PENGARUH UKURAN PERUSAHAAN, PROFITABILITAS, DAN LEVERAGE TERHADAP PENETAPAN TINGKAT DISKONTO DALAM ADOPSI METODE EKUITAS

Abstract

This study aims to obtain empirical evidence of the effect of firm size, profitability, and leverage on the determination of the discount rate when the adoption of equity method. Firm size is measured by using natural logarithm of total company asset, Profitability is measured by Return on Equity (ROE), and Leverage is measured by Debt to Equity (DER). The discount rate is measured by the discount rate set by the company. The population in this study is a company listed Indonesia Stock Exchange during the year 2015-2016. The research data is obtained from the company's financial report on Bursa Effek Indonesia during the year 2015-2016. Pursuant to purposive sampling method, the sample obtained as many as 208 companies during 2015-2016. The hypothesis in this study was tested using multiple regression. The result of firm size analysis has negatif and not significant influence to the determination of discount rate and profitability and leverage analysis has positif and significant effect on the determination of discount rate at the time of adoption of equity method.