Impact of Capital Adequacy Ratio, Loan to Deposit Ratio and Operating Expense to Operating Income on Return on Asset(Case study at State-Owned Bank listed at Indonesia Stock Exchange 2012 – 2016)
rosalendro eddy nugroho
Universitas Mercu Buana
Abstract
This research aims is to know the impact of Capital Adequacy Ratio (CAR), Loan to Deposit Ratio (LDR) and Operating Expense to Operating Income (OEOE) on Return on Asset (ROA) at State-Owned Bank in 2012 – 2016. This type of research is causal associative, that is research looks for causal relationship between independent variable (X) and dependent variable (Y). The data used is secondary data. The sample used in this study is State-Owned Banks listed on Indonesia Stock Exchange (IDX), namely, BBNI, BBRI, BBTN and BMRI. Hypothesis testing in this research is using data panel regression model. The results of this study indicate that partially, CAR and BOPO have negative and significant impact on ROA. While LDR has negative but no significant impact on ROA. Simultaneously, CAR, LDR and OEOI have significant impact on ROA.
Keywords: ROA, CAR, LDR, OEOI, State-Owned Bank
Topic: Accounting and Financial Management