The Effect of Debt to Assets Ratio, Return on Assets, and Total Assets Turnover on Financial Distress

Authors

  • Andreas Josafat Hidayat Universitas Mercu Buana
  • Rista Bintara Universitas Mercu Buana

DOI:

https://doi.org/10.30993/jicab.v3i1.445

Keywords:

Rasio Utang terhadap Aset, Tingkat Pengembalian Aset, Perputaran Total Aset, Kesulitan Keuangan, Industri Properti dan Real Estat

Abstract

This study aims to analyze the effect of Debt Assets Ratio, Return on Assets, and Total Assets Turnover on Financial Distress in property and real estate companies listed on the Indonesia Stock Exchange (IDX) for the period 2019-2022. The independent variables in this study are Debt Assets Ratio, Return on Assets, and Total Assets Turnover, while the dependent variable is Financial Distress which is measured using the Altman Z-Score. The data used are secondary data from property and real estate companies listed on the IDX and taken from the official website www.idx.co.id. This study uses a purposive sampling method by selecting 16 companies that meet the criteria as samples so that there are a total of 64 observation data. The analysis method used is multiple linear regression with the help of SPSS 26. The study results indicate that the Debt to Assets Ratio has a negative effect on Financial Distress, Return on Assets and Total Assets Turnover have no impact on Financial Distress.

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Published

2025-03-12

Issue

Vol. 3 No. 1 (2025): JICAB

Section

Articles

License

Copyright (c) 2025 The Effect of Debt to Assets Ratio, Return on Assets, and Total Assets Turnover on Financial Distress © 2025 by Andreas Josafat Hidayat, Rista Bintara is licensed under CC BY-NC 4.0

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Journal of Islamic Contemporary Accounting and Business © 2023 by Tazkia Islamic University College is licensed under CC BY-NC 4.0 

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