Neni Nurhayati, Rosa Fitriana, Anna Isrowiyah, Fatmawati Zahroh, Inneke Putri Widyani
This study aims to determine whether the level of wealth, dependence, and leverage affects financial performance. The research was conducted covering the variable level of regional wealth including local revenue, the variable level of regional dependence with the center covering general allocation funds, leverage variables including debt to equity, while the variable regional financial performance includes efficiency ratios. The research was conducted with a quantitative approach. The research sample was collected using a saturated sampling technique approach. The research sample was conducted in 4 districts, namely, Kuningan, Majalengka, Indramayu, and Cirebon, from data on the level of regional wealth in the form of general allocation funds and income for each region in 2014-2018 with 20 observations. The analysis test is performed by panel data analysis using the OLS (Ordinary Least Square) method through the eviews approach. The results of the study indicate that the level of regional assets has a positive and significant effect on regional financial performance, the variable level of regional dependence on the central government has a negative and significant effect on regional financial performance, the leverage variable does not have a significant effect on regional financial performance. © 2021, SRAC - Romanian Society for Quality. All rights reserved.
Faculty of Economics and Business, Universitas Kuningan, Indonesia; Universitas Bale Bandung, Indonesia; Politeknik Negeri, Malang, Indonesia; UIN Maulana Malik Ibrahim Malang, Indonesia; Universitas Terbuka, Indonesia