Tinjauan Tentang Good Corporate Governance terhadap Nilai Perusahaan pada Jakarta Islamic Index 70

Abstract

Good corporate governance is achieved that purpose if it can become one of control systems between shareholders and management that increase company’s value. This study aims to analyze the effect of good corporate governance on firm value. Good corporate governance is measured by the proportion of board of commissioners, number of audit committees, institutional ownership, and managerial ownership. The sampling technique uses purposive sampling methods and there are 44 companies listed in the Jakarta Islamic Index (JII)70 in 2018 as the samples. The data analyze using multiple linear regression. The results show that the proportion of board of commissioners, number of audit committees and institutional ownership have effect on firm value, meanwhile managerial ownership has no effect on firm value.