ProBisnis : Jurnal Manajemen
Vol. 14 No. 3 (2023): June: Management Science

Effect of Profit and Cash Flow in Prediction of Financial Distress Conditions

Krisna Trizelika Wahyuni (Universitas Indo Global Mandiri)
Leriza Desitama Anggraini (Universitas Indo Global Mandiri)
Andini Utari Putri (Universitas Indo Global Mandiri)



Article Info

Publish Date
30 Jun 2023

Abstract

This study aims to examine the effect of earnings and cash flow on the prediction of financial distress. Profit and cash flow as independent variables and finance as the dependent variable. This research was conducted at manufacturing companies listed on the Indonesia Stock Exchange for the 2019-2021 period. The sampling technique in this study used purposive sampling. The samples in this study were 18 consumer and manufacturing goods companies listed on the stock exchange. The analytical method used is multiple linear regression. This research shows that profit has a significant effect on financial distress. While cash flow has a significant effect on financial distress. This result is explained by the simultaneous test (F test) the significant value is greater than the significant level of 0.05 or 0.000 <0.05. This means that it is certain that profit and cash flow have the ability to influence financial distress

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Journal Info

Abbrev

ProBisnis

Publisher

Subject

Humanities Computer Science & IT Economics, Econometrics & Finance Industrial & Manufacturing Engineering Social Sciences

Description

ProBisnis: The Management Journal was previously published in print, then in 2020 it was changed to online. This journal has ISSN: 2086-7654( Print) and ISSN: 2808-7240(Online). The scope of this journal is Economics, Management, Marketing, Strategic Management, Entrepreneurship, Leadership ...