PENGARUH RASIO LIKUIDITAS, LEVERAGE DAN AKTIVITAS TERHADAP PERTUMBUHAN LABA

Abstract

This research aimed to find out the effect of liquidity (current ratio). Leverage (debt to Equity Ratio), and activity (Total Asset Turnover) on the profit growth. Furthermore, the research population used food and beverages sector companies listed on Indonesia Stock Exchange. Mean while, the sample selected 21 companies in the sector of Food Beverages listed in Indonesia Stock Exchange in the periods of 2015-2019. The sample of this research was determined based on the purpositive sampling. Moreover, the analysis data used multiple linier regression. While, the research result showed that: a) The current ratio did not have any effect on profit growth. These show a high current ratio was not necessary followed by an increase in profit growth: b) the debt to equity ratio had a positive and significant effect on the profit growth. These showed that the higher the debt to equity ratio indicated higher the use of debt as a source of company funding, the profit grwoth would increase: c) Total asset turnover did not have any significant effect on the profit growth. This meant that the higher the total asset turnover it was not necessarily followed by the increase of profit growth because the company didn’t use activa to create the sales which were able to produce profit growth.

Keyword : current ratio, debt to equity ratio, total asset turnover, profit growth.