The Influence Of Working Capital Management On Return On Assets

(Empirical Study On Textile Companies Listed In Indonesia Stock Exchange Period 2017-2019)

  • Natasia Dwi Utami STIE Widya Gama Lumajang
  • Hesti Budiwati STIE Widya Gama Lumajang
  • Sukma Irdiana STIE Widya Gama Lumajang
Keywords: Cash Turnover, Accounts Receivable Turnover, Inventory Turnover and Return On Assets.

Abstract

The higher the rate of Return On Asset, the higher the profitability of the company. This study aims to analyze the effect of cash turnover, accounts receivable turnover and inventory turnover on the Return On Assets of textile companies listed on Indonesian Stock Exchange for the period 2017-2019. This research is quantitative with a sample of 48 companies that have met the criteria with a significance level of 5%. This research was conducted using secondary data and processed by multiple linear regression analysis method. The results of this study indicate that cash turnover and inventory turnover have no effect on Return On Assets in textile companies listed on Indonesian Stock Exchange for the 2017-2019 period, accounts receivable turnover has a positive and significant effect on Return On Assets in textile companies listed on Indonesian Stock Exchange for the 2017-2019 period. Meanwhile, cash turnover, accounts receivable turnover and inventory turnover simultaneously affect Return On Assets in textile companies listed on the Indonesian Stock Exchange for the 2017-2019 period.

References

Aisyah, S., Febrianty., Siswanti, H. D. A. B. I., Jony., Supitriani., Astuti., Jatiningrum, A. I. C., &Yuniningsih. (2020). Financial Management. Medan: Yayasan We Write.
Andalas, E. F., & Setiawan, A. (2020). Research Design Qualitative Literature (Vol. 1). Malang: UMMPress.
Anwar, M. (2019). The Basics Of Financial Management Of The Company. Jakarta: Kencana Prenada Media.
Anshori, M., & Iswati, S. (2017). Quantitative Research Methodology: Edition 1. Surabaya: Airlangga University Press.
Arifin, A. Z. (2018). Financial Management. Yogyakarta: Zahir Publishing.
Astawinetu, E. D., & Handini, S. (2020). Financial Management. Theory and Practice. Scopindo Media Library.
Diana, P. A., & Santoso, B. H. (2016). The influence of Cash Turnover, accounts Receivable, Inventory Profitability in Cement Company On the stock exchange. Journal of Science And Management Research (JIRM), 5(3).
Dimyati, J (2013). Methodology of Educational Research and Palikasinya In Early childhood Education (ECD). Jakarta: Kencana Prenada Media.
Duli, N. (2019). Quantitative Research methodology : Some Basic Concepts For Writing a Thesis & Data Analysis with SPSS. Yogyakarta: Deepublish.
Gunawan, C. (2018). Advanced Master SPSS:(Easy process Data with IBM SPSS Statistic 25). Yogyakarta: Deepublish.
Hantono. (2018). The concept of Analysis of Financial Statements with the Approach of the West and SPSS. Yogyakarta: Deepublish.
Hery. (2016). Analysis Of Financial Statements. Jakarta: PT. Grasindo.
Irfani, A. S. (2020). Financial management And Business, Theory and Applications. Jakarta: PT Gramedia Pustaka Utama.
Iqbal, A., & Wang, Z. (2018). Effect of Working Capital Management on Profitability. In 5 th International Conference on Key Engineering and Computer Science, College of Management, Ocean University of China, Qingdao, Shandong, China.
Karyoto. (2018). Financial management Concepts and Implementation. Malang: UB Press.
Kurniawan, A. (2019). Processing of Economic Research So Easily With IBM SPSS. Surabaya: Jakad Media Publishing.
Manzilati, A. (2017). Methodology Qualitative Research:Paradigms, Methods and Applications. Malang: UB Press.
Mardawani. (2020). Practical Qualitative Research: Basic Theory and Data Analysis In a Qualitative Perspective. Yogyakarta: Deepublish.
Mathuva, D. (2015). The Influence Of Working Capital Management Components On Corporate Profitability.
Mufarrikoh, Z. (2019). Statistics of Education: the Concept of Sampling and Hypothesis Testing. Surabaya: Jakad Media Publishing.
Noor, J. (2017). Research Methodology: Essay, Thesis, Dissertation & Scholarly Work. Jakarta: Prenada Media Group.
Permatasari, I., & Puspitasari, D. (2012). The Influence Of Working Capital Management On Profitability (Empirical Study Of Manufacturing Companies Listed In Indonesia Stock Exchange). ACCRUAL: Accounting Journal, 4(1), 35-50.
Ponsian, N., Chrispina, K., Tago, G., & Mkiibi, H. (2014). The Effect Of Working Capital Management On Profitability. International Journal of Economics, Finance and Management Sciences, 2(6), 347-355.
Putri, D. N., Windiana, L., & Pakpahan, O. P. (2020). Technology Frozendough and Sourdough (Vol. 1). Malang: UMMPress.
Rahayu, E. A. (2014). The influence of Cash Turnover, accounts Receivable Turnover and Inventory Turnover On Profitability of Manufacturing Companies. Journal Of The Science Of Management (Jim), 2(4).
Riyanto, S., & Hatmawan, A. A. (2020). Research methods Quantitative Research:Research in the Field of Management, Engineering, Education and Experimentation. Yogyakarta: Deepublish.
Sahide, M. A. K. (2019). Textbook Social Research Methodology : Skills Minimum For Scientific Writing Techniques. Makassar: Fakultas Kehutanan Universitas Hasanuddin.
Sarmanu. (2017). Basic Quantitative Research Methodology, Qualitative and Statistics. Surabaya: Airlangga University Press.
Septiana, A. (2019). Analysis Of Financial Statements. Pamekasan: Duta Media Publishing.
Seputra, Y. E. A. (2019). Kupas Tuntas Management Budgeting; Equipped Example of Budget in the Form of Excel (the First). Yogyakarta: Expert.
Seran, S. (2020). The methodology of the Economic and Social Research. Yogyakarta: Deepublish.
Siregar, S. (2017). Quantitative Research methods: Equipped with a Comparison of the Calculations Manual & SPSS. Jakarta: Prenada Media Group.
Sugeng, B. (2017). Financial Management Fundamentals. Yogyakarta: Deepublish.
Sumanto. (2020). Theory & Application Of Research Methodology: Psikoloigi, Educational, Economic, Business And Social. Yogyakarta: ANDI.
Suroso, S. (2018). The Performance Of Islamic Banks (The First). Expert.
Unaradjan, D. D. (2019). Quantitative Research Method. Jakarta: Unika Atma Jaya Jakarta.
Utami, M. S., & Dewi, M. R. (2015). The influence of working capital management on profitability of manufacturing companies listed in Indonesia stock Exchange. E-Journal Of Management, 5(6).
Wairooy, M. A. (2019). The influence of Working Capital Turnover and Inventory Turnover To Profitability (At the Company Manufacturing the Textile and Garment Sector in Indonesia stock Exchange). Journal Of Economic Balance Of The Faculty Of Economics And Business, 15(2).
Wijaya, H. (2019). Qualitative Data Analysis: A Review Of Theory & Practice. Makassar: High School Theologia Jaffray.
Yuesti, A., Putu, & Kepramareni. (2019). Financial Management Window Management Business. CV. Noah Aletheia.
www.idx.co.id accessed on January 16, 2021.
Published
2021-09-20