DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE
The pulp and paper industry contributes to the Indonesian economy, especially to the non-oil and gas processing industry. Empirical research shows that pulp and paper companies listed on the Indonesia Stock Exchange (IDX) indicated financial distress. This study aims to find the effect of liquidity,...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
| Published: |
Bogor Agricultural University
2020-11-01
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| Series: | Jurnal Manajemen & Agribisnis |
| Online Access: | https://jurnal.ipb.ac.id/index.php/jmagr/article/view/34146 |
| _version_ | 1818822536494841856 |
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| author | Augustina Kurniasih Heliantono Agus Herta Sumarto Rianti Setyawasih Isti Pujihastuti |
| author_facet | Augustina Kurniasih Heliantono Agus Herta Sumarto Rianti Setyawasih Isti Pujihastuti |
| author_sort | Augustina Kurniasih |
| collection | DOAJ |
| description | The pulp and paper industry contributes to the Indonesian economy, especially to the non-oil and gas processing industry. Empirical research shows that pulp and paper companies listed on the Indonesia Stock Exchange (IDX) indicated financial distress. This study aims to find the effect of liquidity, leverage, profitability, and efficiency on pulp & paper companies' financial distress listed on the IDX. Using the Altman Z-score as a measure of financial distress, it was found that profitability, efficiency, and liquidity had a significant adverse effect on financial distress. In contrast, leverage had a significant positive effect on financial distress. Profitability has the greatest influence on financial distress, so it needs the primary intention of management.
Keywords: financial distress, liquidity, profitability, leverage, efficiency |
| first_indexed | 2024-12-18T23:25:39Z |
| format | Article |
| id | doaj.art-719e083e7e1e40ba89ea1f29b829c228 |
| institution | Directory Open Access Journal |
| issn | 1693-5853 2407-2524 |
| language | English |
| last_indexed | 2024-12-18T23:25:39Z |
| publishDate | 2020-11-01 |
| publisher | Bogor Agricultural University |
| record_format | Article |
| series | Jurnal Manajemen & Agribisnis |
| spelling | doaj.art-719e083e7e1e40ba89ea1f29b829c2282022-12-21T20:47:47ZengBogor Agricultural UniversityJurnal Manajemen & Agribisnis1693-58532407-25242020-11-0117325425410.17358/jma.17.3.25434146DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGEAugustina Kurniasih0Heliantono1Agus Herta Sumarto2Rianti Setyawasih3Isti Pujihastuti4Mercu Buana UniversityMercu Buana UniversityMercu Buana UniversityIslamic University 45 BekasiIslamic University 45 BekasiThe pulp and paper industry contributes to the Indonesian economy, especially to the non-oil and gas processing industry. Empirical research shows that pulp and paper companies listed on the Indonesia Stock Exchange (IDX) indicated financial distress. This study aims to find the effect of liquidity, leverage, profitability, and efficiency on pulp & paper companies' financial distress listed on the IDX. Using the Altman Z-score as a measure of financial distress, it was found that profitability, efficiency, and liquidity had a significant adverse effect on financial distress. In contrast, leverage had a significant positive effect on financial distress. Profitability has the greatest influence on financial distress, so it needs the primary intention of management. Keywords: financial distress, liquidity, profitability, leverage, efficiencyhttps://jurnal.ipb.ac.id/index.php/jmagr/article/view/34146 |
| spellingShingle | Augustina Kurniasih Heliantono Agus Herta Sumarto Rianti Setyawasih Isti Pujihastuti DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE Jurnal Manajemen & Agribisnis |
| title | DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE |
| title_full | DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE |
| title_fullStr | DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE |
| title_full_unstemmed | DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE |
| title_short | DETERMINANT OF FINANCIAL DISTRESS: THE CASE OF PULP & PAPER COMPANIES REGISTERED IN INDONESIA STOCK EXCHANGE |
| title_sort | determinant of financial distress the case of pulp paper companies registered in indonesia stock exchange |
| url | https://jurnal.ipb.ac.id/index.php/jmagr/article/view/34146 |
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