PENGARUH MEKANISME GOOD CORPORATE GOVERNANCE TERHADAP FEE AUDITOR EKSTERNAL

Abstract

The purpose of this study is to examine the influence of good corporate governance mechanism with external auditor fees on all companies listed on Bursa Efek Indonesa (BEI) in 2009-2013. Good corporate governance mechanisms in this study consisted of the independence of the board commissioner, the board of commissioners, the board of commissioner meetings, audit committee, audit committee meetings and internal auditor on companies listed in Bursa Efek Indonesa (BEI). This study is a modification of the research conducted by Yasin and Nelson (2012). This study is modified by adding several independet variables and reducing several other independent variables. This study uses secondary data from annual reports of all companies which listed on Bursa Efek Indonesia (BEI) in 2009-2013. This study uses purposive sampling method and uses multiple linear regression model as the analysis instrument. Before being conducted the regression test, it is examined by using the classical assumption tests The results of this study indicate that the meeting of the board commissioners and the meeting of audit committee do not have significant influence with external auditor fees. This study indicate that the number of independent commisioners, the size from board of commissioners, the size of audit committee, and internal auditor have a significant influence with external auditor fees. The existence of independent commisioners and internal auditor will give a superior surveillance so that risk of controlling can be minimized and make external audit fees lower. On the other side the size from board of commissioners will lead to higher external auditor fees because of the difficulty in monitoring. Similar to the size from board of commissioners, the size of audit committee will lead to higher external auditor fees. This is because the audit committee asked for high quality audits of external auditor.