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Return on Assets, Debt Equity Ratio, Inventory Turnover on Equity Growth: Study on Manufacturing Companies Listed in IDX


Helin Garlinia Yudawisastra, Obsatar Sinaga, Erie Febrian and Sumantri
Abstract

This study explains the effect of return on assets, debt to equity ratio and inventory turnover on equity growth in manufacturing companies listed on IDX in the period 2011-2016. Sampling research using purposive sampling technique on 28 companies. The data used are secondary data from the financial statements of companies published by BEI in the period of study. In this research explained that return on assets of debt to equity ratio and inventory turnover have positive and significant effect to equity growth. Inventory Turnover has a positive and insignificant effect on equity growth in manufacturing companies listed on Indonesia Stock Exchange (IDX). Variable independent can explain 95.36% of the model, while 4.64% is explained by other factors not examined.

Volume 11 | 03-Special Issue

Pages: 833-841