Proceedings of the 3rd Annual Management, Business and Economics Conference (AMBEC 2021)

Leverage’s Effect on Corporate Performance Using Firm Size as a Moderating Variable

Authors
Wiyarni Wiyarni1, *, Olivia Shendy1, Bunyamin Bunyamin1
1Malangkucecwara College of Economic, Malang, East Java, Indonesia
*Corresponding author. Email: wiyarni08@gmail.com
Corresponding Author
Wiyarni Wiyarni
Available Online 10 December 2022.
DOI
10.2991/978-94-6463-026-8_23How to use a DOI?
Keywords
Leverage; Corporate performance; Firm size; Real estate
Abstract

Goals of present research are looking at how financial leverage affects presentation of company, with corporate size as a moderating factor. Real estate businesses that listed in the Jakarta Stock Exchange for years 2018 and 2019 are used as sample in this study. This study collected 40 samples using purposive sampling. Ratio of debt to assets and ratio of debt to equity are two indicators of leverage. Return on assets (ROA) is used to quantify company performance, while the logarithm natural (Ln) of total assets is utilized as a moderating variable to measure business size. This study discovered that DAR and DER had no substantial impact on corporate performance, either concurrently or separately. The relationship between leverage and company success is also unaffected by firm size.

Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Download article (PDF)

Volume Title
Proceedings of the 3rd Annual Management, Business and Economics Conference (AMBEC 2021)
Series
Advances in Economics, Business and Management Research
Publication Date
10 December 2022
ISBN
10.2991/978-94-6463-026-8_23
ISSN
2352-5428
DOI
10.2991/978-94-6463-026-8_23How to use a DOI?
Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

TY  - CONF
AU  - Wiyarni Wiyarni
AU  - Olivia Shendy
AU  - Bunyamin Bunyamin
PY  - 2022
DA  - 2022/12/10
TI  - Leverage’s Effect on Corporate Performance Using Firm Size as a Moderating Variable
BT  - Proceedings of the 3rd Annual Management, Business and Economics Conference (AMBEC 2021)
PB  - Atlantis Press
SP  - 204
EP  - 211
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-026-8_23
DO  - 10.2991/978-94-6463-026-8_23
ID  - Wiyarni2022
ER  -