The Effect of Current Ratio and Debt to Asset Ratio on Net Profit Margin at PT. Polychem Indonesia Tbk. Period 2013-2022

Abstract

This study aims to determine the effect of Current Ratio and Debt to Asset Ratio on Net Profit Margin at PT. Polychem Indonesia Tbk. Period 2013-2022. The research method used is quantitative research sourced from financial statement data of PT. Polychem Indonesia Tbk. Period 2013-2022. The statistical analysis used includes: descriptive statistics, classical assumptions, linear regression, correlation coefficient, coefficient of determination and hypothesis testing used are t test statistics and F test. The results of this test show that the Current Ratio partially has a significance value of 0.777 > 0.05 and a calculated value of -0.294 < a ttable value of 2.364. This means that there is no significant effect of Current Ratio on Profit Growth. Debt to Asset Ratio partially has a significance value of 0.079 < 0.05 and a calculated value of -2.054 < a table value of 2.364. This means that there is no significant effect of Debt to Asset Ratio on Net Profit Margin. Current Ratio and Debt to Asset Ratio simultaneously 0.127 < 0.05 and Fcalculate value and value 2.807 < Ftable value 4.740. This means that there is no significant influence between the Current Ratio and Debt to Asset Ratio on Net Profit Margin.