Pengaruh Cash Ratio, Times Interest Earned (TIE), dan Total Asset Turnover (TATO) Terhadap Return On Equity (ROE) Pada Perusahaan Sub Sektor Makanan dan Minuman Yang Terdaftar Di Bursa Efek Indonesia Periode 2020-2024

Abstract

This study aims to examine and analyze the effect of cash ratio, times interest earned (TIE), and total asset turnover (TATO) on return on equity (ROE) in food and beverage sub-sector companies listed on the Indonesia Stock Exchange during the 2020–2024 period. Return On Equity (ROE) is a ratio used to measure a company’s ability to generate profit based on its own capital. This study uses a quantitative approach with secondary data in the form of company financial statements. The sampling technique used was purposive sampling based on predetermined criteria, resulting in 28 companies with 133 observations. Data analysis techniques included classical assumption tests, multiple linear regression, t-test, F-test, and coefficient of determination using IBM SPSS Statistics 25. The results show that the cash ratio has no significant effect on ROE, TIE has no significant effect on ROE, while TATO has a positive and significant effect on ROE. Simultaneously, the three variables have a significant effect on ROE.