Open AccessFactors Affecting Cash Holding in Indonesia Manufacturing Companies
Author(s) -
Dewi Maya Sari,
Dara Angreka Soufyan,
Ainul Ridha
Publication year - 2021
Publication title -
jurnal manajemen dan keuangan/jurnal manajemen and keuangan
Language(s) - English
Resource type - Journals
eISSN - 2615-1316
pISSN - 2252-844X
DOI - 10.33059/jmk.v10i2.3915
Subject(s) - leverage (statistics) , panel data , stock exchange , business , working capital , cash , operating cash flow , cash flow , regression analysis , manufacturing , capital structure , stock (firearms) , finance , econometrics , monetary economics , economics , marketing , engineering , statistics , mathematics , mechanical engineering , debt
This study aims to analyze the effect of leverage, net working capital, and firm size on cash holding using panel data regression method based on data on the financial statements of manufacturing companies available on the Indonesia Stock Exchange from 2012 to 2014. Testing with the Chow test states that the data regression model the panel used is the common effect. The results of this study indicate that cash holding is positively influenced by leverage, net working capital, and firm size. The greater the leverage, net working capital, and company size will increase the availability of cash in the company.