Indonesia Conference Directory

Investment decision is use the investment opportunities of the firm and the value of market capitalization with equity. Investment decision is utilized as the endogen variable that influenced by funding decisions and dividend policy as mediation to firm value. The aims of this study are to examine and analyze (1) the direct effect of financial decision and dividend policy on firm value (2) the undirect effect of financial decision and dividend policy on firm value, and investment decision as mediation variable. This study was performed on the firms listed in the Indonesia Stock Exchange (BEI) During 2014to 2017 period. The data collection was done by using purposive sampling while the population is chosen based on population criteria. The Firm involved as research sample and the number of research samples are 72 firms. The method of data analysis is multiple regression analysis and Sobel Test used to test for mediation variable. The research findings show that the undirect effect of funding decisios and dividend policy with investment decisions as mediation on firm value is significant.