Financial Distress A Case Study of Indonesia

Abstract

This study aimed to examine and analyze the influence of manajerial ownership, leverage and profitability on financial distress. The population of this study are manufacturing companies which were listed in Indonesia stock exchange. The sample selection using purposive sampling method. The data will be analysed using logistic regression. The result of this study showed that managerial ownership has not significant impact on financial distress, but profitability and leverage have a negative impact on financial distress. This research contributed to development of science, especially in the field of financial accounting The results of this study were also expected to be used by company managers to always maintain performance so that they avoid financial distress.