EFFECT OF LDR, NPL AND BOPO ON PROFITABILITIES BASED ON CAR (Case Study on Banking Companies Listed on the Indonesia Stock Exchange Period 2013-2017)
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This study aims to determine: 1) the effect of LDR, NPL and BOPO on CAR and the influence of CAR on profitability, 2) the effect of LDR, NPL and BOPO on CAR-mediated profitability, 3) the influence of LDR, NPL and BOPO simultaneously on CAR. This research was conducted on banking companies listed on the Indonesia Stock Exchange using a sample of 35 banking companies. The sample method is purposive sampling. Data collection techniques using documentation techniques, while the analysis method used is a classic assumption test which includes heteroscedasticity test, autocorrelation test, normality test and multicollinearity test. Hypothesis testing includes analysis of the determination coefficient, t test, F test, path analysis and sobel test. The results showed that: 1) LDR had a negative and insignificant effect on CAR, NPL had a negative and significant effect on CAR, BOPO had a positive and insignificant effect on CAR and CAR had a positive and significant effect on profitability, 2) LDR, NPL and BOPO simultaneously positive and insignificant effect on CAR, 3) CAR does not mediate the influence of LDR on profitability, CAR does not mediate the effect of NPL on profitability and CAR mediates the influence of BOPO on profitability. Keywords: LDR, NPL, BOPO, CAR, and Profitability
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