The Influence of Current Ratio, Debt To Equity Ratio, and Total Asset Turn Over on Return on Assets in Manufacturing Companies Listed on the IDX for the 2019-2023 Period

Abstract

Return on Assets is a profitability ratio used to measure a company's effectiveness in generating profits by utilizing the assets it owns. This research aims to determine the influence of Return on Assets (ROA), Current Ratio (CR), Debt to Equity Ratio (DER), and Total Asset turnover (TATO) in industrial sector manufacturing companies listed on the Indonesia Stock Exchange (BEI) for the 2019 period. -2023. The research method used in this research is associative quantitative research, with a quantitative approach with a population of 66 manufacturing companies in the industrial sector. The sampling method used in this research was purposive sampling, 7 companies were obtained that met the specified sampling criteria. The analysis technique used in this research is multiple linear regression analysis. The data was processed using SPSS Version 26. The results show that there is no influence on the current ratio (CR), debt to equity ratio (DER) partially has no influence, while total asset turnover (TATO) influences the return on assets (ROA). Simultaneously the current ratio (CR), debt-to-equity ratio (DER), and total asset turnover (TATO) influence Return on Assets (ROA).