<![CDATA[This study aims to analyze the effect of liquidity, as measured by the Current Ratio (CR), and leverage, as measured by the Debt to Equity Ratio (DER), on profitability, as measured by the Return on Assets (ROA), in chemical industry sub-sector companies listed on the Indonesia Stock Exchange during the 2019–2024 period. This research employed a quantitative approach using secondary data obtained from the companies' annual financial statements. The sampling technique used was purposive sampling, resulting in a sample of nine companies with a total of 54 observations. Data were analyzed using descriptive statistics, classical assumption tests, multiple linear regression analysis, the coefficient of determination (R²), t-test, and F-test. The results indicate that: (1) Current Ratio (CR) has a negative and significant effect on Return on Assets (ROA), with a t-value of 2.986, which is greater than the t-table value of 2.008; (2) Debt to Equity Ratio (DER) has no significant effect on Return on Assets (ROA), with a t-value of 1.772, which is lower than the t-table value of 2.008; and (3) simultaneously, Current Ratio (CR) and Debt to Equity Ratio (DER) have a significant effect on Return on Assets (ROA), with an F-value of 4.703, which is greater than the F-table value of 3.18. The coefficient of determination (R²) is 0.156, indicating that 15.6% of the variation in Return on Assets can be explained by Current Ratio and Debt to Equity Ratio, while the remaining 84.4% is influenced by other factors outside the research model.]]>
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