PENGARUH PERPUTARAN MODAL KERJA TERHADAP PROFITABILITAS PADA SEKTOR PERUSAHAAN MAKANAN DAN MINUMAN DI BURSA EFEK INDONESIA

Abstract

Working capital is a capital which company uses for its operational activities. This kind of capital is categorized into current assets. Moreover, it consisted of cash, account receivables, supply and other current assets. Furthermore, working capital turnover is one of the ratios which used to measure or examine the effectiveness of companies’ working capital during a certain period. Therefore, the research aimed to find out the effect of cash flow, account receivable flow and supply flow on profitability of Food and Beverages companies which were listed on Indonesia Stock Exchange during 2015-2019. Additionally, the data collection techniqueused purposive sampling, in which the sample was based on criteria given. In line with, there were 8 companies as the sample. In addition, the data analysis technique used multiple linear regression with SPSS. In short, the research result concluded cash flow had a significant effect on profitability. Likewise, account receivables flow as well as supply flow had a significant effect on profitability.
Keywords: cash flow, account receivable flow, supply flow, profitability