PENGARUH FEE BASED INCOME, COST INEFFICIENCY, CAR, LDR, DAN FIRM SIZE TERHADAP RISIKO KEBANGKRUTAN (Studi pada Bank Umum Konvensional di Indonesia yang Terdaftar di BEI Periode 2014-2018)

Abstract

The existence of a gap phenomenon in the banking financial ratios that experienced
fluctuations during the 2014-2018 period and the existence of a research gap based on
previous research that still shows inconsistencies in results, and differences in sampling
years form the basis of research on the factors affecting bankruptcy risk.
The aims of the study was to determined the effect of fee-based income, cost
inefficiency, CAR, LDR, and firm size on the bankruptcy risk of Conventional Commercial
Banks listed on the IDX. The bankruptcy risk is measured by the Altman Z’-Score
calculation method.
The sample used is conventional commercial banks listed in the Indonesia Stock
Exchange (IDX) during the 2014-2018 period, with a total sample of 35 banks through a
purposive sampling method. This study uses multiple linear regression analysis with the
IBM SPSS Statistics version 23 program. Before going through the hypothesis testing
stage, all data in this study have been declared free from the classical assumption test.
The result of this study indicates that the fee-based income, CAR, and LDR variable
has a significant negative effect on the bankruptcy risk variable, the cost inefficiency
variable has a significant positive effect on the bankruptcy risk variable. Furthermore,
both the firm size variable do not effect the bankruptcy risk variable. For the adjusted R
square value in this study, the number appears 0.441, which means that the independent
variables in this study can explain the variation of the dependent variable by 44.1%, and
the rest variation is explained by other variables outside the independent variables of this
study.