Detail Cantuman

ABSTRACT : This study aims to: (1) examine effect of insider ownership on leverage, (2) examine effect of
sales growth on leverage, (3) test effect of insider ownership on leverage mediated by dividend policy; (4) test
effect of sales growth to leverage mediated by dividend policy. This research was conducted at manufacturing
companies listed in Indonesia Stock Exchange with observation period 2007-2011. Based on population
criteria, companies number that meet the criteria are 22 companies. Method of data analysis is Path
Analysis.Study findings are: (1) insider ownership has significant effect on leverage, (2) sales growth has
insignificant effect on leverage, (3) insider ownership has significant effect on leverage mediated by dividend
policy, strengthening agency theory and pecking order theory in Indonesia manufacturing companies, (4) sales
growth has a significant effect on leverage mediated by dividend policy, strengthening pecking order theory for
informasi manufacturing companies. Originality this study is to fill previous research gap using dividend policy
as a mediating variable in relationship between insider ownership with leverage and sales growth relationships
with leverage
Keywords: Dividend policy, Leverage, Insider Ownership, sales growth