The Study of Mutual Relation of Capital Structure with Growth Opportunities of Companies Listed in Tehran Stock Exchange

This study examines the relationship between capital structure and firm growth opportunities of companies listed in tehran stock exchange. The sample encompasses is the 106 companies listed in Tehran Stock Exchange during the 10-year period (2001-2010). Results show a there is significant direct relationship between capital structure (long-term debt to equity ratio) and sales growth also there is a significant negative relationship between capital structure (proportion of long-term debt equity) and return on assets. However there is direct relation between capital structure and growth opportunities.