Indonesian Sharia Commercial Bank: Taking into Account from the Ratio of Rentability, Liquidity, Company Size and Capital Adequacy

DOI

10.2991/aebmr.k.211115.043How to use a DOI?

Keywords

Profitability; Liquidity; Bank Size; Capital Adequacy Ratio

Abstract

The capital adequacy ratio of a bank is a ratio used to assess a bank’s ability to raise capital to finance its operations. This capital assessment is accomplished through an examination of the capital ratio as defined by the CAR (Capital Adequacy Ratio). The researcher uses the independent variables profitability, liquidity, and bank size to determine whether or not these ratios have an effect on the dependent variable (Capital Adequacy Ratio). This is a quantitative study utilizing secondary data. This study examines Islamic Commercial Banks that were registered with the Financial Services Authority between 2015 and 2020. This study analyzed a total of 15 businesses. The findings of this study indicate that a bank, as a profit-oriented institution, must have a strong capital base, as this will aid in maintaining and developing the bank in the future, and with sufficient capital, customers will feel more loyal and the level of trust will be higher.

Copyright

© 2021 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Yuli Agustina
AU  - Rosyi Martha Kumalasari
PY  - 2021
DA  - 2021/11/23
TI  - Indonesian Sharia Commercial Bank: Taking into Account from the Ratio of Rentability, Liquidity, Company Size and Capital Adequacy
BT  - Proceedings of the BISTIC Business Innovation Sustainability and Technology International Conference (BISTIC 2021)
PB  - Atlantis Press
SP  - 291
EP  - 296
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.211115.043
DO  - 10.2991/aebmr.k.211115.043
ID  - Agustina2021
ER  -