PENGARUH RASIO KEUANGAN DAN GOOD CORPORATE GOVERNANCE TERHADAP STRUKTUR MODAL

Abstract

The aim of this research is to examine the influence of financial ratios and good corporate governance on capital structure. The population in this research are property, real estate, and building construction companies which listed on Indonesia Stock Exchange. The sample is done by purposive sampling method. Based on the sampling criteria, there are 17 property. This research uses multiple linier regression analysis technique using SPSS (Statistical Product and Service Solutions) tool 24 version. The results showed that (1) Profitability has no influence on capital structure. The Company uses external funding for its investment activities. (2) Liquidity negatively influenced the capital structure. The company has a high level of liquidity will reduce the use of debt. (3) The asset structure has a negative influence on the capital structure. The higher the asset structure, the lower the use of debt (4) Asset growth does not influence the capital structure. (5) Managerial ownership does not influenced the capital structure because the average managerial share ownership is still low. (6) Institutional ownership negatively influenced the capital structure. The existence of institutional investors led to the use of debt decreased.
Keywords: Financial ratios, good corporate governance, capital structure