PENGARUH UKURAN PERUSAHAAN, PROFITABILITAS, DAN LIKUIDITAS TERHADAP STRUKTUR MODAL PERUSAHAAN COSMETICS HOUSEHOLDS

Abstract

The development of cosmetic products in Indonesia is one of the large potentials for the domestic market in the millennial generation. This research is based on the phenomenon of the Cosmetics and Households business world, experiencing a drastic decline in sales due to the Covid-19 pandemic and even many companies having to make various efforts, including the innovation to survive in the business during the Covid- 19 pandemics. This research aimed to find out and analyze the effect of firm size, profitability and liquidity on the capital structure at Cosmetics and Households listed in IDX. Firm size was measured by size, profitability was measured by return on equity, liquidity was measured by current ratio. This research used a quantitative method. The sample collection technique used a purposive sampling method. Based on the purposive sampling method, it obtained 6 samples from 7 companies of Cosmetics and Households listed on the Indonesia Stock Exchange in 2014 - 2020. Furthermore, the analysis method of this research used multiple linear regressions analysis with SPSS program 26,0 version. The research result showed that firm size did not have any effect on the capital structure. Meanwhile, the profitability had a significant effect on the capital structure and liquidity had a significant effect on the capital structure.
Keyword:firm size, profitability, liquidity, capital structure