Abstract:
This research aimed to empirically prove the significant influences partially and
simultaneously of Degree of Operating Leverage, Degree of Financing Leverage,
Degree of Combined Leverage, Current Ratio to Earnings per Share. This research
chose the population in telecommunication industry during the period of 2010-
2015. Through purposive sampling and panel data which was obtained from official
websites of each firm and Indonesia Stock Exchange, this research had 30
observations from five firms in six consecutive years which fulfilled the criteria.
This research adopted quantitative research with fixed effect model, which used
some analysis methods of descriptive analysis, classical assumption, multiple
regression analysis and hypotheses testing. Based on the result, it was concluded
that degree of combined leverage and current ratio had partial significant influences
towards earnings per share in telecommunication industry. Simultaneously, those
four independent variables provided 80.863% influences towards earnings per share
while the rest 19.137% was influenced by other factors.
