PENGARUH MEKANISME CORPORATE GOVERNANCE TERHADAP KINERJA KEUANGAN DENGAN MANAJEMEN LABA SEBAGAI VARIABEL INTERVENING PADA PERUSAHAAN BUMN DI BEI

Abstract

The mean objective of this research is to examine whether corporate governance mechanisms influence the earning management and weather corporate governance mechanisms influence financial performance. The study was conducted in the BUMN companies listed on the Indonesia Stock Exchange from 2010-2014. The sample of this study is 12 companies using a purposive sampling method. Analysis of the influence of corporate governance mechanisms is the board size, the proportion of independent board, audit committee, managerial ownership, and institutional ownership. This study using modified Jones for earnings management measures. Financial performance by cash flow return on assets (CFROA). The result of this study show mechanisms corporate governance has a significant effect on earnings management simultaneously, but mechanisms corporate governance and earnings management not significant on financial performance. Partially only variable the proportion of independent board that effect on earnings management.