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.


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.


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