Effect of Leverage and Free Cash Flow on Earnings Management with an Independent Audit Committee as a Moderation
Journal Title: Journal of Economics, Finance and Management Studies - Year 2022, Vol 5, Issue 12
Abstract
This study aims to examine the Effect of Leverage and Free Cash Flow on Earnings Management with the Independent Audit Committee as a Moderating Variable. The samples used were manufacturing companies in the basic and chemical industry sectors that were listed on the Indonesia Stock Exchange (IDX) and published annual reports and sustainability reports for the 2018-2020 period. Sampling was carried out using the purposive sampling method. Data analysis used in this study used Panel Data Regression Analysis with the Eviews 9 application tool. The results of this study indicate that the free cash flow variable as measured by DAC has a negative effect on earnings management. However, the leverage variable as measured by DAR has a positive effect on earnings management. The moderating variable, namely the independent audit committee as measured by the independent audit committee ratio, is unable to moderate the relationship between leverage and free cash flow on earnings management.
Authors and Affiliations
Siti Choiriah
Keywords
Related Articles
- EP ID EP726619
- DOI 10.47191/jefms/v5-i12-21
- Views 17
- Downloads 0
The Effect of Apparatus Commitment on the Accountability of Village Fund Management with Village Government Performance as a Mediating Variable in the Village Government of the Jumantono Sub-District, Karanganyar Regency
This study aims to determine the significant influence between the commitment of the apparatus on the accountability of managing village funds through the performance of the village government. The village government org...
Loan Portfolio Quality and Efficiency of Quoted Deposit Money banks in Nigeria
Banking world over is adjusting to profound changes following the backdrop of current economic downturn with its significant impact on global financial outlook. In the face of corona virus diseases 2019 (covid 19) pande...
Policy on Work Accident, Occupational Disease Insurance in Vietnam
During the process of production activities, there are factors or incidents that affect the health of workers, such as hazardous working environments, prolonged fixed working postures, accidents caused by machinery, etc....
The Effect of Product Quality, Service Quality, Environment Quality, and Product Assortment on Customer Loyalty trough Customer Satisfaction of BCA Mobile Application
The spread of the Covid-19 virus which is still increasing requires the Indonesian government to issue a policy to limit mobility for the sake of the nation's recovery. In the end, community activity in public places dec...
The Effect of the Quality of Disclosure of Sustainability and Quality of Earnings on Investment Risk and their Impact on Market Value Added (MVA)
This study aims to determine the effect of the quality of sustainability disclosure and the quality of risk earnings on investment and its impact on market value added (MVA) in manufacturing companies listed on the Indon...