The Effect of Earning Management on Firm Value and Good Corporate Governance as a Moderating Variable

Abstract

This research aims to testing and proved the earnings management to the firm value by implementing Good Corporate Governance (GCG). The components of GCG include managerial ownership, institutional ownership, the size of the board of commissioners, the board of independent commissioners, and the audit committee. This research's object is a manufacturing corporation listed on the Indonesia Stock Exchange(SEC). These results indicate that an independent board of commissioners and an audit committee can moderate earnings management's effect on firm value with managerial ownership. Descriptive analysis results are the average value of managerial ownership is 23%, an independent board of commissioners is 42%, and an audit committee is 3%.

Pengaruh Good Corporate Governance Terhadap Kinerja Keuangan Perusahaan Perbankan Di Bursa Efek Indonesia

“…Upaya pengawasan terhadap industri perbankan dapat diwujudkan dengan adanya implementasi praktik tata kelola perusahaan atau Good Corporate Governance (GCG). Pengawasan terhadap Good Corporate Governance (GCG) yang diterapkan pada perusahaan diharapkan dapat meningkatkan kinerja perusahaan baik secara finansial maupun operasional" Menurut Latifah dan Novitasari (2021), "Good Corporate Governance (GCG) tidak dapat diukur secara langsung, namun ada berbabagai cara untuk mengukur corporate governance dalam suatu perusahaan. Terdapat empat indikator dari corporate governance yang sering digunakan dalam penelitian untuk mengukur praktik earning management, yaitu struktur dewan komisaris independen, komite audit, kepemilikan manajerial dan kepemilikan institusional.…”