scholarly journals Effect of Independent Commissioners and Characteristics of Audit Committee on Profit Quality with Earning Management as Intervening Variables

2020 ◽  
Vol 03 (12) ◽  
Author(s):  
Theresia Trisanti ◽  
Keyword(s):  
Earnings Management ◽  
Audit Committee ◽  
Stock Exchange ◽  
Earnings Quality ◽  
Manufacturing Companies ◽  
Accrual Quality ◽  
Negative Effect ◽  
The Impact ◽  
Intervening Variables ◽  
Positive Effect

This research objectives is determine whether the audit committee's expertise and the numbers of independent commissioners affect the quality of earnings through earnings management as an intervening variable. Earnings management model using the Modified Jones and earnings quality variables use accrual quality indicators. The study’s population are manufacturing companies listed on the Indonesia Stock Exchange from 2014-2018. The sample of this study selected using purposive sampling method. The results of this study indicate that audit committee expertise has an insignificant negative effect on earnings management and earnings quality, the number of independent commissioners has a significant negative effect on earnings management and has a positive effect on earnings quality. While earnings management has an insignificant positive effect on earnings quality. Therefore, earnings management does not mediate the impact between audit committee expertise and number of independent commissioners on earnings quality as intervening variables.

scholarly journals PENGARUH BOARD SIZE PADA NILAI PERUSAHAAN DENGAN MANAJEMEN LABA SEBAGAI VARIABEL INTERVENING

2018 ◽  
pp. 2217
Author(s):  
A.A Pt. Agung Mirah Purnama Sari ◽  
Ni Ketut Rasmini ◽  
I Gst. Ayu Nyoman Budiasih
Keyword(s):  
Earnings Management ◽  
Board Of Directors ◽  
Firm Value ◽  
Stock Exchange ◽  
Empirical Test ◽  
Test Results ◽  
Manufacturing Companies ◽  
Board Size ◽  
Negative Effect ◽  
Positive Effect

This study aims to examined the effect of board size on firm value by using earnings management as an intervening variable. Data were collected from 150 manufacturing companies listed in Indonesia Stock Exchange in the period 2012 – 2015. 84 samples were selected using stratified random sampling method. Data analysis techniques used in this study was the path anlysis. Based on empirical test results can be concluded that board size, board of directors, board of independent commissioner, and board of non independent commissioner has positive effect on firm value. Variable of board size and board of directors has positive effect on earnings management. Meanwhile, board of independent commissioner and board of non independent commissioner has negative effect on earnings management. Variable earnings management negatively affect firm value and the mediation test results show that earnings management is not able to mediate the association between board size with the firm value.

scholarly journals How CSR Moderates the Impact of Basic Industry and Chemicals Companies' Values in Indonesia

2021 ◽  
pp. 66-79
Author(s):  
Widya Sari ◽  
Leondy Wijaya ◽  
Sherly . ◽  
Sally Sofian
Keyword(s):  
Firm Value ◽  
Audit Committee ◽  
Stock Exchange ◽  
Institutional Ownership ◽  
P Value ◽  
Managerial Ownership ◽  
Basic Industry ◽  
Negative Effect ◽  
The Impact ◽  
Positive Effect

The purpose of this study was to see how the influence of profitability and corporate governance on firm value with or without CSR as a moderating variable. The researchers collected data on companies in the Basic Industry and Chemicals sector listed on the Indonesia Stock Exchange by accessing the website www.idx.co.id.  The population in this study consisted of 80 companies and a sample of 27 companies with a five-year research period. The research method used was quantitative, utilizing data analysis techniques based on the Partial Least Squares (PLS) model and Smart PLS software. The results showed that institutional ownership (p-value 0.064) has no effect on firm value, managerial ownership (p-value 0.462) has no effect on firm value, independent commissioners (p-value 0.836) has no effect on firm value, ROE (p-value 0.119) has no effect on firm value and the audit committee (p-value 0.012) has a positive effect on firm value, institutional ownership with CSR as a moderating variable (p-value 0.756) has no effect on firm value, managerial ownership with CSR as a moderating variable (p -value 0.141) has no effect on firm value, the audit committee with CSR as a moderating variable (p-value 0.084) has no effect on firm value, independent commissioners with CSR as a moderating variable (p-value 0.745) has no effect on firm value, ROE with CSR as a moderating variable (p-value 1.906) has no effect on firm value an, institutional ownership (P-value = 894) has no effect on CSR, managerial ownership (P-value = .361) has no effect on the audit committee CSR (P-value = .984) has no effect on CSR,  Independent Commissioner (P- value = .000) has a negative effect on CSR, ROE (P-value = .001) has a negative effect on CSR, CSR (P-value = .018) has a positive effect on firm value.

scholarly journals THE EFFECT OF INTERNAL FACTORS ON CAPITAL STRUCTURE AND ITS IMPACT ON FIRM VALUE: EMPIRICAL EVIDENCE FROM THE FOOD AND BAVERAGES INDUSTRY LISTED ON INDONESIAN STOCK EXCHANGE 2013-2017

2020 ◽  
Vol 6 (7) ◽  
pp. 173-191
Author(s):  
M.Noor Salim ◽  
Rina Susilowati
Keyword(s):  
Capital Structure ◽  
Firm Size ◽  
Firm Value ◽  
Sampling Method ◽  
Stock Exchange ◽  
Secondary Data ◽  
Manufacturing Companies ◽  
Negative Effect ◽  
The Impact ◽  
Positive Effect

This research aims to analyze the effects of profitability (ROA), liquidity (CR), assets growth, and firm size towards capital structure (DER) and the impact on firm value (PBV).This research uses secondary data from yearly financial statement of food and baverages companies listed in Indonesian Stock Exchange for period 2013-2017. The research design uses descriptive quantitative research and causality. Sampling method uses purposive sampling method, with some predetermined criteria, the number of sample is 17 manufacturing companies. The analysis technique used is panel data regression. The research results shows that the profitability (ROA) and firm size partially have negative effect and not significant on capital structure (DER). The liquidity (CR) and assets growth partially have negative effect and significantly on capital structure (DER). Then the capital structure (DER) partially have positive effect but not significantly influences the firm value (PBV). The profitability (ROA) partially have positive effect and significant on firm value (PBV). The liquidity (CR) and assets growth partially have negative and significant effect on firm value (PBV), and firm size partially have negative and not significant effect on firm value (PBV). Simultaneously profitability (ROA), liquidity (CR), assets growth and firm size effect on capital structure (DER). On the other side, simultaneously profitability (ROA), liquidity (CR), assets growth and firm size have effect on firm value (PBV).

scholarly journals The Effect Of Audit Committee, Gender Commissioners And Directors, Role Duality, And Firm Size Againts Extension Of Sustainability Report Disclosure

2019 ◽  
Vol 17 (1) ◽  
pp. 71
Author(s):  
Shafrani Dizar ◽  
Sarah Alifia ◽  
Fithri Alvionita
Keyword(s):  
Linear Regression ◽  
Multiple Linear Regression ◽  
Firm Size ◽  
Audit Committee ◽  
Stock Exchange ◽  
Manufacturing Companies ◽  
Purposive Sampling ◽  
Negative Effect ◽  
Positive Effect ◽  
Sustainability Report

The purpose of this research is to investigate the effect of audit committee, gender of Commisioners and Directors, role duality, and firm size against extention of sustainability report disclosure. The population of this research comprises companies registered as manufacturing companies which are listed on the Indonesia Stock Exchange for the periods 2015-2017. The technique of determining the sample used is purposive sampling. This research uses a multiple linear regression. This research proves that audit committee, gender of Commissioners and Directors, role duality, and firm size together have an effect against sustainability report disclosure. This research also proves that partially audit committee and firm size have a positive effect against sustainability report disclosure. Meanwhile, gender of Commissioners and Directors doesn’t have positive effect and role duality doesn’t have negative effect against sustainability report disclosure.

scholarly journals KUALITAS AUDIT SEBAGAI PEMODERASI PENGARUH MANAJEMEN LABA TERHADAP NILAI PERUSAHAAN

2020 ◽  
Vol 3 (2) ◽  
pp. 174-190
Author(s):  
I Putu Edi Darmawan
Keyword(s):  
Earnings Management ◽  
Firm Value ◽  
Audit Quality ◽  
Stock Exchange ◽  
Sampling Technique ◽  
Discretionary Accruals ◽  
Real Earnings Management ◽  
Manufacturing Companies ◽  
Negative Effect ◽  
The Impact

This study aims to test and analyze the impact of accrual earnings management and real earnings management on firm value empirically. Also, audit quality's role on the effect of accrual earnings management and total earnings management on firm value. The analytical method used is Moderated Regression Analysis (MRA). This research's population is manufacturing companies listed on the Indonesia Stock Exchange during the period 2013 to 2017. The sampling technique used is purposive sampling. This study found that accrual earnings management, which is proxied by discretionary accruals, positively affects firm value. Real earnings management has a negative effect on firm value. Audit quality cannot weaken the effect of accrual earnings management on firm value. However, audit quality weakens the effect of real earnings management on firm value.

scholarly journals PENGARUH KOMPETENSI KOMITE AUDIT, AKTIVITAS KOMITE AUDIT DAN KEPEMILIKAN INSTITUSIONAL TERHADAP MANAJEMEN LABA

2016 ◽  
Vol 4 (1) ◽  
pp. 66
Author(s):  
Metta Kusumaningtyas ◽  
Dessy Noor Farida
Keyword(s):  
Regression Analysis ◽  
Earnings Management ◽  
Audit Committee ◽  
Sampling Method ◽  
Stock Exchange ◽  
Institutional Ownership ◽  
Manufacturing Companies ◽  
Discretionary Accrual ◽  
Negative Effect ◽  
Institutional Shareholders

The objective of this study is to analyze the influence of audit committee and institutional ownership on earnings management. The characteristics that used to measure the effectiveness of the audit committee competence,and audit committee activity. Institutional ownership is measured by the number of proportion of shares held by institutional shareholders divided by the number of shares issued. Earnings management in this study weremeasured by using the value of discretionary accrual. The population in this study is manufacturing companies listed on the Indonesia Stock Exchange (BEI) in 2007-2012. Based on purposive sampling method, the number of samples in this study of 300 samples. Testing the hypothesis using multiple regression analysis. The results of hypothesis testing indicate that audit committee competence and audit committee activity had a significant negative effect on earnings management. Instead institutional ownership had not influence on earnings management.

scholarly journals THE INFLUENCE OF AUDIT COMMITTEE AND OWNERSHIP STRUCTURE ON EARNINGS MANAGEMENT

2017 ◽  
Vol 8 (1) ◽  
pp. 1
Author(s):  
Metta Kusumaningtyas ◽  
Dessy Noor Farida
Keyword(s):  
Earnings Management ◽  
Ownership Structure ◽  
Audit Committee ◽  
Stock Exchange ◽  
Institutional Ownership ◽  
Managerial Ownership ◽  
Manufacturing Companies ◽  
Public Ownership ◽  
Discretionary Accrual ◽  
Negative Effect

<p>The objective of this study is to analyze the influence of audit committee characteristics and ownership structure on earnings management. The characteristics which are used to measure the effectiveness of the audit committee are audit committee independence, audit committee competency, audit committee activity and audit committee size. Ownership structures are characteristics of public ownership, institutional ownership, and managerial ownership. Earnings management in this study were measured by using the value of discretionary accrual. The population in this study is manufacturing companies listed on the Indonesia Stock Exchange (BEI) in 2007-2012. Based on purposive sampling method, the number of samples in this study was 66 samples. Testing the hypothesis used multiple regression analysis. The results indicate that audit committee independent, audit committee size and institutional ownership had a significant negative effect on earnings management. Instead the others variables such as audit committee competency, audit committee activity, public ownership and managerial ownership did not influenced on earnings management.</p>

Corporate Governance and Earnings Management: Empirical Evidence of the Distress and Non-Distress Companies

2021 ◽  
Vol 5 (4) ◽  
pp. 23-30
Author(s):  
Theresia Theresia ◽  
Dewi Kurnia Indrastuti ◽  
Nico Alexander
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Empirical Evidence ◽  
Financial Distress ◽  
Audit Committee ◽  
Management Practices ◽  
Stock Exchange ◽  
Institutional Ownership ◽  
Manufacturing Companies ◽  
Negative Effect

Objective - The purpose of this research is to obtain empirical research on the effect of corporate governance on earnings management in distressed and non-distressed companies. Corporate governance in this research is measured by independent board, audit committee, board of commissioners, institutional ownership and number of board commissioner meetings. The research predicts that corporate governance has a negative effect on earnings management either both in distressed and non-distressed companies. Methodology/Technique - This research uses 309 manufacturing companies listed on the Indonesian Stock Exchange and the data was obtained using purposive sampling method during 2016 until 2018. Of the 309 respondents in the sample, 287 are distressed companies and 22 are non-distressed companies. The data was analyzed using a multiple regression method. Findings - The empirical results show that commissioner board and institutional ownership have a negative effect on earnings management in non-distressed companies but in distressed companies, corporate governance does not have an effect on earnings management. This research shows that distressed companies, corporate governance cannot minimize earnings management practices because to maintain the company as a going concern, management will do earnings management to ensure stakeholders’ trust to encourage further investment in the company. In non-distressed companies, corporate governance can minimize earnings management practices because the company is in a good financial condition, so they don’t need to do earnings management. Additionally, in order to ensure stakeholders’ trust, the company will strengthen its’ corporate governance mechanisms. Type of Paper: Empirical. JEL Classification: M41, M43, G34, J33, K22. Keywords: Financial Distress; Earnings Management; Non-Financial Distress; Indonesia Stock Exchange. Reference to this paper should be made as follows: Theresia; Indrastuti, D. K; Alexander, N. (2021). Corporate Governance and Earnings Management: Empirical Evidence of the Distress and Non-Distress Companies, Accounting and Finance Review, 5(4): 23 – 30. https://doi.org/10.35609/afr.2021.5.4(3)

scholarly journals PENGARUH KEPEMILIKAN MANAJERIAL, PROPORSI KOMISARIS INDEPENDEN TERHADAP KUALITAS LABA

2015 ◽  
Vol 2 (2) ◽  
Author(s):  
Pedi Riswandi
Keyword(s):  
Earnings Management ◽  
Stock Exchange ◽  
Earnings Quality ◽  
Point Of View ◽  
Independent Directors ◽  
Managerial Ownership ◽  
Negative Effect ◽  
Accounting Earnings Management ◽  
Positive Effect

Pedi Riswandi; Ownership structure is very important because it is closely related to the operational control of the company . From the point of view of the theory of accounting , earnings management is determined by the motivation of the company manager . Different motivations will result in a different amount of earnings management , such as the manager who also shareholders of the company with a manager who is not a shareholder and board composition also plays an important role in control of what is done by the executive This study aimed to determine the effect of managerial ownership on earnings quality and the proportion of independent directors on the quality of earnings. The research sample using companies listed in Indonesia Stock Exchange in 2009-2011. "The technique of purposive sampling method. " These results indicate that managerial ownership has a negative effect on the quality of earnings , proportion of independent directors has a positive effect on the quality of earnings. Key words:Managerial ownership, Proportion Independent Commissioner , Earnings Quality

Corporate governance and dividend policy in Indonesia

2013 ◽  
Vol 14 (5/6) ◽  
pp. 135-143 ◽  
Author(s):  
Doddy Setiawan ◽  
Lian Kee Phua
Keyword(s):  
Corporate Governance ◽  
Manufacturing Industry ◽  
Dividend Policy ◽  
Stock Exchange ◽  
Maximum Point ◽  
Manufacturing Companies ◽  
Content Type ◽  
Negative Effect ◽  
The Impact ◽  
Positive Effect

Purpose – This study aims at examining the impact of corporate governance on dividend policy among Indonesian companies. There are two theories of the effect of corporate governance on dividend policy: substitution and outcome theory. Substitution theory argue that corporate governance have negative effect on dividend policy, while outcome theory argue that corporate governance have positive effect on dividend policy. Therefore, this study investigates the effect of corporate governance on dividend policy in Indonesia. This study aims at examining the impact of corporate governance on dividend policy among Indonesian companies. There are two theories of the effect of corporate governance on dividend policy: substitution and outcome theory. Substitution theory argue that corporate governance have negative effect on dividend policy, while outcome theory argue that corporate governance have positive effect on dividend policy. Therefore, this study investigates the effect of corporate governance on dividend policy in Indonesia. Design/methodology/approach – The sample of this research comprises 248 firms from Indonesian Stock Exchange during 2004-2006. This research using Transparency and Disclosure Index (TDI) to measure corporate governance in Indonesia Findings – We find that TDI are low among Indonesian firms, with a score of 32 per cent out of the maximum point. This score indicates that Indonesian corporate governance is still low. The results show that there is a negative relation between corporate governance and dividend policy in Indonesia. Thus, the Indonesian companies pay more dividends when corporate governance practice is low. This result confirms applicable of substitution theory in Indonesia. Research limitations/implications – This research focuses on manufacturing industry in Indonesia. Therefore, the conclusions of this research apply on the manufacturing companies in Indonesia Practical implications – This research shows that companies with poor corporate governance pay dividend higher than companies with better corporate governance. Thus, investor can use this information to make investment decision. Originality/value – This research provides evidence on the negative effect of corporate governance on dividend policy in Indonesia (substitution theory).

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