Effect of Capital Structure to Profitability on Textile and Garment Industry Company Listed on The Indonesia Stock Exchange 2010-2012
Abstract: This study aims to
identify and analyze the effect of capital structure on the proxied by DER to
profitability in the proxy with the ROE. The hypothesis is Debt to Equity Ratio
significant effect on return on equity in the companies listed in Indonesia
Stock Exchange. The sample in this study is the subsectors textile and garment
are listed in Indonesia Stock Exchange in2010-2012. Sampling using purposive
sampling so obtained a total sample of 15 textile and garment companies that
meet the criteria for the study sample that has been set. Capital structure
measured by DER, while profitability is measured by ROE. Hypothesis testing
using simple linear regression analysis using SPSS 18.0 for windows. The
results showed that partially DER significant negative effect on ROE textile
and garment manufacturing companies listed in Indonesia Stock Exchange.
Penulis: Rosmiaty Tarmizi,
Allansyah Pratama
Kode Jurnal: jpakuntansidd150618
