PENGARUH PERPUTARAN MODAL KERJA, LIKUIDITAS, DAN SOLVABILITAS TERHADAP PROFITABILITAS

Abstract

This research aimed to examine the effect of Woking Capital Turnover, Liquidity (Current Ratio) and Solvency (Debt to Asset Ratio) on Profitability (Retun on Asset) of PT. Dio Pratama Sidoarjo. While, the population was PT. Dio Pratama Sidoarjo. Moreover, the research was quantitative. Furthermore, it used data collocetion technique. Additionally, the data were secondary, which in the form of company’s financial statement during 2014-2018. In addition, the data analysis technique used multiple linear regression with SPSS (Statistical Package for Social Sciences) 20. The research result concluded Working Capital Turnover had negative and significant effect on profitability (Return on Asset). Meanwhile, this result supported the research of Dewi dan Khairunnis (2019). On the other hand, liquidity (Current ratio) had positive and significant effect on profitability (Return on Asset). Furthermore, this result supported the research of Meidiyusti and Ani (2016). Incontrast, Solvency (Debt to Asset Ratio) had negative and insignificant effect on probability (Return on Asset). The result supported the research of Maulita (2018).
Keywords: working capital turnover, liquidity, solvency, profitability