CORPORATE GOVERNANCE TERHADAP PRAKTIK MANAJEMEN LABA SERTA KONSEKUENSI TERHADAP KINERJA KEUANGAN

Abstract

The objective of this rescarch is to examine the inffuencc of corporate governancc mechanism, namely institutional ownership ,quallty of audit, firm size and leverage to carnings mamgement, and also examines the eonsequ€nce influence of eaming management to financial performance. Data in this shrdy are secondary data that is corporate banking in Indonesia Stock Exchange. The samples used w€rc I I companics listed on Jalcarta Islamic Index (JII) in the period 2005-2009 were talrcn by purposive sampling. The method of analysis of this research used multi regression and singlc regression. The results ofthis research show that (l) institutional ownership had not significant inffuence to earnings management, (2) quality of audit had not significant influencc to earnings management, (3) firm size had negative significant influence to earnings management, (4) leveragc hadnot significant influence to carnings rnanagemen! (5) simultaneously, institutional ownership, quality of audit, firm size and leverage have joint cffect to earning managemeirt by adjustcd R square value 0,35?, (6) carnings rnanagement had negative significant influence to financial performance, ard (?) earning management had joint efrect to earning management by adjusted R square value 0,27036