Research Article
Profitability, Liquidity, and Solvency's Impact on Company Value: The Quality Audit's Moderating Role
@INPROCEEDINGS{10.4108/eai.4-11-2022.2328939, author={Leonard Pangaribuan and Tubagus Ismail and Muhamad Taqi and Helmi Yazid}, title={Profitability, Liquidity, and Solvency's Impact on Company Value: The Quality Audit's Moderating Role}, 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={firm value profitability liquidity solvency and reputation of public accounting firm (kap)}, doi={10.4108/eai.4-11-2022.2328939} }- Leonard Pangaribuan
Tubagus Ismail
Muhamad Taqi
Helmi Yazid
Year: 2023
Profitability, Liquidity, and Solvency's Impact on Company Value: The Quality Audit's Moderating Role
ICOSTELM
EAI
DOI: 10.4108/eai.4-11-2022.2328939
Abstract
The purpose of this study is to investigate the function of audit quality in mediating the effect of mediating the influence of profitability, liquidity, and solvency on firm value for consumer goods companies listed on the Indonesia Stock Exchange in 2018–2022. The methodology involves causality investigation using a quantitative technique. The independent factors in this study include profitability, liquidity, and solvency as well as audit quality as moderating variables. The dependent variable is company value. The findings of this study's multiple linear regression analysis show that, while the liquidity variable has no influence on company value, profitability and solvency have a positive and negative impact on firm value, respectively. The value of the business was then shown to be impacted by KAP's reputation in terms of liquidity and solvency, but not profitability.