Analysis of the Effect of Light Assets on Capital Structure

Abstract

This study will discuss how asset light leverageton the capital structure. Focusing on the sub-sectors of the restaurant, hotel and tourism this coincided with the growing tourism industry in Indonesia. Using data from the annual financial statements for nine years, the period of 2009-2017 as secondary data in this study. To calculate light assets using the FAR (Fix-assets ratio) compares with total assets of fixed assets and to calculate its capital structure using the DAR (Debt to Asset Ratio) compares the total debt to total assets. From the second asset light ratio and capital structure, arranged in the form of a combinate between the time series data and cross section data (panel data). Special processing tools used panel data is EViews 9 to find the results of descriptive analysis and verification. The results of this study found that asset light positively affects capital structure. 55% of the asset light effect on the capital structure in line with the results of the research asset light of Yuan Li & Singal on Capital Structure in the Hospitality Industry: The Role of the Asset Light and Fee Oriented Strategy