Pengaruh Profitabilitas, Likuiditas dan Solvabilitas Terhadap Kondisi Financial Distress

Abstract

The study was conducted to determine the effect of profitability, liquidity and solvency conditions financial distress in companies listed in the LQ 45 index for the 2015-2019 period. The type of research used is quantitative research. The population in this study are companies listed in the LQ 45 index for the 2015-2019 period, with a sample of 20 companies. The sampling technique used is purposive sampling. The data analysis technique used descriptive statistics, classical assumption test, and regression test. The results showed that the profitability ratio (return on assets) and liquidity ratio (current ratio) had a positive and significant effect on conditions financial distress, the solvency ratio (debt ratio) had a negative and significant effect on conditions financial distress.