No abstract

No abstract

The main purpose of this study is to empirically examine the moderating effect ofInvestment Opportunity Set (ICS) and company size on the relationship betweenfree cash flow to debt policy . The test results of the 159 samples were selectedfor sampling purposip the observation period 2006 to 2011 managed to support the first hypothesis which states thatfirms with lower ICS, free cash flow has a positive relationship with debt policy and the second hypothesis that the large companies ,free cash flow has a positive relationship with debt policy.Tests on the three independent variables that allegedly could be used to reduce agency cost, the managerial ownership variables, the dividend payout ratio, and institutional ownership showed no significant results . While ROA as a control variable in this study showed a significant negative effect on the debt. This indicates that the greater the company's ability to generate profits, the company is likely to reduce its debt, as more internalfunds available for investmentmebiayai company. The results of this study useful for investors to understand the behavior of corporate management in Indonesia in managing free cash flow is usually a conflict between shareholders and managers of the company. On companies with low levels of ICS , the management company will tend to increase the debt when the company generatedfree cash flow is high . Free cashflow problems are also more pronounced in the large company, the company's management will tend to increase the debt when the company generatedfree cash flow is high . Thus investors should consider the variable growth opportunities and the size of the company ifthe company will invest in companies with highfree cashflow.

No abstract

Marfuah bstractThe main purpose ofthis research is to examine the avaitabiiityprofit management in scheme of iPO. in addition to this, the influence of the profit management on share return and also the influence of the sophistication of investor and the quality of auditor in the moderation of the relation between profit management before iPO and share return.Based on the selecteed samples, 38 companies which has undertake IPO during 1995-2008 and the examination of "one-sample test" is found the indication of profit ma/iage/ne/it one year prior to IPO. Whereas In the period of IPO and one year post-IPO, is not found such management in the companies that undertakes an IPO. Based on Regresiion-Moderation Analysis is found that the sophistication ofinvestorsignificantly renders negative influence towards the the relation between manajement of profit prior to IPO and share return.