PENGARUH EARNINGS MANAGEMENT TERHADAP KUALITAS PENGUNGKAPAN LAPORAN KEUANGAN PADA PERUSAHAAN MANUFAKTUR YANG LISTING DI BURSA EFEK JAKARTA (BEJ)

Palupi, Fajar (2007) PENGARUH EARNINGS MANAGEMENT TERHADAP KUALITAS PENGUNGKAPAN LAPORAN KEUANGAN PADA PERUSAHAAN MANUFAKTUR YANG LISTING DI BURSA EFEK JAKARTA (BEJ). Other thesis, University of Muhammadiyah Malang.

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PENGARUH_EARNINGS_MANAGEMENT_TERHADAP_KUALITASPENGUNGKAPAN_LAPORAN_KEUANGAN_PADA_PERUSAHAANMANUFAKTUR_YANG_LISTING_DI_BURSA_EFEK_JAKARTA.pdf

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Abstract

Capital market as an institution of capital accumulation and turnover of funds that can support economic development. Where in the capital markets are allocating funds from less productive sectors to more productive sectors. Capital markets to strengthen its capital structure in the world of business, because business can arrange a combination of sources of financing such a way that reflects the blend of long-term sources of financing and short-term (Joseph, 2002 in Saeful, 2004). In a market mechanism should have a balance of information. The balance of information created to protect both parties. Parties that excess or surplus funds and those who lack funds or deficit. With the submission of a complete and correct information, then the investor understand the overall financial aspects and activities especially on the stock exchange. The financial statements are the primary communication tool in the delivery of earnings or other financial information to parties outside the company. The financial statements used as reference information and consideration in decision making by investors and creditors on their fund investments. Accrual basis was chosen in the preparation of financial statements, because it is more rational and allow scope for management in selecting the method of accounting for not deviate from the Financial Accounting Standards (GAAP) applicable. In reality, users of financial information is only focused on the profit generated information without regard to how profits are generated. This encourages the management to the choice of accounting method for a particular purpose of the actions of the income (earnings management). If in a state of the management failed to achieve the planned profit target, the management will do the Modified net earnings have been reported as permitted by GAAP in preparing financial statements. The existence of motivation to show good performance in providing maximum value or profit for the company, this is one reason for the earnings management. The main goal in performing earnings management is income from operations. There are some real action done in the earnings management that is the income smoothing and manipulation of earnings. Smoothing action of the profits made by companies that tend to lower profitability, and companies in the industry at risk. There are indications of smoothing earnings and operating earnings is a common target used for income smoothing (Ashari et al, 1994 in Saeful, 2004). Earnings manipulation actions done because the motivation to show good performance. Level of disclosures in the financial statements have an influence on the level of information asymmetry. Prospectus of the company is a source of information used in decision making on investment. Prospectus to be prepared by the company for the purposes of registration and distributed to the public (Francis, 1993:154) and distributed to each investor (Jones, 2000:75). Increasing the value of a company through additional disclosure in the financial statements, but with a more detailed disclosure of the management will minimize opportunities for earnings management. According to Munter (1999) and Ketz (1999) earnings management should be prevented, because it can mislead investors' decisions. Meanwhile, according Subramanyan (2005) earnings management can be done by the method of income smoothing (income smoothing) are undisputed. So, companies that make earnings management would disclose less information in the financial statements for its actions are not easily detected. Companies manufacturing is a sector that promises high profit, so many investors who want to invest their shares. In the midst of competition in terms of services provided by the companies concerned with all products produced and the benefits of each product. In accordance with the target market or customer segments targeted by a product that dihsilkan company. Financial side to be reckoned with. Due to high sales turnover not fully show higher profits

Item Type: Thesis (Other)
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculty of Economic > Department of Accounting
Depositing User: Rayi Tegar Pamungkas
Date Deposited: 30 Jun 2012 02:20
Last Modified: 30 Jun 2012 02:20
URI: http://eprints.umm.ac.id/id/eprint/10322

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