The Determinant Analysis of Capital Structure Policy at Listed Companies on Jakarta Islamic Index

DOI

10.2991/aebmr.k.200520.012How to use a DOI?

Keywords

capital structure, assets structure, profitability, firm size

Abstract

This study investigates the determinant factors of capital structure policy at listed company on Jakarta Islamic Index (JII) circa 2016-2018. There are many factors that would affect the capital structure. This study implemented three independent variables to represent some of major factors affecting capital structure, which comprise of assets structure (measured by FATAR), profitability (measured by ROA), and firm size (measured by sales level). Meanwhile, the capital structure as a dependent variable was measured by DAR. Secondary data have been used in this study and were collected from 20 samples of listed companies on JII, which was observed over the course of three years. This study employed regression of panel data as the methods. The results have shown that the assets structure was significantly affected capital structure, while profitability and firm size have no significant effect toward capital structure.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Ruth Samantha Hamzah
AU  - Mutiara Lusiana Annisa
AU  - Patmawati
PY  - 2020
DA  - 2020/05/23
TI  - The Determinant Analysis of Capital Structure Policy at Listed Companies on Jakarta Islamic Index
BT  - Proceedings of the 5th Sriwijaya Economics, Accounting, and Business Conference (SEABC 2019)
PB  - Atlantis Press
SP  - 57
EP  - 63
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.200520.012
DO  - 10.2991/aebmr.k.200520.012
ID  - Hamzah2020
ER  -