Management Capability to Produce Quality Earning

Abstract

This research aims at analyze the effects of management ability to earning quality that is measured by restatement, earning persistence, and accrual quality. The objective of this research is to examine how far the capabilities of firm’s management can make earning for the firm to become more qualified The research populations were taking from the non-financial reports of companies listed in Indonesia Stock Exchange in the period 2008 until 2016. The sample used for this research are 248 firm or 1.240 observation data which was using purposive sampling method. This research uses panel regression method to analyze the effect of independent variables on the dependent variable. The observation data are analyzed and processed using Statistical Package for the Social Sciences (SPSS) and Eviews 7th version. The result indicates that management ability, independent directors and the total number of directors significant to earning quality that is measured by earning restatement, earning persistence and accrual quality in Indonesia Stock Exchange.

The Effect Of Innovation Strategy In The Influence Of Managerial Ability On Firm Performance

“…In line with Edi and Yopie (2019) research, managerial ability shows that a highly competent manager in operational decisions will add value and lead the company to a highefficiency level. Their strategic choices to improve firm performance focus on efficiency, not innovation.…”

“…Managers must-have skills, expertise, competence, education, and experience in managing a firm. Managerial ability is seen as a skill and an effort to increase efficiency (Edi & Yopie, 2019). Without the manager's effort, the management effectiveness will be unclear.…”

Analysis of Factors that Influence Profit Persistency and Accural Quality

“…The second-largest decline was experienced by PT Bumi Serpong Damai Tbk, which decreased by 74% from the previous year due to sales growth of only Rp. 6.63 trillion, another com-on managerial ability on accrual quality and produced a positive influence, however (Edi & Yopie, 2019) showed negative results on the effect of managerial ability on accrual quality.…”