PENGARUH KEBANGKRUTAN TERHADAP FINANCIAL DISTRESS DENGAN METODE Z-SCORE PADA PERBANKAN DI BEI

Abstract

This research aims to examine the predictions of corporate financial difficulties using the Altman Z-Score model with theories of Brigham and Houston, as well as on the influence of Working Capital to Total Assets, retained Earning to Total Assets, Earning Before Interest and Tax to Total Assets and Market Value of Equity to Book Value of Liability to Financial Distress.This type of research is causal research using the population of banking companies which listed in the Indonesia Stock Exchange from 2013-2016. The sampling technique used is purposive sampling which produces 33 banking companies. Data analysis technique using discriminant analysis processed using SPSS 23 program. The resulting discriminant function has a high enough validation rate of 95.5%. In this research, the variable ratio of working capital to total assets (wcta), retained earning to total assets (reta), earning before interest and tax to total assets (ebitta) and market value of equity to book value of liability (mvetl) positively influence to financial distress.

Keywords: financial distress, discriminant analysis, financial ratios of the altman z-score model.