Analysis of Factors Affecting on Earnings Management with Corporate Governance as Moderate Variable
Issue: 2022 - Volume 22 [Issue 1]
Magister Akuntansi, Universitas Budi Luhur, DKI Jakarta 12260, Indonesia.
Agoestina Mappadang *
Fakultas Ekonomi dan Bisnis, Universitas Budi Luhur, DKI Jakarta 12260, Indonesia.
*Author to whom correspondence should be addressed.
This study aims to find out whether the variables of profitability, leverage, company size, and corporate tax have a significant effect on profit management moderated by corporate governance variables on Manufacturing Companies Listed on the Indonesia Stock Exchange. From the results of hypothesis testing, it can be concluded that leverage has a positive and negative effect on earnings management, profitability has no and negative effect on earnings management, firm size has an insignificant and negative effect on earnings management, corporate tax has a significant and positive effect on earnings management, corporate governance weakens the interaction effect of leverage and profitability of earnings management in the sense of earnings management is decreasing. Corporate governance cannot moderate firm size and corporate tax on earnings management.
Keywords: Earnings management, profitability, leverage, company size, corporate governance