THE INFLUENCES OF FINANCIAL FACTORS AND GOOD CORPORATE GOVERNANCE ON FINANCIAL PERFORMANCE IN INDONESIAN FOOD AND BEVERAGE INDUSTRY

Abstract

This study aims to determine whether Total Sales, Total Asset, Gross Profit Margin, Operating Profit Margin, Net Profit Margin, Debt to Equity Ratio, Total Board of Directors, Total Audit Committee, and Total Employee to Return on Asset in the manufacturing sector in food and beverage in Indonesia. The results of this study are expected to provide benefits and contributions for the interests of individuals or groups to increase insight about financial performances of firm. The population in the research is the food and beverage manufactured firms listed on the IDX. The sample of this research as many as 5 firms. Sampling using Purposive Sampling method. The data used are secondary data taken from the internet and processed using STATA program so that the equation obtained in the form of random-effects GLS regression. The results of this study show that Gross Profit Margin, Operating Profit Margin, Net Profit Margin, Total Board of Directors, and Total Employee have an influence on return on asset, Total Sales, Total Asset, Debt to Equity Ratio, Total Audit Committee have not an influence on return on asset.