Year: 2024 | Month: August | Volume: 11 | Issue: 8 | Pages: 83-96
DOI: https://doi.org/10.52403/ijrr.20240810
Analysis of the Factors Affecting Earnings Management in Basic Industry and Chemical Sub-Sector Companies Listed on the Indonesia and Thailand Stock Exchange 2017-2022
Intan Parulian Esther Fransisca1, Iskandar Muda2, Abdhy Aulia Adnans3
1,2,3Department of Accounting, Faculty of Economics and Business Universitas Sumatera Utara, Indonesia
Corresponding Author: Intan Parulian Esther Fransisca
ABSTRACT
The purpose of this study is to find out and analyze the effect of institutional ownership, firm size, leverage, firm age, company growth, and auditor's reputation as a variable control of earnings management in companies listed in the basic and chemical industry sub-sector listed on the Indonesia Stock Exchange and Thailand for the 2017-2022 period. The population in this study was 80, and 14 companies were from Indonesia and Thailand. The sample was selected using the Purpose Sampling method, totaling 130 and 9 companies for Indonesia and Thailand. The research results in Indonesia prove that firm size and growth positively and significantly affect earnings management. The firm age has a negative and significant effect on earnings management, while institutional ownership and leverage have no significant effect on earnings management partially. The research results in Thailand showed that institutional ownership, firm size, leverage, firm age, and growth do not significantly affect earnings management.
Keywords: earnings management, institutional ownership, firm size, leverage, firm age, growth
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