The main objective of this research is to know optimal capital structure at telecommunication industry in Indonesia with analysing of weighted average cost of capital analysing, cost of capital which including cost of debt and cost of common equity, and also to know the optimal capital structure. In this research, writer using secondary data which in the form of consolidated financial report of two elecommunication company which enlisted in Indonesia Stock Exchange as of year period 2003 until 2007. Both company meant is PT Telekomunikasi Indonesia, Tbk and PT Indosat, Tbk. The sample of this research is taken by using nonprobability sampling method with purposive sampling technique. The data analyzed by calculating the weighted average cost of capital, calculating the after tax cost of debt, calculating the cost of common equity with Gordon Model technique, debt proportion, and also equity proportion. First, calculation done by each company, and then to industry by calculating of average component from weighted average cost of capital. Based on analysis, the conclusion can be drawn of optimal capital structure election at telecommunication industry in Indonesia reached in the year 2007 with: (1) Value of weighted average cost of capital at telecommunication industry, ka(average), is 12.19 %. (2) Value of cost of debt at telecommunication industry, ki(average), is 6.70 % and value of cost of common equity at
telecommunication industry, ks(average), is 15.83 %. (3) Debt proportion at telecommunication industry, Wi(average), is 39.90 % and equity proportion at telecommunication industry, Ws(average), is 60.10 %. |