An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia
This study intended to test the effect of the quick ratio on manufacturing firms’ profitability in Indonesia. To measure the profitability, three dependent variables were used: Net Profit Margin (NPM), Return On Assets (ROA) and Return On Equity (ROE). Several variable controls were used: firm size,...
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| Format: | Article |
| Language: | English |
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Laboratorium Rekayasa Sosial, Jurusan Sosiologi, FISIP Universitas Bangka Belitung
2022-12-01
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| Series: | Society |
| Subjects: | |
| Online Access: | https://society.fisip.ubb.ac.id/index.php/society/article/view/470 |
| _version_ | 1797631173846892544 |
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| author | Lanemey Brigitha Pandeirot Elvis Ronald Sumanti Andrew Christian Aseng |
| author_facet | Lanemey Brigitha Pandeirot Elvis Ronald Sumanti Andrew Christian Aseng |
| author_sort | Lanemey Brigitha Pandeirot |
| collection | DOAJ |
| description | This study intended to test the effect of the quick ratio on manufacturing firms’ profitability in Indonesia. To measure the profitability, three dependent variables were used: Net Profit Margin (NPM), Return On Assets (ROA) and Return On Equity (ROE). Several variable controls were used: firm size, variability in net operating income, sales growth, gross domestic product growth, and leverage. A total of 158 manufacturing firms with published financial statements from 2012 to 2016 were analyzed using a regression method. It is found that quick ratio has positive effects on manufacturing firms’ NPM and ROA. However, the same effect is not found on ROE.
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| first_indexed | 2024-03-11T11:18:12Z |
| format | Article |
| id | doaj.art-289bcf1d1e9845e88eb629e31599336f |
| institution | Directory Open Access Journal |
| issn | 2338-6932 2597-4874 |
| language | English |
| last_indexed | 2024-03-11T11:18:12Z |
| publishDate | 2022-12-01 |
| publisher | Laboratorium Rekayasa Sosial, Jurusan Sosiologi, FISIP Universitas Bangka Belitung |
| record_format | Article |
| series | Society |
| spelling | doaj.art-289bcf1d1e9845e88eb629e31599336f2023-11-10T16:42:20ZengLaboratorium Rekayasa Sosial, Jurusan Sosiologi, FISIP Universitas Bangka BelitungSociety2338-69322597-48742022-12-0110210.33019/society.v10i2.470An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in IndonesiaLanemey Brigitha Pandeirot0Elvis Ronald Sumanti1Andrew Christian Aseng2Universitas KlabatUniversitas KlabatUniversitas KlabatThis study intended to test the effect of the quick ratio on manufacturing firms’ profitability in Indonesia. To measure the profitability, three dependent variables were used: Net Profit Margin (NPM), Return On Assets (ROA) and Return On Equity (ROE). Several variable controls were used: firm size, variability in net operating income, sales growth, gross domestic product growth, and leverage. A total of 158 manufacturing firms with published financial statements from 2012 to 2016 were analyzed using a regression method. It is found that quick ratio has positive effects on manufacturing firms’ NPM and ROA. However, the same effect is not found on ROE. https://society.fisip.ubb.ac.id/index.php/society/article/view/470IndonesiaManufacturing FirmsNet Profit MarginProfitabilityQuick RatioReturn on Assets |
| spellingShingle | Lanemey Brigitha Pandeirot Elvis Ronald Sumanti Andrew Christian Aseng An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia Society Indonesia Manufacturing Firms Net Profit Margin Profitability Quick Ratio Return on Assets |
| title | An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia |
| title_full | An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia |
| title_fullStr | An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia |
| title_full_unstemmed | An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia |
| title_short | An Empirical Study of Quick Ratio and Profitability on Manufacturing Firms in Indonesia |
| title_sort | empirical study of quick ratio and profitability on manufacturing firms in indonesia |
| topic | Indonesia Manufacturing Firms Net Profit Margin Profitability Quick Ratio Return on Assets |
| url | https://society.fisip.ubb.ac.id/index.php/society/article/view/470 |
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