PENGGUNAAN RASIO AKUNTANSI DALAM MEMPREDIKSI FINANCIAL DISTRESS

Abstract

This research aimed to examine the use of financial distress ratios in predicting financial distress. The population
was manufacturing companies which were listed on Indonesia Stock Exchange (IDX) 2013-2017. While, the
research was quantitative, moreover, the data collection technique used purposive sampling, in which the sample
was based on criteria given. In line with, there were 40 companies as sample which were acquired per year
consisting of 20 distressing vompanies and 20 companies without distress with total of 200 firm years.
Furthermore, the data analysis technique used logistic regression analysis with SPSS 23. The research result
concluded liquidity which was leverage to current ratio, leverage which was referred to debt to asset and
activities which was referred to total asset turnover had negative effect on the financial distress. Meanwhile,
profitability which was leverage to profit margin, quick ratio and inventory turnover did not affect the financial
distress. On the other hand, debt to equity, return on asset, and return on equity had positif effect on the
financial distress.
Keywords: liquidity, leverage, profitability, activities, financial distress.