The effect of sales, cash turnover, and receivables turnover in increasing net profit in Consumer Goods Industry sector companies

This study aims to determine the effect of sales, cash turnover, and accounts receivable turnover on net income in consumer goods industrial sector companies listed on the Indonesia Stock Exchange. The research period used is 2016-2020. The population in this study are all companies in the consumer goods sector listed on the Indonesia Stock Exchange (IDX) for the 2016-2020 period as many as 53 issuers. The method used in this research is a quantitative research method. The sampling technique used purposive sampling so that 23 issuers were produced as research samples. This study uses descriptive data analysis techniques and panel data regression analysis with e-views 12 software tools. The results show that simultaneously sales, cash turnover and accounts receivable turnover have a significant effect on net income. Partially, sales have a significant effect on net income, cash turnover has no significant effect on net income, accounts receivable turnover has no significant effect on net income.

The company was founded with the aim of increasing sales volume, enhancing competitiveness, and minimizing production costs to achieve maximum profit. The development of the company and the profits achieved by the company can be used as a measure of the company's success in carrying out activities related to its operations. Companies to be able to continue to grow and develop in running a business or business requires substantial funds. In connection with this, companies are always faced with problems regarding how to obtain funds, how to use them and return the funds obtained with a rate of return that can satisfy the funders (Lestari and Oktavianna, 2020). If the company's goals are achieved, the company's survival can be maintained and able to compete with other companies (Rustami et al., 2014). Operating profit is a measure of the company's profit from ongoing operating activities, the higher the operating profit, the company can maintain its viability, and can operate with other companies (Rustami et al., 2014). Operating profit is a measure of the company's profit from ongoing operating activities, the higher the operating profit, the company can maintain its viability, and can operate the company. In daily activities, working capital is most needed by the company to finance its operating activities, and the working capital that has been used is expected to return to the company along with the marketing results of its production (Putra et al., 2019).

LITERATURE REVIEW
industry index fell to 29.55%. -Stocks in the consumer goods sector are more resilient (sturdy) in the midst of the pandemic. Furthermore, Suharyadi (2020) shows data on several issuers of the consumer goods sector which actually posted net profit growth during the pandemic, for example PT Indofood CBP Sukses Makmur Tbk (ICBP) which in the first semester of 2020 posted a net profit of Rp 3.37 trillion. The realization rose 31.12% from last year's achievement which was only Rp 2.57 trillion. PT Indofood Sukses Makmur Tbk (INDF) posted a net profit increase of 11.81% on an annual basis, from Rp 2.54 trillion in June 2019 to Rp 2.84 trillion in June 2020, and pharmaceutical issuer PT Kalbe Farma Tbk (KLBF) recorded an increase in net profit of 10.3% on an annual basis from Rp 1.26 trillion to Rp 1.39 trillion in the first half of 2020. This anomalous condition becomes interesting for further investigation.
The company's growth is an indicator of the previous successful results of the investment period. The company can be said to experience growth if there is a consistent increase in activity during sales activities (Febriyanto, 2018). Sales activities carried out by the company aim to achieve the expected and profitable sales to achieve maximum profit for the company (Paranesa et al., 2016). Wisesa, et al (2014) argue that to get a bigger profit. One of them that can be used to obtain optimal profit is to pay attention to sales volume and reduce operational costs that will be incurred by the company.
Furthermore, cash is a very liquid working capital, the greater the amount of cash in a company, the higher the level of liquidity. This means that the company has a smaller risk of not being able to meet its financial obligations. But this does not mean that the company should try to maintain a very large cash supply, because the greater the cash means the greater the idle funds and will reduce the profits to be obtained (Puspitasari & Yolanti, 2016).
Cash turnover describes the ability of cash to generate income so that it can be seen how many times the cash rotates in a certain period. The higher the cash turnover rate, the faster the return of cash coming in to the company. Thus, cash can be reused to finance operational activities so that it does not interfere with the company's financial condition and can increase profits for the company (Subagya, 2020). Tiong (2017) explains that intense business competition in product marketing makes companies choose credit sales policies. The credit sales system carried out by the company is one of the efforts in order to increase sales volume. Credit sales do not immediately generate cash receipts, but give rise to what is known as receivables. Receivable Turnover, is a ratio used to measure how long the receivables call for a period. The greater the receivables turnover rate indicates the shorter the time between receivables created due to credit sales and payment of receivables, the better and vice versa (Supriyadi et al., 2017).

A. Working Capital
Working capital is a company's investment in short-term cash assets, equity, inventory and receivables (Fahmi, 2015), while according to Kasmir (2016) working capital can be interpreted as an investment invested in current assets or long-term assets. short, such as cash, banks, marketable securities, receivables, inventories, and other current assets. Working capital is a source of funds that must be provided to carry out the company's operational activities. The amount owned by the company is flexible so that it can be increased or decreased according to the company's needs. According to Kristianti (2021) working capital is an investment invested in the company's current assets. Working capital is flexible and the size of working capital can be increased or decreased. If there is more working capital in current assets, then the investment amount of the company will be higher, and vice versa, if a company has low working capital then the investment in the company's current assets will be small, so working capital is one of the factors that affect profit.

B. Net profit
According to Kasmir (2016) net profit (net profit) is profit that has been deducted by costs that are the company's burden in a certain period including taxes. Profit is the difference between all revenues (revenues) and expenses (expenses) that occur in an accounting period. Profit is an excess of income or profit that deserves to be received by the company, because the company has made sacrifices for other interests for a certain period of time (Ghofir & Yusuf, 2020;Rustami et al., 2014).

D. Cash Turnover
According to Kasmir (2016) cash turnover is a comparison between sales and average cash, cash turnover shows the ability of cash to generate income so that it can be seen how many times the cash rotates in a certain period. The higher the cash turnover rate means the more efficient the level of cash use and conversely the lower the turnover rate the more inefficient, because more and more money is stopped or not used. Thus the cash turnover rate shows the speed of return of

C. Sales
According to Fees (2005) sales are the amount charged to customers for merchandise sold, either in cash or on credit. Andayani et al (2016) stated that sales is one of the most important and decisive marketing functions for companies in achieving a company goal, namely to earn profits to maintain the survival of the company. Rangkuti (2009) states that sales are achievements expressed quantitatively in terms of physical or volume or units of a product. Swastha (2014) states that sales volume is an indication of the extent of capacity or total sales obtained from the sale of an item either in cash or on credit, the more goods sold, the greater the sales volume.
working capital embedded in cash or cash equivalents into cash back through sales or income.
Nurmawardi & Lubis (2019) stated that cash turnover is a comparison between sales and average cash which is described by the number of times cash can rotate in one period in order to make a profit. Mulyono in Nurmawardi & Lubis (2019) states that cash turnover begins when cash is invested in loans that are distributed until it returns to the right cash and is not too late. The cash turnover rate is a measure of the efficiency of the use of cash by the company because the cash turnover rate describes the speed of cash flow, the return of cash that has been invested in working capital.

E. Accounts Receivable Turnover
Receivables arise when companies sell goods and services on credit, receivables include all bills in the form of debt to individuals, business entities or other collectible parties, in this case the greater the receivables, the greater the need for funds invested in receivables and the greater the receivables, the greater the receivables. risks that will arise, in addition to increasing profitability. In addition to the large number of receivables owned, the speed of the return of receivables to cash greatly determines the company's profitability (Tiong, 2017).
According to Riyanto (2013) accounts receivable turnover is the level of receivables turnover during a certain period which can be determined by dividing the number of sales during a certain period by the average number of receivables. Companies and managers as well as external users of financial information need to measure how efficiently the company uses receivables.

G. Hypothesis
Based on the conceptual framework, the hypotheses in this study are as follows: H1: Sales affect the increase in net profit H2: Cash Turnover affects the Increase in Net Profit H3: Accounts Receivable Turnover affects the Increase in Net Profit H4: Variables Sales, Cash Turnover, and Accounts Receivable Turnover have a Simultaneous effect on the Increase in Net Profit

METHODS
The approach used in the research is a quantitative approach. This approach was chosen because the analysis used uses economic statistical tools that will test the theory, and look for generalizations that have predictive value (Sugiyono, 2016:5).
The study obtained data and information from the financial statements of companies in the consumer goods sector for the period 2016-2020 which have been published by the Indonesia Stock Exchange (IDX) through the website www.idx.co.id. Data collection was carried out during July 2021.
The data collection method used in this research is through documentation data or secondary data. Secondary data is data that has been collected and processed by primary data collectors through literature studies from several sources related to research. The secondary data used in this study is data from the company's 2016-2020 audited financial statements obtained from www.idx.co.id.

RESULTS
This study uses descriptive data analysis techniques and panel data regression analysis with e-views 12 software tools. Panel data regression in this study is expressed in the following equation: A. Descriptive Statistical Analysis  The panel data test table with common effects and fixed effect models has been presented, but we cannot determine which model we will use. Therefore a Chow test is needed to find out. The panel data test table with the random effect model has been presented, but to determine which model is the best that will be discussed, namely between the fixed effect model and the random effect model, a Hausman test is needed to find out. Table 6 presents the following Hausman test results.

Figure 2. Normality Test
Histogram Normality Test results show that the data is not normally distributed. This can be seen from the stated Jarque-Bera value of 125.8506 and the stated probability value of 0.000. The probability value is smaller than the significance level, which is 0.000 <0.05. Thus, the data used in this study is data that is not normally distributed. According to Ajija et al (2011) the normality test on panel data analysis of more than 30 observation data is not needed, because the sampling error term distribution is close to normal. In this study, the number of observations or observation data is 115 data, so it does not require a normality test. The results of the glejser test obtained that the probability value of the independent variable is greater than 0.5, so it can be concluded that there is no heteroscedasticity in this research model.

Partial Panel Data Regression Test (t Test)
Partial hypothesis testing using t-test can be seen in the following table: The results of the panel data regression analysis test for the independent variable Sales (PENJ) in table 12 show t-count = 13.77510, while the t-table value (α = 5%, df = (nk), df = 112) is 1.9813, with Thus, the t-count value is greater than the t-table value (13.77510 > 1.9813). Furthermore, the value of prob = 0.000 is smaller than 0.05 (0.000 < 0.05), then H0 is rejected. This means that sales have a significant effect on net income.
The results of this study are in accordance with research by Rostiati & Ferliyanti (2019)  influence the size of profit is income, income can be obtained from the sale of goods produced by the company. Furthermore, it can be explained that in order to increase profits, companies must make every effort to increase sales. In order for sales to increase and run smoothly, the seller must be able to personally influence someone to buy the product provided. Thus, it can be concluded that when sales increase, net income will increase, and when sales decrease, net income will also decrease.

Effect of Cash Turnover on Net Profit
The results of the panel data regression analysis test for the independent variable Cash Turnover (PKAS) in table 12 show t t-count = 0.542920, while the t-table value (α = 5%, df = (nk), df = 112) is 1.9813 , thus the t-count value is smaller than the t-table value (0.542920 < 1.9813). Furthermore, the value of prob = 0.5883 is greater than 0.05 (0.5883 > 0.05), then H0 is accepted. This means that Cash Turnover has no effect on net income.
The results of this study are in accordance with Faradila et al (2017), and Akmalia & Pambudi (2020). Cash turnover is the circulation of cash owned by the company to finance operational activities, pay company obligations as well as to make new investments in the form of fixed assets or company development.
This can indicate that cash turnover can affect the achievement of company profits. Profit can be increased if the company can optimize the use of cash.
Based on the results of this study, cash turnover does not have a significant effect on net income. This can happen because of fluctuating cash developments every year. In addition, the existence of bad debts can also result in the company having to cover losses from these bad debts. The company also uses its cash to purchase raw materials, resulting in cash turnover that does not generate profits in a short time. Cash is the element of working capital with the highest level of liquidity, the higher the cash turnover, the faster the cash will enter the company. However, the lower the cash turnover, the slower the cash coming into the company. This of course can affect the company's revenue acquisition, which in turn has an impact on the profits achieved.

Effect of Accounts Receivable Turnover on Net Profit
The test results of panel data regression analysis for the independent variable Accounts Receivable Turnover (PPIU) in table 4.12 show t-count = 0.210465, while the t-count value = -1.668051, while the t-table value (α = 5%, df = (nk) , df = 112) is 1.9813, thus the t-count value is smaller than the t-table value (-1.668051 < 1.9813). Furthermore, the value of prob = 0.0981 is greater than 0.05 (0.0981 > 0.05) then H0 is accepted. This means that Cash Turnover has no effect on net income.
The results of this study are in accordance with the research of Nuriyani & Zannati (2017), Nurafika (2018) and Reimeinda (2016). Things that cause receivables turnover does not have a significant effect, namely the level of receivables turnover is too low and takes a long time to be billed in cash, credit sales made by the company are also few so that sales decline and cause company profits to also decline. The terms of payment of receivables are also a factor, because if the payment is soft it will result in the amount of receivables getting bigger but the receivables turnover is actually getting lower, and if the payment terms are strict it will result in a low amount of receivables and the turnover of receivables will be higher. This is what causes receivables turnover does not significantly affect the company's profitability. Nurafika (2018) states that a high receivables turnover must be accompanied by relatively fast collection of receivables. Otherwise, the working capital will be bound for a longer time. Therefore there will not be enough available for immediate use in the company's business cycle to increase profitability.

CONCLUSION
Based on the results of the study, in this study the following conclusions can be drawn: 1. Sales partially have a significant effect on Net Profit. This shows that the net profit of the consumer goods industrial sector companies listed on the IDX is influenced by sales. 2. Cash Turnover partially has no significant effect on Net Profit. This shows that the Net Profit of the Consumer Goods Industrial Sector companies listed on the IDX is not influenced by cash turnover, this phenomenon can be caused by the amount of cash that fluctuates every year. In addition, the existence of bad debts can also result in the company having to cover losses from these bad debts. The company also uses its cash to purchase raw materials, resulting in cash turnover that does not generate profits in a short time. 3. Accounts Receivable Turnover partially has no significant effect on Net Profit. This shows that the Net Profit of the Consumer Goods Industry Sector companies listed on the IDX is not affected by receivables turnover, this phenomenon can be caused by the receivables turnover rate being too low and takes a long time to be billed in cash. 4. Sales, cash turnover and accounts receivable turnover simultaneously have a significant effect on net income. Based on the calculation of the coefficient of determination, the percentage of the contribution of the influence of the independent variables together on the dependent variable is 74.64%, the remaining 25.36% is influenced by other factors outside the regression model.

SUGGESTION
The following are some suggestions that researchers can give: 1. For potential investors who want to invest in shares of issuers in the consumer goods industry sector, they should be able to consider the selling factor, because these factors have a significant influence on net income, while cash turnover and receivables turnover can be ignored. 2. Company management in the consumer goods industry sector is expected to improve cash management and speed up the time of collection of receivables, so that cash turnover and receivables turnover have a significant impact on net income. 3. This research can be developed using other fundamental factors that can affect net income, such as inventory turnover, working capital turnover, fixed asset turnover, costs and accounts payable.