Effect of Asset Structure and Firm Size on Capital Structure (Case Study on Food and Beverage Companies on the Indonesian Stock Exchange) (original) (raw)
Related papers
Jurnal Ekonomi dan Bisnis Digital
The purpose of this research is to identify and analyse the relationship between business size and capital structure in the food and beverage industry in Indonesian public firms listed on the Indonesia Stock Exchange in the years 2028-2021. Three factors profitability, liquidity, and asset structure are evaluated here, with a moderating variable, namely company size. 28 food and beverage companies were sampled in this study using method of selecting samples on purpose. Two types of regression analysis, multiple and moderated, are used in this investigation. The findings of this research show that capital structure is influenced by profitability, liquidity, and asset structure, and that the impact of these factors is tempered by firm size.
Analysis of Capital Structure in Various Industry Companies on the Indonesia Stock Exchange
https://www.ijrrjournal.com/IJRR\_Vol.8\_Issue.2\_Feb2021/IJRR-Abstract080.html, 2021
The finances of a company are determined by the capital structure. There are variables that effect the capital structure of a company, for example, such as asset structure, liquidity (quick ratio), and profitability (GPM). This study aims to determine the effect that occurs between asset structure with capital structure, liquidity with capital structure, and profitability with capital structure. The data collection technique used a purposive sample, and there were 9 samples of companies from 39 populations of various industry companies listed on the Indonesia Stock Exchange (BEI) in 2014-2018. The analysis model uses multiple linear regression. Based on the results of the F test, it shows that the value of Fcount>Ftable is 9.508>2.83, so that simultaneously the asset structure, liquidity, profitability have an effect on the capital structure of companies in various industry companies on the Indonesia Stock Exchange. Whereas in the t test, asset structure, liquidity, profitability do not partially effect the capital structure.
Analysis of Factors That Influence the Capital Structure
ICORE, 2020
The industry that has been increasingly needed in recent time is the automotive and spare parts company. Based on the consideration of the importance of establishing a capital structure for the continuity of the company, it encourages researcher to conduct research on the factors that affect the capital structure of automotive and spare parts company on the Indonesia Stock Exchange. This study aims to test whether the capital structure, ROA, company size and the growth of the sales affect the capital structure of automotive and spare parts company on the Indonesia Stock Exchange. The analysis in this study used multiple linear regression. The sampling method that is used in this study is the purposive sampling method. The data is taken from the company's annual financial statements on the Indonesia Stock Exchange from 2011 to 2017. The result of this study indicate that the asset structure has a positive effect on capital structure, ROA does not affect the company's value, the size of the company negatively affects the capital structure and sales growth does not affect the capital structure.
Determinants of Capital Structure: Empirical Evidence from the Indonesia Stock Exchange
2018
Capital structure strategy relates to the composition of debt and equity, which will deliver the highest profitability to the companies. To analyze the variables affecting the capital structure, this study utilized yearly financial statements from 2001 to 2015 with the exclusion of 2008, for 136 non-financial public companies listed on the Indonesia Stock Exchange. This study adopted an econometric approach of t-test, correlation coefficient, difference test and descriptive statistics analysis. The variables adopted are net debt-to-equity ratio as the dependent variable, size, profitability, asset structure, liquidity, sales growth and capital expenditure as the independent variable. This study found that for overall market, size, profitability, asset structure and sales growth have a significant relationship with capital structure. On the other hand, this study found no significant relationship between liquidity and capital structure. The findings of this study suggested that the m...
Factors Affecting The Capital Structure And Effect On Its Performance
2017
This study aimed to investigate factors that determine the structure of<br> capital and its impact on firm performance. Variable used include debt ratio,<br> return on asset, tangibility, size, growth, and liquidity. This study uses a<br> quantitative approach to the analysis and uses two stages least square (TSLS) as a<br> model. This study used a target all sector of listed companies in Indonesian Stock<br> Exchange on 2011-2015, unless financial sector. The number of observations used in This study was 1370 observations. The result showed that tangibility has a<br> positive and significant impact on the capital structure. While size, growth, and<br> liquidity had a negative and significant impact on the capital structure. For the<br> second model, tangibility has a negative and significant impact on firm<br> performance, while size and growth have a positive and significant impact on firm<br> performance. Debt ratio has ...
The Effect of Capital Structure on Company Financial Performance
Jurnal Economia
This study aims to examine the effect of capital structure on the company's financial performance particularly in manufacturing companies listed on the Indonesia Stock Exchange for the 4 years period from 2014 to 2018. Capital structure is measured by Market Total Leverage (MTLEV), Market Long-Term Leverage (MLLEV) and Market Short-Term Leverage (MSLEV). On the other hand, the company's financial performance is measured by Return on Equity (ROE) and Price to Book Value (PBV). The populations in this study are manufacturing companies listed on the Indonesia Stock Exchange and the selection of samples was determined by purposive sampling method, with the final samples as many as 333 company-years. The type of data used is secondary data from IDX using multiple regression analysis methods. The results of the analysis show that the capital structure has negative and significant effect on the company's financial performance in each model.
Determinants of Capital Structure
Proceedings of the International Conference on Banking, Accounting, Management, and Economics (ICOBAME 2018), 2019
This study analyses the capital structure of manufacturing companies listed on the Indonesia Stock Exchange. Capital structure is an important part of the company, because it relates to the composition of the company's debt. Investors need to know the problems of the company's capital structure, as one of the considerations in determining their investment policy. The study uses secondary data, with independent variables of profitability (Return on Equity), sales growth, asset structure, liquidity (Current Ratio), tax and business risk. As an independent variable is the capital structure (Debt to Equity Ratio). Data analysis used multiple regression analysis, while sampling was done by purposive sampling method. The results showed that liquidity (Current Ratio) had a negative effect on the significance of less than 1%. While profitability (Return on Equity), sales growth, asset structure, tax and business risk do not affect the capital structure. Keywords—profitability; sales...
Journal Universitas Muhammadiyah Gresik Engineering, Social Science, and Health International Conference (UMGESHIC), 2021
The purpose of this study was to examine whether or not the influence of the independent variables of liquidity and asset structure on capital structure with firm size as a control variable. The object of this research is a manufacturing company listed on the Indonesia Stock Exchange (IDX) which is engaged in the consumer goods industry sector for the period 2017 to 2020. Research data collection is carried out by using documentation techniques on the sample company financial statement items. By using purposive sampling, the final sample size was 35 company. The research hypotheses were tested using multiple linear regression analysis Hypothesis test results. The results showed that the independent variable liquidity had a significant negative effect on capital structure. The independent variable of asset structure has no significant positive effect on capital structure. And the control variable firm size has no significant positive effect on capital structure.
THE EFFECT OF CAPITAL STRUCTURE ON FINANCIAL
Conference Proceedings DOKBAT, 2016
Abstract The aim of this study is to investigate the impact of capital structure on financial performance of firms. For this purpose180 manufacturing companies listed on Borsa Stock Exchange Istanbul Turkey over the period 2004 to 2013 were examined. Return on Assets (ROA) and Return on Equity (ROE) are the two performance indicators. Total Debt to Total Assets (TDTA) and Long term Debt to Total Assets (LDTA) were introduced as the capital structure of firms while size, sale growth, tangibility, intangibility and risk where included in the model as control variables. The first result obtained confirm that long term debt and total debt have a negative significant effect on the financial performance of the firm measured by ROA, While the second confirm that long term debt and total debt have no significant effect on the financial performance of the firm measured by ROE. Keywords: capital structure, firm performance, return on equity, return on assets, Borsa Stock Exchange, emerging economy
The purpose of this study is to find empirical evidence of the determinants of the company's capital structure that is consistently incorporated in the 2014-2018 food and beverage sub-sector. The population of this study are all companies that are consistently incorporated in the food and beverage sub-sector during the study period. The data used are secondary data in the form of company financial statements. The statistical test used to test the hypothesis is panel data regression with the comment effect approach. Hypothesis test results show that asset structure has a positive and significant effect on capital structure, conversely profitability and liquidity partially have negative effect but not significantly on capital structure.