PENGARUH PERPUTARAN MODAL KERJA, LEVERAGE, DAN LIKUIDITAS TERHADAP PROFITABILITAS

Abstract

This research aimed to examine the effect of working capital turnover, leverage, and liquidity on profitability. While, the population was Food and Beverages companies which were listed on Indonesia Stock Exchange (IDX) during 2015-2019. Moreover, the research was quantitative. Furthermore, the data collection technique used purposive sampling, in which the sample was based on criteria given. In line with, there were 14 companies as the sample. Additionally, the data analysis ttechnique used multiple liniear regression. According to the research result, it concluded that as follows: (a) working capital turnover did not affect profitability. This showed the number of working capital turnover relied on effectiveness of its capital in gainning sales to increase profitability, (b) leverage had a negative effect on profitability. It described debt as companies’ fund source, with interest expense, caused smaller income or profit, (c) liquidity had a positive effect on profitability. This viewed companies had inveted a bigger fund on current assets.
Keywords: working capital turnover, leverage, liquidity, profitability