Pengaruh Ukuran Perusahaan, Profitabilitas, Dan Free Cash Flow Terhadap Kebijakan Hutang Pada Perusahaan Sub Sektor Kosmetik Dan Keperluan Rumah Tangga Yang Terdaftar Di Bursa Efek Indonesia

Abstract

This study was aimed at determining whether there was an effect on company size,
profitability, and free cash flow on debt policy in cosmetics and household goods sub-sector
companies in the 2019-2021 period, where the DER value of the company has fluctuated and
even increased and the company has experienced a decrease in revenue. This research used
quantitative methods. The sampling technique in this study used purposive sampling, namely
the sampling technique with certain considerations according to research needs. The sample
used in this study amounted to 6 companies. The study was analyzed by descriptive statistical
analysis and the classic assumption test which consisted of the normality test,
multicollinearity test, autocorrelation test, and heteroscedasticity test. Testing the research
hypothesis was carried out through panel data regression testing with the common effect
model, fixed effect model, and random effect model techniques. The selection of this
technique used the Chow test and the Hausman test, so the model chosen in this study was the
fixed effect model. Furthermore, hypothesis testing was carried out through the t test, f test,
and the coefficient of determination test (R2). The results of the study showed; Company size
has no effect on debt policy, Profitability has a negative and significant effect on debt policy, Free cash flow has a positive and significant effect on debt policy, and Firm size,
profitability, and free cash flow have a significant effect on debt policy.