PRAKTIK EARNINGS MANAGEMENT PERUSAHAAN PUBLIK INDONESIA
ABSTRACT: The study
investigates the practice of earnings management in Indonesian non-financial
public companies and the different degree of each industry. It also
investigates the impact of earnings management on value relevance of accounting
information. Earnings management measures developed in the literatures were
adopted to measure the practice in each industries and to examine the
relationship between these measures and their impact on the value relevance of
accounting information. Descriptive analysis, correlation and regression were
applied to data collected from twelve non-financial industries listed in Bursa
Efek Indonesia, from year 1999 to 2004. Results show that in general Indonesian
non-financial public companies practiced earnings management, of which the real
estate and property, agriculture and mining industries are practicing in the
highest degree. It was also found that there is no relationship between the
earnings management practice and value relevance of accounting information.
Keywords: Earnings management,
value relevance, accounting information, book value of equity and earnings per
share
Penulis: ISHAR BAHARUDDIN dan
HERU SATYANUGRAHA
Kode Jurnal: jpakuntansidd080031
