The role of capital structure as a mediator on the relationship between audit committee characteristics and firm performance

Abstract

This research investigates the relationship between audit committee characteristics and firm performance while using capital structure as a mediating variable. A sample of 20 companies listed in the Egyptian Stock Exchange (EGX30) from 2016 to 2020 are used to collect data for measuring variables. Descriptive 6 analysis, multiple regression analysis, and pooled ordinary least square are used to test the hypothesis. Results show that there is a significant relationship between audit committee characteristics and firm performance while using capital structure as a mediating variable. Moreover, there is an insignificant positive relationship between audit committee characteristics and capital structure. Finally, there is an insignificant positive relationship between capital structure and ROA while a significant positive relationship with ROE.