Controlling variable indirect WCTO as the mediating variable against ROE

This study aims to examine the direct and indirect effect of current ratio and working capital turn over (WCTO) dan return on Equity (ROE), with WCTO serving as a mediating variable , pharmaceutical sub sector company list on the Indonesia Stock Exchange (IDX) during the 2019-2023 period. The Resea...

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Main Authors: Nurhana Dhea Parlina, Maiyaliza Maiyaliza, Erwin Budianto
Format: Article
Language:English
Published: Program Studi Keuangan dan Perbankan, Fakultas Ekonomi dan Bisnis, Universitas Komputer Indonesia 2025-08-01
Series:Jurnal Ilmu Keuangan dan Perbankan
Online Access:https://ojs.unikom.ac.id/index.php/jika/article/view/15975
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author Nurhana Dhea Parlina
Maiyaliza Maiyaliza
Erwin Budianto
author_facet Nurhana Dhea Parlina
Maiyaliza Maiyaliza
Erwin Budianto
author_sort Nurhana Dhea Parlina
collection DOAJ
description This study aims to examine the direct and indirect effect of current ratio and working capital turn over (WCTO) dan return on Equity (ROE), with WCTO serving as a mediating variable , pharmaceutical sub sector company list on the Indonesia Stock Exchange (IDX) during the 2019-2023 period. The Research adopts a quantitative approach using secondary data in the form on annual financial statements. The sample was selected  using purposive sampling resulting in 40 data point from 8 companies. The analytical method use is path analysis support by 25 software. During the observation method, average sales in pharmaceutical sub sector industry show a declining tren leading to decrease in both profit and working capital. However data also indicate the beginning of the new growth in this sector. Therefore this study was conducted in the response to these on  emerging patterns. The result show that WCTO has significant indirect effect on ROE while the current ratio doesnot have a direct impact  on ROE Keywords: Path Analysis; CR; WCTO; ROE; Finance
format Article
id doaj-art-e856d2383d7649dfbaba4bdd1997d6e3
institution Kabale University
issn 2089-2845
2655-9234
language English
publishDate 2025-08-01
publisher Program Studi Keuangan dan Perbankan, Fakultas Ekonomi dan Bisnis, Universitas Komputer Indonesia
record_format Article
series Jurnal Ilmu Keuangan dan Perbankan
spelling doaj-art-e856d2383d7649dfbaba4bdd1997d6e32025-08-20T03:59:32ZengProgram Studi Keuangan dan Perbankan, Fakultas Ekonomi dan Bisnis, Universitas Komputer IndonesiaJurnal Ilmu Keuangan dan Perbankan2089-28452655-92342025-08-0114210.34010/jika.v14i2.15975Controlling variable indirect WCTO as the mediating variable against ROENurhana Dhea Parlina0Maiyaliza Maiyaliza1Erwin Budianto2Universitas Swadaya Gunung JatiUniversity Swadaya Gunung JatiUniversity Swadaya Gunung Jati This study aims to examine the direct and indirect effect of current ratio and working capital turn over (WCTO) dan return on Equity (ROE), with WCTO serving as a mediating variable , pharmaceutical sub sector company list on the Indonesia Stock Exchange (IDX) during the 2019-2023 period. The Research adopts a quantitative approach using secondary data in the form on annual financial statements. The sample was selected  using purposive sampling resulting in 40 data point from 8 companies. The analytical method use is path analysis support by 25 software. During the observation method, average sales in pharmaceutical sub sector industry show a declining tren leading to decrease in both profit and working capital. However data also indicate the beginning of the new growth in this sector. Therefore this study was conducted in the response to these on  emerging patterns. The result show that WCTO has significant indirect effect on ROE while the current ratio doesnot have a direct impact  on ROE Keywords: Path Analysis; CR; WCTO; ROE; Finance https://ojs.unikom.ac.id/index.php/jika/article/view/15975
spellingShingle Nurhana Dhea Parlina
Maiyaliza Maiyaliza
Erwin Budianto
Controlling variable indirect WCTO as the mediating variable against ROE
Jurnal Ilmu Keuangan dan Perbankan
title Controlling variable indirect WCTO as the mediating variable against ROE
title_full Controlling variable indirect WCTO as the mediating variable against ROE
title_fullStr Controlling variable indirect WCTO as the mediating variable against ROE
title_full_unstemmed Controlling variable indirect WCTO as the mediating variable against ROE
title_short Controlling variable indirect WCTO as the mediating variable against ROE
title_sort controlling variable indirect wcto as the mediating variable against roe
url https://ojs.unikom.ac.id/index.php/jika/article/view/15975
work_keys_str_mv AT nurhanadheaparlina controllingvariableindirectwctoasthemediatingvariableagainstroe
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