The Effect of Earnings Opacity and Tax Avoidance on Companies Value

Companies in Indonesia have carried out many earnings modification practices where earnings modification is the attitude of management to choose accounting policy with various purposes or motives, namely opportunistic motives and efficiency motives. Opportunistic motive if the modification aims to provide welfare for management, while the efficient motive is if it aims to increase the market value of the company. This study functions to analyze the effect of earnings opacity , tax avoidance , price earnings ratio, return on assets, and leverage on the value of food and beverage companies listed on theIDX in 2018-2020, with a sample of 15 companies based on the purposive sampling method. The research method used is a quantitative method. Analysis of the information used in this study is multiple regression analysis. The results prove that earnings opacity and tax avoidance have a negative effect on companies value

The Correlation of Business Creativity and Social Media with MSMEs Entrepreneurial Performance

Micro Small and Medium Enterprises (MSMEs) in Indonesia plays a significant role in economic growth, especially by creating employment opportunities and, at the same time, reducing the unemployment rate. Small firms are high potential enterprises that need improvement in order to contribute to either micro- or macro-economic development in this country. Entrepreneurs need to strengthen their competitive advantage to ensure their long-term survival. Small firms face significant challenges that require them to devise an effective strategy to improve performance. The present study aims to investigate whether business creativity and social media among MSMEs correlate with entrepreneurial performance. The sample consisted of 120 MSMEs in the Special Region of Yogyakarta selected using the purposive sampling method. Respondents are owners or managers authorized with the responsibility for the survival of their enterprises. The results show that MSMEs entrepreneurs are using Instagram and that creativity-based MSMEs have better business entrepreneurial performance. The results imply that MSMEs entrepreneurs need to promote their products on social media and to improve their creativity to boost their business performance

Covid 19 Outbreak and Financial Statement Quality: Evidence from Central Java

This study aims to analyze and find empirical evidence that the Covid 19 pandemic will affect the quality of financial reports and what factors affect the quality of government financial reports. The variables used in this study are competence, compliance with government accounting standards, external pressures, environmental uncertainty, internal control systems, and the quality of financial reports. The population of this study was accounting or finance staff who served in 48 SKPDs in the Central Java Provincial Government. The sampling technique used was simple random sampling, this sampling technique was chosen because the study population was homogeneous. Analysis of research data using the WarpPLS 7.0 application as well as used for hypothesis testing. The results show that competence, compliance with government accounting standards has a positive effect on the quality of financial reports, while external pressure has no effect and environmental uncertainty has a negative effect on the quality of financial reports. Internal control is able to strengthen the relationship between competency variables and compliance variables with the quality of financial reports and weaken the relationship between internal pressure variables and environmental uncertainty variables on the quality of local government financial reports. The implication of this research is that the quality of financial reports can be achieved when the work structure has good competence, complies with government accounting standards, is able to anticipate uncertainty and applies internal controls properly.

Does board interlock control high-tech firm performance? Evidence from ASEAN's Growth Triangle Countries

The aim of this study is to explain the board interlock association on high-tech firm performance in three growth ASEAN countries. The research samples were 109 high-tech listed manufacturing firms, consisting of 38 Indonesian firms, 37 Malaysian firms, and 34 Thai firms in the 2015-2018 period. The study used panel regression analysis. The research found that corporate governance through interlock directorates is a determinant of high-tech firm performance. The low human capital with high-tech capabilities in ASEAN countries can be overcome by interlocking and facilitating companies to access strategic information. This study also found a positive association between director woman interlock and corporate performance. On the other hand, an independent director who does interlocking actually has a negative effect on company performance. This research is the first research on board interlock in high-tech firms in ASEAN growth countries, Indonesia, Malaysia, and Thailand. There is still limited research involving more than one country, especially developing countries, in studying the interlock board relationship on the company performance. The highlight of this study is to compare the effects of the three interlocks, interlocking directorate, woman interlock, and independent interlock, and their associations on the profitability of high-tech firms. Investors can have an in-depth understanding of the role of the type of interlock that affects the profitability and make the right decision in investing.

The Consistency Of Islamic Corporate Financial Sustainability In Covid-19 Pandemic: An Empirical Analysis

The concept of sustainability is the ability of a company to carry out work program activities in a sustainable manner to achieve company goals. This study aims to examine empirically the consistency of financial sustainability in Islamic companies before and during the Covid-19 pandemic. To measure the financial sustainability performance, this study used ratios from financial income and financial expenditure. The sample in this study used purposive sampling that is 14 Islamic companies on the Indonesia Stock Exchange. Multiple linear regression and a chow test were used to examine the consistency. The result showed that The financial sustainability ratio of companies at the time of the pandemic has a higher value than before the pandemic. the pandemic period in Indonesia affected the financial stability of companies listed on the Jakarta Islamic Index. The independent variable that affects the dependent variable experiences structural changes in Indonesia in the period 2019 to quarter II of 2020

Income Tax Issues on the Omnibus Law and Its Implications in Indonesia

This research has two objectives. The first objective is to analyze the issue of income tax policy based on the idea of taxation omnibus law. In 2020, Law No. 36 of 2008 concerning Income Tax was amended twice as stipulated in Law No. 2 of 2020 and Law No. 11 of 2020 (Job Creation Law). The second objective is to analyze the implications of income tax policy changes on taxation practices in Indonesia. This research is a descriptive qualitative study using data collection techniques in documentation and literature studies. The research concludes that the omnibus law policy aims to encourage domestic investment funding. Income tax issues in Law No. 2 of 2020 include lowering the corporate income tax rate and imposing taxes on trade through an electronic system. Besides, the issue of income tax in Law No. 11 of 2020 includes tax subjects' determination, the territorial system's adoption, tax objects' exclusion, and changes to the provisions on dividends. The implication of the change in income tax policy on taxation practices is that taxes distort the economy. The delegation of regulations for reducing income tax rates to the government through government regulations creates legal uncertainty. Thus, it is necessary to have tax regulations with minimal complexity, not overlap, provide legal certainty, and further encourage voluntary tax compliance.

Factors Affecting Motivation for Career Selection of Public Accountants

The purpose of this study was to determine the influence of intrinsic value, work environment, and job market considerations on the motivation to choose a career as a public accountant either partially or simultaneously. This research method uses multiple linear regression analysis with a sample of 210 students of the faculty of economics and Business, University of Muhammadiyah Prof. Dr. Hamka. The research results based on the t-test show that the intrinsic value of work affects the motivation for choosing a career to become a public accountant, while the work environment and job market considerations do not affect the motivation for choosing a career to become a public accountant. Simultaneously, the intrinsic value of work, work environment, and labor market considerations affect the motivation to choose a career to become a public accountant. Public accounting firms need to consider workspace and freedom for auditors to complete existing work, providing intellectual challenges with a dynamic work atmosphere.

Assessing Effect of The Factors that Influence Financial Reporting Information Quality

A particular form of information used as user requirements for the process of decision-making. A qualified information is important for interested party who used that information to reduce uncertainty and knowledge upgrade on the specific concern areas. By considering information is a wishful move for doing an activity. The information quality of financial statements that the government publishes in public has to meet standards to be trusted and used by people so people could rely on for making a decision. The objective to do this research is to verify relationship between human resources competency, accounting information system, and internal control on accounting information quality of government financial statements. The paradigm of this research is quantitative research. The sampling method used is a nonprobability sampling (saturated sampling) with quota. The research was conducted by distributing questionnaires to 43 respondents who are SIMDA operator on the government work unit of Central Sulawesi Provincial Government. Multiple linear regression analysis used to analyze data. The results showed that human resources competency, accounting information system, and internal control have a positive effect on the quality of financial reporting information in Central Sulawesi Provincial Government.

Job Opportunity, Attitudes, Perceived Behavioral Control and Intention to Major in Accounting

This research aims to capture the accounting behavior phenomenon in accounting students at private universities in Manado. This research is developed from the study of Lin & Fawzi (2006), Zandi et al.(2013), and Odia & Ogiedu (2013). To find out the inconsistency of these researches, this research focus to study about the students’s intention in choosing an accounting program. Partial least square is used to analyze the research model. This study used questionnaires and deep interviewed to collect the data. It reveals that job opportunities deliver positive effects on accounting students’s attitudes, and these attitudes affect their intention to select the program. The reputation on higher education institutions on accounting do not determine the students’s attitudes to enroll in accounting. Subjective norm do not influence students intention. Perceived behavior control positively encourages the purposeof choosing the accounting program. These findings designate implications for accounting lecturers to explain the benefits, job opportunities, and temporary accounting issues to students. Management of the accounting department needs to re-design their curriculum; thus, it can drive college students to compete and have fun throughout the learning process. Lecturers are obligated to update their learning methods and include educational characters in the provision of material to increase students's motivation.