PENGARUH CURRENT RATIO, DEBT TO ASSET RATIO, DEBT TO EQUITY RATIO TERHADAP FINANCIAL DISTRESS DENGAN RETURN ON ASSET SEBAGAI VARIABEL MODERASI PADA PERUSAHAAN RETAIL YANG TERDAFTAR DI BEI PERIODE 2019-2023

Abstract

Abstract The purpose of this study is to analyze the effect of Current Ratio, Debt to Asset Ratio, Debt to Equity Ratio, and Return On Asset on Financial Distress. This study is also analyze the moderates effect of Return On Asset to the relation of Current Ratio, Debt to Asset Ratio, Debt to Equity Ratio to Financial Distress in retail companies listed on the IDX for the period 2019-2023. The data analysis method of this study uses a quantitative approach and uses statistical analysis, hypothesis testing, and model analysis. SmartPLS is used as software in data processing. The research findings indicate that there is no significant effect between Current Ratio, Debt to Asset Ratio, Debt to Equity Ratio, Return On Asset on Financial Distress. and Return On Asset does not significantly moderate the effect of Current Ratio, Debt to Asset Ratio, Debt to Equity Ratio on Financial Distress in Retail Companies Listed on the IDX for the period 2019-2023. For further researchers, it is better to use other methods in predicting corporate bankruptcy so that more accurate significant differences can be known in testing the effect of financial performance on corporate bankruptcy. In addition, it is also recommended for further researchers to add proxies of liquidity, leverage and profitability so that they can represent the financial ratios.