PENGARUH MEKANISME CORPORATE GOVERNANCE DAN LEVERAGE TERHADAP MANAJEMEN LABA DAN KINERJA PERUSAHAAN

Abstract

The objective of this research is to examine the influence of corporate governance mechanism, namely institutional ownership, managerial ownership, size of board, proportion of independent board, size of audit committee and also another variable leverage to earnings management. And examine the influence of corporate governance mechanism and leverage to company performance. This research also examanines concequensies of earnings management to corporate performance.The research used secondary data in form of annual report which contained financial report’s company who listed in IDX website from 2008 to 2010. Sample gathered by purposive sampling method and give 198 companies for year 2008-2010. The method of analysis of this research used multi regression. The results of this research indicate that (1) The mechanism of corporate governance (managerial ownership, board size, and proportion of independent board) effect on earnings management. (2) The mechanism of corporate governance (institutional ownership and the proportion of independent board) as well as the leverage effect on company performance. (3) Earnings management influence on company performance. Earnings management made manager of the financial statements will affect the company’s performance.