COMPARATIVE ANALYSIS OF CURRENT RATIO, DEBT TO ASSETS RATIO, DEBT TO EQUITY RATIO, NET PROFIT MARGIN AND RETURN ON ASSETS BEFORE AND AFTER IFRS CONVERGENCE (Study on Trading Companies Listed on the Stock Exchange Year 2009-2015)

Abstract

This research aims to test empirically the comparison of financial performance before and after the convergence of IFRS. Financial ratios used are the current ratio for the liquidity ratios, debt to assets ratio (DAR) and the debt to equity ratio (DER) to the solvency ratio, and return on assets and net profit margin for profitability ratios. This research was conducted in the trade sector listed in Indonesia Stock Exchange in 2009 - 2015. Sampling was done by purposive sampling method and acquired 15 companies. This is done using test of paired samples T-test. The results showed that there was no significant difference between the current ratio, debt to assets ratio, Debt to Equty Ratio, Net Profit Margin and Return on Assets before and after the convergence of IFRS. Keywords: IFRS, current ratio, Debt to Assets Ratio, Debt to Equity Ratio, Net Profit Margin, Return On Assets.