Research Article
Detection of Financial Statement Fraud with The Fraud Pentagon Method for Mining Sector Companies Listed on Indonesian Stock Exchange (IDX) for period 2012 to 2018
@INPROCEEDINGS{10.4108/eai.13-8-2019.2294261, author={Sebastianus T. Lamawitak and Sarinah Joyce M. Rafael and Karmila D.L. Mutia}, title={Detection of Financial Statement Fraud with The Fraud Pentagon Method for Mining Sector Companies Listed on Indonesian Stock Exchange (IDX) for period 2012 to 2018}, proceedings={Proceedings of The First International Conference on Financial Forensics and Fraud, ICFF, 13-14 August 2019, Bali, Indonesia}, publisher={EAI}, proceedings_a={ICFF}, year={2020}, month={5}, keywords={financial statement fraud fraud pentagon pressure oppurtunity rationalization competence arrogance earnings management financial stability nature of industry total accrual ratio change in ceo dualism position of ceo}, doi={10.4108/eai.13-8-2019.2294261} }- Sebastianus T. Lamawitak
Sarinah Joyce M. Rafael
Karmila D.L. Mutia
Year: 2020
Detection of Financial Statement Fraud with The Fraud Pentagon Method for Mining Sector Companies Listed on Indonesian Stock Exchange (IDX) for period 2012 to 2018
ICFF
EAI
DOI: 10.4108/eai.13-8-2019.2294261
Abstract
The purpose of this study was to determine the detection of financial statement fraud using the Pentagon fraud method in mining sector companies listed on IDX during 2012 to 2018. This study used five (5) independent variables, namely pressure on financial stability, oppurtunity on nature of industry, rationalization on total accrual ratio, competence on change in CEO, and arrogance on dualism position of CEO and financial statement fraud as dependent variable that is proxied by earnings management. Sample in this study using purposive sampling method with the final sample is fifteen (15) mining sector companies listed on IDX during 2012 to 2018. The results of this study are pressure on financial stability, oppurtunity on nature of industry, rationalization on total accrual ratio, competence on change in CEO, and arrogance om dualism position of CEO partially does not significantly influence financial statement fraud and smultaneously does significantly influence financial statement fraud
