Proceedings of the 2018 International Conference on Islamic Economics and Business (ICONIES 2018)

The Effect of Liquidity and Profitability to Dividend Policy with Asset Growth as Moderating Variable (Study on Property Sector, Real Estate and Building Construction Listed on Indonesia Stock Exchange)

Authors
Muhammad Sulhan, Tri Yeni Herliana
Corresponding Author
Muhammad Sulhan
Available Online October 2019.
DOI
https://doi.org/10.2991/iconies-18.2019.4How to use a DOI?
Keywords
Dividend Policy, Liquidity, Profitability, Asset Growth
Abstract
Dividend Policy is the decision whether the profit earned by the company will be shared toward the shareholders as a dividend or will be held in the form of profit in order to be used to fund future investments. Investors prefer high dividends rather than low dividends because of its certainty. To minimize the uncertainty that might occur, investors need information taken from the company based on the company's performance from the financial report such as financial ratio analysis. This research is aimed to know the effect of liquidity and profitability toward the dividend policy and to know whether the asset growth can be used as moderation variable in the effect of liquidity and profitability toward the dividend policy. This research uses quantitative approach. The population used in this research is 63 companies in property, real estate, and building construction registered Indonesian Stock Exchange year 2014-2016. The sample used in this research is taken with purposive sampling technique, with a total of 14 companies. Analysis method used in this research is descriptive and inferential analysis, and data analysis used is Partial Least Square (SmartPLS3). The result showed that liquidity measured with CR and QR does not significantly influence dividend policy, and profitability measured with ROA and ROE does significantly and positively influence dividend policy. The asset growth measured with the total asset does not significantly influence dividend policy. The results suggest that asset growth does not significantly influence and enhance the effect of liquidity toward dividend policy. Whereas, the asset growth does not significantly influence and minimize the effect of profitability toward dividend policy.
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Proceedings
2018 International Conference on Islamic Economics and Business (ICONIES 2018)
Part of series
Advances in Economics, Business and Management Research
Publication Date
October 2019
ISBN
978-94-6252-817-8
ISSN
2352-5428
DOI
https://doi.org/10.2991/iconies-18.2019.4How to use a DOI?
Open Access
This is an open access article distributed under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Muhammad Sulhan
AU  - Tri Yeni Herliana
PY  - 2019/10
DA  - 2019/10
TI  - The Effect of Liquidity and Profitability to Dividend Policy with Asset Growth as Moderating Variable  (Study on Property Sector, Real Estate and Building Construction Listed on Indonesia Stock Exchange)
BT  - 2018 International Conference on Islamic Economics and Business (ICONIES 2018)
PB  - Atlantis Press
SP  - 23
EP  - 28
SN  - 2352-5428
UR  - https://doi.org/10.2991/iconies-18.2019.4
DO  - https://doi.org/10.2991/iconies-18.2019.4
ID  - Sulhan2019/10
ER  -