Analysis of Factors Affecting Capital Structure in Food and Beverage Companies in the Indonesia Stock Exchange

Abstract

The capital structure of food and beverage sector companies on the Indonesia Stock Exchange is influenced by several variables, such as; Profitability, Liquidity and Activities of the company. The purpose of this study is to analyze the factors that influence the Capital Structure of Food and Beverage Sector Companies on the Indonesia Stock Exchange (IDX). The population of the Food and Beverage Sector Companies on the Indonesia Stock Exchange (IDX) for the 2014 – 2018 period is 30 companies and 11 companies can be sampled. The analysis method uses the Classical Assumption Test, Correlation Test, Multiple Linear Regression, ANOVA Test and Partial t Test, using SPSS Software Version 22. The results showed that the Current Ratio and Asset Structure had a significant effect on the capital structure of the Food and Beverage Sector Companies on the Indonesia Stock Exchange, while Return on Equity had no significant effect. Taken together, ROE, CR and SA have a significant effect on the Capital Structure of Food and Beverage Sector Companies on the IDX.