Abstract

The purpose of this study was to examine the role of cash flow ratios in determining corporate bankruptcy. Tests were conducted on startup companies listed on the Indonesia Stock Exchange for the 2020-2022 period to find out whether cash flow analysis is a significant predictor of potential bankruptcy. This research data analysis method uses Logistic Regression. It is hoped that the results of the study will be able to show that the Liquidity Ratio, Solvency Ratio, and Efficiency Ratio and Profitability Ratio have a significant effect on predicting financial distress. In addition, the results of this study are expected to be useful for companies, investors and other stakeholders in making decisions. Companies should avoid external loans and take advantage of more investment opportunities to avoid financial distress

Keywords

Cash flow ratio, bankruptcy, startup, logistic regression