Effect of Growth Sales, Earnings, and Asset on Debt Policy (Empirical Study on Trading Company Sector Retail Listed in Indonesia Stock Exchange Year 2012-2015)

Abstract

This study aims to demnstrate and explain the growth of sales, profit, and asset simultaneously affect the debt policy at retail trade companies listed on the Indonesia Stock Exchange (IDX). This research is included into quantitative research type in which the quantitative data is secondary data (research data obtained by researchers indirectly through intermediate media). Data collection method used is documentation method. The results showed that: (1) Partial sales growth did not significantly effect on debt policy; (2) The earnings growth has a significant positive effect on debt policy; (3) asset growth has a significant positive effect on debt policy; (4) Simultaneously, growth of sales, earnings and asset have a positive and significant effect on debt policy.

Keywords: sales growth, earnings growth, asset growth, and debt policy