PT. Kalbe Farma, Tbk's asset profitability and the impact of current, quick, and cash ratios
Keywords:
current ratio, quick ratio, cash ratioAbstract
This research was conducted to examine the effect of the Current Ratio, Quick Ratio, and Cash ratio on the profitability of assets at PT. Kalbe Parma, Tbk on the Indonesia Stock Exchange 2016-2020 The analysis technique used is multiple linear regression and hypothesis testing using t-statistics to test the partial regression coefficients and f-statistics to test the significance of the effect together with a significance level of 5%. The results of this study indicate that the Current Ratio, Quick Ratio, and Cash ratio simultaneously significantly affect asset profitability. Based on partial testing, the Current Ratio has a positive and significant effect on asset profitability, the current ratio has a negative and significant impact on asset profitability, and the quick ratio does not significantly affect the profitability of assets. The advice for further research is that it is expected to add other independent variables that can affect asset profitability. It is recommended that the BE level of asset profitability in other industrial sectors listed on the Indonesia Stock Exchange (IDX) be examined
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