The influence of Company Size, Business Risk, Profitability, Liquidity, and Asset Structure in Automotive Sector Industry Companies Listed On the IDX For The 2018-2020 Period

Abstract

This study aims to analyze the effect of company size, business risk, profitability, liquidity, and asset structure on debt policy in automotive industry companies listed on the Indonesia Stock Exchange for the 2018-2020 period. Of the 13 issuers, a sample of 9 issuers was taken. This research method uses a quantitative approach and multiple linear regression data analysis using the SPSS version 21 program. Hypothesis testing uses the t test (partial) and the f test (simultaneous). The results of this study indicate that individually or partially the variables of firm size, profitability, and asset structure have an effect on debt policy, while business risk and liquidity variables have no significant effect on debt policy in industrial companies in the automotive sector. Company size, business risk, profitability, liquidity, and asset structure affect the debt policy of industrial companies in the automotive sector.