The Impact of Islamic Financing and Conventional Financing on Companies' Performance (A Comparative Study of Industrial Companies Listed on the Amman Stock Exchange)
Basem M. Hamouri, Qasem Hamouri, Mahmoud Radaydeh

Abstract
This study aimed to demonstrate the impact of Islamic financing and conventional financing on the performance of Jordanian industrial companies during the period (2001-2010) in comparison between them. The study used a set of financial ratios to measure the impact of Islamic and conventional financing on the companies' performance included in the study sample. The study used (T-test) and (F-test) to check whether there were statistically significant differences among the financing types used by industrial companies and its impact on their performance. The study concluded that companies which use the Islamic financing system achieve obvious advantages in most financial ratio used to measure the performance of these companies. The study showed that there are no statistically significant differences between companies that follow Islamic financing system and companies that follow conventional financing system for all financial ratios except (the rate of income to expenses, the rate of profit to expenses.) In addition, the study showed that there are statistically significant differences at the level of α (0.05), and statistically significant differences at the level of α (0.10) for (borrowing rate to equity, asset utilization rate, and efficiency of operations index).

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