“The Influence of Working Capital Efficiency, Liquidity and Solvability to Profitability of Go Public Real Estate and Property Company ini Jakarta Stock Exchange (Period 2002 – 2006)”

Abstract

This research aim to analysis and obtain the empirical evidence concerning existence of work capital efficiency influence, liquidity and solvability to profitability both partially and simultaneously. Both real estate sector and property chosen as the research subject with consideration that this sector was very influence by fluctuation of bank rate. This sector also able grasped the much labor therefore could give significant enough contribution for national economy. Free variable which predict have the influence to profitability (ROI and ROE) capital work turnover, inventory turnover, current ratio, leverage and debt to equity ratio. Sample definition used sampling purposive method, by criteria that company which move in both real estate and property, already go public in BEJ by analysis period 2002-2006, give financial report to BEJ about five years respectively on 2002-2006 and that financial report company should known concerning work capital turnover, stock turnover, current ratio, quick ratio, leverage and debt to equity ratio, ROI and ROE. Therefore from total population including 38 companies, selected 33 companies as samples. Analysis tool used in this research was simple linear regression, double linear regression and classic assumption test by using SPSS 13 program For Windows. Research result by simple linear regression that free variable which significant influence to profitability (ROI) was work capital turnover (WCT), inventory turnover (INV TO), current ratio (CR) and leverage ratio (LEV), eventhough free variable which has significant influence to profitability (ROE) only work capital turnover (WCT). Research result by F test shows that simultaneously all free variable have significant influence to profitability (ROI and ROE).