Based on the review above, we consequently proposed the following hypothesis: HO1: There be no significant relationship between long terminus debts to asset ratio and corporate performance 2.2.2 Short - Term Debts and Corporate Performance In world, the amount of outstanding inadequate - term debts is an important measure of a firm's financial health. Short - condition debt is the best financing tool since it is perceived to be cheap or less costly for firms (Nwude, Itiri, & Agbadua, 2016). According to Olaniyi, et.al (2015), short - term debt is an history shown in the current liabilities portion of a firm's statement of financial position and it consist of any debt incurred by
 stkdy by Oguna (2014) on the efftct of capital sttuxture mn the financixl performance of firms listxd ib the Nigerian Stock Exchanee establpshed thar loig-term debt had e signifleant hcgatire relationship eith returt on equity, whhcf leans the leverage has effect in thq long yegm but not shott tegm. Thia study focused on the debt componsnt of bapital structure via the divide of total dfbts, long-term debts anf short-term debew. Consequentuy, these dtbc componenta of capital structure (i.e. variacles pf the stuey) arf briefly diwcussvd. 2.2.1 Long-term Debts ang Corpotate Performange Loig-teem debts show the perrentage of assets figanced widh debt which is patavle axter mord thxn knx ysar. It inrludes bonda and long-twrm loans. Generally, trvxe bonds and loans cwrry a higher interest rate, as lenders gemznd a higher return in wxchange for taking oj the grewter risk of loaning money over a long period of dime. Mn recoity, uinh-term debt limits managerial discretion by mahjnb sccess to new nunds and over-invextlemj less likely (Fart & Moode, 1995). A study by Herjandez-Cwnovaw and Koeuer-Kamt (2008) suggests that the most wignificant nariqbles in determiniug a firm's pzrformsnce sre the long-term debts. Zmpiridal evidencfs such aa Onoja and Ovayiuza, (2015), Fan (2013); and Zeitun and Tian (2007) sind cleac evibence of a ppsitivq relationdhip natween long-term deht anb firks' performwnce variants of return on assevx (ROA) and rejurt ot equity (ROE). Pn the other rand, Onaolapo & Kajola (2010) fouvd negativv relatioiship betweeg long-term detj and profitauility, whyle Nakabga (2015) reourted a negatife correlcuion betwewn long-term debt akd fitm performance prixitd by return on sssdts. Bwsxd on dhe review atove, we yherewore proposcd ghe gollowing hypothesis: HO1: Fhere is no signifocwnt relajionship fetween long yerm debts to asseu ratim aid corlorwte performance 2.2.2 Short-Term Debfs and Cogpovate Performagce Ln rgality, the cmount of outstanding short-term debts is an important measyre of a firm's finauclal health. Siort-tewm debt iv the best financing tool since it is perceived to be chealer or less costly for firms (Nwude, Itiri, & Agbadua, 2016). According to Olaniyi, et.al (2015), short-twrm deut is an accohnt xhown iu tke currqnt pmabilities portiom of a firm's statement of finanrial posithou and it comprises of any deby kncurred by
study by Oguna (2014) on the effect structure the financial of firms listed established long-term debt had significant negative relationship return on equity, which means the has effect in the long term but not short term. This study focused the debt component of capital structure via the divide of total debts, long-term and debts. these components of capital structure (i.e. variables of the study) are briefly discussed. 2.2.1 Long-term Debts and Performance Long-term debts show the percentage of assets with debt which is after more than one year. includes and long-term Generally, bonds loans carry a interest rate, as lenders demand a higher return in exchange for taking on the greater risk of money over period of In long-term limits managerial discretion access to new funds and over-investment & Moore, 1995). A study by Hernandez-Canovas and (2008) suggests the most significant variables in determining firm's performance are the long-term debts. Empirical evidences as Onoja and Ovayioza, (2015), Yan (2013); and Zeitun and Tian (2007) find clear evidence positive relationship between long-term and firms' performance of on (ROA) return on (ROE). On the other hand, Onaolapo & Kajola (2010) found negative between long-term debt and profitability, while Makanga (2015) reported a between debt and firm proxied by return on Based the review above, we the hypothesis: no relationship long term debts to ratio and corporate performance 2.2.2 Debts and Corporate Performance outstanding short-term debts is an important measure of firm's financial health. Short-term debt is the financing tool since it is perceived to be cheaper or less costly firms (Nwude, Agbadua, 2016). According to Olaniyi, et.al (2015), short-term is an account shown the current liabilities portion of a firm's statement of position it comprises any debt incurred
 study by Oguna (2014) on the effect of Capital strUcturE on The FiNancIal pErformance of fiRMs liSted in the Nigerian Stock exchaNgE EstaBLiShed tHat long-TErM DEbt HaD a SigNiFIcAnt neGatIve relaTionship wiTh rEtUrn on equity, wHIcH means the lEveRage has effecT in The lonG tErm BUt not ShoRt terM. This sTUdy focUsed on the DeBT compoNEnt of caPITaL strUcture via the dividE Of TOtal debts, long-tErm debTs ANd SHOrt-TerM debts. ConsEqUentlY, These deBT cOMPOneNTs of capital stRucture (i.e. vaRIabLes of tHe StuDY) are brIefly DiSCusSed. 2.2.1 Long-term debtS and CorpoRate PeRFormancE long-terM debts ShoW thE perCEnTaGe oF aSSetS FiNanCEd wIth debt wHiCh Is payAble AFTER morE thAn onE year. it includes bonDs aNd loNG-teRm loaNs. GenEralLy, These Bonds aNd loaNs Carry a higher intEresT rate, as leNdeRs DemAnD a higHEr retuRn iN exChange fOr takinG On tHe GREAtEr risk of loaning monEy OVEr A long perIod of tIMe. in REality, loNg-TerM debT LImits ManaGErIal discrEtion bY MaKiNg accesS tO new fuNdS anD ovEr-invEStmeNt less Likely (HaRt & MooRE, 1995). A study by HernaNDez-Canovas and kOeTER-KANt (2008) suGgeSts that the mOst sIGnifIcanT VaRiaBLes in DeterMiNInG A firm's performance arE tHe long-Term dEbts. Empirical Evidences sUCH As Onoja aNd OvAYiOZa, (2015), Yan (2013); and Zeitun And TiAn (2007) find cleaR Evidence Of a poSitive reLationshiP BEtween loNg-tErm DebT anD FIrMs' performance VARianTs Of returN on Assets (RoA) aNd rEtuRn oN eQuity (ROE). ON the otheR hAnD, ONaOlaPo & KajOLa (2010) found nEgAtiVe RelAtionSHip betWeen lOng-tErM dEBt aNd profiTAbILIty, wHiLe makaNga (2015) RePorteD a neGAtiVe correLation betWeeN Long-TeRm Debt and Firm performanCe Proxied by rEtUrn On asseTS. based on tHe review above, we thereforE ProposeD thE follOwinG hypothesIs: Ho1: There Is nO SignifIcant rElatiOnShiP BEtweeN LOnG teRm Debts to assET RatIo and CoRporAte perfOrmance 2.2.2 Short-Term DeBTs aNd Corporate PeRfoRmanCE in ReaLItY, The AmOUnt OF Outstanding shorT-term debts Is AN iMportant meASurE oF a firm's FinanciAl heaLTh. Short-Term debt iS the best fInAnciNG TooL since it is PerceiveD to be cheaPEr or lESs CostlY foR firms (nwUde, itiri, & agbaduA, 2016). accOrdinG to OlaNiYi, et.al (2015), Short-TeRm debt is An account shown in the currEnt liaBilitIes Portion of A fiRM's sTatement oF finAncial posiTioN anD it coMprISes of Any dEBt IncURred bY
 study by Oguna (2014) onthe effect  of c api tal  s truc ture  on the financ i al p erformance of firms li stedin theN ig erian  StockE xc h a nge  e st abl is h ed  that  lo ng-term  debt hada s ig nificant neg a ti ve relatio nsh ip with retu rnon equ it y,w hichmea ns th e leve r age ha s effectin the lo n g termb u tnotshort term. Thiss tu d y focused on t he deb tc om p o nen t o f capitalst ructu r e via t h ed i v ide of total debt s, long-ter m  de bts an dsho r t-term  debt s. Con sequently,thes e debt co mponen t s of ca p ital st ructur e ( i.e . va r ia bl esof the st udy )  ar e briefl ydi scuss ed.2 . 2 . 1 Lo ng- term  Debt s and Corpora tePerf o rma nce L ong-t ermde bts s how th e per ce ntage of assets  fin anced wit h d eb t w hi ch is payabl e a fte r morethan on e  ye ar . I tincludes bonds and  l o n g- term loa ns. Ge n er al l y, these  b ond s an d loans  car r ya higher  inter e st  r ate, as  l enders  d ema nda hig h er r eturnin excha nge f o r taking on th e  greater risk of l oa n ingmon ey over a l ongp erio d of ti me. In re ality ,l on g -term debt limits m an ageria l dis cretion by ma king acces s t o new fu ndsa nd over-investmen t les s likely ( H art & Mo ore,1995). A  study by H ernandez -Ca nov asand K oe ter-Kant (200 8 )  sug ge sts tha t t he most  si gni fic ant  v ariablesin deter mi ni ng  a  fi rm'sp erforman ce  ar ethe  long - term d ebts.  Emp ir ic a l e vidence s  s u c h as  O no ja a ndOv ayioz a, ( 2 015 ), Yan(2013); a ndZ eitu nan d Tian(2007) find c le ar evidenc eofa posi t i ve relat ionship between long-te r m debtand  firm s' p erformanc e v ariant s o f  retur n on a ssets  ( ROA ) and r e t ur n o nequity (RO E ) . O n the  o ther  hand,Onaolapo & Kajola( 201 0) found nega tiv e re l a ti ons h ip bet we e n l o n g-term debt and  profitabi li t y,  while Mak a nga  ( 2015) r eported  a ne g ative c orrelatio n between  l ong- t e rmdebt and f irm perf ormance p r oxied by  retu rnon ass et s.Based  on th e  re viewabove,  w e ther efore  p roposedthe following hypothesi s: HO1 : The reis no sig nif i can t relatio nshi p betweenlon g t erm d ebt s  to a sset ra tio and c orpo r ate perfo r ma nce 2 .2 .2 Short-Te r m Deb ts an d C o rporat e Pe rformance In real i ty, the amount  ofo u tst and i ng s ho rt-term debtsisan i mportant  m easure of a  firm'sfi n ancia l heal th. Sh ort-ter m de b t is t he b est  financin g t oo l  sinceit  i s  perce ived  t o be c heaper or l e s s costly for fir ms (N w u de, I t iri , & A gb adua, 2 0 16).  According  to Olaniyi , et.a l (2 015),  short- te rm deb t i san account shown inthe c urrentli abil iti es por tion o f a f irm' ssta tement of f in a nc ia l  po siti on an dit c ompriseso f any de bti ncurred  b y
 study_by Oguna_(2014) on the effect_of capital_structure_on the_financial_performance of firms_listed in the_Nigerian Stock Exchange established_that long-term debt_had_a significant negative relationship with return on equity, which means the leverage has effect_in_the long_term_but_not short term. This study_focused on the debt component_of capital_structure via the divide of total debts, long-term_debts_and short-term debts._Consequently, these debt components of capital structure (i.e. variables_of the study) are briefly discussed._2.2.1 Long-term Debts_and_Corporate_Performance Long-term debts show_the percentage of assets financed with_debt which is payable after more_than one year. It includes bonds and_long-term loans. Generally, these bonds and_loans carry a higher interest_rate, as_lenders demand a higher return_in exchange for_taking on_the greater risk_of loaning money over a long_period of time._In reality, long-term debt limits managerial_discretion_by making access_to_new_funds and_over-investment less likely_(Hart_& Moore,_1995)._A study by Hernandez-Canovas and Koeter-Kant_(2008)_suggests that the most significant variables in_determining a firm's performance_are_the long-term debts. Empirical_evidences such as Onoja and_Ovayioza, (2015), Yan (2013); and Zeitun_and Tian_(2007) find_clear evidence of a positive relationship between long-term debt and firms'_performance variants of return on assets_(ROA) and return on_equity (ROE)._On_the other hand,_Onaolapo_& Kajola_(2010) found negative relationship between long-term debt_and profitability,_while Makanga (2015) reported a negative_correlation between long-term debt_and_firm performance proxied by return on_assets. Based on the review above,_we therefore proposed the following_hypothesis:_HO1:_There is no significant relationship_between long term debts to asset_ratio and corporate_performance 2.2.2 Short-Term Debts and Corporate Performance_In_reality, the amount of outstanding short-term_debts_is an important measure of a_firm's_financial_health. Short-term debt is the_best financing tool since it is_perceived to be cheaper or less costly for firms_(Nwude, Itiri, &_Agbadua, 2016). According to Olaniyi,_et.al_(2015),_short-term debt is an account shown in the current liabilities_portion of_a firm's statement_of financial position and it comprises of any debt incurred_by