ANALYSIS OF FINANCIAL STATEMENTS TO ASSESS THE LEVEL OF FINANCIAL HEALTH AT PT. MEDCOMM SOLUTION MEDAN

Abstract

The purpose of this study was to determine the level of financial health of PT Medcomm Solution Medan based on liquidity ratios, solvency ratios, activity ratios, and profitability ratios. This research uses a qualitative approach. The results showed that PT Medcomm Solution Medan the company's liquidity ability to meet short-term obligations and, in this study, has an inadequate Current Ratio and Quick Ratio, this indicates that the company is in an unhealthy liquid condition. Solvency reflects the company's ability to meet long-term obligations. PT Medcomm Solution's DER and Debt to Asset Ratio are high, this indicates an unhealthy level of solvency. The activity ratio measures how efficiently the company manages its assets. PT Medcomm Solution has a high turnover, efficient and healthy asset management. Profitability shows how well the company generates profits from its sales or assets, PT Medcomm Solution's financial statements show high ROA and ROE, the company is in a strong and healthy financial condition. The research has shown that there is a positive and significant influence between liquidity ratios, solvency ratios, activity ratios, and profitability ratios can assess the level of financial health.