Abstract

The main focus of this research is to know and analyze the influence of business risk, liquidity and asset growth on capital structure at construction service companies listed in Bursa Efek Indonesia 2014-2016. This research also wanted to test variable of existing variable, because there is difference with previous research. The capital structure (Debt Equity Ratio) is an independent variable in this study, which emphasizes the use of debt in meeting the capital structure of the company. business risk, liquidity and asset growth are the dependent variables in this study. This study uses secondary data with data source from Indonesia Stock Exchange construction service company in 2014-2016. The sample was chosen by purposive sampling method so that 52 samples of the company were obtained. The test is done by multiple linear regression analysis using SPSS. The results of this study indicate that liquidity has a significant influence on capital structure, while business risk and asset growth have no effect on capital structure

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