Table 4.
Correlation and multicollinearity test of main variables.
| Variables | lnSCORE | ER1 | ER2 | ER3 | EGP2 | SIZE | GROWTH | BSIZE | DUAL | AGE | LR | BIG4 | OP | VIF |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| lnSCORE | 1.000 | |||||||||||||
| ER1 | −0.067*** | 1.000 | 1.07 | |||||||||||
| ER2 | 0.068*** | −0.141*** | 1.000 | 1.05 | ||||||||||
| ER3 | 0.251*** | −0.026** | −0.050*** | 1.000 | 1.02 | |||||||||
| EGP | 0.152*** | −0.001 | 0.020 | 0.065*** | 1.000 | 1.03 | ||||||||
| SIZE | −0.205*** | −0.027** | 0.041*** | −0.029** | −0.083*** | 1.000 | 1.27 | |||||||
| GROWTH | −0.115*** | 0.045*** | 0.056*** | −0.025* | 0.012 | 0.037*** | 1.000 | 1.03 | ||||||
| BSIZE | 0.084*** | −0.014 | −0.005 | 0.018 | −0.016 | 0.245*** | 0.011 | 1.000 | 1.10 | |||||
| DUAL | 0.143*** | 0.086*** | −0.036*** | 0.013 | 0.049*** | −0.043*** | −0.123*** | 0.058*** | 1.000 | 1.07 | ||||
| AGE | 0.512*** | −0.009 | 0.096*** | 0.059*** | 0.115*** | −0.363*** | −0.055*** | 0.068*** | 0.166*** | 1.000 | 1.48 | |||
| LR | −0.137*** | −0.102*** | −0.011 | −0.042*** | −0.077*** | 0.061*** | −0.008 | −0.004 | −0.070*** | −0.131*** | 1.000 | 1.04 | ||
| BIG4 | 0.240*** | −0.136*** | −0.021 | 0.076*** | 0.054*** | −0.077*** | −0.077*** | −0.014 | 0.111*** | 0.152*** | −0.045*** | 1.000 | 1.07 | |
| OP | 0.207*** | −0.030** | 0.040*** | 0.016 | 0.005 | −0.111*** | −0.026** | 0.022 | 0.061*** | 0.388*** | −0.053*** | 0.058*** | 1.000 | 1.18 |
Note: * * *, * *, and * are significant levels of 1%, 5%, and 10% respectively, from now on.