The Influence of Board Size, CEO Duality and Bank Specific on Financial Distress
Keywords:
Board Size, Financial Distress, Non-CEO DualityAbstract
This study aims to examine the effect of, Board Size, CEO Duality, Non-Performing Loan (NPL), Loan to Deposit Ratio (LDR), Return On Assets (ROA), Net Interest Margin (NIM), and Capital Adequacy Ratio (CAR) to financial distress in banking companies listed on the Indonesia Stock Exchange in 2014-2019. The independent variable in this study is CEO Duality, Board Size. While the characteristics of the company consist of NPL, LDR, ROA, NIM and CAR. Financial distress as the dependent variable. The population of this study are Banking Companies Listed on the Indonesia Stock Exchange in 2014-2019 with a total of 255 observation. With a sample of 26 banks or 156 observation, which determined using the purposive sampling method, The analysis technique used in this study is multiple linear regression analysis and processed using SPSS 25. The results show that CEO Duality has a negative and significant effect on financial distress, Board Size has a positive and significant effect on financial distress, NPL has a positive and significant effect on financial distress, LDR has a negative and insignificant effect on financial distress, ROA has a positive and insignificant effect on financial distress. financial distress, NIM has a positive and significant effect on financial distress, CAR has a positive and significant effect on financial distress.
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