| dc.description.abstract | The purpose of this study aims to assess the potential of bankruptcy in
construction companies that is listed on Indonesia Stock Exchange in Period 2019 –
2021 using Z-Score model which is initiated by Edward I. Altman in 1968. The
population used in this study were construction companies listed in Indonesia Stock
Exchange in period 2019 – 2021 with the total of 18 companies. By using purposive
sampling method, this research determines 51 samples (17 companies x 3 observing
year) by considering the criteria that construction companies listed in Indonesia Stock
Exchange and do not delist during 2019 – 2021. The method of data analysis in this
study is descriptive statistical analysis and Z-Score model analysis. The research data
was processed using the Microsoft Excel 2016 and the Statistical Package for Social
Science (SPSS) 23 software.
The results of this study indicate that 6 out of 17 companies had the potential
of bankruptcy, 3 out of 17 companies were in grey zone which indicates high
uncertainty about their financial condition, and 8 out of 17 companies had low risk
area of bankruptcy (health) based on assessment using Z-Score Model in 2019; 9 out
of 17 companies had the potential of bankruptcy, 8 out of 17 companies were in grey
zone which indicates high uncertainty about their financial condition, and no
companies had low risk area of bankruptcy (health) in 2020 based on assessment using
Z-Score Model in 2020; and 8 out of 17 companies had the potential of bankruptcy, 5
out of 17 companies were in grey zone which indicates high uncertainty about their
financial condition, and 4 out of 17 companies had low risk area of bankruptcy (health)
based on assessment using Z-Score Model in 2021. This results also implied that
Covid-19 affected whole construction sector in Indonesia. | en_US |
