The Influence of Capital Structure, Liquidity, Asset Structure, and Asset Turnover to the Financial Performance of the Consumer Industry Sector In IDX

Abstract

The capital market industry is undergoing rapid growth. The company in carrying
out its operational activities, requires a large capital. To be able to obtain funds
easily, of course, the company must be in a healthy financial condition. This
healthy condition is reflected in the company's financial performance. The newness
of this research is to conduct empirical test about the effect of capital structure,
liquidity, asset structure and asset turnover to financial performance of consumer
industry sector in Indonesia Stock Exchange year 2014-2016. The difference with
previous research lies in the use of independent variables, the number of samples
used and the study period. This research is a quantitative research. The method of
analysis in this research is multiple linear regression analysis. Partial test result (t
test) shows that the variable of capital structure (DER), liquidity (CR), and asset
turnover (TATO) have significant effect to financial performance (ROA). While
the asset structure variable (FATA) has no significant effect on financial
performance (ROA).
Keyword: ROA, DER, CR, FATA, TATO