ANALYSIS OF FINANCIAL STATEMENTS AS A PREDICTION TOOL FINANCIAL DISTRESS (Company Case Study Go Public Coal Mining)

Abstract

Abstract

This study aimed to determine the level of bankruptcy of the Company by using Altman Z-Score and Springate Score model analysis on Coal Mining Company Listing in Indonesia Stock Exchange. Because the Coal Mining Company has a significant role in the Indonesian Economy. The data used in this study is the annual financial statements that can be in the book Indonesian Capital Market Directory. Analytical technique used is discriminant analysis by using variable from Altman Z-Score which amounted to four (4) financial ratios, that is X1 = Working Capital to Total Assets, X2 = Earning Before Interest and Tax to Total Assets, X4 = Total Equity to Total Liabilities. This research also uses variable from Springate Score which amounted to four (4) financial ratios, namely X1 = Working Capital to Total Assets, X2 = Earning Before Interest and Tax to Total Assets, X3 = Earning Before Tax to Current Liabilities, X4 = Sales to Total Assets.