THE EFFECT OF CORPORATE GOVERNANCE MECHANISM, AUDIT QUALITY AND COMPANY SIZES ON INTEGRITY OF FINANCIAL STATEMENTS (Study of Construction and Building Companies Listed on the Indonesia Stock Exchange 2013-2018)
Erna Lovita, Endah Rahayuningrum
Sekolah Tinggi Ilmu Ekonomi Indonesia
Abstract
This study aims to determine the effect of the mechanism of Corporate Governance, Audit Quality and Company Size partially on the integrity of financial statements in construction and building companies listed on the Indonesia Stock Exchange (IDX). This research uses descriptive research with quantitative approach and data analysis method used is panel data regression analysis with EViews 10 SV. The population of this study is all construction and building companies listed on the Indonesia Stock Exchange in 2013-2018. The sample was determined based on the purposive sampling method, so as many as 9 companies were obtained. The data collection method uses documentation through the official IDX website www.idx.co.id. Based on the results of panel data regression analysis with a significance level of 5%, the results of this study concluded that: (1) Partial Institutional Ownership and Firm Size affect the integrity of financial statements. (2) Partially Independent Commissioners and Audit Quality do not affect the Integrity of Financial Statements.
Keywords: Institutional Ownership, Independent Commissioners, Audit Quality, Firm Size and Integrity of Financial Statements
Topic: Knowledge management and organizational learning