Research Article
Earnings Management and Corporate Governance Performance: The Case of Building Construction Company
@INPROCEEDINGS{10.4108/eai.4-11-2022.2328764, author={Meita Sekar Sari and Tubagus Ismail and Muhamad Taqi and Rudi Zulfikar}, title={Earnings Management and Corporate Governance Performance: The Case of Building Construction Company}, proceedings={Proceedings of the International Conference on Sustainability in Technological, Environmental, Law, Management, Social and Economic Matters, ICOSTELM 2022, 4-5 November 2022, Bandar Lampung, Indonesia}, publisher={EAI}, proceedings_a={ICOSTELM}, year={2023}, month={9}, keywords={good corporate governance audit committee managerial ownership earnings management roa}, doi={10.4108/eai.4-11-2022.2328764} }- Meita Sekar Sari
Tubagus Ismail
Muhamad Taqi
Rudi Zulfikar
Year: 2023
Earnings Management and Corporate Governance Performance: The Case of Building Construction Company
ICOSTELM
EAI
DOI: 10.4108/eai.4-11-2022.2328764
Abstract
The aim of this research is to examine the consequences of a well-run company, represented by the Board of directors, audit committee and managerial ownership on financial performance and to analyze earnings management on earnings report. The Board of directors, audit committee, managerial ownership, and earnings management as independent variables, whereas financial performance with ROA as dependent variable.Secondary sources management was applied in this research. The total population used in this research were 17 building construction sub-sector companies, which are listed on the Indonesia Stock Exchange. This survey's method of collecting data was purposive sampling and obtained data from 8 companies. The Board of directors isas defined by the number of associates, the audit committee is measured by the number of members, management ownership is measured by the percentage between the number of owned shares and the total outstanding shares, earnings management is measured by Discretionary Accruals Net Profit - Cash and Cash Equivalents/Total Assets t-1) and financial performance using ROA (Return On Assets). Based on the findings, it is possible to conclude that the Board of Directors, audit committee, managerial ownership, and earnings management all have a considerable impact on ROA. ROA is influenced in part by the management board, audit committee, managerial ownership, and earnings quality.